Daily Information Bulletin - 1990s - 1993 - MAY - ENG

 Received by PRO - 5 MAY 1993 on _______________

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

SATURDAY, MAY 1, 1993

CONTENTS PAGE NO.

CNTA SYMPATHETIC TO MACS' FREE RENT PLEA ....................... 1

BUS AND FERRY SERVICES TO ALLEVIATE MTR CONGESTION ............. 2

VIEWS ON OPERATION OF CHILDREN AND YOUTH CENTRES SOUGHT ........ 2

THE TALE OF THREE BOYS ......................................... 3

YAU TSIM OUTSTANDING STUDENTS HONOURED ......................... 4

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ..

5

SATURDAY, MAY 1, 1993

1

CNTA SYMPATHETIC TO MACS’ FREE RENT PLEA

*****

THE CITY AND NEW TERRITORIES ADMINISTRATION (CNTA) UNDERSTANDS AND SYMPATHISES WITH MUTUAL AID COMMITTERS (MAC’S) FOR SEEKING RENT EXEMPTION FROM THE HONG KONG HOUSING SOCIETY (HKHS).

THIS WAS STATED BY THE PRINCIPAL ASSISTANT SECRETARY FOR HONG KONG AND KOWLOON OF CNTA, MR C C WAN, AT A MEETING WITH THE JOINT COMMITTEE ON RESIDENTS’ RIGHTS IN HOUSING SOCIETY ESTATE AND MANAGEMENT STAFF OF THE HKHS THIS (SATURDAY) MORNING.

THE MEETING WAS CALLED UPON THE REQUEST OF THE JOINT COMMITTEE WHICH IS SEEKING TO WAIVE RENTS TO SOME 50 MAC OFFICES IN HKHS ESTATES.

MR WAN SAID THE CNTA HAD BEEN MAKING REPRESENTATIONS ON BEHALF OF THESE MAC’S SINCE MAY 1989.

THE SOCIETY THEN AGREED TO REDUCE RENTS FOR MAC OFFICES IN 1989 FROM $19 PER SQM TO $9.5 PER SQM.

’’AND FOLLOWING A RECENT TRIENNIAL WELFARE RENT REVIEW WHICH RAISED MAC OFFICE’S RENT TO $12.5 PER SQM, THE SECRETARY FOR HOME AFFAIRS IMMEDIATELY RESPONDED BY WRITING TO THE HKHS REQUESTING THAT RENTS FOR MAC OFFICES BE WAIVED,” MR WAN SAID.

AS TO A SUGGESTION THAT THE GOVERNMENT SHOULD PROVIDE SUBSIDIES TO THESE MAC’S TO COVER THEIR RENTS, MR WAN SAID THE EXISTING FINANCIAL ASSISTANCE SCHEME FOR MAC’S WAS MEANT TO SERVE AS AN INCENTIVE FOR THE FORMATION OF THESE SELF-HELP RESIDENT ORGANISATIONS.

UNDER THIS SCHEME, MAC’S ARE ENTITLED TO FOR RECURRENT EXPENDITURE UP TO A LIMIT OF $700

CLAIM REIMBURSEMENTS

PER QUARTER.

HOWEVER, MR WAN EXPLAINED THAT THAT AMOUNT WAS NOT MEANT TO COVER ALL EXPENSES INCURRED BY MAC’S.

’’THIS IS BECAUSE UNLIKE WELFARE AND VOLUNTARY AGENCIES WHICH PROVIDE DIRECT SERVICES TO THE GENERAL PUBLIC, MAC’S ARE SELF-HELP ORGANISATIONS FORMED VOLUNTARILY TO PROMOTE MUTUAL RELIANCE AND NEIGHBOURLINESS AMONG MEMBERS AND, FOR THIS REASON COULD NOT EXPECT TO RECEIVE SUBVENTION FROM THE GOVERNMENT ON THE SAME FOOTING,” HE ADDED.

HE ALSO POINTED OUT THAT MANY OTHER TYPES OF ORGANISATIONS, SUCH AS OWNERS’ CORPORATIONS, DISTRICT SCHOOL LIAISON COMMITTEES, SPORTS AND RECREATION ASSOCIATIONS ARE NOT GIVEN ANY FINANCIAL ASSISTANCE FOR RECURRENT EXPENDITURE FROM THE GOVERNMENT.

BUT MR WAN BELIEVED THIS SHOULD NOT DETER THE WORK OF MACS AS, OUT OF THE EXISTING 4,000 MAC’S, MORE THAN HALF DO NOT HAVE OFFICES BUT STILL MANAGE TO TAKE AN ACTIVE PART IN PROVIDING BUILDING MANAGEMENT SERVICES TO THEIR MEMBERS.

"THERE ARE ALSO CASES OF SEVERAL MAC’S SHARING ONE OFFICE SO AS TO REDUCE THEIR RENT BURDEN,” HE ADDED.

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/2 .........

SATURDAY, MAY 1, 1993

- 2

BUS AND FERRY SERVICES TO ALLEVIATE MTR CONGESTION

******

BUS AND FERRY SERVICES WILL BE STRENGTHENED AS PART OF THE TRANSPORT DEPARTMENT’S EFFORT TO COPE WITH EXPECTED INCREASE IN DEMAND ALONG THE MASS TRANSIT RAILWAY-NATHAN ROAD CORRIDOR.

A SPOKESMAN FOR THE DEPARTMENT SAID TODAY (SATURDAY) TWO NEW BUS ROUTES WOULD BE INTRODUCED. THE ONE FROM BAYVIEW GARDEN TO CENTRAL WILL START IN THE MIDDLE OF THIS MONTH AND THE OTHER ONE FROM SHEK YAM TO TSIM SHA TSUI WILL START IN EARLY JULY.

BUS SERVICES BETWEEN TSIM SHA TSUI AND CENTRAL WILL ALSO BE IMPROVED IN STAGES BETWEEN MAY AND JULY. THESE INCLUDE ROUTES 81C, 258C, 259B, 260B, 268B, 300, 307 AND 336.

FERRY SERVICE FROM TUEN MUN TO CENTRAL WILL ALSO BE STRENGTHENED. A NEW FERRY SERVICE FROM GOLD COAST TO CHINA HONG KONG FERRY TERMINAL WILL ALSO BE INTRODUCED LATER IN THE YEAR.

THE SPOKESMAN SAID THESE NEW SERVICES WOULD PROVIDE ADDITIONAL CHOICE FOR COMMUTERS.

0

VIEWS ON OPERATION OF

CHILDREN AND YOUTH CENTRES SOUGHT

*****

THE D1RECIOR OF SOCIAL WELFARE, MR IAN STRACHAN, TODAY (SATURDAY) INVITED MEMBERS OF THE PUBLIC TO GIVE THEIR VIEWS ON THE FUTURE OPERATION OF CHILDREN AND YOUTH CENTRES.

ADDRESSING THE OPENING OF THE HONG KONG FEDERATION OF YOUTH GROUP’S TIN YIU CHILDREN AND YOUTH CENTRE CUM STUDY/READI NG ROOM, MR STRACHAN SAID A WORKING PARTY ON REVIEW OF CHILDREN AND YOUTH CENTRE SERVICES HAD COMPILED A DRAFT REPORT, WHICH WOULD BE PUT OUT FOR PUBLIC CONSULTATION NEXT MONTH.

THE WORKING PARTY WAS SET UP IN MARCH LAST YEAR TO CONDUCT A REVIEW ON CHILDREN AND YOUTH CEN'I’RES 'I’O ENSURE THEIR CON’I’R I BUT I ON TO THE OVERALL DEVELOPMENT OF YOUNG PEOPLE.

"AS HONG KONG ENTERS A PERIOD OF SIGNIFICANT TRANSITION, IT IS OF GREAT IMPORTANCE THAT YOUNG PEOPLE SHOULD BE GIVEN THE NECESSARY SUPPORT, HELP AND OPPORTUNITIES TO BECOME RESPONSIBLE MEMBERS OF SOCIETY,” MR STRACHAN SAID.

ONE SIGNIFICANT RECOMMENDATION OF THE REPORT WAS THE CONCEPT OF TEAM APPROACH, HE NOTED.

"RESOURCES CURRENTLY DISPERSED IN DIFFERENT SERVICES FOR YOUNG PEOPLE WILL BE POOLED TOGETHER UNDER THE SAME MANAGEMENT TO FLEXIBLY MEET THE DIFFERENT NEEDS AND PROBLEMS OF YOUNG PEOPLE IN A DISTRICT ” HE ADDED. ’

/IT IS ........

SATURDAY, MAY 1, 1993

- 3

IT IS RECOMMENDED THAT IN EACH CATCHMENT AREA WITH A YOUNG PEOPLE POPULATION OF AROUND 12,000, ONE INTEGRATED TEAM WILL BE ESTABLISHED TO PROVIDE CHILDREN AND YOUTH CENTRE SERVICE, OUTREACHING SOCIAL WORK, SCHOOL SOCIAL WORK AND FAMILY LIFE EDUCATION AS THEIR CORE SERVICES.

"I WOULD LIKE TO TAKE THIS OPPORTUNITY TO ENCOURAGE YOU TO HELP US IMPROVE CHILDREN AND YOUTH SERVICES. WE WILL GREATLY BENEFIT FROM COLLECTIVE WISDOM,” MR. STRACHAN SAID.

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THE TALE OF THREE BOYS * ♦ ♦ ♦ ♦

TWO BOYS WHO WERE SUFFICIENTLY CONFIDENT OF PLAYING BIG BROTHERS CUDDLED A SEVEN-YEAR-OLD RUNAWAY TO THE SAFETY Ob' THF POI TCP - WITH THE HELP OF A TOY-LIKE WATCH. ' rvuiur.

THE BEWILDERED BOY’S LIKELY NIGHTMARISH ADVENTURE ENDED IN THE ARMS OF HIS FATHER WHO HAD BEEN HOT ON THE HEELS FOR HOURS IN THE POLICE STATION, WAITING FOR NEWS OF HIS MISSING SON.

THE DUO ARE 13-YEAR-OLD RICKY CHAN AND 15-YEAR-OLD CHAU LIK-HANG, BOTH ARE CIVIL AID SERVICES (CAS) CADETS.

THEY WERE TODAY (SATURDAY) PRESENTED WITH BEST SERVICE CASE CADETS SOUVENIR, IN RECOGNITION OF THEIR CIVIC AWARENESS AND INITIATIVE TO HELP.

CAS CADET COMMANDANT, MR LOH WING-KWAN, SAID THEY HAD GIVEN 'I HE SPIRIT OF ’’CARE FOR THE COMMUNITY. INITIATIVE TO SERVE” A FULL

IT WAS TOTALLY UNEXPECTED BUT WE WERE EXCITED 1’0 HAVE BEFN COMMENDED,” RICKY SAID.

THE KWUN TONG POLICE DISTRICT COMMANDER, MR LAU CHUN-SING, HAD EARLIER APPRECIATED IN WR11’1 NG THEIR SENSE OF CIVIC DUTY AND INITIATIVE WHICH SET A GOOD EXAMPLE FOR YOUNG PEOPLE IN THE COMMUNITY.

CONGRATULATION LETTERS WERE SENT 1’0 CAS’S CHIEF STAFF OFFICER, MR F S KAVANAGH AND THE BOYS’ SCHOOL HEADMASTER.

ON MARCH 13, WHEN RICKY AND L IK-HANG WERE ON THE WAY TO THE CAS TSEUNG KWAN O CADET UNIT FOR ROUTINE TRAINING, THEY SAW A LITTLE BOY TOYING A TROLLEY IN PO HONG ROAD.

INTUITIVE FEELING DEVELOPED DURING THE COURSE OF TRAINING TELL THEM THAT THE SITUATION MAY BE CREEPY FOR THE BOY.

THEY WALKED UP TO THE BOY AND SHOWED OFF THEIR SKILL LEARNT IN THE CADETSHIP, IN AN ATTEMPT TO BRING THE AFFECTION IN THE BOY.

/’’WHERE ARE

SATURDAY, MAY 1, 1993

4

WHERE ARE YOUR PARENTS? WHY ARE YOU ALONE HERE? WHERE DO YOU

THE BOY HELD HIS TONGUE AND GAZED AT THEM DULL AND UNINSPIRING, ONLY KEPT ON MURMURING TO HIMSELF.

"WE THOUGHT HE MAY BE MENTALLY DISTURBED AND WE DECIDED TO TAKE HIM TO THE POLICE,” LIK-HANG SAID.

BUT THE BOY PUT UP A STRUGGLE AND STAYPUT.

JUST THEN HE HEARD BEEPS FROM RICKY’S ALARM WATCH.

I HIS WORKS A MIRACLE. HE WAS AMAZED. RICKY IMMEDIATELY GAVE HIM THE WATCH. THEY THEN TOOK TURN TO CARRY HIM TO THE TSEUNG KWAN O POLICE STATION, WITH THE OTHER PULLING THE TROLLEY ALONG THE WAY.

THIS WAS A TUMBLING AND DISCOURAGING JOURNEY. IT TOOK THEM 25 MINUTES TO GET TO THE STATION.

"HE WAS VERY HEAVY... AND RESTLESS TOO," LTK-HANG CONFESSED, HE WAS ONLY EIGHT YEARS HIS SENIOR.

BUT THEIR EFFORTS BORE FRUIT. THE BOY’S FATHER WAS ALREADY WAITING AT THE POLICE STATION.

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YAU TSIM OUTSTANDING STUDENTS HONOURED

*****

TEN PRIMARY AND SECONDARY STUDENTS IN THE YAU TSIM DISTRICT WERE PRESENTED WITH THE "OUTSTANDING STUDENTS AWARD" TODAY (SATURDAY).

THEY HAVE BEEN CHOSEN FROM 35 NOMINEES FOR THEIR SOUND ACADEMIC ACHIEVEMENTS, DI STINGUISHED CONDUCT AND ACTIVE PART!(’I PAT ION IN EXTRA-CURRICULAR ACTIVITIES AND SOCIAL SERVICES.

SPEAKING AT THE PRIZE-PRESENTATION CEREMONY, YAU TSIM DISTRICT OFFICER, MR BART IRELAND, SAID THE AWARD SCHEME WAS AIMED AT ENCOURAGING STUDENTS IN ACADEMIC PURSUIT AS WELL AS ENHANCING THEIR CIVIC AWARENESS AND ENTHUSIASM IN SOCIAL ACTIVITIES.

HE PRAISED THE ORGANISER, THE SCHOOL LIAISON COMMITTEE, FOR PROMOTING EXTRA-CURRICULAR. ACTIVITIES AND (’I VIC EDUCATION FOR STUDENTS AND PARENTS.

MR IRELAND SAID THE COMMITTEE, FORMED UNDER THE DISTRICT OFFICE, HAD ESTABLISHED CLOSE LINKS AMONG SCHOOLS IN THE DISTRICT AND HAD ENABLED PRINCIPALS AND TEACHERS TO SHARE EXPERIENCE ON ISSUES OF COMMON CONCERN.

HE HOPED THAT MEMBERS WILL CONTINUE TO WORK FOR THE COMMUNITY WITH SELFLESS ENTHUSIASM SO THAT A HEALTHIER AND BETTER DEVELOPMENT OF SOCIETY CAN BE REALISED.

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/5 .........

SATURDAY, MAY 1, 1993

5

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS *****

OPENING BALANCE IN THE ACCOUNT

REVERSAL OF LAF

BALANCE AFTER REVERSAL OF LAF

NET INJECTION/WITHDRAWAL TODAY

EFFECT OF LAF TODAY

CLOSING BALANCE IN THE ACCOUNT

LAF RATE 2.00 BID/4.00 OFFER

$ MILLION

2,060

+ 20

2,080

NIL

-1,135

945

TWI 111.8 *+0.0* 1.5.93

- 0 -

Received by PRO on - 5 MM '993

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL.: 842 8777

SUNDAY, MAY 2, 1993

CONTENTS PAGE NO.

GOVERNOR ARRIVES AT WASHINGTON ................................... 1

SECRETARY FOR SECURITY VISITS VIETNAM ............................ 1

WORK SITE SECURITY BOOKLET PUBLISHED ............................. 2

IMMIGRATION INVESTIGATOR SHARES SUCCESS RECIPE ................... 3

HK'S TEXTILES AND GARMENT INDUSTRY: LARGE AND HEALTHY ............ 4

UK/HK GOVTS JOINT FUNDING SCHEME ................................. 7

APPLICATIONS FOR SUMMER FORESTRY WORK CAMP INVITED ............... 8

"BE MY TEACHER" DRIVE STARTS ..................................... 9

SLOGAN SOUGHT FOR POSITIVE ATTITUDE TOWARDS LIFE DRIVE .......... 10

SUNDAY, MAY 2, 1993

- 1 -

GOVERNOR ARRIVES AT WASHINGTON

*****

THE FOLLOWING IS THE TRANSCRIPT OF THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, SPEAKING TO REPORTERS ON HIS ARRIVAL AT DULLES AIRPORT, WASHINGTON, D.C. ON MAY 1, SATURDAY (WASHINGTON TIME) NIGHT:

I MADE A STATEMENT BEFORE I LEFT HONG KONG AND I DON’T HAVE ANYTHING TO ADD TO THAT. I AM VERY MUCH LOOKING FORWARD TO MY FIRST TRIP TO WASHINGTON AS GOVERNOR. 1 AM SURE THERE WILL BE MANY FUTURE VISITS IN THE YEARS AHEAD.

Q: YOU ARE GOING TO SEE THE PRESIDENT ON MONDAY........

A: I AM GOING TO TALK TO THE PRESIDENT PRIMARILY ABOUT TRADE MATTERS AND THE STRONG ECONOMIC RELATIONSHIP BETWEEN HONG KONG AND THE U.S. AND MFN STATUS.

Q: HOW ABOUT YOUR RECOMMENDATIONS ON THE POLITICAL REFORMS?

A: I THINK IT WOULD BE SURPRISING IF DURING THE COURSE OF THE NEXT WEEK SOMEBODY DIDN’T ASK ME ABOUT THEM. THEY ARE A SUBJECT OF CONSIDERABLE INTEREST EVERYWHERE. BUT THE PRINCIPAL PURPOSE OF MY VISIT THIS WEEK IS TO TALK ABOUT MFN AND TRADE MATTERS.

- - 0 ------------

SECRETARY FOR SECURITY VISITS VIETNAM

*****

THE SECRETARY FOR SECURITY, MR ALISTAIR ASPREY, LEFT TODAY (SUNDAY) FOR VIETNAM FOR A SEVEN-DAY VISIT.

MR ASPREY WILL VISIT SOME OF THE AREAS FROM WHERE VIETNAMESE MIGRANTS ORIGINATED, SUCH AS HO CHI MINH CITY, DONG NAT AND HAIPHONG, A SECURITY BRANCH SPOKESMAN SAID.

HE WILL LOOK AT SMALL-SCALE PROJECTS FUNDED BY THE HONG KONG GOVERNMENT’S REINTEGRATION ASSISTANCE SCHEME AND THE EUROPEAN COMMUNITY.

HE WILL ALSO DISCUSS MATTERS RELATING TO THE REPATRIATION AND REINTEGRATION OF VIETNAMESE NON-REFUGEES WITH THE VIETNAMESE AUTHORITIES, THE BRITISH AMBASSADOR AND OFFICIALS OF THE UNHCR AND THE EUROPEAN COMMUNITY INTERNATIONAL PROGRAMME.

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SUNDAY, MAY 2, 199

2

WORK SITE SECURITY BOOKLET PUBLISHED *****

THE GOVERNMENT HAS PRODUCED A BOOKLET TO ADVISE CONTRACTORS ON HOW TO PREVENT LOSS BY THEFT AND OTHER CRIMINAL ACTIVITIES AT THEIR CONSTRUCTION SITES.

THE BOOKLET, ENTITLED "CONSTRUCTION SITE SECURITY", ALSO AIMS TO INCREASE CONTRACTORS’ AWARENESS OF THE IMPORTANCE TO ELIMINATE SECURITY RISKS AT THEIR WORK SITES.

COMPILED BY THE CRIME PREVENT BUREAU OF THE POLICE AND PUBLISHED BY THE WORKS BRANCH, THE BOOKLET ADVISES CONTRACTORS TO APPOINT A SECURITY OFFICER TO OVERSEE ALL ASPECTS OF SITE SECURITY INCLUDING REGULAR CHECKS ON SECURITY ARRANGEMENT, LIAISON WITH THE POLICE, CONDUCTING INVESTIGATIONS AND PROCESSING ANY SUBSEQUENT INSURANCE CLAIMS.

THE BOOKLET CONTAINS A SET OF TIPS TO CONTRACTORS INCLUDING!

* ADVICE ON CRIME-PREVENTION MEASURES SHOULD BE SOUGHT FROM THE NEAREST POLICE REGIONAL CRIME PREVENTION UNIT BEFORE WORK STARTS ON SITE.

* FENCES AND HOARDINGS ERECTED AT THE BOUNDARY OF A WORK SITE

SHOULD BE KEPT IN GOOD REPAIR AND CHECKED REGULARLY.

* THE NUMBER OF ENTRANCES TO A WORK SITE SHOULD BE AS FEW AS

POSSIBLE AND THEY SHOULD BE LOCKED DURING NON-OPERATIONAL HOURS.

* NOTICES GIVING WARNING OF WATCH OUT FOR DOGS OR PROSECUTION OF TRESPASSERS SHOULD BE CONSIDERED.

* A SECURE STOREROOM SHOULD BE CONSTRUCTED NEAR THE SITE OFFICE TO STORE VALUABLE GOODS, MATERIALS OR EQUIPMENT.

* ADDITIONAL WATCHMEN OR GUARDS SHOULD BE HIRED NEAR THE COMPLETION STAGE WHEN EXPENSIVE FITTINGS ARE ALREADY IN PLACE.

A SPOKESMAN FOR THE WORKS BRANCH SAID CONTRACTORS WOULD BENEFIT FROM HAVING A GOOD SECURITY AT THEIR WORK SITES. THIS WOULD PREVENT FINANCIAL LOSS AND AVOID DELAYS CAUSED BY REPLACING MATERIALS AND MACHINERY STOLEN OR DAMAGED.

COPIES OF THE BOOKLET, WHICH HAS BEEN ENDORSED BY THE HONG KONG CONSTRUCTION ASSOCIATION, THE HONG KONG ELECTRICAL AND MECHANICAL CONTRACTORS’ ASSOCIATION AND THE GENERAL INSURANCE COUNCIL, HAVE BEEN DISTRIBUTED TO CONTRACTORS AND CONSULTANTS.

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SUNDAY, MAY 2, 1993

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IMMIGRATION INVESTIGATOR SHARES SUCCESS RECIPE

*****

AS THE BACKBONE OF HIS DEPARTMENT’S SOCCER TEAM, LEUNG PING-KWAN HAS DISCOVERED THE RECIPE FOR SUCCESS ON THE PITCH - SOLIDARITY PLUS METTLE.

BACK TO WORK AS AN INVESTIGATOR OF IMMIGRATION FRAUDS, HE IS INSPIRED TO APPLY THE SAME FORMULA TO THE JOB.

AND IT WORKS TOO.

LAST YEAR ALONE, HE LED HIS INVESTIGATION SQUAD TO SEIZE 2,840 FORGED TRAVEL DOCUMENTS, UP BY 1.7 PER CENT OVER 1991.

MANY OF THESE INVOLVED RESIDENTS OF THE MIDDLE EAST COUNTRIES, CHINA, INDOCHINA AND AFRICAN COUNTRIES.

THE 55-MEMBER TEAM ALSO TRACKED DOWN NEARLY 5,000 PEOPLE AND PROSECUTED THEM FOR VARIOUS OFFENCES UNDER THE IMMIGRATION LAW LAST YEAR.

"THE SECRET OF OUR SUCCESS IN THE FIGHT AGAINST ILLEGAL IMMIGRATION ACTIVITIES IS GOOD TEAM SPIRIT," SAID MR LEUNG, HEAD OF THE IMMIGRATION DEPARTMENT’S INVESTIGATION SUB-DIVISION.

"EVERYONE GETS THEIR TEETH INTO THE JOB. PRUDENCE AND AGGRESSIVENESS ARE A MUST TOO."

"WE HAVE TO GATHER LOTS OF EVIDENCE BEFORE MOUNTING A CRACKDOWN AND INITIATING PROSECUTION. THAT MEANS LONG AND IRREGULAR WORKING HOURS," HE SAID.

BUT HE ALSO COUNTS ON CAREFUL PLANNING AND CLOSE CO-OPERATION WITH THE POLICE AND OVERSEAS LAW ENFORCEMENT AGENCIES.

FOR THREE DECADES, MR LEUNG HAS BEEN PUT TO THE TEST IN DIFFERENT POSTS AT IMMIGRATION CONTROL POINTS AND STAFF RECRUITMENT OFFICE.

BUT HE SPENT MOST OF THE TIME IN THE INVESTIGATION FIELD, A JOB HE CAME TO LOVE MOST.

"IT’S ALWAYS INTERESTING AND CHALLENGING. I LIKE DIGGING OUT CLUES AND HINTS FROM CLUTTERED INFORMATION TO FIGURE OUT THE CASES."

"IT GIVES ME A GREAT SENSE OF SATISFACTION WHEN THE CULPRITS ARE FINALLY BROUGHT TO JUSTICE."

HE INSTANTLY CALLED TO MIND OPERATION REDSKIN, A JOINT PRODUCT OF THE HONG KONG AND CANADIAN AUTHORITIES IN AUGUST 1990.

THE FOUR-DAY RAIDS SUCCESSFULLY SMASHED AN INTERNATIONAL SYNDICATE THAT USED FAKE PASSPORTS TO EXPORT HUNDREDS OF MAINLAND CHINESE TO CANADA VIA HONG KONG.

/THE INVESTIGATION .......

SUNDAY, MAY 2, 199^

4

THE INVESTIGATION EXPERT ALSO SHOWED HIS PACES IN THE COMPUTERISATION OF THE DEPARTMENT.

IN 1986, THE DEPARTMENT EMBARKED ON THE DEVELOPMENT OF A COMPUTERISED INTELLIGENCE SYSTEM - THE SPECIAL INVESTIGATION INFORMATION SYSTEM (SITS).

"SIIS CAN HOLD MORE THAN 20,000 RECORDS. IT HELPS US A LOT IN THE ANALYSIS OF THE SYNDICATES’ MODUS OPERANDl AND IN PLANNING OF OPERATIONS," HE SAID.

"BEFORE THAT ALL THE DATA AND RECORDS WERE STORED ON FILES AND IN HUMAN BRAINS."

"WHEN OUR COLLEAGUES LEFT FOR GOOD, SOME VALUABLE INFORMATION MIGHT ALSO GO WITH THEM," HE SAID.

ANOTHER HI-TECH TOOL THAT BOOSTS THE CAPABILITY OF THE TEAM IS THE IMMIGRATION RECORDS INFORMATION SYSTEM.

MACHINE READABLE PASSPORTS CAN NOW BE ISSUED, MAKING IT MORE DIFFICULT TO FORGE DOCUMENTS.

MR LEUNG WAS ONE OF THE KEY PLAYERS IN THE SETTING UP OF THE SYSTEM.

FOR THIS REASON, HE WAS SENT TO THE UNIVERSITY OF CALIFORNIA BERKELEY TO ATTEND A COMPUTER AND PUBLIC ADMINISTRATION COURSE IN 1988.

LOOKING BACK OVER HIS CAREER, THE 48-YEAR-OLD MR LEUNG HAS WITNESSED GREAT CHANGES IN THE IMMIGRATION DEPARTMENT.

"WHEN I JOINED THE DEPARTMENT AS A RANK-AND-FILE MEMBER IN 1963, IT WAS ONLY A NEW-BORN BABY WITH ABOUT 230 STAFF."

"NOW IT HAS MATURED INTO A SOPHISTICATED ORGANISATION STAFFED WITH MORE THAN 5,500 OFFICERS," HE SAID.

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HK’S TEXTILES AND GARMENT INDUSTRY: LARGE AND HEALTHY t t t t i

THE DEPUTY DIRECTOR-GENERAL OF TRADE, MR CHRISTOPHER JACKSON, REFUTED A WIDE-SPREAD BELIEF IN THE U.S. THAT HONG KONG’S TEXTILES AND GARMENT INDUSTRY HAD MOVED LOCK, STOCK AND BARREL INTO CHINA, AND THAT HONG KONG’S NOT INCONSIDERABLE QUOTA FOR THE U.S. WAS LARGELY FILLED, QUITE FRAUDULENTLY BY CHINA-MADE GOODS.

HE POINTED OUT THAT SUCH CLAIMS WERE BASED ON MEDIA STORIES ABOUT HONG KONG MANUFACTURERS IN GENERAL MOVING NORTH AND ON A PERFECTLY CORRECT UNDERSTANDING THAT HONG KONG WAGE RATES WERE MUCH HIGHER THAN THOSE IN CHINA.

/’’IN REALITY,

SUNDAY, MAY 2, 1993

5

"IN REALITY, THERE IS A LARGE AND HEALTHY TEXTILES AND GARMENT INDUSTRY IN HONG KONG AND THAT THE HONG KONG GOVERNMENT IS DETERMINED TO DEFEND ITS IMPORTANT COMMERCIAL AUTONOMY THROUGH THE VIGOROUS ENFORCEMENT OF TIGHT BUT SENSIBLE DISCIPLINES, KEPT UNDER CONSTANT REVIEW,” HE SAID.

WHEN ADDRESSING A SYMPOSIUM MARKING THE FOUNDATION OF THE HONG KONG-AMERICA CENTRE RECENTLY, MR JACKSON STATED THE FOLLOWING FACTS:

* HONG KONG’S PRODUCT IVITY IN TEXTILES AND GARMENT INDUSTRY IS HIGH AND GETTING HIGHER;

THERE IS A LARGE INDUSTRY HERE EMPLOYING ABOUT 240,000 WORKERS;

* AN INDUSTRY LOCKED INTO HONG KONG BY THE ABSURDITIES OF THE MULTI-FIBRE ARRANGEMENT BUT WHICH IS SENSIBLY INVESTING IN ADDITIONAL MANUFACTURING CAPACITY ELSEWHERE;

THE TRADE DEPARTMENT’S TEXTILES CONTROL SYSTEM IS THE MOST SOPHISTICATED OF ANY PLAUE EXPORTING TEXTILES AND GARMENTS UNDER QUOTA;

MANUFACTURERS WISHING TO REGISTER WITH THE SYSTEM HAVE TO DECLARE THEIR MAXIMUM MANUFACTURING OUTPUT CAPACITY;

CAPACITY IS REGULARLY CHECKED AND RANDOM FACTORY INSPECTIONS ARE MADE;

* TEXTILES AND GARMENTS IMPORTED FROM CHINA ARE OFTEN INSPECTED FOR FALSE LABELLING AND FRAUDULENT DOCUMENTS;

* THERE IS AN INFORMER SCHEME OFFERING UP TO $20,000 FOR INFORMATION ABOUT TEXTILES FRAUD;

OVER 300 SUCCESSFUL PROSECUTIONS AGAINST QUOTA FRAUD WERE CONDUCTED LAST YEAR; AND

A NEW TEXTILES TRADERS REGISTRATION SCHEME IS BEING INTRODUCED THIS SUMMER, DESIGNED *1*0 SIMPLIFY PROCEDURES FOR TRADERS WHILE IMPROVING SURVEILLANCE OF TEXTILES AND GARMENTS TRANSITING HONG KONG.

"MANY U.S. OFFICIALS AND TRADERS UNDERSTAND AND APPRECIATE OUR. COMMITMENT. THE HONG KONG TRADE DEPARTMENT AND THE CUSTOMS AND EXCISE DEPARTMENT ARE TO MAKE SURE THAT THE ENFORCEMENT SYSTEM WORKS WELL. WE DO OUR BEST TO CONVINCE OUR REMAINING CRITICS IN AMERIC/X THAT HONG KONG QUOTA IS USED FOR HONG KONG-MADE GOODS AND THAT WE ARE DETERMINED IT WILL STAY THAT WAY," HE ADDED.

TALKING ABOUT AMERICAN PERCEPTIONS ABOUT HONG KONG, MR JACKSON SAID HONG KONG’S OFFICIALS OR BUSINESS GROUPS WENT TO WASHINGTON THESE DAYS MET WITH A BETTER INFORMED AUDIENCE AWARE OF WHAT HONG KONG STOOD FOR, FAMILIAR WITH SOMETHING OF ITS UNIQUE POSITION, AND GENERALLY WELL-DISPOSED.

/SO WHEN .......

SUNDAY, MAY 2, 1993

6

SO WHEN THE ISSUE OE CHINA’S MOST-FAVOURED-NATION (MEN) STATUS FIRST AROSE EOR SERIOUS DEBATE IN 1990, HONG KONG FOUND ITSELF WITH MANY FRIENDS WHO UNDERSTOOD JUST HOW BADDY THE TERRITORY MIGHT SUFFER ECONOMICALLY IF THE STATUS WERE TO BE REVOKED.

THE FORM OF THAT DEBATE HAD GRADUALLY CHANGED OVER THE YEARS, MOST PARTICULARLY WITH THE START OF A NEW ADMINISTRATION THIS JANUARY.

BUT MR JACKSON SAID THE CENTRAL THEME OF HONG KONG’S MESSAGE HAS REMAINED CONSISTENT, SIMPLE AND TELLING.

NAMELY THAT WITHDRAWAL. OF CHINA’S MEN STATUS WOULD DEAL A SEVERE BLOW TO HONG KONG’S ECONOMY AT A CRITICAL TIME IN THIS TERRITORY’S DEVELOPMENT; AND THAT CONSIDERABLE U.S. BUSINESS INTERESTS HERE WOULD BE DAMAGED.

HE REASSURED THE AUDIENCE THAT THE HONG KONG GOVERNMENT WOULD SPARR NO EFFORTS TO REPRESENT HONG KONG’S INTEREST TO THE AMERICAN PEOPLE AS CLEARLY AND CONVINCINGLY AS IT COULD; AND IN THE PROCESS DRAW ATTENTION TO THE VERY CONSIDERABLE U.S. BUSINESS INTERESTS AT STAKE IN THIS GAME.

"IF THERE IS A BENEFIT TO BE OBTAINED FROM THIS PAINFUL ANNUAL EXERCISE OF REVIEWING CHINA’S MFN STATUS, IT IS THAT IT DOES ENCOURAGE THE PEOPLE OF HONG KONG AND THE UNITED STATES TO THINK MORE ABOUT ONE ANOTHER AND WHERE THEIR INTERESTS LIE," MR JACKSON SAID.

HE ALSO SAW THE NEED TO BROADEN THE UNDERSTANDING IN THE U.S. THAT HONG KONG HAD ITS SEPARATE STATUS AS A COMMERCIAL ENTITY.

"WE ARE ALWAYS ON THE ALERT FOR THINGS WHICH MIGHT UNDERMINE PERCEPTIONS OF HONG KONG’S SEPARATENESS. EDITORS MAKING THE MISTAKE OF HEADING AN ARTICLE ABOUT ECONOMIC RELATIONS BETWEEN CHINA AND HONG KONG WITH THE TITLE "THE VANISHING BORDER" ARE LIKELY TO RECEIVE ANXIOUS NOTES FROM HONG KONG TRADE OFFICIAL EMPHASISING THAT THE BORDER IS NOT VANISHING, FAR FROM IT.

"BETWEEN BUSINESSES, OF COURSE, THE RELATIONSHIP IS CLOSE. BUT AT THE FORMAL LEVEL HONG KONG NOW AND POST-1997 LESS ECONOMICALLY INTEGRATED WITH SHENZHEN THAN, FOR SCOTLAND IS WITH GREECE TO CHOOSE AN EXTREME EXAMPLE IN THE ECONOMIC COMMUNITY.

EXTREMELY WILL BE EXAMPLE, EUROPEAN

"HONG KONG’S VALUE TO CHINA AND THE INTERNATIONAL BUSINESS COMMUNITY RESTS ON THE ECONOMIC SEPARATENESS PROVIDED IN THE JOINT DECLARATION, INCLUDING A FREELY CONVERTIBLE CURRENCY, FREE PORT STATUS, THE WELL-ESTABLISHED RULE OF LAW, AND THE NETWORK OF INTERNATIONAL TRADE AGREEMENTS WHICH ARE ESSENTIAL TO HONG KONG’S CURRENT SYSTEM AND WHICH REQUIRE THE DELINEATION OF A WELL-CONTROLLED BORDER.

"SUCH A BORDER. NEEDS NOT, NOR IN HONG KONG’S CASE DOES IT, IMPEDE CLOSE ECONOMIC LINKS,” MR JACKSON SAID.

LASTLY, MR. JACKSON SAID WE MUST DO A GREAT DEAL OF WORK TO PROMOTE HONG KONG AS A U.S. BUSINESS CENTRE AND BRIDGE TO CHINA.

/"THERE IS .......

SUNDAY, MAY 2, 1993

7

’’THERE IS MUTUAL BENEFIT FOR ALL CONCERNED, BUT THERE IS ADDED URGENCY GIVEN THE CONCERN IN AMERICA ABOUT CHINA’S GROWING TRADE SURPLUS WITH THE UNITED STATES.

"SOME AMERICAN COMPANIES HAVE FOUND IT HARD TO GET A TOE-HOLD IN CHINA. HONG KONG BUSINESSMEN CAN OFTEN HELP IN THE PROCESS. THEY KNOW THE CHINA MARKET BETTER THAN ANYONE ELSE.

’’THE HONG KONG TRADE DEVELOPMENT COUNCIL (HKTDC) HAS JUST COMPLETED A BRIEF STUDY OF 74 U.S. SUCCESSES IN CHINA OPERATING WITH SUPPORT OF ONE SORT OR ANOTHER FROM HONG KONG.

"WE HAVE BEGUN WORK WITH THE HKTDC AND THE U.S. FOREIGN AND COMMERCIAL SERVICE TO PROMOTE THIS ROLE OF HONG KONG AS A BUSINESS BRIDGE INTO CHINA; THE AIM IS TO PUT HONG KONG’S KNOWLEDGE OF THE CHINA MARKET AT THE DISPOSAL OF U.S. COMPANIES INTERESTED IN SELLING INTO WHAT MUST SURELY BE THE MARKET WITH THE GREATEST POTENTIAL IN THE WORLD TODAY," MR JACKSON SAID.

"TO THE GOOD U.S. BUSINESSMAN, WE HAVE AN IMPORTANT MESSAGE I COME TO HONG KONG, WORK WITH US OVER THE LONG-TERM PATIENTLY DEVELOPING MARKETS AND BUSINESS, HERE IN HONG KONG, AND THROUGH HONG KONG, IN CHINA AND THE REGION," HE CONCLUDED.

------0-------

UK/HK GOVTS JOINT FUNDING SCHEME *****

THE STUDENT FINANCIAL ASSISTANCE AGENCY TODAY (SUNDAY) ANNOUNCED THAT FINANCIAL ASSISTANCE UNDER THE JOINT FUNDING SCHEME FOR THE 1993/94 ACADEMIC YEAR IS OPEN TO APPLICATION AS FROM TOMORROW (MONDAY).

THE SCHEME IS JOINTLY FINANCED BY THE HONG KONG AND UNITED KINGDOM GOVERNMENTS TO HELP THOSE HONG KONG STUDENTS WHO ARE IN NEED TO PAY THE HIGHER TUITION FEES CHARGED ON OVERSEAS STUDENTS IN THE UNITED KINGDOM.

IT IS OPEN TO HONG KONG STUDENTS PURSUING FULL-TIME FIRST DEGREE OR HIGHER NATIONAL DIPLOMA COURSES AT UNIVERSITIES, POLYTECHNICS AND COLLEGES IN THE PUBLIC SECTOR IN THE UNITED KINGDOM, SUBJECT TO THEIR HAVING RESIDED CONTINUOUSLY OR HAVE HAD THEIR HOME IN HONG KONG FOR AT LEAST SEVEN YEARS IMMEDIATELY PRIOR TO COURSE COMMENCEMENT.

THE SCHEME IS MEANS-TESTED AND THE MAXIMUM LEVEL OF ASSISTANCE IS THE DIFFERENCE BETWEEN TUITION FEES PAYABLE BY AN OVERSEAS STUDENT AND A NOTIONAL BRITISH HOME STUDENT FEE ADOPTED FOR THE PURPOSE OF CALCULATING STUDENTS’ FINANCIAL ASSISTANCE.

FOR THE ACADEMIC YEAR 1993/94, THE NOTIONAL "HOME" FEE WILL BE 737 POUND STERLING.

/financial assistance .......

SUNDAY, MAY 2, 1993

8

FINANCIAL ASSISTANCE OFFERED TO SUCCESSFUL APPLICANTS WILL BE IN THE FORM OF GRANTS, BUT IF THE TOTAL REQUIREMENT EXCEEDS THE JOINT CONTRIBUTIONS OF THE TWO GOVERNMENTS, THEN EACH SUCCESSFUL APPLICANT’S SHARE OF GRANT WOULD BE PROPORTIONATELY REDUCED, WITH THE BALANCE MADE UP BY A LOAN SOLELY FINANCED BY THE HONG KONG GOVERNMENT.

AN INTEREST ON THE LOAN BORROWED BY APPLICANTS IS CHARGEABLE AT THE RATE OF 2.5 PER CENT PER ANNUM CALCULATED FROM THE COMMENCEMENT DATE OF THE LOAN REPAYMENT PERIOD.

APPLICATION FORMS ARE NOW AVAILABLE AT THE STUDENT FINANCIAL ASSISTANCE AGENCY AT NINTH FLOOR, NATIONAL MUTUAL CENTRE, 151 GLOUCESTER ROAD, WAN CHAI, HONG KONG.

APPLICANTS SHOULD BRING WITH THEM DOCUMENTARY EVIDENCE OF THEIR HAVING BEEN ACCEPTED BY AN INSTITUTION IN THE UNITED KINGDOM FOR ONE OF THE COURSES COVERED BY THE SCHEME (PROOF OF CONDITIONAL OFFER WILL BE ACCEPTABLE). TELEPHONE ENQUIRIES MAY BE DIRECTED TO 802 1670.

COMPLETED APPLICATION FORMS MUST BE RETURNED BY HAND TO THE STUDENT FINANCIAL ASSISTANCE AGENCY. THE CLOSING DATES FOR APPLICATIONS ARE:-

* FOR ON-COURSE STUDENTS : JULY 1, 1993

* FOR NEW STUDENTS : OCTOBER 2, 1993

APPLICATIONS RECEIVED AFTER THE DEADLINE SPECIFIED ABOVE MAY BE ACCEPTED BUT WILL BE PROCESSED FOR THE PURPOSE OF LOANS ONLY.

-----0------

APPLICATIONS FOR SUMMER FORESTRY WORK CAMP INVITED

*****

YOUNG PEOPLE BETWEEN 14 AND 25 WHO WISH TO CAMP IN A BEAUTIFUL OUTDOOR ENVIRONMENT THIS SUMMER AND INVOLVE IN COUNTRYSIDE CONSERVATION WORK CAN NOW APPLY TO JOIN THE 1993 FORESTRY WORK CAMP.

APPLICATIONS ARE NOW INVITED FROM SCHOOLS AND YOUTH GROUPS FOR THIS YEAR’S WORK CAMP TO BE HELD FROM JULY 5 TO AUGUST 21.

IT IS AN ANNUAL EVENT ORGANISED BY THE AGRICULTURE AND FISHERIES DEPARTMENT (AFD) IN CONJUNCTION WITH THE EDUCATION DEPARTMENT.

THE PURPOSE IS TO PROVIDE YOUNG PEOPLE THE KNOWLEDGE AND FIRSTHAND EXPERIENCE IN COUNTRYSIDE CONSERVATION AS WELL AS A CHANCE IN TAKING PART TN COUNTRYSIDE MANAGEMENT FOR THE BENEFIT OF THE COMMUNITY.

PARTICIPANTS WILL BE REQUIRED TO WORK HALF-DAY ON COUNTRYSIDE CONSERVATION AND MANGEMENT DAILY. A DAILY ALLOWANCE OF $28 WILL BE GRANTED TO EACH CAMPER FROM THE ROYAL HONG KONG JOCKEY CLUB DONATION.

/THEY ARE ........

SUNDAY, MAY 2, 1993

9

THEY ARE ENCOURAGED TO ORGANISE EDUCATIONAL AND RECREATIONAL ACTIVITIES OR USE THE FACILITIES IN THE COUNTRY PARKS DURING THE REST OF THE DAY.

THE AFD WILL PROVIDE CAMPING FACILITIES IN 17 COUNTRY PARK MANAGEMENT CENTRES IN THE NEW TERRITORIES, ON LANTAU AND HONG KONG ISLAND. THE TOTAL CAPACITY IS 370 PEOPLE.

A TOTAL OF UP TO 3,612 PARTICIPANTS CAN BE ACCOMMODATED IF ALL THE CAMPS ARE FULLY BOOKED DURING THE PERIOD.

BARRACK ACCOMMODATION WITH SLEEPING, COOKING, DINING AND TOILET FACILITIES WILL BE PROVIDED.

THE CAMPS ARE UNDER THE CHARGE OF AT LEAST ONE ADULT LEADER OR TEACHER. THE NUMBER OF PARTICIPANTS IN EACH GROUP MAY RANGE FROM 18 TO 23.

APPLICANTS CAN APPLY FOR EITHER A THREE-DAY CAMP OR A FIVE-DAY CAMP. ALL APPLICATIONS MUST BE SUBMITTED BEFORE MAY 17.

INTERESTED ORGANISATIONS OR GROUPS CAN CONTACT AFD’S CONSERVATION EDUCATION UNIT ON TEL 733 2121 TO ENQUIRE ABOUT APPLICATION AND CAMPING ARRANGEMENTS.

APPLICATIONS FROM SCHOOLS SHOULD BE SUBMITTED THROUGH THE EDUCATION DEPARTMENT.

--------0-----------

"BE MY TEACHER" DRIVE STARTS *****

THE EDUCATION DEPARTMENT WILL TOMORROW LAUNCH A "BE MY TEACHER" RECRUITMENT CAMPAIGN TO FULFILL THE OBJECTIVES OF A BETTER SCHOOL ENVIRONMENT SET OUT IN THE GOVERNOR’S POLICY ADDRESS LAST OCTOBER.

A SPOKESMAN FOR THE EDUCATION DEPARTMENT SAID 780 MORE PRIMARY TEACHERS WOULD BE NEEDED TO MEET THE OBJECTIVE TO REDUCE THE PRIMARY I CLASS SIZE TO 35 THIS SEPTEMBER.

"IN ORDER TO ACHIEVE THIS OBJECTIVE, THE DEPARTMENT IS MAKING AVAILABLE 30,000 APPLICATION FORMS FOR PEOPLE WITH QUALIFICATIONS RANGING FROM SECONDARY 5 TO TERTIARY GRADUATES TO HELP US HELP OUR CHILDREN BY BEING EITHER FULL OR PART-TIME TEACHERS," THE SPOKESMAN SAID.

/X TEACHER RECRUITMENT INFORMATION OFFICE HAS BEEN ESTABLISHED TO START A DATABANK WHICH WOULD PROVIDE A SOURCE OF POTENTIAL TEACHING FORCE TO PRIMARY AND SECONDARY SCHOOLS.

"ON REQUEST BY SCHOOLS HAVING TEACHING VACANCIES, THE NEW OFFICE LOCATED TN ROOM 1404 ON THE 14TH FLOOR OF THE WU CHUNG HOUSE HEADQUARTERS IN WAN CHAI WILL PROVIDE THEM WITH A LIST OF TEACHERS FOR SELECTION," HE SAID.

/THE APPLICATION .......

SUNDAY, MAY 2, 1993

- 10 -

THE APPLICATION FORMS WILL ALSO BE AVAILABLE AT THE RECRUITMENT INFORMATION OFFICE, THE 19 DISTR ICT EDUCATION OFFICES AND VIA FAX BY SIMPLY DIALING 891 0088 - THE TELEPHONE NUMBER OF THE DEPARTMENT’S AUTOMATIC TELEPHONE ENQUIRY SERVICE.

TO ATTRACT TERTIARY GRADUATES TO JOIN THE TEACHING PROFESSION, THE DEPARTMENT HAS OBTAINED CO-OPERATION FROM FIVE TERTIARY INSTITUTIONS - HONG KONG POLYTECHNIC, CITY POLYTECHNIC, HONG KONG BAPTIST COLLEGE, SHUE YAN AND LINGNAN COLLEGES - TO MAKE AVAILABLE PROMINENT LOCATIONS TO PLACE APPLICATION FORM DISPENSERS.

THE "BE MY TEACHER" CAMPAIGN ALSO INCLUDES THE PRODUCTION OF A 10-MINUTE VIDEO, SPECIAL FEATURES, LUNCHEON TALKS AND INVITING SCHOOLS TO SEND THEIR SENIOR SECONDARY STUDENTS TO TOUR THE COLLEGES OF EDUCATION.

"THERE WILL ALSO BE A ’MY TEACHER’ ESSAY COMPETITION FOR PRIMARY AND SECONDARY SCHOOL STUDENTS," THE SPOKESMAN ADDED.

--------0

SLOGAN SOUGHT FOR POSITIVE ATTITUDE TOWARDS LIFE DRIVE ******

THE EDUCATION DEPARTMENT IS RECEIVING MORE COMMUNITY SUPPORT FOR THE SERIES OF MEASURES TO HELP YOUTHS TO ADOPT A POSITIVE ATTITUDE TOWARDS LIFE.

EDUCATIONAL ORGANISATIONS AND THE MEDIA HAVE NOW JOINED THIS CAMPAIGN IN A VENTURE WHICH WILL INVOLVE THE ENTIRE STUDENT POPULATION.

THIS WJLL BE IN THE FORM OF A SLOGAN COMPETITION FOR JUNIOR AND SENIOR PRIMARY AND SECONDARY SCHOOL STUDENTS.

"WINNING ENTRIES WILL BE REPRODUCED AS BOOKMARKS WHICH WILL CONTAIN THE TELEPHONE HELPLINES OF NON-GOVERNMENT ORGANISATIONS FOR EASY REFERENCE," A SPOKESMAN FOR THE EDUCATION DEPARTMENT SAID TODAY (SUNDAY).

IN ADDITION '1’0 A TROPHY, EACH WINNER OF THE FOUR SCHOOL SECTORS WILL RECEIVE BOOK COUPONS VALUED FROM $500 TO $1,000.

THE SPOKESMAN SAID APART FROM PRODUCING 1.5 MILLION BOOKMARKS, THERE WILL ALSO BE A ROVING EXHIBITION OF THE WINNING ENTRIES TO FURTHER SPREAD THE MESSAGE OF ADOPTING A POSITIVE ATTITUDE TOWARDS LI FE.

JOIN THE DEPARTMENT IN THE COMPETITION AS CO-SPONSORS ARE THE GOVERNMENT SCHOOLS NON-GRADUATE TEACHERS’ UNION, THE HONG KONG PROFESSIONAL TEACHERS’ UNION, THE INSPECTORATE (EDUCATION DEPARTMENT) ASSOCIATION, STEREO LIMITED AND SING TAO DAILY.

0

Keei.ed ly PRO on—-5- MAY 1953

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

MONDAY, MAY 3, 1993

CONTENTS PAGE NO.

GOVERNOR MEETS U.S. PRESIDENT ................................ 1

INQUIRY INTO BRIDGE ACCIDENT ................................. 5

CAR NO. 1 BELONGS TO POLICE FORCE ............................ 5

EXERCISE TO TEST CONTINGENCY PLAN FOR DAYA BAY NUCLEAR POWER PLANT .......................................................... 6

POLICE INTERCEPT THREE VIETNAMESE ............................ 6

SECOND REVIEW OF ENVIRONMENT WHITE PAPER READY THIS SUMMER .. 7

PROVISIONAL RESULTS OF RETAIL SALES SURVEY FOR FEBRUARY ...... 7

ACTIVITY CENTRES PROVIDE EXTENSIVE SERVICES FOR DISCHARGED MENTAL PATIENTS ............................................... 10

WATER STORAGE FIGURE ......................................... 10

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ..

11

MONDAY, MAY 3, 1993

1

GOVERNOR MEETS U.S. PRESIDENT * * A A A

FOLLOWING ARE THE REMARKS BY THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, FOLLOWING HIS MEETING WITH U.S. PRESIDENT MR BILL CLINTON IN WASHINGTON, DC ON MONDAY (U.S. TIME):

GOVERNOR: GOOD MORNING.

QUESTION: HOW WAS YOUR MEETING, SIR?

GOVERNOR: I'VE HAD A VERY GOOD MEETING WITH THE PRESIDENT, DURING WHICH I WAS ABLE TO SET OUT THE CASE THAT WE FEEL VERY STRONGLY FOR, MFN RENEWAL. I POINTED OUT THE VERY STRONG ECONOMIC AND TRADING RELATIONSHIP BETWEEN HONG KONG AND THE UNITED STATES, AND POINTED OUT THAT CHINA AND THE UNITED STATES WERE OUR TWO MOST IMPORTANT TRADING PARTNERS, AND THEREFORE THAT WE WOULD INEVITABLY BE AFFECTED BY ANY END OF MFN, OR SEVERE CONSTRAINT ON MFN.

THE PRESIDENT IS UNDERSTANDING. HE SHOWED A GREAT KNOWLEDGE OF HONG KONG AND ITS POSITION. HE'S VISITED, I THINK, HONG KONG A NUMBER OF TIMES IN THE PAST, APPRECIATES OUR PROBLEMS, AND LISTENED INTENTLY AND ASKED A NUMBER OF, AS YOU WOULD EXPECT, EXTREMELY INTELLIGENT QUESTIONS ABOUT WHAT I'D BEEN SAYING.

QUESTION: DID HE SAY WHETHER --

GOVERNOR: IT WAS A VERY GOOD AND HELPFUL MEETING, AND I THINK UNLINED SOMETHING THAT I FEEL VERY STRONGLY, THAT ONE OF THE IMPORTANT FACTORS IN HONG KONG'S LONG-TERM PROSPERITY AND STABILITY IS A GOOD AND CLOSE AND UNDERSTANDING RELATIONSHIP BETWEEN CHINA AND THE UNITED STATES.

QUESTION: IS HE GOING TO PUT ANY MORE PRESSURE ON CHINA BEFORE RENEWING MFN?

GOVERNOR: I THINK THAT ON OCCASIONS LIKE THIS IT’S ALWAYS UNFORTUNATE IF ONE PARTY TO A MEETING EXPLAINS WHAT THE OTHER SIDE HAS BEEN SAYING. IT'S FOR THE WHITE HOUSE TO SAY WHAT THE POLICY OF THE ADMINISTRATION HAS BEEN. ALL I WANT TO SAY IS THE PRESIDENT COULDN'T HAVE BEEN MORE COURTEOUS OR UNDERSTANDING THAN HE WAS IN OUR DISCUSSION, AND I WAS VERY GRATEFUL FOR HIS TIME.

QUESTION: DID YOU GET ANY IMPRESSION THAT THERE WILL BE SOME CONDITIONS, AND CAN HONG KONG LIVE WITH SOME MFN CONDITIONS?

/GOVERNOR: .......

MONDAY, MAY 3, 1993

2

GOVERNOR: I DIDN'T GET ANY IMPRESSION EITHER WAY. I THINK THAT THERE ARE, OBVIOUSLY, ARGUMENTS IN WASHINGTON ABOUT CONDITIONS OR EXPECTATIONS FOR THE FUTURE. I'LL BE IN A BETTER POSITION, I GUESS, TO MAKE AN ASSESSMENT OF WHERE I THINK POLICY IS LIKELY TO LEAD AFTER I’VE HAD FURTHER DISCUSSIONS WITH THE ADMINISTRATION. I'M SEEING THE TREASURY SECRETARY, AND I'M VISITING THE STATE DEPARTMENT THIS AFTERNOON, AND ALSO AFTER I'VE TALKED TO CONGRESSIONAL LEADERS, LIKE SENATOR MITCHELL AND SPEAKER FOLEY.

QUESTION: GOVERNOR, THE U.S. FOREIGN POLICY ACT LAYS OUT SOME VERY SPECIFIC, CLEAR AREAS OF STRONG U.S. INTEREST IN HONG KONG. IS YOUR MEETING WITH THE PRESIDENT TODAY THE BEGINNING OF A PROCESS OF TURNING SOME OF THOSE STATEMENTS OF POLICY INTO FAST AGREEMENTS?

GOVERNOR: NO, IT'S NOT PART OF ANY PROCESS FOLLOWING FROM THE MCCONNELL ACT, USEFUL AS THAT IS AS AN EXPLICIT RECOGNITION OF THE TRADING AND ECONOMIC RELATIONSHIP BETWEEN HONG KONG AND THE UNITED STATES.

THE MEETING WASN'T IN THE CONTEXT OF THE U.S.-HONG KONG ACT, BUT I THINK THE FACT THAT THE PRESIDENT, WHEN HE'S OBVIOUSLY GOT A LOT ELSE ON HIS AGENDA, GAVE ME SO MUCH OF HIS TIME, WITH THE VICE-PRESIDENT. I THINK THAT THE ACCESS THAT I'M GETTING AROUND WASHINGTON AS A WHOLE ARE REFLECTIONS OF THE FACT THAT THE UNITED STATES RECOGNISES ITS STRONG ECONOMIC RELATIONSHIP WITH HONG KONG AND CHINA, AND THAT THE UNITED STATES, WHILE KNOWING THAT THE IMPLEMENTATION OF THE JOINT DECLARATION IS A MATTER FOR BRITAIN AND CHINA, HAS THE SAME SORT OF INTEREST IN A SUCCESSFUL OUTCOME AS THE REST OF THE WORLD.

QUESTION: IN YOUR OPINION, HAS CHINA GONE FAR ENOUGH ON HUMAN RIGHTS TO HAVE MFN EXTENDED?

GOVERNOR: I THINK THAT'S A MATTER WHICH THE ADMINISTRATION IS GOING TO HAVE TO JUDGE FOR ITSELF. I BELIEVE, AND BELIEVE VERY STRONGLY — IT'S SOMETHING I SAID IN A SPEECH TO THE AMERICAN CHAMBER OF COMMERCE IN HONG KONG A FEW WEEKS AGO, AND IT'S SOMETHING I INTEND SAYING IN SPEECHES HERE AS WELL -- I BELIEVE THAT ECONOMIC GROWTH AND FREE TRADE ARE TWO OF THE BEST WAYS OF SECURING PROGRESS AND SECURING AN IMPROVEMENT, NOT JUST IN PEOPLE'S STANDARD OF LIVING, BUT IN THEIR QUALITY OF LIFE AS WELL.

I FEEL THAT FREE TRADE CASTS LIGHT INTO DARK CORNERS, AND THAT’S ONE OF THE REASONS WHILE I'LL BE ARGUING FOR IT, BOTH AS A MATTER OF PRINCIPLE AND AS A MATTER OF UTILITARIAN IMPORTANCE FOR HONG KONG'S ECONOMY.

QUESTION: GOVERNOR, DID THE PRESIDENT SUPPORT YOUR POLITICAL PROPOSAL?

/GOVERNOR: .......

MONDAY, MAY 3, 1993

3

GOVERNOR: YOU HEARD WHAT THE PRESIDENT SAID DURING THE PHOTO CALL BEFORE OUR DISCUSSION. I REPEAT, THAT THE PRESIDENT RECOGNISES THAT THE PROPOSALS THAT WE’RE DISCUSSING WITH CHINESE OFFICIALS AT THE MOMENT ARE A MATTER PRINCIPALLY TO BE RESOLVED BETWEEN THE SOVEREIGN POWERS, BETWEEN BRITAIN AND CHINA, AND THE LONG-TERM INTERESTS OF HONG KONG. BUT HE ALSO, LIKE THE REST OF THE WORLD, WANTS TO SEE THOSE MATTERS RESOLVED SUCCESSFULLY.

QUESTION: GOVERNOR, THE LEVI STRAUSS CORPORATION ANNOUNCED YESTERDAY THAT IT WAS GOING TO PULL OUT, STOP INVESTING FURTHER, AND THAT IT WAS GOING TO BEGIN THE GRADUAL WITHDRAWAL OF ITS INVESTMENTS IN CHINA BECAUSE OF HUMAN RIGHTS VIOLATIONS. ARE YOU DISTRESSED BY THIS, AND PERHAPS SEE IT AS THE BEGINNING OF A TREND?

GOVERNOR: I THINK THAT’S A MATTER FOR CHINESE OFFICIALS TO TAKE ACCOUNT OF AND TO DEAL WITH, AND I WOULDN'T WANT TO APPEAR TO ACT AS A SPOKESMAN FOR THE PRC.

QUESTION: BUT SURELY, IF AMERICAN COMPANIES OF THAT SIZE START PULLING OUT, SIR, IT COULD BE THE START OF A PROBLEM FOR HONG KONG.

GOVERNOR: I'M SURE THAT IT'S A POINT THAT CHINA WILL WANT TO TAKE ACCOUNT OF, AND I'M SURE IT'S A POINT THAT BUSINESS LEADERS IN HONG KONG WILL WANT TO TAKE ACCOUNT OF.

QUESTION: IN ADDITION TO ASKING FOR UNCONDITIONAL MFN RENEWAL, AND IF YOU CAN ASSUME THAT THAT'S NOT GOING TO BE POSSIBLE, DO YOU HAVE LIKE A FALL BACK POSITION IN THAT THE CONDITIONS SHOULD BE AS MILD AS POSSIBLE, THAT THEY CAN BE MET BY THE CHINESE, OR THAT HONG KONG CAN LIVE WITH, AT LEAST? WOULD YOU HAVE ARGUED THAT POINT AS WELL?

GOVERNOR: WHAT I WAS STATING TODAY WAS MY BROAD INTEREST IN MFN RENEWAL, AND I NEVER THINK IT'S SENSIBLE TO ASSUME THAT YOU’RE NOT GOING TO ACHIEVE YOUR MAIN OBJECTIVE. IF IT WAS THE CASE THAT MFN WAS ONLY RENEWED WITH CONDITIONS, OF COURSE I WOULD HOPE THAT THOSE CONDITIONS DIDN’T HAVE TOO SEVERE AN IMPACT ON THE HONG KONG ECONOMY. AND I WOULD ALSO HOPE THAT THOSE EXPECTATIONS OR CONDITIONS ACHIEVED THEIR OBJECTIVE. BUT YOU CAN'T EXPECT ME TO DO OTHER THAN MAKE A PITCH FOR MFN RENEWAL, FULL STOP.

LAST QUESTION.

QUESTION: (INAUDIBLE) TO NANCY PELOSI TONIGHT, SIR? WILL YOU SEE HER?

/GOVERNOR: .......

MONDAY, MAY 3, 1993

GOVERNOR: WHEN I SEE BOTH SENATOR MITCHELL AND NANCY PELOSI, I'LL BE PUTTING THE SAME ARGUMENTS AS A MATTER OF PRINCIPLE THAT I’VE PUT THIS MORNING. I’LL ALSO, OF COURSE, BE POINTING OUT SOME OF YOUR PARTICULAR PROBLEMS WITH THE LEGISLATION THAT SENATOR MITCHELL AND NANCY PELOSI HAVE PUT THEIR NAMES TO. I THOUGHT THERE WAS AN INTERESTING EDITORIAL IN THE WALL STREET JOURNAL WHICH DREW ATTENTION TO SOME OF THE PROBLEMS WITH THAT LEGISLATION. WHAT, FOR EXAMPLE, DO YOU CALL A BIKE THAT’S MANUFACTURED IN CHINA? IS THAT A PUBLIC SECTOR ARTIFACT, OR IS IT SOMETHING MANUFACTURED IN THE PRIVATE SECTOR? THESE ARE THE SORT OF PROBLEMS WHICH I THINK THE PROPOSED LEGISLATION THROWS UP. LAST ONE.

QUESTION: DID YOU FIND THE PRESIDENT’S ENDORSEMENT OF YOUR POLITICAL REFORM PROPOSALS USEFUL AND HELPFUL?

GOVERNOR: I THINK THE PRESIDENT HAS, AS YOU WOULD EXPECT, EVERY TIME HE’S REFERRED TO THEM, GONE OUT OF HIS WAYS TO RECOGNISE THAT THE DISCUSSIONS THAT ARE TAKING PLACE AT THE MOMENT TO TRY TO RESOLVE SOME OF OUR PROBLEMS ABOUT THE 1994 AND 1995 ELECTIONS ARE DISCUSSIONS BETWEEN SOVEREIGN POWERS, AND THE RESOLUTION WILL BE A MATTER FOR CHINA AND BRITAIN. THAT SAID, BECAUSE HONG KONG IS SUCH A PRICELESS INTERNATIONAL ASSET, IT'S HARDLY SURPRISING THAT THE MOST IMPORTANT ELECTED OFFICIAL IN THE WORLD SHOULD BE INTERESTED IN THE SUCCESSFUL OUTCOME OF THOSE DISCUSSIONS. IT'S ALSO HARDLY SURPRISING THAT THE LEADER OF THE WORLD'S GREATEST DEMOCRACY SHOULD REGARD MORE DEMOCRACY RATHER THAN LESS DEMOCRACY AS AN ACCEPTABLE OUTCOME FOR OUR DISCUSSIONS IN HONG KONG.

SO I DON'T THINK THE PRESIDENT’S POSITION IS SURPRISING, BUT HIS INTEREST IN HONG KONG, HIS CONCERN TO SEE A STRONG ECONOMIC RELATIONSHIP BETWEEN THE REGION AND THE UNITED STATES, HIS COMMITMENT TO THAT ARE ALL THINGS WHICH ARE EXTREMELY WELCOME, AND I THINK THAT THE FACT THAT HE SPENT SO MUCH TIME THIS MORNING DISCUSSING MFN AND HONG KONG IS THE BEST POSSIBLE INDICATION OF HIS OWN PERSONAL CONCERN AND INTEREST. THANK YOU VERY MUCH.

- - 0 - -

/5 ........

MONDAY, MAY 3, 1993

5

INQUIRY INTO BRIDGE ACCIDENT

*****

THE DIRECTOR OF MARINE, MR ALLAN PYRKE, TONIGHT (MONDAY) ORDERED A LOCAL MARINE INQUIRY INTO AN ACCIDENT IN WHICH A BARGE HIT THE TSING YI SOUTH BRIDGE.

A REPORT ON THE INQUIRY WILL BE SUBMITTED TO THE DIRECTOR IN TWO WEEKS’ TIME.

MR PYRKE ORDERED THE INQUIRY FOLLOWING A VISIT TO THE SCENE OF THE ACCIDENT WITH SENIOR OFFICERS OF THE MARINE DEPARTMENT.

THE ACCIDENT OCCURRED AT ABOUT 5.30 PM TODAY WHEN THE BARGE WAS BEING TOWED NORTHWARDS UNDER THE TSING YI SOUTH BRIDGE.

THE EAST ARCH OF THE TSING YI SOUTH BRIDGE WILL BE CLOSED TO MARINE TRAFFIC TONIGHT AND A PATROL LAUNCH OF THE MARINE DEPARTMENT WILL BE AT THE SCENE TO ASSIST OWNERS AND MASTERS OF VESSELS USING THE WEST ARCH.

--------0

CAR NO. 1 BELONGS TO POLICE FORCE *****

IN RESPONSE TO QUESTIONS RAISED AT THE COMMITTEE THIS MORNING, THE COMMISSIONER OF POLICE NO. 1 DOES NOT BELONG TO HIM PERSONALLY.

PUBLIC ACCOUNTS

STATED THAT CAR

TRADITIONALLY

KONG POLICE FORCE STABILITY OF HONG

AND HISTORICALLY, IT BELONGS TO THE ROYAL WHICH HAS A PROUD RECORD AND IS VITAL TO KONG.

HONG THE

CAR NO. 1 I

NOW COMPRISES SOME

SYNONYMOUS WITH THE LEADERSHIP OF THE FORCE WHICH 38,000 REGULAR, AUXILIARY AND CIVILIAN OFFICERS.

THE COMMISSIONER IS FINE TRADITION, MORALE AND CONTRARY WILL BE STRONGLY

DETERM I NED TO MA INTAIN EFFICIENCY OF THE FORCE. RESISTED.

AND ENHANCE THE

ANYTHING TO THE

--------0

/6 .........

MONDAY, MAY 3, 1993

6

EXERCISE TO TEST CONTINGENCY PLAN EOR DAYA BAY NUCLEAR POWER PLANT *****

THE GOVERNMENT WILL CONDUCT AN EXERCISE NEXT WEEK TO TEST HONG KONG’S CONTINGENCY PLAN TO DEAL WITH ACCIDENTS AT THE DAYA BAY NUCLEAR POWER STATION.

THE EXERCISE, INVOLVING 38 DEPARTMENTS AND BRANCHES, WILL BE HELD ON MAY 13 AND 14 WITH A WARM-UP EXERCISE ON MAY 6.

"WE WILL BE CONDUCTING A COMMAND POST EXERCISE TO TEST COMMUNICATION AND DECISION-MAKING. THERE WILL BE NO PHYSICAL MOVEMENT ON THE GROUND AND THE EXERCISE WILL NOT INVOLVE ANY MEMBER OF THE PUBLIC," A SPOKESMAN FOR THE SECURITY BRANCH SAID TODAY (MONDAY).

THE SPOKESMAN SAID THE EXERCISE WOULD BE SIMILAR TO THE ONE CONDUCTED IN NOVEMBER 1990.

"IT WILL INVOLVE TWO EXPERTS FROM THE INTERNATIONAL ATOMIC ENERGY AGENCY WHO WILL ASSIST AN EXERCISE PLANNING TEAM IN THE SECURITY BRANCH TO CONDUCT AND EVALUATE THE EXERCISE," HE SAID.

"THE 1990 EXERCISE SHOWED THAT WE ARE CAPABLE OF COPING WITH EVEN THE MOST REMOTE CHANCE OF AN ACCIDENT AT THE DAYA BAY NUCLEAR POWER STATION.

"THE PRESENT EXERCISE IS PART OF OUR ONGOING EFFORTS TO FAMILIARISE DEPARTMENTS WITH THE CONTINGENCY PLAN TO IDENTIFY AREAS IN WHICH THE PLAN MAY BE FURTHER IMPROVED," THE SPOKESMAN ADDED.

-----0------

POLICE INTERCEPT THREE VIETNAMESE

*****

THREE VIETNAMESE MIGRANTS - ONE MAN AND TWO WOMEN - WERE INTERCEPTED BY THE MARINE POLICE AT YUNG LONG WAN ON MAY 1, A GOVERNMENT SPOKESMAN SAID THIS (MONDAY) MORNING.

THEY ARE THE FIRST GROUP OF VIETNAMESE MIGRANTS TO ARRIVE SINCE OCTOBER 1992 AND THE FIRST TO ARRIVE BY BOAT SINCE DECEMBER 1991.

THE TRIO ARE NOW BEING DETAINED ON GREEN ISLAND WHERE THEY WILL BE PROCESSED IN THE USUAL WAY.

--------0-----------

/7.........

MONDAY, MAY 3, 1993

SECOND REVIEW OF ENVIRONMENT WHITE PAPER

READY THIS SUMMER t ♦ t t t

THE GOVERNMENT IS DRAFTING THE SECOND REVIEW OF THE 1989 WHITE PAPER ON THE ENVIRONMENT.

THIS WAS REVEALED TODAY (MONDAY) BY THE DEPUTY SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY COOPER WHEN HE RECEIVED A SUBMISSION FROM FRIENDS OF THE EARTH ON CONSERVATION ISSUES.

MR COOPER SAID THE SUBMISSION WAS TIMELY AS IT WOULD ENABLE THE FRIENDS OF THE EARTH’S VIEW TO BE CONSIDERED WHEN DRAFTING THE WHITE PAPER REVIEW.

THE REVIEW WILL ASSESS THE PROGRESS OF GOVERNMENT’S ENVIRONMENTAL PROTECTION PROGRAMME SO FAR AND EXAMINE OPTIONS FOR NEW INITIATIVES TO IMPROVE ENVIRONMENTAL PROTECTION, INCLUDING CONSERVATION MEASURES.

THE SECOND WHITE PAPER REVIEW WILL BE PUBLISHED LATER THIS SUMMER AFTER CONSULTATION WITH VARIOUS GROUPS AND AFTER IT HAS BEEN SUBMITTED TO THE ENVIRONMENTAL POLLUTION ADVISORY COMMITTEE AND THE EXECUTIVE COUNCIL.

--------0-----------

PROVISIONAL RESULTS OF RETAIL SALES SURVEY FOR FEBRUARY ♦ ♦♦♦**

THE VALUE OF TOTAL RETAIL SALES IN FEBRUARY THIS YEAR, ESTIMATED AT $12.4 BILLION, INCREASED BY 10% WHEN COMPARED WITH FEBRUARY LAST YEAR, ACCORDING TO THE STATISTICS RELEASED TODAY (MONDAY) BY THE CENSUS AND STATISTICS DEPARTMENT.

AFTER DISCOUNTING THE EFFECT OF PRICE CHANGES OVER THE PERIOD, TOTAL RETAIL SALES ROSE BY 6% IN VOLUME TERMS.

TAKING THE FIRST TWO MONTHS OF 1993 TOGETHER, TOTAL RETAIL SALES ALSO ROSE BY 10% IN VALUE AND 6% IN VOLUME OVER THE SAME PERIOD LAST YEAR.

HOWEVER, RETAIL SALES OF SOME COMMODITIES TEND TO BE MORE VOLATILE IN JANUARY AND FEBRUARY, AFFECTED BY THE TIMING OF THE LUNAR NEW YEAR FESTIVAL.

IT IS THEREFORE MORE APPROPRIATE TO COMPARE THE SALES FIGURES OF INDIVIDUAL OUTLET TYPES IN THE TWO MONTHS TAKEN TOGETHER.

THE INCREASE IN TOTAL RETAIL SALES IN THE FIRST TWO MONTHS OF 1993 WAS MAINLY ATTRIBUTABLE '1’0 GROWTH IN SPENDING ON CONSUMER DURABLE GOODS (OTHER THAN MOTOR CARS), JEWELLERY AND CLOTHING.

/SALES OF ........

MONDAY, MAY 3, 1993

8

SALES OF CONSUMER DURABLE GOODS OTHER THAN MOTOR VEHICLES REGISTERED THE LARGEST YEAR-ON-YEAR INCREASE, BY 21% IN VALUE AND 19% IN VOLUME, WHILE SALES OF CLOTHING AND FOOTWEAR WENT UP BY 24% IN VALUE AND 14% IN VOLUME.

SALES OF JEWELLERY AND WATCHES INCREASED BY 10% IN VALUE AND 13% IN VOLUME, MAINLY OWING TO A CONTINUED HIGH LEVEL OF SPENDING ON JEWELLERY BY TOURISTS, PARTICULARLY THOSE FROM CHINA.

MEANWHILE, MODERATE INCREASES WERE RECORDED FOR SALES IN DEPARTMENT STORES (BY 11% IN VALUE AND 3% IN VOLUME); SALES OF FUELS (BY 8% AND 4%); SALES IN SUPERMARKETS (BY 7% IN VALUE BUT PRACTICALLY NO CHANGE IN VOLUME); SALES OF OTHER FOODSTUFFS (7% AND 1%); AND SALES OF MOTOR CARS (6% IN VALUE BUT VIRTUALLY NO CHANGE IN VOLUME).

THE VOLUME OF RETAIL SALES IS DERIVED FROM THE VALUE OF RETAIL SALES AFTER ADJUSTING FOR PRICE CHANGES. THE RELEVANT COMPONENTS OF THE CONSUMER PRICE INDEX ARE USED AS DEFLATORS.

THE REPORT CONTAINING THE ANALYSIS OF THE FEBRUARY 1993 RESULTS IS NOW ON SALE AT $2 A COPY AT THE GOVERNMENT PUBLICATIONS CENTRE, GENERAL POST OFFICE BUILDING, CONNAUGHT PLACE, CENTRAL; AND THE PUBLICATIONS SECTION OF THE CENSUS AND STATISTICS DEPARTMENT, 19TH FLOOR, WANCHAI TOWER, WAN CHAI.

ENQUIRIES ABOUT THE SURVEY RESULTS MAY BE DIRECTED TO THE WHOLESALE AND RETAIL TRADE STATISTICS SECTION OF THE CENSUS AND STATISTICS DEPARTMENT ON TEL 802 1258.

NOTE TO EDITORS:

TABLE 1 PRESENTS THE REVISED TOTAL RETAIL SALES FIGURE FOR JANUARY 1993 AND THE PROVISIONAL FIGURE FOR. FEBRUARY 1993.

TABLE 2 SHOWS THE VALUE AND VOLUME INDICES OF RETAIL SALES IN JANUARY AND FEBRUARY 1993 FOR ALL RETAIL OUTLETS AND BY TYPE OF RETAIL OUTLET, WITH AVERAGE RETAIL SALES FROM OCTOBER 1989 TO SEPTEMBER 1990 TAKEN AS 100.

COMPARISONS OF THE FEBRUARY 1993 RESULTS WITH THOSE FOR JANUARY 1993 AND FEBRUARY 1992, AS WELL AS COMPARISONS OF RETAIL SALES IN THE PERIOD JANUARY TO FEBRUARY OF 1993 WITH THE SAME PERIOD TN 1992, ARE ALSO GIVEN.

/TABLE 1 :

MONDAY, MAY 3, 1993

9

TABLE 1 : TOTAL RETAIL SALES

Total Retail Sales for February 1993 (Provisional Figure) = HK$12,409.6 million

for January 1993 (Revised Figure) - HKS15,748.0 million

TABLE 2 ; VALUE AMD VOLUME INDICES OF RETAIL SALES FOR JANUARY 1993 AND FEBRUARY 1993 (Monthly average of Oct. 89 ■ Sept. 90 « 100)

Item Index of Retail Sales January 1993 February 1993 February 1993 compared with January 1993 February 1993 compared with February 1992 Jan-Feb comparec Jan-Feb 1993 I with 1992

(A) FOR ALL RETAIL OUTLETS (Revised figures) (Provisional figures) Points X Points X Points X

Value 167.7 132.1 •35.5 -21.2 ♦11.5 ♦9.5 ♦13.9 ♦10.2

(B) BY TYPE OF RETAIL OUTLET Vol une 144.9 114.1 -30.8 -21.2 ♦6.4 ♦5.9 ♦6.9 ♦5.6

Foodstuffs, alcoholic Value 133.5 111.0 -22.5 -16.9 ♦11.2 ♦11.2 ♦7.5 +6.5

drinks and tobacco (other than supermarkets) Volume 103.9 88.0 -15.9 -15.3 ♦7.0 ♦8.6 ♦0.5 ♦0.5

Supermarkets Value 160.2 111.3 -49.0 -30.6 -17.1 -13.3 ♦9.0 ♦7.1

Vo lune 128.0 87.4 -40.6 -31.7 -20.7 -19.1 ♦0.2 ♦0.1

Fuels Value 139.8 117.6 -22.2 -15.9 ♦10.5 ♦9.8 +9.4 +7.9

Volume 105.9 89.1 -16.8 -15.9 ♦5.0 ♦6.0 ♦4.0 ♦4.2

Clothing, footwear and Value 246.6 135.7 -110.9 -45.0 ♦12.2 ♦9.8 ♦36.5 ♦23.6

allied products Volume 204.0 113.2 -90.8 -44.5 ♦2.4 ♦2.2 ♦19.9 ♦14.4

Consumer durable goods * Value 160.2 168.2 ♦8.0 >5.0 ♦35.0 ♦26.5 ♦18.5 +12.7

Volume 143.1 145.7 ♦2.5 +1.8 ♦25.5 ♦21.2 ♦12.1 ♦9.1

- Motor vehicles Value 165.2 234.3 ♦69.1 *41.8 ♦54.1 ♦30.0 ♦11.6 +6.2

and parts Volume 135.8 189.7 ♦54.0 *39.8 ♦34.6 ♦22.3 -0.1

- Consumer durable Value 156.5 120.3 -36.2 -23.1 ♦21.3 +21.5 ♦23.5 ♦20.5

goods other than motor vehicles and parts Volume 148.5 113.8 -34.7 -23.4 ♦ 18.9 ♦ 19.9 ♦20.8 +18.9

Department stores Value 188.3 123.6 -64.7 -34.3 ♦4.3 ♦3.6 ♦15.0 ♦10.7

Volume 158.4 104.2 -54.2 -34.2 -3.0 -2.8 ♦4.3 +3.4

Jewellery, watches Value 149.6 124.8 -24.8 -16.6 ♦10.6 ♦9.2 ♦11.9 ♦9.'

and clocks, and valuable gifts Volume 158.8 133.0 -25.8 -16.2 ♦18.7 ♦16.3 ♦17.1 ♦13.3

Other consumer goods Value 158.3 138.2 -20.1 -12.7 ♦10.3 ♦8.1 ♦1.1 ♦0.9

not elsewhere classified Vo lune 133.8 115.4 -18.5 -13.8 ♦1.1 ♦0.9 -7.4 -5.6

NOTE : ♦ This covers both "Motor vehicles and parts" and "Consumer durable goods other than motor vehicles and parts". # denotes a figure within ±0.05

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/IO ........

MONDAY, MAY 3, 1993

- 10 -

ACTIVITY CENTRES PROVIDE EXTENSIVE SERVICES FOR DISCHARGED MENTAL PATIENTS

* * * * *

IN RESPONSE TO PRESS ENQUIRIES, A SOCIAL WELFARE DEPARTMENT SPOKESMAN SAID TODAY (MONDAY) THAT ACCORDING TO THE 1987 REHABILITATION PROGRAMME PLAN REVIEW, THE THREE EXISTING ACTIVITY CENTRES FOR DISCHARGED MENTAL PATIENTS HAD DEVELOPED SOCIAL CLUBS TO PROVIDE A FULLER RANGE OF REHABILITATION SERVICES FROM 1988/89.

THEY FORM A VITAL PART OF THE REHABILITATION PROGRAMME FOR THE EX-MENTALLY ILL.

AN ACTIVITY CENTRE COMPRISES A DAY CENTRE AND A SOCIAL CLUB.

THE SPOKESMAN SAID SOCIAL CLUBS WERE MAINLY INTENDED FOR THOSE DISCHARGED MENTAL PATIENTS WHO WERE ENGAGED TN DAY TRAINING, EMPLOYMENT, EITHER OPEN OR SHELTERED, DURING THE DAY FOR THEIR PARTICIPATION IN RECREATION PROGRAMMES.

’’NORMAL SOCIAL LIFE IS PARTICULARLY IMPORTANT IN THEIR REHABILITATION AND THE DISCHARGED MENTAL PATIENTS CAN MEANINGFULLY UTILISE THEIR LEISURE HOURS AND DEVELOP INTER-PERSONAL RELATIONSHIP SKILLS,” HE ADDED.

EACH SOCIAL CLUB OF AN ACTIVITY CENTRE FOR DISCHARGED MENTAL PATIENTS IS EXPECTED TO PROVIDE 200 PLACES, INCLUDING THOSE ATTENDING THE DAY CENTRE.

THERE ARE THREE SUCH ACTIVITY CENTRES IN THE TERRITORY - THE LAI KWAN ACTIVITY CENTRE IN WAN CHAI, AMITY DAY CENTRE IN YAU MA TEI AND TUEN MUN ACTIVITY CENTRE.

"WHEN THE REPROVISIONING OF THE AMITY DAY CENTRE AT CHA KWO LING STARTS OPERATION LATER THIS YEAR. IT WILL ALSO HAVE SOCIAL CLUB MEMBERSHIP," THE SPOKESMAN SAID.

HE SAID ACTIVITIES SUCH AS INTEREST GROUPS, SOCIAL AND RECREATIONAL PROGRAMMES TO MEET THE DIFFERENT NEEDS OF THE MEMBERS WOULD BE ORGANISED ON A SELECTED NUMBER OF EVENINGS ON WEEKDAYS AND WEEKENDS TO HELP THE EX-MENTALLY ILL TO BE INTEGRATED INTO THE COMMUNITY.

--------o------------

WATER STORAGE FIGURE * * * *

STORAGE IN HONG KONG’S RESERVOIRS AT 9 AM TODAY (MONDAY) STOOD AT 53.4 PER CENT OF CAPACITY OR 312.821 MILLION CUBIC METRES.

THIS TIME LAST YEAR THE RESERVOIRS CONTAINED 278.730 MILLION CUBIC METRES OF WATER, REPRESENTING 47.6 PER CENT OF CAPACITY.

----- 0-------

/II ......................................

MONDAY, MAY 3, 1993

- 11 -

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS

*****

$ MILLION

OPENING BALANCE IN THE ACCOUNT 945

REVERSAL OF LAF +1,205

BALANCE AFTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY _90

CLOSING BALANCE IN THE ACCOUNT 2,060

LAF RATE 2.00 BID/4.00 OFFER TW I 111.8 *+0.0* 3.5.93

HONG KONG GOVERNMENT EXCHANGE FUND

EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.50 PCT 13 MONTHS 2405 5.50 102.41 3.15

1 MONTH 2.71 PCT 16 MONTHS 2408 4.375 101.38 3.30

3 MONTHS 2.76 PCT 19 MONTHS 2411 4.625 101.72 3.49

6 MONTHS 2.88 PCT 22 MONTHS 2502 4.75 101.83 3.71

12 MONTHS 3.10 PCT

TOTAL TURNOVER OF BILLS AND BONDS - 6,020 MN

CLOSED 3 MAY 1993

0

Received by PRO on_ ~ 7 MAY 1993

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

TUESDAY, MAY 4, 1993

CONTENTS PAGE NO.

GOVERNOR’S PRESS STATEMENT TN WASHINGTON ........................ 1

GOVERNOR SPEAKS TO PRESS AT SENATE HAUL ......................... 2

GOVERNOR COMPLETES FIRST DAY OF WASHINGTON VISIT ................ 3

GOVERNMENT ENDORSES MODIFIED HOUSING SUBSIDY POLICY ............. 3

NON-GOVT EXCO MEMBERS ACCEPT MODIFIED HOUSING SUBSIDY POLICY 5

ADEQUATE INFRASTRUCTURE INVESTMENT TO SUSTAIN GROWTH ........... 6

HK, NETHERLANDS SIGN LAB ACCREDITATION PACT ..................... 7

MORE RARE PLANTS PROTECTED ...................................... 9

TWO MOTION DEBATES ON LEGCO AGENDA .............................. 9

STUDENTS RAISE RECORD FUNDS FOR COMMUNITY CHEST ................ 10

ANNUAL REPORT ON CONSUMER PRICE INDICES FOR 1992 ............... 11

HONG KONG GOVERNMENT EXCHANGE FUND TENDER RESULTS .............. 11

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS

12

TUESDAY, MAY 4, 1993

1

GOVERNOR’S PRESS STATEMENT IN WASHINGTON

******

FOLLOWING IS THE PRESS STATEMENT MADE BY THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, AT THE DEPARTMENT OF STATE, WASHINGTON, D.C. ON MONDAY (U.S. TIME):

GOVERNOR: I’VE HAD A COUPLE OF VERY INTERESTING MEETINGS THIS AFTERNOON, FIRST OF ALL WITH THE TREASURY SECRETARY AND HERE WITH THE ACTING SECRETARY -- ACTING SECRETARY WHARTEN, AND WINSTON LORD, WHO IS WELL-KNOWN TO ALL OF US IN HONG KONG.

THEY WERE USEFUL MEETINGS. I WENT OVER MUCH OF THE GROUND THAT WE .DISCUSSED SLIGHTLY MORE BRIEFLY THIS MORNING WITH THE PRESIDENT AND THE VICE-PRESIDENT, SO IT’S BEEN A CONTINUATION OF THIS MORNING’S DISCUSSIONS AND LATER ON TODAY I’M GOING TO SEE SENATOR MITCHELL AND MOST OF THE REST OF MY VISITS WHILE I’M IN WASHINGTON WILL BE TO SENATORS AND CONGRESSMEN, THOUGH I’VE STILL GOT A MEETING WITH MR RUBIN TO GO, OKAY?

QUESTION: DO YOU THINK YOU’LL HAVE A BETTER IDEA AFTER THE MEETING THIS AFTERNOON HOW THE ADMINISTRATION WILL FEEL ABOUT MFN ON THE WHOLE?

GOVERNOR: I THINK I’D LIKE TO WAIT UNTIL I’VE HAD MY MEETINGS ON THE HILL AS WELL. OBVIOUSLY, I’M HEARING PART OF THE ARGUMENT, BUT I’LL WANT TO HEAR FROM SOME OF THE POLITICAL LEADERS ON THE HILL WHO HAVE BEEN MOST CLEARLY INVOLVED IN THE ARGUMENTS.

QUESTION: ARE THEY INTERESTED IN THE HONG KONG SITUATION?

GOVERNOR: THEY ARE EXTREMELY INTERESTED IN THE HONG KONG SITUATION, OTHERWISE I DOUBT WHETHER THEY WOULD HAVE GIVEN ME AS MUCH ACCESS AS I’VE HAD. I THINK THAT I’VE BEEN ABLE TO SEE ABSOLUTELY EVERYBODY I COULD HAVE CONCEIVABLY WANTED TO SEE. THAT’S ONE CONSEQUENCE OF THEIR INTEREST.

IT'S A CONSEQUENCE, AS WELL, OF HOW CLOSE AND STRONG THE RELATIONSHIP IS BETWEEN HONG KONG AND THE UNITED STATES, SO I’M DELIGHTED WITH THE ARRANGEMENTS THAT THE ADMINISTRATION HAVE HELPED TO MAKE FOR MY VISIT.

QUESTION: GOVERNOR, WHAT DO YOU HOPE TO ACHIEVE IN YOUR MEETING WITH SENATOR. MITCHELL? IT WAS QUITE CLEAR LAST WEEK THAT HE DISAGREED WITH YOUR POSITION ON MFN AND HE MOVED THE BILL ON MFN, SO WHAT DO YOU HOPE TO ACHIEVE TN THE MEETING WITH HIM?

GOVERNOR: WELL, YOU’VE STATED AT THE OUTSET WHAT YOU BELIEVE TO BE THE RESULT OF A MEETING I HAVEN’T YET HAD. AT THE VERY LEAST, PERHAPS HIS DISAGREEMENT WITH ME WILL BE EVEN BETTER INFORMED.

QUESTION:

(INAUDIBLE)

/GOVERNOR .......

2

TUESDAY, MAY 4, 1993

GOVERNOR: WELL, I CONCENTRATED PARTICULARLY WITH SECRETARY BENTSEN ON SOME OF THE TRADE ISSUES, BECAUSE AS YOU WILL KNOW THE COMMITTEE WHICH HE CHAIRED IN THE SENATE WAS PARTICULARLY CONCERNED

WITH U.S. TRADE POLICY, AND WITH ACTING SECRETARY WHARTEN AND MR LORD

I TALKED ABOUT TRADE BUT ALSO ABOUT OTHER ISSUES WHICH CONCERN THE

ADMINISTRATION

HUMAN RIGHTS,

AS WELL, AND THEY HAVE EXPRESSED THEIR CONCERNS THEY’VE EXPRESSED THEIR CONCERNS ABOUT

ABOUT

ARMS

PROLIFERATION, TOO.

I SET OUT AGAIN AS VIGOROUSLY AS I COULD OUR GENERAL CASE ON MFN AND I HOPE THAT WILL BE TAKEN ACCOUNT OF IN THE POLICY WHICH THE ADMINISTRATION DEVELOPS.

VOICE: THANK YOU VERY MUCH INDEED.

------0--------

GOVERNOR SPEAKS TO PRESS AT SENATE HALL *****

FOLLOWING ARE THE REMARKS BY THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, TO THE PRESS AT THE SENATE HALL ON MONDAY (U.S. TIME):

GOVERNOR: I HAD A VERY INTERESTING MEETING WITH THE SENATOR. WE EXCHANGED POINTS OF VIEW.

I DON’T THINK EITHER OF US CHANGED ONE ANOTHER’S MINDS, BUT WE HAD A CIVILISED DISCUSSION ABOUT THE BEST WAY OF SECURING OBJECTIVES IN POLITICS. I FEEL, AS YOU KNOW, THAT MORE OPEN TRADE IS THE BEST WAY OF SECURING A MORE OPEN SOCIETY.

QUESTION: BUT HE DID SHOW SUPPORT TO YOUR DEMOCRATIC REFORM

PROPOSAL.

GOVERNOR: WE DIDN’T DISCUSS THAT IN PARTICULAR, THOUGH HE DID

IN PASSING REFER TO OUR PROPOSALS FOR ELECTIONS IN 1994 AND

1995, BUT THE MAIN POINT OF THE DISCUSSION WAS MFN AND HE

EXPRESSED, AS A NUMBER OF OTHERS HAVE TODAY, THE CONCERN, WHICH IS QUITE PROFOUND IN THE UNITED STATES, ABOUT WEAPONS PROLIFERATION, ABOUT HUMAN RIGHTS, AND ABOUT SOME ALLEGED CHINESE TRADE PRACTICES.

QUESTION: ANY INDICATION THAT HE MIGHT TONE DOWN THE CONDITIONS IN HIS BILL THAT WOULD MAKE IT EASIER FOR HONG KONG TO ACCEPT AND FOR CHINA TO MEET?

GOVERNOR: I THINK THAT SENATOR MITCHELL IS IN DISCUSSION WITH THE ADMINISTRATION AT THE MOMENT ABOUT HOW TO SECURE AN APPROACH TO MFN WITH THE WIDEST SUPPORT IN THE SENATE AND THE HOUSE OF REPRESENTATIVES, AND I’M NOT QUITE SURE THAT WILL EMERGE FROM THAT, BUT I THINK THAT BOTH THE ADMINISTRATION AND THE LEADERSHIP ON THE HILL ARE TRYING TO FIND AN APPROACH WHICH COMMANDS THE WIDEST SUPPORT.

I WILL BE SEEING REPRESENTATIVE PELOSI LATER ON THIS EVENING, AND FINDING OUT HER POSITION AS WELL.

OKAY .

QUESTION: THANK YOU VERY MUCH.

GOVERNOR: THANK YOU.

- 0 -

/3

TUESDAY. MAY 4, 1993

3

GOVERNOR COMPLETES FIRST DAY OF WASHINGTON VISIT

* ♦ ♦ * *

THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, HAS COMPLETED THE FIRST DAY OF HIS THREE-DAY OFFICIAL VISIT TO WASHINGTON DC YESTERDAY (MONDAY).

THE DAY BEGAN WITH A MEETING WITH PRESIDENT CLINTON IN THE WHITE HOUSE OVAL OFFICE. THE MEETING WAS ALSO ATTENDED BY VICE-PRESIDENT AL GORE, DEPUTY NATIONAL SECURITY ADVISER SANDY BERGER AND ASSISTANT SECRETARY OF STATE WINSTON LORD.

THE GOVERNOR THEN ADDRESSED A LUNCHEON HOSTED BY THE ASIA SOCIETY.

IN THE AFTERNOON, THE GOVERNOR ATTENDED INDIVIDUAL MEETINGS WITH: SECRETARY OF THE TREASURY MR LLOYD BENTSEN, ACTING SECRETARY OF STATE MR CLIFTON WHARTON, ASSISTANT SECRETARY OF STATE WINSTON LORD AND MAJORITY LEADER GEORGE MITCHELL.

THE GOVERNOR WAS ALSO INTERVIEWED FOR THE PUBLIC BROADCASTING SERVICE NEWS PROGRAMME, THE MACNEIL/LEHRER NEWSHOUR.

THE GOVERNOR AND MRS PATTEN ENDED THE DAY WITH A DINNER HOSTED BY THE BRITISH AMBASSADOR SIR ROBIN RENWICK AND LADY RENWICK AT THE AMBASSADOR’S RESIDENCE.

-----------------------0------- government endorses modified housing subsidy policy ★ ★ ★ ★ ★

THE GOVERNMENT TODAY (TUESDAY) ENDORSED THE HOUSING AUTHORITY'S DECISION TO CONTINUE WITH ITS HOUSING SUBSIDY POLICY WITH MODIFICATIONS IN FAVOUR OF THOSE CURRENTLY AFFECTED.

A HOUSING SPOKESMAN SAID UNDER THE MODIFICATIONS TENANTS WITH HOUSEHOLD INCOME BETWEEN TWO TO THREE TIMES THE WAITING LIST INCOME LIMIT (WLIL) WOULD BE REQUIRED TO PAY 1.5 TIMES NET RENT PLUS RATES, WHILE THOSE WITH HOUSEHOLD INCOME ABOVE THREE TIMES THE WLIL WOULD BE REQUIRED TO PAY DOUBLE RENT PLUS RATES.

AS A SECOND MEASURE UNDER THE REVISED POLICY, ALL HOUSEHOLDS COMPRISING ELDERLY PEOPLE WHO ARE AGED 60 AND ABOVE WILL BE EXEMPTED FROM PAYING EXTRA RENTS. IN ADDITION, INDIVIDUAL HOUSEHOLDS WITH SPECIAL JUSTIFICATIONS MAY APPLY FOR EXEMPTION ON A CASE-BY-CASE BASIS.

FURTHERMORE, TENANTS WHO HAVE BEEN PAYING DOUBLE RENTS, OR IN THE FUTURE THE 1.5 TIMES RENTS, FOR A NUMBER OF YEARS WOULD BE GIVEN PRIORITY IN APPLYING FOR HOME OWNERSHIP SCHEME (HOS) FLATS. IT WAS SUGGESTED THAT THE AUTHORITY SHOULD CONSIDER REDUCING THE PERIOD FROM FIVE TO THREE YEARS.

OTHER MODIFICATIONS TO THE POLICY INCLUDE :

/* THE CURRENT .......

TUESDAY, MAY 4, 1993

4

* THE CURRENT INCOME RESTRICTION ON •’DOUBLE-RENT" TENANTS IN APPLYING FOR OVERCROWDING RELIEF IS WAIVED.

* THE VETTING PERIOD FOR TENANTS TO APPLY FOR REVERTING TO PAYING NORMAL RENT IS SHORTENED FROM SIX TO THREE MONTHS.

UNDER THE MODIFIED POLICY, ABOUT 80 PER CENT OF THE EXISTING 61 500 DOUBLE-RENT PAYERS WILL BE REQUIRED TO PAY 1.5 TIMES THEIR RENTS.

THE SPOKESMAN SAID THE AUTHORITY RECOGNISES THAT ECONOMIC CIRCUMSTANCES MAY CHANGE, THEREFORE ANY HOUSEHOLD THAT PAYS THE DOUBLE OR THE 1.5 TIMES RENTS CAN APPLY TO REVERT BACK TO PAYING ORDINARY RENTS IF THEIR INCOME FALLS BELOW THE SUBSIDY LIMIT.

"THE INTRODUCTION OF A NEW RENT TIER SHOULD MAKE THE IMPLEMENTATION OF THE POLICY EVEN MORE ACCEPTABLE TO TENANTS CONCERNED," HE SAID.

"FOR EXAMPLE, A FOUR-PERSON HOUSEHOLD WITH A TYPICAL RENT OF $1,000 WILL BE REQUIRED TO PAY SOME $400 MORE IF ITS HOUSEHOLD INCOME IS ABOVE $22,800, WHICH PUTS THE HOUSEHOLD IN THE TOP 20% INCOME GROUP IN HONG KONG.

"ONLY THOSE WITH INCOME ABOVE $34,200, WHICH IS THE TOP 10% INCOME GROUP, WILL BE REQUIRED TO PAY SOME $800 MORE IN RENT."

GIVEN THAT DOUBLE RENT PAYERS’ INCOMES ARE WITHIN THE TOP ONE-THIRD SEGMENT OF INCOMES OF EQUIVALENT FAMILY SIZE, THOSE FAMILIES PAY ON AVERAGE ONLY 6.2% OF THEIR INCOME ON RENT WHILE THAT OF OVERALL PUBLIC HOUSING TENANTS AND PRIVATE TENANTS IS 8% AND 20% RESPECTIVELY, THE SPOKESMAN NOTED.

THE REVENUE ARISING FROM THE REVISED POLICY IS ESTIMATED TO DECREASE BY 40 PER CENT FROM $460 MILLION TO $280 MILLION.

THE SPOKESMAN POINTED OUT THAT THE POLICY IS BASED ON THE PRINCIPLE THAT THE COMMUNITY’S CONTRIBUTION IN THE FORM OF HOUSING SUBSIDY SHOULD GO TO THOSE MOST IN NEED.

HE ADDED THAT THE AUTHORITY WAS ACTIVELY CONSIDERING NEW MEASURES TO ENCOURAGE MORE BETTER-OFF TENANTS TO MOVE TO HOME OWNERSHIP. THESE INCLUDED !

* ASKING TENANTS TO DECLARE PROPERTY OWNERSHIP, WITH A VIEW TO IMPOSING STRONGER MEASURES FOR PROPERTY OWNERS TO MOVE OUT OF PUBLIC HOUSING.

* RAISING THE HOME PURCHASE LOAN SCHEME AMOUNT FROM $200,000 TO A MUCH HIGHER AMOUNT.

/THIS BROAD ........

TUESDAY, MAY 4, 1993

5

THIS BROAD POLICY DIRECTION HAD HAD THE SUPPORT OF THE GOVERNMENT BUT FORMAL PROPOSALS HAD YET TO BE DEVELOPED.

REGARDING THE IMPLEMENTATION OF THE MODIFICATIONS, THE HOUSING DEPARTMENT HAD EARLIER ISSUED LETTERS TO AFFECTED TENANTS ADVISING THEM OF THE TWO-TIER SUBSIDY INCOME LIMITS (SIL).

THE SPOKESMAN SAID: "THE AUTHORITY WILL NOW BE SENDING LETTERS TO AFFECTED TENANTS ADVISING THEM OF THE NEW ARRANGEMENTS AND INVITING THEM TO APPLY FOR CONVERSION. RENT ADJUSTMENT WILL TAKE EFFECT FROM APRIL 1."

FOR EXISTING DOUBLE-RENT TENANTS WHOSE HOUSEHOLD INCOMES ARE BELOW THREE TIMES THE WLIL, THEY SHOULD COMPLETE AND SUBMIT THEIR INCOME DECLARATION FORMS TO THEIR RESPECTIVE ESTATE OFFICES ON OR BEFORE JUNE 30, 1993, IF THEY WANT TO APPLY TO PAY 1.5 TIMES THE NORMAL RENTS.

APPLICANTS WILL BE INFORMED OF THE RESULTS BY THE END OF AUGUST. ANY OVER PAYMENT OF RENTS SINCE APRIL 1, 1993 WILL BE DEDUCTED FROM FUTURE RENT PAYMENTS.

- - 0-------------

NON-GOVT EXCO MEMBERS ACCEPT MODIFIED HOUSING SUBSIDY POLICY

FN RESPONSE TO PRESS ENQUIRIES ABOUT ACTIONS TAKEN BY NONGOVERNMENT EXECUTIVE COUNCIL MEMBERS AFTER A RECENT MEETING WITH THE JOINT GROUP ON THE ABOLITION OF REDUCED HOUSING SUBSIDY POLICY, THE PRESS SECRETARY (MEMBERS) GAVE THE FOLLOWING REPLY: *

TWO MEMBERS, ON BEHALF OF THEIR NON-GOVERNMENT COLLEAGUES IN EXCO, MET REPRESENTATIVES OF THE JOINT GROUP ON THE ABOLITION OF REDUCED HOUSING SUBSIDY POLICY ON APRIL 28 TO LISTEN TO THE LATTER’S VIEWS ON THE SUBJECT.

THE CONCERNS AND WISHES OF THE JOINT GROUP WERE REFLECTED BY MEMBERS, TOGETHER WITH THEIR OWN VIEWS, TO THE ADMINISTRATION AT A SUBSEQUENT MEETING WITH HOUSING DEPARTMENT OFFICIALS YESTERDAY (MONDAY).

HAVING STUDIED THE MATTER CAREFULLY, TAKING INTO ACCOUNT THE IMPORTANCE OF BALANCED INTERESTS OF VARIOUS GROUPS IN THE COMMUNITY, MEMBERS SUPPORTED THE SPIRIT OF THE POLICY WHEREBY ’THOSE WHO ARE CAPABLE SHOULD PAY THEIR SHARE’.

THEY FELT THAT SHORT OF' A BETTER ALTERNATIVE, THE CURRENT CONDITIONS UNDER WHICH TENANTS WERE REQUIRED TO PAY HIGHER RENTAL WERE ACCEPTABLE.

HOWEVER, MEMBERS BELIEVED THAT THOSE TENANTS WHO WERE FINANCIALLY CAPABLE AND WERE REQUIRED TO PAY HIGHER RENTAL SHOULD BE GIVEN GREATER INCENTIVES TO VACATE THEIR PUBLIC HOUSING UNITS FOR THE GENUINELY NEEDY, AND SUGGESTED THAT THE ADMINISTRATION EXPLORE THE POSSIBILITY OF GIVING SUCH TENANTS SPECIAL PRIORITY IN THE PURCHASE OF HOME OWNERSHIP SCHEME FLATS.

/THE ADMINISTRATION .......

TUESDAY, MAY 4, 1993

6

THE ADMINISTRATION EXPLAINED THAT THERE WERE PRACTICAL CONSTRAINTS IN NOT IMPOSING ANY PRE-CONDITIONS.

NEVERTHELESS, THEY AGREED TO CONSIDER REDUCING FROM FIVE TO THREE YEARS THE PERIOD FOR WHICH A TENANT MUST PAY HIGHER RENTAL IN ORDER TO BE ELIGIBLE FOR SPECIAL PRIORITY IN THE PURCHASE OF HOME OWNERSHIP SCHEME FLATS.

HAVING TAKEN ALL RELEVANT FACTORS INTO CONSIDERATION, MEMBERS FORMED THE VIEW THAT THE MODIFIED PROPOSAL ANNOUNCED BY THE ADMINISTRATION THIS (TUESDAY) AFTERNOON SHOULD BE ACCEPTED.

THE JOINT GROUP HAS BEEN DULY INFORMED

OF MEMBERS’ POSITION.

-----0-------

ADEQUATE INFRASTRUCTURE INVESTMENT TO SUSTAIN GROWTH

*****

THE SECRETARY FOR TRANSPORT, MR MICHAEL LEUNG, TODAY (TUESDAY) REAFFIRMED GOVERNMENT’S COMMITMENT TO PROVIDING THE SUPPORTING INFRASTRUCTURE REQUIRED TO SUSTAIN THE GROWTH OF HONG KONG AND TO ENHANCE ITS ROLE AS A BUSINESS CENTRE AND MAJOR ENTREPOT IN THE REGION.

SPEAKING AT A SEMINAR ORGANISED BY THE HONG KONG GENERAL CHAMBER OF COMMERCE ON RAILWAY DEVELOPMENTS INTO THE 21ST CENTURY, MR LEUNG SAID FREIGHT MOVEMENTS BETWEEN HONG KONG AND CHINA BY ROAD ARE INCREASING BY AN AVERAGE OF 18 PER CENT PER ANNUM, OR FROM 5.4 MILLION TONNES IN 1987 TO ABOUT 12.2 MILLION TONNES IN 1992.

"TO COPE WITH THIS DEMAND, WE HAVE EXPANDED OUR BORDER CROSSINGS BOTH IN TERMS OF THEIR PHYSICAL CAPACITY AND OPERATING HOURS.

"GOVERNMENT HAS ALSO RECENTLY INVITED THE PRIVATE SECTOR TO EXPRESS INTEREST IN BUILDING THE ROUTE 3 COUNTRY PARK SECTION UNDER A FRANCHISE ARRANGEMENT. WHEN COMPLETED, THIS DUAL THREE-LANE ROAD WILL GREATLY IMPROVE COMMUN1CAT1ON BETWEEN THE CROSSING POINTS AND THE CONTAINER PORT," HE SAID.

MR LEUNG SAID DESPITE THE ENORMOUS INCREASE IN MOVEMENT, THE PROPORTION OF FREIGHT TRANSPORTED BY RAIL HAD PARTLY BECAUSE OF CAPACITY CONSTRAINTS OF THE KCRC MAIN LINE

FREIGHT REDUCED, AND ITS

FREIGHT YARDS.

RAIL NOW TAKES A 10 PER CENT SHARE OF THE TOTAL FREIGHT TRIPS BETWEEN HONG KONG AND CHINA, DECLINING FROM A 20 PER CENT SHARE ABOUT 10 YEARS AGO.

TO HELP INCREASE FREIGHT HANDLING ABILITY OF THE KCRC IN THE MEDIUM TERM, MR LEUNG SAID A FIVE-HECTARE SITE ON THE HUNG HOM BAY RECLAMATION WOULD BE GRANTED TO THE CORPORATION FOR EXPANSION OF ITS EXISTING MAIN YARD. THIS WILL RAISE FREIGHT CAPACITY BY 140 WAGONS PER DAY.

/’’THE ABILITY

TUESDAY, MAY 4, 1993

7

"THE ABILITY OF HONG KONG’S RAIL SYSTEM TO RECEIVE RAIL FREIGHT, PARTICULARLY CONTAINERISED CARGOES AND TO TRANSPORT THEM BETWEEN CHINA AND THE REST OF THE WORLD IN AN EFFICIENT MANNER WOULD ENHANCE HONG KONG’S ROLE AS AN ENTREPOT," HE SAID.

MR LEUNG SAID THE PROPOSED DEVELOPMENT OF A DEDICATED CONTAINER FREIGHT RAILWAY AS CONTAINED IN THE RAILWAY DEVELOPMENT STUDY WOULD BE AN IMPORTANT STRATEGIC AND COMMERCIAL DECISION FOR HONG KONG.

"A LOT OF WORK WILL NEED TO BF. DONE ON THE PROPOSAL BEFORE THE CONCEPT CAN BE TRANSLATED INTO FIRM PLANS," HE SAID.

THE PUBLIC AND INTERESTED ORGANISATIONS ARE BEING CONSULTED ON THE PROPOSALS. THE CHINESE GOVERNMENT WILL NEED TO BE CONSULTED BEFORE FINALISING THE RAIL DEVELOPMENT PLAN SINCE IMPLEMENTATION WOULD TAKE PLACE LARGELY AFTER 1997.

"WE WOULD THEN PROCEED WITH ENGINEERING AND FINANCIAL STUDIES AND BEGIN DISCUSSIONS WITH PROSPECTIVE OPERATORS," HE SAID.

-----0------

HK, NETHERLANDS SIGN LAB ACCREDITATION PACT

*****

HONG KONG TODAY (TUESDAY) SIGNED AGREEMENT ON LABORATORY ACCREDITATION WITH FIFTH OF ITS KIND HONG KONG HAS REACHED WITH ACCREDITATION SCHEME.

A MUTUAL RECOGNITION THE NETHERLANDS - THE AN OVERSEAS LABORATORY

THE AGREEMENT WAS SIGNED BETWEEN THE HONG KONG LABORATORY ACCREDITATION SCHEME (HOKLAS), WHICH IS OPERATED BY THE INDUSTRY DEPARTMENT, AND THE DUTCH ACCREDITATION BOARD FOR CALIBRATION LABORATORIES, TEST LABORATORIES AND INSPECTION BODIES (STERLAB) OF THE NETHERLANDS.

AT A CEREMONY THIS AFTERNOON, THE ACTING DIRECTOR-GENERAL OF INDUSTRY, MR RICKY FUNG, AND THE DIRECTOR-GENERAL OF STERLAB, DR J G LEFERINK, SIGNED THE AGREEMENT.

THE OTHER AGREEMENT HAVE BEEN CONCLUDED WITH THE NATIONAL MEASUREMENT ACCREDITATION SERVICE OF THE UNITED KINGDOM, THE NATIONAL ASSOCIATION OF TESTING AUTHORITIES OF AUSTRALIA, THE AMERICAN ASSOCIATION FOR LABORATORY ACCREDITATION AND THE TESTING LABORATORY REGISTRATION COUNCIL OF NEW ZEALAND.

SPEAKING AT THE SIGNING CEREMONY, MR FUNG SAID HOKLAS WAS ESTABLISHED IN 1985 WITH THE OBJECTIVES OF UPGRADING THE STANDARD OF TESTING IN HONG KONG AND PROMOTING THE ACCEPTANCE OF TEST RESULTS FROM ACCREDITED LABORATORIES.

HE SAID HOKLAS IDENTIFIED AND ACCREDITED COMPETENT LABORATORIES AND HAD SO FAR ACCREDITED 46 LABORATORIES IN VARIOUS FIELDS OF TESTING.

HE ADDED THAT MANY OF THESE LABORATORIES PROVIDED TESTING SERVICES FOR EXPORTERS WHO WISHED TO ENSURE THAT THEIR PRODUCTS MET CLIENTS’ SPECIFICATIONS AND LEGISLATIVE REQUIREMENTS.

/’’TO FACILITATE.......

TUESDAY, MAY 4, 1993

8

"TO FACILITATE ACCESS OF OUR EXPORTS TO WORLD MARKETS, IT IS IMPORTANT THAT OVERSEAS BUYERS AND REGULATORY AUTHORITIES HAVE CONFIDENCE IN THE TECHNICAL COMPETENCE OF OUR LABORATORIES.

"THE AIM OF CONCLUDING MUTUAL RECOGNITION AGREEMENTS WITH OTHER ACCREDITATION SCHEMES IS TO ACHIEVE JUST THAT," HE SAID.

UNDER THE AGREEMENT SIGNED TODAY, TEST REPORTS ISSUED BY HOKLAS-ACCREDITED LABORATORIES WILL BE ACCEPTED AS EQUIVALENT TO TEST REPORTS ISSUED BY LABORATORIES ACCREDITED BY STERLAB.

MR FUNG SAID THIS WOULD MEAN THAT HONG KONG’S EXPORTS TO THE NETHERLANDS MIGHT BE TESTED IN HONG KONG AND ACCEPTED WITHOUT BEING RE-TESTED WHEN THEY REACHED THEIR DESTINATION.

"IT GOES WITHOUT SAYING THAT THE SAME WOULD BE TRUE FOR EXPORTS FROM THE NETHERLANDS TO HONG KONG.

"BY REDUCING THE NEED FOR RE-TESTING, EXPORTS WILL NOT BE HELD UP AT THE PORTS OF ENTRY AND HENCE TRADE WILL BE FACILITATED," HE SAID.

TRADE BETWEEN HONG KONG AND THE NETHERLANDS HAS GROWN SIGNIFICANTLY IN RECENT YEARS. HONG KONG’S TOTAL EXPORTS TO THE NETHERLANDS GREW BY 15 PER CENT IN 1991 AND BY ANOTHER 17 PER CENT TO US$1,879 MILLION IN 1992.

IMPORTS GREW BY 17 PER CENT IN 1991 AND BY ANOTHER 63 PER CENT TO US$1,245 MILLION TN THE SAME PERIOD IN 1992.

"THE AGREEMENT IS NOT ONLY IMPORTANT FOR TRADE BETWEEN THE NETHERLANDS AND HONG KONG, IT IS ALSO AN INDICATION OF OUR COMMITMENT TO THE PROMOTION OF FREE TRADE," MR FUNG SAID.

MR FUNG NOTED THAT STERLAB WAS ONE OF THE FIRST EUROPEAN ACCREDITATION SCHEMES TO HAVE CONCLUDED AN AGREEMENT WITH A SCHEME OUTSIDE EUROPE.

"WE HOPE THAT THIS WILL LEAD TO THE OPENING OF THE MULTILATERAL AGREEMENT GROUP FORMED BY MEMBERS OF THE WESTERN EUROPEAN LABORATORY ACCREDITATION CO-OPERATION TO PARTICIPATION BY SCHEME OUTSIDE EUROPE," HE SAID.

ALSO SPEAKING AT THE CEREMONY, DR LEFERINK SAID THE AGREEMENT WAS THE RESULT OF HARD AND CONSCIENTIOUS WORK.

"MANY DAYS HAVE BEEN SPENT EVALUATING EACH OTHER’S OPERATIONS, MANY DAYS HAVE BEEN SPENT IN OBSERVING LABORATORY ASSESSMENTS AND CRITICAL REMARKS WERE MADE LEADING TO CORRECTIONS IN BOTH ORGANISATIONS," HE SAID.

"NOW WE CAN REALLY APPRECIATE EACH OTHER’S OPERATIONS AND WE CAN HAVE CONFIDENCE IN THE ACCREDITATION ISSUED IN EACH COUNTRY," HE ADDED.

--------0------------

/9 ........

TUESDAY, MAY 4, 1993

9

MORE RARE PLANTS PROTECTED *****

THE LIST OE PROTECTED PLANTS UNDER THE FORESTRY REGULATION HAS RECENTLY BEEN UPDATED TO INCLUDE ANOTHER 13 KINDS OF LOCAL WILD PLANTS UNDER ITS PROTECTION.

SENIOR CONSERVATION OFFICER OF THE AGRICULTURE AND FISHERIES DEPARTMENT, MR CHEUNG MAN-KWONG, SAID THE PURPOSE OF LISTING LOCAL WILD PLANTS UNDER THE REGULATION WAS TO OFFER MORE PROTECTION FOR THESE RARE LOCAL FLORA SPECIES.

HE SAID UNDER THE FORESTRY REGULATION, PICKING AND FELLING OF THESE PLANTS GROWING ON GOVERNMENT LAND WERE PROHIBITED.

"IT IS ALSO AN OFFENCE FOR ANY PERSON TO SELL, OFFER FOR SALE, OR HAVE IN HIS POSSESSION OR UNDER HIS CUSTODY ANY PORTION OF SUCH PLANTS LISTED UNDER THE FORESTRY (AMENDMENT) REGULATION 1993," MR CHEUNG SAID.

THE PLANTS NEWLY ADDED ONTO THE LIST INCLUDE AILANTHUS; AMENTOTAXUS; MULES-FOOT FERN; INDIA BIRTHWORT; TREE FERNS; HONG KONG DOGWOOD; CRESCENT-LEAVED SUNDEW; ILL1GERA; HONG KONG BALSAM; KETELEERIA; PITCHER-PLANTS; KWANGTUNG REHDERTREE; AND SCHOEPFIA.

BECAUSE OF CHANGING CIRCUMSTANCES, FIVE KINDS OF PLANTS HAVE ALSO BEEN TAKEN AWAY FROM THE LIST SINCE THEY ARE NO LONGER THREATENED BY EXPLOITATION.

THE OTHER PLANTS REMAINING ON THE LIST PUBLISHED UNDER THE FORESTRY (AMENDMENT) REGULATION 1993 GAZETTED LAST WEEK INCLUDE BIRD’S-NEST FERN; CAMELLIAS; CHINESE NEW YEAR FLOWER; STAR-ANISES; HONG KONG IRIS; CRAPE MYRTLES; CHINESE LILY; MAGNOLIAS; ORCHIDS, PAVETTA; BALLOON FLOWER; AZALEAS; RHODOLEIA AND TUTCHERIA.

THE AMENDMENTS WILL COME INTO EFFECT ON JUNE 11. THE MAXIMUM PENALTY FOR SUCH OFFENCES WILL ALSO BE INCREASED FROM $250 TO $25,000.

IN THE PAST FIVE YEARS, THERE WERE 14 PROSECUTIONS RELATED TO THESE OFFENCES.

- 0 -

TWO MOTION DEBATES ON LEGCO AGENDA

******

THE LEGISLATIVE COUNCIL WILL TOMORROW (WEDNESDAY) DEBATE TWO MOTIONS, ONE ON LAND AND WATERBORNE TRANSPORT AND THE OTHER THE LAW REFORM COMMISSION REPORT ON ARREST.

THE TRANSPORT MOTION IS PROPOSED BY DR THE HON TANG SIU-TONG WHILE THE SECOND MOTION IS MOVED BY THE HON MRS SELINA CHOW.

MEMBERS OF THE COUNCIL WILL ASK 20 QUESTIONS AND CONSIDER FIVE BILLS AT THE MEETING.

OF THEM, FOUR WILL BE INTRODUCED FOR FIRST AND SECOND READINGS. DEBATES ON THEM ARE DUE TO BE ADJOURNED.

/THEY ARE

TUESDAY, MAY 4, 1993

10

THEY ARE LEGAL PRACTITIONERS (AMENDMENT) BILL 1993, MOTOR VEHICLES (FIRST REGISTRATION TAX) (AMENDMENT) (NO. 2) BILL 1993, PNEUMOCONIOSIS (COMPENSATION) (AMENDMENT) BILL 1993 AND PILOTAGE (AMENDMENT) BILL 1993.

DEBATE ON MULTI-STOREY BUILDINGS (OWNERS INCORPORATION) (AMENDMENT) BILL 1992 WILL BE RESUMED, AND THE BILL IS DUE TO GO THROUGH THE COMMITTEE STAGE AND BE GIVEN A THIRD READING.

IN ADDITION, THE FINANCIAL SECRETARY WILL PRESENT THE GOVERNMENT MINUTE IN RESPONSE TO THE REPORT OF THE PUBLIC ACCOUNTS COMMITTEE DATED JANUARY 1993.

MEMBERS OF THE PUBLIC ARE WELCOME TO OBSERVE THE PROCEEDINGS OF THE MEETING FROM THE PUBLIC GALLERY. THEY MAY RESERVE SEATS BY CALLING 869 9492.

-----0-------

STUDENTS RAISE RECORD FUNDS FOR COMMUNITY CHEST

*****

FUND-RAISING ACTIVITIES ON ENVIRONMENTAL PROTECTION ORGANISED BY MEMBER SCHOOLS OF THE EDUCATION DEPARTMENT’S COMMUNITY YOUTH CLUB (CYC) HAVE RESULTED IN A RECORD CONTRIBUTION OF NEARLY $4 MILLION TO THE COMMUNITY CHEST.

HELPING STUDENTS FROM 560 MEMBER SCHOOLS TO RAISE FUNDS WERE PARENTS AND FRIENDS WHO EITHER CONTRIBUTED CASH OR LABOUR IN SUCH ACTIVITIES AS TREE PLANTING AND CLEANING OF COUNTRY PARKS, BEACHES AND SCHOOLS.

CYC STUDENT-MEMBERS ALSO RAISED ADDITIONAL $686,121 THROUGH THE SALE OF POTTED PLANTS.

THE ACTIVITIES ARE PART OF THE ANNUAL GREENING FOR THE CHEST CAMPAIGN ($3.26 MILLION WAS RAISED IN THE 1991/92 FINANCIAL YEAR) WHICH IS ALSO AIMED AT AROUSING PUBLIC AWARENESS OF ENVIRONMENTAL PROTECTION.

THE DIRECTOR OF EDUCATION, MR DOMINIC S W WONG, WILL OFFICIATE AT A CHEQUE-PRESENTATION CEREMONY ON FRIDAY (MAY 7).

ATTENTION NEWS EDITORS:

THE DIRECTOR OF EDUCATION, MR DOMINIC S W WONG, WILL OFFICIATE AT THE GREENING FOR THE CHEST 1992/93 CYC CHEQUE-PRESENTATION CEREMONY TO BE HELD AT 4 PM ON FRIDAY (MAY 7) IN THE MAIN HALL OF THE MARINERS’ CLUB, THIRD FLOOR, 11 MIDDLE ROAD, KOWLOON.

YOUR REPRESENTATIVES ARE INVITED TO COVER THE EVENT.

-----0------

/II ........

TUESDAY, MAY 4, 1993

- 11 -

ANNUAL REPORT ON CONSUMER PRICE INDICES FOR 1992 ******

THE CENSUS AND STATISTICS DEPARTMENT HAS PUBLISHED THE ANNUAL REPORT ON THE CONSUMER PRICE INDEX (CPI) FOR LAST YEAR.

THE REPORT PROVIDES A DETAILED ANALYSTS OF THE MOVEMENTS OF THE 1989/90-BASED CPI(A), CPI(B), HANG SENG CPI AND COMPOSITE CPI IN 1992.

CHARTS AND TABLES SHOWING MOVEMENTS OF THE CPI’S AT COMMODITY/SERVICE SECTION AND GROUP LEVELS, AS WELL AS THEIR CONTRIBUTIONS TO THE OVERALL CHANGE IN THE INDICES ARE ALSO INCLUDED IN THE PUBLICATION.

APART FROM STATISTICS ON THE CPI’S, THE REPORT ALSO CONTAINS AN ELABORATION ON THE CONCEPTS AND COMPUTATION METHOD OF THE CPI’S TO HELP READERS GAIN A BETTER UNDERSTANDING AND PROPER INTERPRETATION OF THE CPI’S.

THE REPORT IS A BILINGUAL PUBLICATION IN BOTH ENGLISH AND CHINESE. IT IS NOW ON SALE AT $27 A COPY AT THE GOVERNMENT PUBLICATIONS CENTRE, GENERAL POST OFFICE BUILDING, GROUND FLOOR, CONNAUGHT PLACE, CENTRAL; AND THE CENSUS AND STATISTICS DEPARTMENT, 19TH FLOOR, WANCHAI TOWER, 12 HARBOUR ROAD, WAN CHAI, HONG KONG.

ENQUIRIES CAN BE DIRECTED TO THE CONSUMER PRICE INDEX SECTION OF THE CENSUS AND STATISTICS DEPARTMENT ON TELEPHONE 805 6403.

--------0

HONG KONG GOVERNMENT EXCHANGE FUND TENDER RESULTS *****

TENDER DATE

PAPER ON OFFER

ISSUE NUMBER

AMOUNT APPLIED

AMOUNT ALLOTTED

AVERAGE YIELD ACCEPTED

HIGHEST YIELD ACCEPTED

PRO RATA RATIO

AVERAGE TENDER YIELD

4 MAY 93

EF BILLS

Q318

HK$5,115 MN

IIK$ 1 ,000 MN

2.76 PCT

2.76 PCT

ABOUT 74 PCT

2.80 PCT

/HONG KONG ........

12

TUESDAY, MAY 4, 1993

HONG KONG GOVERNMENT EXCHANGE FUND

TENDERS TO BE HELD IN THE WEEK BEGINNING 10 MAY 1993 -

TENDER DATE 11 MA^ 93 11 MAY 93

PAPER ON OFFER EF BILLS EF BILLS

ISSUE NUMBER Q3 1 9 H364

ISSUE DATE 12 MAY 93 12 MAY 93

MATURITY DATE 11 AUG 93 10 NOV 93

TENOR 91 DAYS 182 DAYS

AMOUNT ON OFFER HK$1,000 + 200 MN HK$400 + 80 MN

------0 -------

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS

* * * ♦ t

$ MILLION

OPENING BALANCE IN THE ACCOUNT 2,060

REVERSAL OF LAF + 90

BALANCE A FTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -450

CLOSING BALANCE IN THE ACCOUNT 1 , 700

LAF RATE I 2.00 BID/4 .00 OFFER TWI 111.7 *-0.1* 4 .5.93

HON( j KONG GOVERNMENT EXCHANGE FUND

EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.43 PCT 12 MONTHS 2405 5.50 102.47 3.09

1 MONTH 2.64 PCT 15 MONTHS 2408 4.375 101 .46 3.23

3 MONTHS 2.74 PCT 1 8 MONTHS 2411 4.625 101.81 3.43

6 MONTHS 2.86 PCT 21 MONTHS 2502 4.75 101.91 3.66

12 MONTHS 3.05 PCT

TOTAL TURNOVER OF BILLS AND BONDS - 8,771 MN CLOSED 4 MAY 1993

0

R""''S MM 1993 on_J:---—---

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

SUPPLEMENT

TUESDAY, MAY 4, 1993

CONTENTS PAGE NO.

GOVERNOR'S PRESS CONFERENCE AT OFFICE OF SENATOR MITCH MCCONNELL OF KENTUCKY .......................................... 1

GOVERNOR'S SPEECH AT THE NATIONAL PRESS CLUB IN WASHINGTON .. 15

GOVERNOR'S PRESS CONFERENCE OUTSIDE CAPITOL BUILDING ........... 46

TUESDAY, MAY 4, 1993

1 GOVERNOR'S PRESS CONFERENCE AT OFFICE OF SENATOR MITCH MCCONNELL OF KENTUCKY * * * * *

(Group 1)

MR. MORIARTY: Can we have a few words from you. Senator, on your conversation, for starters?

SENATOR McCONNELL: Well, I was glad to meet with the Governor to discuss the progress in Hong Kong. I'm very enthusiastically behind what he's trying to do to broaden the franchise in Hong Kong. I think he's doing a wonderful job. And as someone who's had an interest in Hong Kong for quite some time, I was thrilled at his appointment and very supportive-of his program.

MR. MORIARTY: Sorry to ask you to talk with that little difficulty there, but on the question of MFN, Senator, you've written the U.S.-Hong Kong Policy Act. Would you perceive MFN conditions to be a logical extension of your bill, or to the contrary, do they run against the intent of your bill?

SENATOR McCONNELL: It is my view that MFN could be extended without condition. I don't think that would be a constructive part of the ongoing debate about the future of Hong Kong. It seems to me, as I've said repeatedly in the past, that conditioning MFN will only hurt the pro-democracy and pro-free enterprise forces in China, and I'm hoping that the President will ultimately decide not to approach MFN with conditionality.

/MR. MORIARTY: ........

TUESDAY, MAY 4, 1993

- 2

MR. MORIARTY: If I could just follow up one more question there, how far can the U.S. go in promoting the policies that you've outlined in your bill without crossing the line of intervening in China's internal * sovereignty?

SENATOR McCONNELL: Well, at the risk of sounding a little bit immodest, the beauty of my bill was it's simply built upon the words of the Joint Declaration. My bill did not go beyond a document the Chinese signed themselves. And so it seemed to me that there was no real -- no sensible reason to oppose the bill since it's simply built upon the exact language of the Joint Declaration. So I didn't view that in any way as meddling in relations between the United Kingdom and China, but rather building on the agreement that had been signed.

MS. TINLINE: What's your feeling amongst your fellow Congressmen about how MFN is going to go? Do you think it's going to become an act of law, or is it going to be left to the President?

SENATOR McCONNELL: It's hard to predict what may happen. As you know, the President said during the campaign that he thought MFN should be conditioned. There is some discussion within the administration. The Governor's been here expressing his point of view on that, which I hope will have some influence.

It's just not clear, as we speak, exactly which way the administration will go. I hope that they will simply conclude that last year's rhetoric may have been fine for the campaign, but it's simply not good policy in 1993.

/GOVERNOR PATTEN:

TUESDAY, MAY 4, 1993

3 -

GOVERNOR PATTEN; Is there another group t outside?

QUESTION: One more please. If you did not add conditions co MEN, how to press for improvement of human rights in China and also the democracy of Hong Kong?

SENATOR McCONNELL: Well, I think the Governor is doing a marvelous job of pressing for human rights. He can speak for himself, but as an outsider my impression is the Governor is doing a marvelous job of pressing those issues in Hong Kong today.

GOVERNOR PATTEN; There are a number of countries which, as you know, have been pursuing the question of human rights with the Chinese authorities. The Australians have been doing it, the United Kingdom have done it with the Howe mission to China, and the French have done it as well. So there are lots of ways in which one can establish a dialogue on human rights. And in those -- in that dialogue the Chinese set out their own position very clearly, others set out their position, and I think it leads to helpful progress.

I think that's the way of dealing with human rights matters, rather than dragging trade or economics into it. I still believe very strongly that trade throws dark throws light into dark corners and that more trade and more economic growth improves not just people's standard of living, but their quality of life as well. /

QUESTION: What was the outcome of your meeting with Senator Mitch *- I mean Mitchell yesterday?

/GOVERNOR PATTEN:

TUESDAY, MAY 4, 1993

4

GOVERNOR PATTEN: I had a useful exchange with Senator Mitchell. I don't think that either of us converted the other, but I hope"that Senator Mitchell feels that I gave him some useful information which will help to determine his approach in the next few weeks.

VOICE: Thank you. We've got another group coming in.

VOICE: Good luck with that voice, Senator.

* * *

(Group 2)

SENATOR McCONNELL: First, let me explain that I have an allergy and it's affected my voice, so this isn't going to be a great sound bite for you.

(Laughter.)

VOICE: It's like Lauren Bacall.

SENATOR McCONNELL: Yes.

(Laughter.)

SENATOR McCONNELL: It's a thrill to meet with the Governor and to get an update on what is happening in Hong Kong. I'm an enthusiastic supporter of what the Governor is attempting to accomplish in Hong Kong. I think he's on the right track in expanding democracy as far as it can be expanded consistent with the Joint Declaration.

I also share his view about MFN. I don't think that MFN should be conditioned. It seems to me that would not be a constructive move. And I'm hopeful that the President, in the end, will decide not to try to condition MFN for China.

/QUESTION: ........

TUESDAY, MAY 4, 1993

5

QUESTION: The Hong Kong Policy Act has been taking affect for about a year. Do you feel satisfied with what's going on right now?

SENATOR McCONNELL: Well, I hope that the Hong Kong Policy Act was a constructive part of the process. The Governor might want to address that. As you know, we did not go beyond the Joint Declaration in that bill. I did not in any way feel it was intervening in internal affairs in China, or in the relationship between China and the U.K. I hope that it's been a positive thing for Hong Kong.

GOVERNOR PATTEN: I think it was a very useful legislative reflection of the strong and important economic and trade relationship between Hong Kong and the United States. • •

QUESTION: There were a couple of things last year moved -- voted over against the MFN bill, but they didn't have the votes, but they did succeed in the override. This year there may not be a bill, or the bill / has been introduced but it may not come to Congress. What role do you see for the Republicans this year in trying to have no conditions on MFN?

/SENATOR MCCONNELL: .......

TUESDAY, MAY 4, 1993

- 6 -

SENATOR McCONNELL: Well, what we've tried to do is encourage the President to consider his position of last year largely campaign rhetoric and to modify his position on this issue, as he has on some other issues; to take into account the reality of the situation, which is that conditionality or conditions attached to MEN are simply not a constructive part of the process and certainly will not help Hong Kong and, in my view, it will do nothing to further free enterprise or democracy someplace down the road in the PRC.

QUESTION: Mr. Senator, are you aware of the report submitted by the previous administration in accordance with the Hong Kong Policy Act?

SENATOR McCONNELL: Yes, we took a look at the report. It was all right. I would hope for a more detailed report next year.

QUESTION: Concerning political reform in Hong Kong, do you think that any action should be taken by the U.S. Government to support for the political reform in Hong Kong?

SENATOR McCONNELL: Well it's, of course, not our affair; it's between the U.K. and the PRC. But I i personally support what the Governor is trying to do to broaden democracy in Hong Kong. I think he's on the right track and I think that most people in this country, including most Government officials, feel very strongly that Governor Patten is going in the right direction.

GOVERNOR PATTEN: Thank you very much. See you later in the day, I gather.

* * *

/(Outside the .......

TUESDAY, MAY 4, 1993

7

(Outside the Russell Building) QUESTION: Just one question. GOVERNOR PATTEN: Yes.

QUESTION: What's the impression you are forming? The dinner last night must have been helpful. Are you getting the impression that it's going to be conditional, it's going to be put off? What are you forming?

GOVERNOR PATTEN: Well, I tell you what I am forming, a very clear impression about American concerns: American concerns about the huge Chinese trade surplus, American concerns about human rights, and American concerns, which I think have been growing and growing very rapidly over the last year, about weapons proliferation.

Now, in those circumstances what I think we have to do is to make sure that the U.S. officials who are making policy and U.S. legislators, understand our / concerns and understand the importance of trade as freely conducted as possible to the improvement of the quality of living of people in China, as well as to the economic position of Hong Kong.

It's a moving situation. It's not exactly the same as it would have been lobbying last year, where a President had made absolutely clear where he stood and, on the whole, was having to repel a Congress which was taking a slightly different point of view. Things have changed since then, and my impression is the administration is looking for as broad a consensus between the administration and Congress as possible.

/But I ........

TUESDAY, MAY 4, 1993

- 8 -

But I will obviously have a clearer idea when I've met more Senators and Congressmen. I'm meeting a couple of congressional leaders this afternoon, as you know, who have taken a very strong line in favor of MFN renewal without stringent conditions. And they're both very influential, the Chairman of Ways and Means in particular.

QUESTION: (inaudible.)

GOVERNOR PATTEN: Sorry?

QUESTION: Your meeting with Pelosi last night, what views did you find?

GOVERNOR PATTEN: I had the opportunity of quite a long exchange with Representative Pelosi, just as I'd t had the chance of a long conversation with Senator Mitchell. I can't honestly say -- and I think you'd be surprised if I put it differently -- that I changed Representative Pelosi's mind.

But I hope that the Representative and Senator Mitchell were better informed about our position and about our concerns. I think they do understand our argument, but I don't think anybody has yet convinced them that our argument is the right one.

QUESTION: Governor -- sorry, Governor. I would think if they're going to -• if you went and said I'm sorry, I don't think that's the right way to do it, that they're going to say to you all right, suggest some alternatives. Do you have some ideas on how America can address these concerns and not hurt Hong Kong?

/GOVERNOR PATTEN: .......

TUESDAY, MAY 4, 1993

- 9 -

GOVERNOR PATTEN: Well, there are two distinct questions. The first is are there alternatives to attaching conditions to MEN if you want to secure given objectives in the trade field, in the weapons proliferation field, in the human rights field. I think there are alternative ways of pursuing those matters, and that's one of the points I've been arguing about.

There is a second point, which is whether if you think that some sort of conditionality is inevitable with MEN renewal you should put yourself in the position of actually debating what that conditionality should ideally be. I don't think I could possibly do that. I think it would be to give away the principle which I've been asserting, and I don't think it would be a sensible thing to do tactically.

But what I must ensure is that Hong Kong's position and Hong Kong's commitment to free trade and economic growth, as the best ways of securing social progress, are recognized by both the administration and by politicians.

QUESTION: Governor, have Senator Mitchell and Congresswomen Pelosi given you any idea whether they're really going to push through their legislation, or is it just, at the moment, something they're threatening to do?

/GOVERNOR PATTEN:

TUESDAY, MAY 4, 1993

- 10 -

GOVERNOR PATTEN: I think that one of the debates which is going on at the moment is about whether the right way is to pursue a legislative route or whether the executive should take the lead, whether there should be an executive order or some sort of statement by the President. And I don't think that is something which has been- resolved between the administration and the congressional leadership at the moment.

I think that both Representative Pelosi and Senator Mitchell are aware, among other things, of our criticisms of the detail of the legislation, quite apart /

from the principle. There was a very effective demolition job, I think, done on the details of the bill by the Wall Street Journal the other day in a leading article. It pointed out some of the parts of the bill which would be pretty well impossible to administer.

But I think that the question of how the policy should be pursued, if it is to be pursued, whether taking a legislative route or an executive-led route, I don't think that's been resolved.

QUESTION: But is it your impression that they're actually serious about this legislation?

GOVERNOR PATTEN: I think it's my impression that they're serious about the objectives which the legislation purports to set for itself. I think they're certainly serious about that. But whether they're serious -- but whether they think that they should concentrate on legislation or try to get the administration to make a statement, that s less clear.

/QUESTION: ........

TUESDAY, MAY 4, 1993

- 11 -

QUESTION: Mr. Governor, it seems that you and Senator McConnell have the same mind on the political reform. Did you discuss with him on the details of your political package?

GOVERNOR PATTEN: No. I set out -- I sketched out where we stand now. For example, I explained to him how the process of talks had started and our commitment, if at all possible, to make a success of those talks. I didn't go into very much more detail than that, because he's extremely well informed about what's happening in Hong Kong, as you would expect from somebody who'd drafted that legislation.

I think that you'll have noticed that the administration officials and the congressional leaders that I've been talking to take a very sophisticated approach to the question of the political development of Hong Kong. They recognize that it's a matter for Britain and China to resolve in the interests of Hong Kong. But they obviously taken an interest in the successful outcome of those talks, and you can't expect the leaders of one of the greatest democracies in the world to say they're against democracy.

QUESTION: Governor Patten --

QUESTION: Is there any way that the Americans can address their concerns about human rights, arms proliferation, and trade, and at the same time be addressing the concerns of Hong Kong? Is there a central theme that they can reach that can address these two conditions that could satisfy you?

/GOVERNOR PATTEN: .......

TUESDAY, MAY 4, 1993

12

GOVERNOR PATTEN: I've obviously been arguing. I mean I don't want to go back over what I said earlier about the lack of wisdom were I to address myself to the sort of conditions which might be acceptable. I have to stand on the principle, but hope that my enunciation of the principle affects the outcome of policy.

There are -- outside legislation there are specific ways in which concerns'on issues like weapons proliferation can be pursued. For example, there are already legislative options in relation to weapons proliferation which the United States can follow. For example, other governments have pursued their interest on human rights through trying to establish a dialogue with China on the subject. That's what the Australians have done, the French, the United Kingdom with Lord Howe's mission not very long ago. So there are alternatives to using MFN.

Okay.

QUESTION: Just in a nutshell, at this point. GOVERNOR PATTEN: In a nutshell.

QUESTION: In a nutshell, do you have the feeling that when it comas to these issues, Hong Kong trade, China, et cetera, that the administration is groping its way toward a policy, that it's still a bit in the dark about what it wants to do?

/GOVERNOR PATTEN:

TUESDAY, MAY 4, 1993

- 13 -

GOVERNOR PATTEN: I don't think it's greatly in the dark, but I do think it's moving towards a policy. And I think it wants to establish a policy which has the broadest possible support in Congress, which brings together both the executive and the Congress in a broad alliance.

That's what I think the administration is trying to do at the moment, and I repeat that it's my hope that my visit this week will have helped to ensure that everybody takes account of our position when they're framing their final policy.

QUESTION: Do you think China will accept a way of having dialogue - - sorry - - of having dialogue to solve the problems, if that is not the style of China?

GOVERNOR PATTEN: Well, I think that China will come to accept in the next few years that everybody else in the world pretty well tries to sort out their problems through dialogue. And if China wants to sort out problems such as those on the trade front, it will have to be through dialogue as well.

QUESTION: Are you happy with the progress in Beijing about the electoral arrangements?

GOVERNOR PATTEN: Well, we've had -- we've had two rounds of talks. I think that they've been conducted in a sincere atmosphere. There are very good professional diplomats discussing.these issues, and I hope --

QUESTION: Are you happy with the substance of the electoral arrangements?

/GOVERNOR PATTEN: ....

TUESDAY, MAY 4, 1993

14 -

GOVERNOR PATTEN: I don't want to say any more than that, for reasons which frustrate you even while you understand them.

(Laughter.)

GOVERNOR PATTEN: I'll leave you to speculate with your usual laser-beam accuracy.

QuESTICN: Do you expect the talks will go into substance the next round?

GOVERNOR PATTEN: I don't want to say anything which would make it more or less difficult for the talks to - - I mean more difficult for the talks to get into substance, if they haven't already.

QUESTION: But we are getting near a deadline, which the government has imposed, of wanting to get this legislation out by the end of this session. So at some point you have to get it in to get it out.

GOVERNOR PATTEN: I don't think I want to add to

the many answers I've given co you on that subject in Hong Kong. You can't come all the way to Washington and ask the same questions. Come on.

QUESTION: But do you tell the U.S. officials and the Senators about the progress you make in the talks?

GOVERNOR PATTEN: Not in detail, no.

QUESTION: Thanks, Governor.

GOVERNOR PATTEN: Thank you very much indeed. /

------0 -------

/15

TUESDAY, MAY 4, 1993

15

GOVERNOR'S SPEECH AT THE NATIONAL PRESS CLUB IN WASHINGTON *****

MR. ADAMS: Welcome to the National Press Club. My name is Alan Adams. I am an editor with the business newsletter Research Recommendations and a member of the press club's board of governors.

I would like to welcome club members and their guests in the audience today as well as those who are listening to this program on national public radio and watching it on C-SPAN.

Before introducing our head table guests, I would like to remind our members of some upcoming speakers. On May 5th, Mickey Kantor, the U.S. Trade Representative, will discuss GATT and NAFTA.

On May 12th, Richard Riley, Secretary of the Department of Education, will address the club on the Clinton administration's program.

On May 13th, Jesse Brown, Secretary of the Department of Veterans Affairs, will discuss the administration's new perspectives in veterans* affairs, and on May 17th, entertainer Victor Borge will reminisce about some of his finest hours.

If you have any questions for our speaker, please write them on the cards provided at the table and pass them up to me. I will ask as many as time permits.

I would like now to introduce our head table guests and ask them to stand briefly when their nampg are called, from your right:

/Jim Berger, ........

TUESDAY, MAY 4, 1993

16 -

Jim Berger, Washington Trade Daily, Richard Lawrence, Journal of Commerce, Drew Weinshank, Defense Weekly, Jack Cushman, New York Times, George Watson, senior contributing editor, ABC News, Mr. Barry Wiggham, Mrs. Lavendar Patten, Reginald Stuart, Assistant News Editor, Knight-Ridder Newspapers, and Chairman of the National Press Club Speakers* Committee, His Excellency Sir Robin Renwick, Ambassador of the United Kingdom and Northern Ireland to the United States, Jack Reynolds, a member of the National Press Club Speakers Committee who arranged today's luncheon, Avril Walker, The Economist, Keith Stafford, News Editor, Reuters, Stephen Robinson, London Daily Telegraph.

(Applause.)

MR. ADAMS: I would also like to thank staff members Melissa Bender, Pat Thomsbury, and Melanie Abdul De Roque for organizing today's luncheon.

Our guest today, the Right Honorable Christopher Patrick Patten, is the last Governor of the last of Britain's Royal Crown Colony of Hong Kong. That job is unique, because he knows to the second when it becomes history * - midnight, July 1, 1997.

The governorship is a mid-career change for the former Conservative Party chairman. Mr. Patten orchestrated the campaign which retained John Major as prime minister while at the same time losing his own parliamentary seat. He is now the key and controversial figure in the world's most rapidly growing economic area, one that encompasses Hong Kong, Taiwan, and South China.

/In this ........

TUESDAY, MAY 4, 1993

17 -

In this era of gifted politicians, Mr. Patten holds his own with a reputation as the most gifted politician in Britain of bis generation. He is the first of that profession to govern Hong Kong, heretofore the province of foreign minister professionals whose specialty was tending to an uneasy but mutually profitable coexistence with China to the north.

Mr. Patten changed the substance of politics in Hong Kong. He took to the streets, shaking hands and kissing babies, a technique he may have learned from working on one of John Lindsay's New York mayoral campaigns during his stint as a Coolidge traveling scholar.

Since his first policy speech in Hong Kong in October, where he introduced political reforms providing for more direct elections, Governor Patten has been on a collision course with China. He introduced social welfare and antipollution projects and instituted town hall meetings that would earn the applause of Mr. Perot but have drawn boos from Beijing.

One purpose of Mr. Patten's visit is a discussion of trade policy with the administration, Members of Congress, and the business community, all with a huge stake in the future of Hong Kong and China.

I am sure they will be listening eagerly to Mr. Patten's remarks to this press club audience today. Ladies and gentlemen, the Honorable Christopher Patten, Governor of Hong Kong.

(Applause.)

/THE RIGHT .......

TUESDAY, MAY 4, 1993

- 18 -

THE RIGHT HONORABLE CHRISTOPHER PATRICK PATTEN GOVERNOR OF HONG KONG

GOVERNOR PATTEN: Mr. Chairman, ladies and gentlemen, first of all, thank you very much indeed for that extremely courteous and flattering obituary notice. (Laughter.) GOVERNOR PATTEN: I feel very honored to be one of such a distinguished line of speakers addressing you over the next few weeks. I think the speech I would particularly like to hear would be Victor Borge on GATT and NAFTA.

(Laughter.)

GOVERNOR PATTEN: As you mentioned in your introductory remarks, chairman, I really began what for want of a better word we will call my political career working for John Lindsay's first mayoral campaign when he came out of the 17th Congressional District to run for other things, and my job on that campaign in 1965 was to cover the conservative candidate, Bill Buckley. I was responsible for researching Buckleyisms.

The one that I most enjoyed which told one, I guess, legions about the difficulties of the job for which he was allegedly running, was Buckley's reply when asked what the first thing would be if he were to succeed in his electoral quest and be elected mayor of New York, and Buckley replied very quickly, I’d demand a recount.

(Laughter.)

/GOVERNOR PATTEN! iHhh

TUESDAY, MAY 4, 1993

- 19 -

GOVERNOR PATTEN: I guess that is a reflection of the difficulty of running New York.

I have to say that being Governor of Hong Kong isn't exactly, a pushover, trying to manage a smooth transition from British sovereignty to Chinese sovereignty in 1997.

It is, as you said, chairman, the last great colonial responsibility which the United Kingdom has, but there is a distinct difference between our responsibility in Northern Ireland and that which we have discharged in other dependent territories over the years.

Elsewhere, we have been preparing communities for independence, and we have provided them with the appurtenances of independent statehood.

We have established fully democratic structures, independent courts, civil service, we have sent them a Speaker's Chair from Westminster, and we've launched the satellite into outer space and sometimes it has gone into a very satisfactory orbit and sometimes, alas, it's come crashing down to earth again.

But the purpose, always, has been the same, to establish a democracy on a Westminster model which we hope will sustain the community into years of independence.

/In Hong .......

TUESDAY, MAY 4, 1993

- 20 -

In Hong Kong, our task has been very different. Our task has been to prepare for the resumption of Chinese sovereignty in 1997. There have been occasions in the 1940's and the 1950's, for example, when we considered introducing, as we had in other dependent territories, democratic structures, and those proposals were always resisted very strongly by China, which feared that if we introduced democratic structures at that stage into Hong Kong it might lead to Hong Kong wishing for independence rather than the resumption of Chinese sovereignty in 1997.

However, when it came to discussing with China, to agreeing with China, the mechanism for the transfer of sovereignty in 1997, we agreed a slow and steady path to democracy. That agreement was set out in the joint declaration in the mid-1980's, and that declaration also bound us both in treaty form to safeguard Hong Kong's way of life and Hong Kong's freedoms for 50 years after 1997.

What we attempted to do in that joint declaration was to safeguard the concept, the historic concept expressed by Deng Xiaping. He said that what he wanted was one country with two systems, Hong Kong system, not just the capitalist allocation of resources, but the freedoms and the values of an open society, all set out specifically and in terms in that joint declaration.

The present argument that we've been having with China is about how we can best secure one country, two systems, and, if you like, it's about whether we're talking about one country, two systems, or one country, one-and-a-half systems, or one country, one-and-a-bit systems.

/We’re absolutely .....•

TUESDAY, MAY 4, 1993

- 21 -

We're absolutely clear that in the system that we're constructing in Hong Kong, even though there is limited democracy, that limited democracy must be credible, that the arrangements for the last elections under British sovereignty in 1995 have got to be clean and straightforward, and that's what we're discussing with Chinese officials in Beijing at the moment.

Hong Kong has been a spectacular success, the tenth largest trading community in the world, the second highest per capita GNP in Asia, a per capita GNP which is likely to exceed chat of about half the members of the European Community within the next year or so.

We are likely to overtake the Netherlands, Italy -- dare I mention the United Kingdom -- well before the transfer of sovereignty in 1997.

We represent in Hong Kong, with 6 million people, 19 percent of China's GNP. We have the busiest container port in the world, adding capacity equivalent to the size of Seattle or Oakland every year.

The fourth largest airport, which will, when we complete it -•

(Laughter.)

GOVERNOR PATTEN: -- be much the largest airport in the world, the tourist center of Asia.

And so the superlatives roll on, not just the economic ones, either. We have invested over the years considerably in social equity programs so that we can now boast rather better health care statistics on the most important items than, shall we say, the United States, the United Kingdom, or Australia, or New Zealand.

/So it’s .....

TUESDAY, MAY 4, 1993

- 22 -

So it's been a great success story. And why? First of all, because Adam Smith's been in permanent residence in Hong Kong over the two decades when our economy has quadrupled in its strength and size. We have been a community which has practiced market economics year-in and year-out with considerable zest and skill.

Secondly, we're at the center of the fastest-growing region in the world, where hundreds of millions of people are, in Churchill's phrase, moving ahead to better pastures and brighter days, and not only at the center of the Asia-Pacific region but also at the gateway of China, where the Chinese economy has been opening up over the last years with tremendous success. 70 percent of the investment that goes into China goes through Hong Kong. 80 percent of the investment that goes in to Guandong goes in through Hong Kong.

The third reason -- the third reason for our success is that we have combined Chinese entrepreneurialism with the rule of law, and the rule of law isn't, as you know, just a matter of judges in wigs sitting in courts. The rule of law is about the relationship, as well, between a free press, a credible legislature, and an independent court system.

All those things are keys to Hong Kong's prosperity, because, just as our prosperity has sustained our way of life, So it's equally true that our way of life has helped to sustain our prosperity.

/I think ........

TUESDAY, MAY 4, 1993

- 23 -

I think. Hong Kong's success matters, not only to the United Kingdom today, not only to China in the future, not only to the region, but also to the world. And it's not very surprising, therefore, that people ask how they can help us to remain successful.

Some Chinese critics of the 28th Government, and they do exist, claim that when I try to address a question like that, I'm, quote, internationalizing Hong Kong. I think that's a pretty ridiculous charge. Hong Kong is an international community. Hong Kong is a tremendous international asset, an international asset when Britain is sovereign, an international asset when China is sovereign, too. And I suspect that it is precisely because of its international importance that China is committed to continue its hugely successful system.

Of course, others recognize, as the President has this week, that the implementation of the joint declaration is a matter for Britain and China, not for others. But others do take an interest in that implementation being managed successfully. And it would be absurd for them not to do so. The moment that the rest of the world ceases to be interested in Hong Kong, it is time for everyone in China, in Britain, and in Hong Kong itself to start worrying.

/In showing ...

TUESDAY, MAY 4, 1993

- 24

In showing that interest, I hope that our friends will understand the difference between trade and economics on the one hand and politics on the other. I hope they won't get the two confused. I must say it would help me to make that point rather more successfully if it was a little clearer that China, a GATT applicant of course, understood that the two are different, as well.

I understand and respect the fact that United States foreign policy has traditionally been infused with a sense of values. Those who have benefitted from the consequences of that, as my generation did, for example, in Western Europe, do ill to criticize it. Foreign policy shouldn't be just about a utilitarian sense of national interest. Self interest invariably is served by trying to behave well, too. But as we say in England, I think one has to take account of running the right horse on the right course. I don't believe that trade and economics are a good vehicle except in extreme cases for pursuing political goals.

One reason why I take that view is because as Marxists, when there were any, used to believe, there is a relationship between economic and social progress and political progress. I don't argue for one moment that Washington or Westminster style democracy is everywhere a consequence almost mechanistically of a given level of GNP growth. Different cultures, different traditions, different periods of history produce different results.

/But I ........

TUESDAY, MAY 4, 1993

- 25 -

But I do believe that everywhere in the world the opening up of economies, a growth in personal affluence, an increase in educational standards, an increase, if I may say so, in the use of cellular phones, increase in travel, development of satellite television, all those things have political consequences. So free trade, in my view, is a servant of human progress.

Trade promotes travel and interchange. It increases understanding. It spreads information. It encourages the freer thinking that comes with a wider knowledge of the outside world. It throws light into dark corners because the prosperity it creates actually encourages social change and individual freedom.

As I've argued a number of times before, and as I find myself arguing in a series of meetings this week, trade does, in my view, help humanity as a process. But it has less to offer as a weapon. Less to offer because it's double edged. You can't use it as a weapon without hurting yourself. Reduce trade, and you reduce your communication and you ability to influence. You don't water a parched landscape by closing the gates of the dam.

One of the reasons for all our prosperity in the years since the war is the American economy, American free enterprise, and American generosity. Your aid has helped to get so many economies back on their feet again. Your businesses have set up in those economies an increased investment in them. Your domestic market has provided the customers for the products of the factories which you've helped to establish.

/China has ........

TUESDAY, MAY 4, 1993

- 26 -

China has been no exception to that economic development. MFN helped China's spectacular economic performance over the last 14 years of increasing liberalism in economic policy, a policy which the Chinese leadership have pursued with considerable dexterity and elan, 14 years of average 9 percent growth a year. That growth has been led by the regions with the greatest freedom to invest, with the greatest freedom to build and to trade.

Those in the vanguards of the movement of economic reform are inevitably those who have benefitted most from it. Equally, they would be the regions and they would be the people who would lose most if we were to cut off that trade, and I have to say that Hong Kong itself stands four square in that category. We have been a part of China's economic miracle, contributing to it and benefitting from it.

Saying this, I'm not speaking, as you will know, on China's behalf. I happen to believe that MFN, that trade, that opening up China's economy, that economic liberalism, that all those things are good not just for the standard of living of people in China, but for the quality of life of China's citizens.

But I'm not an official spokesman for the PRC. The PRC has other words which have been used about me. Prostitute, serpent, Buddha, tango dancer • • (Laughter.)

GOVERNOR PATTEN: --a particularly obscure one which has slightly confused my wife.

(Laughter.)

/GOVERNOR PATTEN:

TUESDAY, MAY 4, 1993

- 27 -

GOVERNOR PATTEN: Wonders what I get up to in my spare time.

(Laughter.)

GOVERNOR PATTEN: And sly lawyer, which you'll all realize is an oxymoron.

(Laughter.)

GOVERNOR PATTEN: But the NCNA has not yet asked for my services, though they've done a wonderful job of Improving my name recognition around the world.

(Laughter.)

GOVERNOR PATTEN: Nor am I here to lecture the United States on your interests, though plainly, ending MEN would have consequences for the American economy.

I know, I think, some of the arguments that concern you. But I can't help wondering whether you reduce the chances of China selling missiles to the wrong people by refusing to buy their peaceful products. And I can't help wondering whether the best way of pursuing your anxieties on human rights is through restricting trade on the one hand or increasing dialogue on the other. How much influence did the rest of the world have on China during the years of the cultural revolution when we had no contact with it.

/For me ........

TUESDAY, MAY 4, 1993

- 28 -

For me, of course, there is one other special consideration. Some people say that they would like to help Hong Kong and help to protect our modest political aspirations by linking MFN renewal to the political development of Hong Kong. They say they would like to go further than Senator McConnell's U.S. Hong Kong act which shows a benign interest in our prosperity and stability

4 and they use MFN as a tool to try to secure our way of life.

I just say today, as I've said in Hong Kong, I hope anybody who thinks that would actually be helpful will take it from the Governor of Hong Kong that it certainly wouldn't. I hope that anybody who's tempted to do that, won't. And I say to everyone with all the force at my commend, though without in any way abasing my enthusiasm for the United States, that you certainly can't help Hong Kong by hurting our economy.

And MFN does help us substantially, just as it helps the fastest growing regions in China, as I was saying. What helps us helps China, and what hurts China hurts us. Economists have made lots of predictions about the impact on us of ending MFN. You can argue about precisely what those consequences would be, but nobody can doubt that it would deal us a pretty heavy blow.

/I’m not .......

TUESDAY, MAY 4, 1993

29 -

I'm not going to hurl myself onto the spears of your debate, I know that there's very much thought and understanding going into the issue at the moment, a great deal of attention being paid to the exact terms on which MFN might be renewed. I only hope that those who are making the decisions will bear in mind some of the arguments that I have put today.

The New York Times, a few months ago, said in a marvelous phrase that no one has ever made any money betting against Hong Kong. I think that's right. I think Hong Kong has a bright future, and could well play in relation to the opening up of China's economy, the same sort of role that New York, itself, played in the opening up of the American economy a century ago. But that future in Hong Kong will be brighter and will be more assured, we'll have more prosperity and more political stability, if China does not seek to impede the modest steps towards democracy that it's already agreed we should make.

In the longer term, there's one other factor which I believe to be crucial to Hong Kong's well being. I have no hesitation at all in saying that the better the relationship between China and the United States, the better the prospects for Hong Kong. A China steadily moving forward towards a more open economy, a more open society, and dealing, we hope, responsibly and with self confidence, with the pressures and the challenges that come with economic success, and a United States economically strong, assured in its leadership, and ever mindful of its historic commitment to free markets and to the values of a free society.

/That relationship, .

TUESDAY, MAY 4, 1993

- 30 -

That relationship, mature and mutually reenforcing, would not only be good for Hong Kong, it would also be good for the Asian region and extremely good for the world.

Thank you, very much.

(End of transcript.)

MR. BERGER: Interesting questions. Several in this vein, so I'll read one that covers some.

Aren't the British being rather hypocritical when now, after well over half a century of colonial rule, they're trying to democratize Hong Kong in the 1995 elections just 2 years before the Chinese take back Hong Kong?

GOVERNOR PATTEN: It's actually more than half a century. It's 150 years.

(Laughter.)

GOVERNOR PATTEN: I tried to answer that point at the beginning of my speech, so either I didn't succeed or else the question was written before I began speaking --

(Laughter.)

GOVERNOR PATTEN: -- which has been known.

(Laughter.)

/GOVERNOR PATTEN: .......

TUESDAY, MAY 4, 1993

- 31 -

GOVERNOR PATTEN: I pointed out the difference between the way we had behaved in Hong Kong and the way we had behaved in all those colonial communities; that we were preparing not for the resumption of sovereignty by another power, but for independence. When we negotiated the terms of the transition with China, we agreed in the Joint Declaration, to which I referred, the pace towards which we could move to democracy in Hong Kong. That was part of that international agreement.

I am not seeking to increase the pace of democratization in Hong Kong, but what I am saying is that the elections held according to the Joint Declaration under British sovereignty -• I can't speak for what will happen under Chinese sovereignty •- should be conducted on a basis which is fair and reasonable. That they should ba credible elections, that they should be elections which produce a properly voted legislature, and not elections which produce a rubber stamp. We all know that you can arrange electoral processes in a way which produces a preordained result.

What we are talking to Chinese officials about at the moment isn't an increase in the pace of democratization, but it's what the arrangements should be for the elections 2 years before the transition to Chinese sovereignty. Those arrangements hadn't been agreed --hadn't been agreed before Patten arrived in Hong Kong. Maybe people would have heard less about the 28th governor if they had been agreed; maybe I'd have had a quieter life. They hadn't been agreed, we do have to agree them, and I hope we'll do so with good will on all sides in the course of the discussions we're having at the moment.

/MR. BERGER: .....

TUESDAY, MAY 4, 1993

- 32 -

MR. BERGER: What do you tell the nervous businesspeople in Hong Kong when they say you're just stirring up trouble with Peking; we have to live here when you leave?

GOVERNOR PATTEN: Yes, some of them do, though I know that not all of those who criticize are in that category. There are quite a few who are robustly critical who have, like me, a British passport or a Canadian passport or an American passport.

But I do think very hard about the almost 6 million people in Hong Kong who will be there after 1997. And that I think, as well, that if I am not standing up for their way of life before 1997, there's rather less chance of anybody standing up for their way of life after 1997.

A more fundamental point that I try to put to the business community is one that I touched on in my remarks earlier. Hong Kong hasn't been successful just because of the capitalist model of allocation of resources. Our way of life is about much more than capitalism. It's, if you like, about market economics operating within rules, within regulations, within the rule of law. Erode the rule of law and you knock away the foundations of Hong Kong's prosperity. How can you guarantee a commercial contract if you haven't got the rule of law fiercely and fearlessly implemented?

/So businessmen .......

TUESDAY, MAY 4, 1993

- 33 -

So businessmen who think that it wouldn't much matter if Hong Kong changed in its fundamentals better ask themselves what the credit rating would be if those things changed. They better ask themselves whether American banks would have quite as many assets locked up in Hong Kong if Hong Kong was no different from Shenzhen.

They better ask themselves whether it might not be the case that some of the 15 American-banks or 21 American insurance companies or 900 American firms or 26,000 American community who are in Hong Kong at the moment might not have nipped off to Taipei or Seoul or Tokyo or Singapore, where they might argue they could be rather surer about the rule of law.

There is, I repeat, a close relationship between a free press, a credible legislature which isn't afraid to ask difficult questions, and the rule of law itself. And not to understand those things is to fail to comprehend one of the most fundamental aspects of our own society: yours here in North America and ours In Western Europe.

MR. BERGER: You mentioned rule of law, and this question -- you talked about the rule of law being a key to Hong Kong's future, but isn't smuggling big business in Hong Kong these days?

/GOVERNOR PATTEN: .......

TUESDAY, MAY 4, 1993

- 34 -

GOVERNOR PATTEN: Smuggling is all too big a business, and something we suffer from in particular is the theft and smuggling of luxury cars. I think that if you were with us in Hong Kong, you would have heard yourselves anecdotes about what happens. You might even have heard about those who go north of the border to have serious discussions about how smuggling and car theft can be restricted, and find themselves being driven around in right-hand drive Mercedes or BMW's.

(Laughter.)

GOVERNOR PATTEN: It is a problem. It is a problem that we are addressing with the authorities in the PRC and a problem which we hope they will take seriously. Fortunately, we've managed to reduce the amount of car theft and smuggling over the last few months, largely, I hope, by some of the activities of the Independent Commission Against Corruption. That has been a very substantial move forward. But we still have to be extremely careful. We still have to be on our guard, and we need the active -- the active cooperation of the authorities in the PRC.

One other thing which, of course, promotes smuggling is duties and tariffs, as we know in England from the history of Cornwall in the eighteenth and nineteenth centuries. The more you can have free trade, the less smuggling you have. It's another reason why about the only thing on which I am ideological is free trade.

/MR. BERGER:

TUESDAY, MAY 4, 1993

- 35 -

MR. BERGER: Japan, despite its phenomenal economic dealing with Hong Kong, has remained peculiarly Bilent about the issues regarding the reversion of the colony. What is your view on that?

GOVERNOR PATTEN: We all have our different diplomatic styles. You're quite right to talk about the close relationship between Japan and Hong Kong. Japan has been one of the largest investors in Hong Kong. And Japan, like a number of other countries, has sensibly used Hong Kong as an investment gateway into China.

Japan has, over the years, done us the great favor of appointing as consuls general in Hong Kong very distinguished diplomats. For example, the present vice foreign minister responsible for international economic relations, Matsura-san, was consul general in Hong Kong. The present consul general was the private secretary to the last prime minister, Mr. Kaifu.

So the Japanese take Hong Kong very seriously at a governmental level. I've had two visits to Japan since I've been Governor myself, and they have both been extremely successful and rewarding. I'm sure that privately the Japanese will have expressed their concerns and interests to the PRC, as they have expressed them to us and to the United Kingdom. But the Japanese haven't, over the last decades, made a habit of up fronting with diplomatic concerns, and I guess they're not going to change.

/All I

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- 36 -

All I want from Japan is a continuing close relationship and continuing Japanese investment in our burgeoning economy, and I suspect when the Japanese look around the world at other places where they might want to invest, the attractions of Hong Kong continue to look fairly substantial.

MR. BERGER: Many Americans feel very strongly that buying Chinese goods made with prison and child labor is morally wrong. Levi Strauss is the most recent American company to voice this concern. How can you address our concern, in the absence of an MFN threat against China?

GOVERNOR PATTEN: I think the question almost answers itself, because you have given examples of individuals or individual companies making their own decision and doubtless having some affect as a consequence.

I think that human rights should be addressed in their own terms. Let me give you an example. At the moment three countries, Australia, France, and the United Kingdom, have established a dialogue with China about human rights. China takes a particular moral position, of course, but we put our own arguments and put them pretty vigorously. I think that it's fair to say that you've done exactly the same from time to time, and I guess are doing that at the moment with some consequences.

/So I ........

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- 37 -

So I think that it's better to address China in a dialogue on human rights rather than to take blanket economic or trading decisions which are unlikely to have, in my judgment, very much affect on those you would regard as the bad guys, even though they have quite a lot of affect on those who you would regard as the good guys.

Let me tell you -- give you an example of what I mean. The Wall Street Journal in a leading article a couple of days ago said that to revoke MFN wouldn't have all that much affect, it didn't believe, on people at the top, but it would have a tremendous affect on all those hundreds of thousands, if not millions of Chinese citizens who, because they had started to take up a position in the market, had started to be able to flex their muscles, at least as economic animals, in the sort of way of which we would all approve. I think it is better to help continue that economic process, that process of economic liberalism and economic freedom, rather than risk shutting it off.

MR. BERGER: What is your view of the Clinton administration's stance on textile trade? Do you seek the free flow of textile trade or further restrictions?

GOVERNOR PATTEN: Can I just add one footnote to what I was saying a moment or two ago, because I think it's an important point for us to make and it's a point that I made to both Senator Mitchell yesterday and Representative Pelosi.

/There isn't ........

TUESDAY, MAY 4, 1993

38

There isn't an argument between us on the importance of improving human rights. If anyone has a right to be concerned about the issue, it's the people of Hong Kong; the people of Hong Kong who will, of course, will be seeing the change of sovereignty in 1997. But there is a difference between us on how we can best secure an objective which we all feel very strongly, and people who will be living in Hong Kong after 1997 feel even more strongly about, if I may make the point like that.

Textile trade: Well, I hope that we see a successful completion of the GATT. I hope we see a successful completion of the Uruguay Round. And I hope on the foot of that success, we see a steady reduction in trade friction, for example in the textile areas, rather than the reverse. I don't think anybody gains from selective trade rows and the selective raising of trade barriers.

I thought the President made a remarkable - - a very good speech on this subject a few weeks ago. And in that speech he pointed out that, I think, 20 out of the 24 developed countries had in the last few years raised trade barriers even while, I think his figure was 60 developing countries had been lowering trade barriers. His message was absolutely clear. We need to move steadily towards lower trade barriers all round. We need a successful Uruguay Round. We need to reduce friction in areas like textiles, but in other areas as well.

/I feel ........

TUESDAY, MAY 4, 1993

- 39 -

I feel that very strongly in Hong Kong where textiles are extremely important to us. I feel that very strongly in Hong Kong where I can speak, for one of the very few communities where there aren't any tariffs at all. So, to borrow a phrase, we, as it were, put our money where our mouth is.

I worry about the pressures for protectionism around the world. Pressures in Europe, pressures in the agricultural sector, the pressures which try to add some respectability to the argument by pretending that the only way we can protect our welfare standards, our community provision, is by shutting out the goods from other communities where welfare standards may not be so high.

I worry about all those arguments and think that if we allow ourselves to drift down that road, we'll all rue the day because it will have calamitous consequences for our economic development and economic growth. I do think that free trade is one of those issues where there are dangers as soon as you move away from an assertion of principle, and I hope we can avoid such a move.

MR. BERGER: Forty years ago, the Democrats were labelled with the charge that they had lost China to communist oppression. Don't your proposals have a British domestic political purpose? Aren't they really designed to protect the Conservative Party from the post-1997 charge that they lost Hong Kong to communist oppression?

/GOVERNOR PATTEN: .......

$

TUESDAY, MAY 4, 1993

- 40 -

GOVERNOR PATTEN: That may form the core of an opposition speech in some election subsequent to 1997. But I think if it does, it will not be a speech that gets much coverage. 1 do not honestly think that that is a charge that would stick. I am not even sure that it is a charge that would be thrown, because I think it is inherently absurd.

There has been no argument, to speak of, in British politics about the resumption of Chinese sovereignty in 1997. There have been arguments in the past about the terms of that resumption. And there have been arguments, though fairly moderate, on the pace of democratization in Hong Kong. At present, I think I can say with reasonable confidence there is more cross-party support in Britain for what we are trying to do in Hong Kong than has been the case for a couple of decades.

I hope that can survive, because I think we should be attempting to pursue a bipartisan policy in Hong Kong.

What I would hope, looking beyond 1997, is that the United States and others, including Hong Kong, would have helped to ensure that China is a huge economic success. And without laboring the point, I think there are political consequences and social consequences of that, as I said earlier.

So I would very much hope that the charge that was levelled rather unfairly against the Democratic Party 40 years ago would simply not be regarded as a runner in relation to 1997 and the years after that.

/MR. BERGER: ........

TUESDAY, MAY 4, 1993

- 41

MR. BERGER: Will Hong Kong become the capital of greater China? Is it already? Can you speculate on the role of Hong Kong 50 years from now?

GOVERNOR PATTEN: In two minutes, it has been said from my right. (Laughter.) GOVERNOR PATTEN: I think there is a general recognition that Hong Kong is the capital of, as it were, the overseas Chinese of the diaspora. And I think Hong Kong will always have a very special place in the hearts of the global Chinese conmunity. I said that I thought that it would play a hugely important part in the development of the Chinese economy over the next few years. And I think it will play an important part culturally and socially as well.

Speculating what is going to happen 50 years ahead is of course some pretty dangerous business. And I am not sure how well qualified I am to do that. I recall that is only three or four years ago that one of the most distinguished State Department thinkers predicted the end of history. And there seems to have been all too much history since then.

I recall that is only I think four or five years ago that one of the leading American academics -• actually, a British scholar, predicted that the Soviet Union would continue as a strong global power. And he has just produced another book, I noticed, which I am sure will be full of equally valid predictions.

(Laughter.)

/GOVERNOR PATTEN: ....

TUESDAY, MAY 4, 1993

- 42

GOVERNOR PATTEN: I did not notice anything said about that prediction on the blurb.

So I am a little chary about predicting. But if you ask me to say what I would like Hong Kong to be like, I would like it to be continuing to excite virtually everyone who gets the plane in Hong Kong, with its verve and buzz and liveliness and can-do atmosphere, exactly some of the quality which have attracted many of us to the United States, if I may say so, over the years, which may surprise you, but it is true.

I would hope that Hong Kong would still be seen as a great open international city. I hope it would also be seen as representative of what we all mean and Karl Popper meant by an open society. I hope it will continue to give Adam Smith, as he lays unturning in his grave --(Laughter.) GOVERNOR PATTEN: Cause for merriment. And I hope, finally, that when you get off the plane in Hong Kong in just over 50 years time you will be getting off at Chek Lap Kok, rather than Kai Tak.

(Laughter.)

GOVERNOR PATTEN: But I suppose it is just about true that the Joint Liaison Group or whatever succeeds it may still be discussing the issue.

(Laughter.)

MR. BERGER: Before the final question, Governor, I would like to present you with a certificate of appreciation for appearing at the Press Club.

GOVERNOR PATTEN: Thank you very much.

/MR. BERGER: .....

TUESDAY, MAY 4, 1993

- 43

MR. BERGER: And a book on North American Indians, a picture book and text.

GOVERNOR PATTEN: Thank you very much. Thank you very much, indeed.

MR. BERGER: You are most welcome.

I missed telling you this before, and I am supposed to be repeating it. Audio and video tapes of today's luncheon are available through the National Press Club Library, or by calling 1 -800-952-TAPE. All proceeds of the sale of tapes benefits the National Press Club Library.

For the final question. Many of us in this room are wearing suits made in Hong Kong, even though we have never been there. Should we order several suits now, or will they still be available after 1997?

(Laughter.)

GOVERNOR PATTEN: I certainly think that you should go on ordering suits, shirts, shoes, and whatever else you wear. I can actually recommend a very good tailor.

(Laughter.)

GOVERNOR PATTEN: Who has spent much of the last few weeks, I am gratified to say, taking my suits in.

/(Laughter.) .......

TUESDAY, MAY 4, 1993

- 44 -

(Laughter.)

GOVERNOR PATTEN: I would very much like to know how many members of Congress have their suits made in Hong Kong. And I want to assure you that the standards and style are higher than ever. There have been one or two problems in the past. A great friend of mine had a pinstripe suit made in a great hurry in Hong Kong about 30 years ago. And it was terrific cut. The only problem was that they had made the pinstripes horizontal.

(Laughter.)

GOVERNOR PATTEN: But that, I can assure you, is not the norm.

(Laughter.)

GOVERNOR PATTEN: There are very good tailors who will make your suits faster than you believe humanly pseeible, faster than they will subsequently take to dry clean when you come back to the United States. They will make them very fast, very cheap, in a most wonderfully friendly manner.

And you would not know, would you, from that little advertising blurb that I am the Governor of Hong Kong?

(Laughter.) (Applause.)

/GOVERNOR PATTEN: .......

TUESDAY, MAY 4, 1993

- 45

GOVERNOR PATTEN: Something else which is very attractive in Hong Kong is porcelain and China, and we have very good design. And I would like to offer you a small memento of this occasion, which I hope will remind you of Hong Kong, and encourage you to come there, and encourage you to buy even more suits. I am not sure actually whether that one was made in -• (Laughter.)

MR. BERGER: You are looking at my Hong Kong suit.

Thank you very much.

GOVERNOR PATTEN: Yes, it is very well cut. (Applause.)

MR. BERGER: Thank you very much, Governor.

-----0------

/46 ........

TUESDAY, MAY 4, 1993

46

GOVERNOR'S PRESS CONFERENCE OUTSIDE CAPITOL BUILDING * A A A A

GOVERNOR PATTEN: I have had good meetings this afternoon with Senator Baucus and Representative Rostenkowski, the chairman of the House Ways & Means Committee, who is obviously a crucial player in this debate, and has been a consistent supporter of MFN renewal.

He la one of the most important congressional figures, so I much valued my discussion with him and his position on the issues hasn't changed at all over the last year, I'm pleased to say, nor, I suspect, has Representative Pelosi's*

MS. TIDWELL: You were talking to us about some of the other measures that America could use. What's that 301? Does that look like an issue that is going to ba come up again, and if it does, "what do you think Congress will do?

GOVERNOR PATTEN: Nobody's mentioned 301 to me. There are, I think, three different versions of 301. I think I'm right in saying that one of those versions of 3 01 has been suggested by one or two Senators as an addon to the provisions for a fast track authority for the Uruguay Round, but it hasn't featured as an issue in my discussions on the whole.

/MR. CHUGANI:

TUESDAY, MAY 4, 1993

- 47 -

MR. CHUGANI: Rostenkowski I think the year before did not support MFN, but I think last year he went along with the conditions. I don't know what his position is this year. As chairman, is he supporting the Pelosi bill or opposing it?

GOVERNOR PATTEN* No. I mean, as a matter of principle I think he is in favor of free trade and in favor of MFN renewal, but he's one of the most significant figures in the House of Representatives. He's responsible in the first place, as you know, for overseeing the discussions on the President's budget, and he will obviously want to be part of an administration t congressional consensus, I would judge.

MR. CHUGANI: So he's not saying that he's supporting the Pelosi bill, because his committee has jurisdiction over that bill.

GOVERNOR PATTEN: I-think it's actually because of the way it's drafted. I'm learning a lot about the American legislative process rather quickly. I think it's actually gone to three committees --

VOICE: That's right.

GOVERNOR PATTEN: -- whereas last year it just went to one.

As I said to you yesterday, I think the administration and congressional leaders are looking for a policy which will command as wide support as possible, and I think there are some issues about which they are particularly concerned -- weapons proliferation, human rights, and trade. It's our job to make sure that they take proper account of the impact on Hong Kong of whatever policy they come forward with.

/I suspect.......

TUESDAY, MAY 4, 1993

- 48 -

I suspect that the access that we've been given this week is an indication of the extent to which they're listening seriously to our arguments. I don't think we would have seen quite so many people for quite so long if they hadn't been very concerned to make sure that they were taking account of the Hong Kong point of view.

/ MR. MORIARTY: Did RosLenkowski bring up the deficit, sir, the huge deficit between the United States and China? Is that a subject of discussion?

GOVERNOR PATTEN: He didn't mention the size of the deficit. He did mention the opportunities for American business and China. Others have mentioned the size of the deficit, and it's plainly a real and genuine concern.

MR. MORIARTY: Is it playing into the MFN question, sir?

GOVERNOR PATTEN: Yes.

MR. MORIARTY: Do you think that basically protecting American industry is --

GOVERNOR PATTEN: It's playing into the MFN question.

MR. CHUGANI; Sir, are you more optimistic or pessimistic to achieve your goal at the moment?

GOVERNOR PATTEN: I'm optimistic that our arguments are going to be very closely considered when the administration and the congressional leadership decide their policy, but as I said yesterday, I think to be realistic their policymaking is going to take account of what was said during.the presidential campaign, public opinion, and concerns about the three matters that I've already referred to.

/MR. CHUGANI: .......

TUESDAY, MAY 4, 1993

- 49

MR. CHUGANI: Sir, do you think you are more convincing, much more.convincing than other lobbyists?

GOVERNOR PATTEN: Sorry -- no, I certainly wouldn't lay claim to that, and I wouldn't lay claim to have done more than put across -Hong Kong's case, but I think it is regarded as an important ingredient in the whole policymaking progress, but I repeat, the administration and Congress are looking for a policy which will command the widest support, and they are also clearly very worried about the three matters that I've mentioned.

Okay.

MR. MORIARTY: Can we just ask one last question, sir? Representative Pelosi, in addition to saying she felt you were having an impact by your visit here, said that her bill was clearly meant to provide leverage for this branch against the executive, what kind of leverage does her bill give you in terms of achieving your goals?

GOVERNOR PATTEN: I don't think her bill gives us any leverage, except that maybe some of the inadequacies in that particular bill will make it less likely that the administration will fetch up embracing it* That's rather a convoluted way of answering your extremely pertinent question.

MR. MORIARTY: Do you want to try again? i f (Laughter.)

/GOVERNOR PATTEN:

TUESDAY, MAY 4, 1993

- 50 -

GOVERNOR PATTEN: I'm not sure* All right.

This is a quick one. I'm not sure that Representative Pelosi's bill gives us any leverage. I think you know that we reckon that there are a"number of inadequate features in that bill which were well exposed by the Wall Street Journal last Friday.

If the administration reads the Wall Street * Journal, and it is aware as we are of some of the inadequacies in the bill, then maybe it will impel them in an alternative direction, in which case the leverage will have been counterleverage. So there.

MR. MORIARTY: Is the Journal giving you any percentages of increase in circulation?

(Laughter.)

GOVERNOR PATTEN: It's going to be even more widely read in - -

MR. CHUGANI: Pelosi says she never reads the Wall Street Journal. She never agrees with the Wall Street Journal.

(Laughter.)

MR. CHUGANI: That's what she said.

GOVERNOR PATTEN: I bet she doesn't say that about the San Francisco Chronicle. I'll quote that next time. i VOICE: Thanks very much indeed.

QUESTION: Did you time your visit, Governor, to fit in with when this.was going to come up?

GOVERNOR PATTEN: Yes, and I would guess that for the Governor and the chief-executive of the SAR, April, May, most years is going to be a good time to be in Washington.

VOICE: Thank you.

Received by PRO on 1 1 MAY 1993

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

WEDNESDAY, MAY 5, 1993

CONTENTS PAGE NO.

GOVERNOR'S MEDIA BRIEFING IN WASHINGTON ......................... 1

SINO-BRITISH LAND COMMISSION .................................... 9

LAND COMMISSION MEETING VERY IMPORTANT: SIR DAVID ............... 9

GOVERNOR'S SECOND DAY VISIT IN WASHINGTON ....................... 9

ROYAL NAVY MOVE TO STONECUTTERS GATHERS PACE ................... 10

GOVERNMENT DETERMINED TO FURTHER IMPROVE NT ENVIRONMENT ........ 11

CONSULTANTS APPOINTED TO REVIEW PUBLIC WORKS PROCEDURES ........ 11

HK URGES ADB MEMBERS TO DEVELOP FINANCIAL SYSTEMS AND MARKETS 12

"BE MY TEACHER" CAMPAIGN ENTERS SECOND PHASE ................... 14

TSUEN WAN SITE TO LET .......................................... 15

SALT WATER CUT IN HUNG HOM ..................................... 16

FINANCE COMMITTEE MEETS ON FRIDAY .............................. 16

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ..

16

WEDNESDAY, MAY 5, 19'M

1

GOVERNOR'S MEDIA BRIEFING IN WASHINGTON * * * * *

FOLLOWING IS THE TRANSCRIPT OF THE MEDIA BRIEFING BY Tin: GOVERNOR, THE RT HON CHRISTOPHER PATTEN, AT FOUR SEASONS HOTEL WASHINGTON, DC, ON MAY 5 (WEDNESDAY).

GOVERNOR: GOOD MORNING. I’VE MADE 4 SPEECHES SO FAR THIS WEEK, AND DONE ABOUT 10 STAND-UPS, ANSWERED YOUR QUESTIONS ON A NUMBER OF OCCASIONS, AND I GUESS THE SENSIBLE THING FOR ME TO DO IS TO LET YOU ASK SOME MORE, RATHER THAN SUBJECT YOU TO ANOTHER OF MY SPEECHES.

WHO WOULD LIKE TO START? YES.

MR CHUGANI: I WAS JUST GOING TO ASK YOU THIS: OVER THE PAST COUPLE OF DAYS YOU HAVE DESCRIBED AS ABSURD CERTAIN CHINESE CHARGES THAT YOU WERE TRYING TO INTERNATIONALISE HONG KONG. OVER THE PAST 3 DAYS YOU HAVE MET WITH THE PRESIDENT IN THE WHITE HOUSE, YOU HAVE MET WITH OTHER VERY SENIOR AMERICAN LEADERS. THE NEW ADMINISTRATION HAS NOT SO FAR MET WITH SENIOR CHINESE LEADERS, AND AFTER MEETING WITH YOU THESE AMERICAN LEADERS HAVE GIVEN ENTHUSIASTIC SUPPORT TO YOUR PROPOSALS FOR GREATER DEMOCRACY.

GOVERNOR: WELL, THAT IS TRUE.

MR CHUGANI: WELL, THAT’S TRUE. WITH THIS MIX OF FACTORS, HOW DO YOU THINK THIS WILL PLAY IN CHINA? DO YOU THINK IT WILL INCREASE TENSION BETWEEN THE ALREADY TENSE RELATIONS BETWEEN CHINA AND HONG KONG?

GOVERNOR: WELL, IT'S NOT FOR ME TO MAKE UP ON THE HOOF THE POLICY OF A NEW U.S. ADMINISTRATION ON CHINA, THOUGH I’M SURE THAT WHEN SENIOR CHINESE LEADERS VISIT WASHINGTON THEY WILL BE TREATED WITH THE SAME COURTESY AND INTEREST THAT HAS BEEN SHOWN TO ME.

BUT LET ME GO BACK TO YOUR — TO THE PREMISE, THE TRUTH AS RECORDED BY THE NEW CHINA NEWS AGENCY, OR SOMETHING APPROACHING TO WHAT THE NEW CHINA NEWS AGENCY SAYS IS THE TRUTH, THE INTERNATIONALISATION OF HONG KONG.

IT IS AN ABSURD ARGUMENT OR CHARGE. HONG KONG IS AN OPEN CITY. IT’S AN INTERNATIONAL COMMUNITY. IT'S THE TENTH LARGEST TRADING COMMUNITY IN THE WORLD, HUGELY IMPORTANT REGIONALLY AND GLOBALLY AS A COMMERCIAL AND FINANCIAL CENTRE. IT IS NOW, AND IT IS ALL OUR AIMS TO MAKE SURE THAT IT IS FOR THE INDEFINITE FUTURE.

SO JUST AS THE 28TH BRITISH GOVERNOR FINDS IT NECESSARY TO TRAVEL TO REPRESENT HONG KONG’S INTERESTS AROUND THE WORLD, SO WILL THE CHIEF EXECUTIVE OF THE SAR AFTER 1997 IF SHE OR HE IS DOING HER OR HIS JOB PROPERLY. IT'S A STATEMENT OF THE BLINDINGLY OBVIOUS TO MOST OF US.

IT'S ALSO WORTH NOTING THAT AT THE MOMENT A RELATIVELY NEW U.S. ADMINISTRATION IS TRYING TO SHAPE ITS POLICY ON CHINA, ON TRADE, AND PARTICULARLY RELEVANT TO US, ON MFN STATUS FOR CHINA. SO THIS IS A PARTICULARLY GOOD MOMENT FOR HONG KONG TO BE PUTTING ITS CASE ON TRADE AND ON MFN TO A NEW ADMINISTRATION AND TO THE CONGRESSIONAL LEADERSHIP.

/AGAIN, I ........

WEDNESDAY, MAY 5, 1993

2

AGAIN, I THINK IF I WASN’T DOING THAT, I’D BE FALLING DOWN ON MY JOB. SO I THINK THAT PUTTING HONG KONG’S CASE HERE THIS WEEK IN WASHINGTON AND NEW YORK IS IMPORTANT FOR HONG KONG, IS IMPORTANT FOR THE REGIONAL ECONOMY. AND I’VE SAID ALREADY THIS WEEK AND WILL CONTINUE TO SAY THAT IN MY VIEW ALMOST THE SINGLE MOST IMPORTANT ELEMENT IN SECURING THE LONG-TERM PROSPERITY AND STABILITY OF HONG KONG IS A GOOD AND CONSTRUCTIVE AND OPEN RELATIONSHIP BETWEEN CHINA AND THE UNITED STATES.

QUESTION: MR PATTEN, WHAT DO YOU THINK ABOUT YOUR TRIP IN WASHINGTON, DC? IS IT IS A FAILURE OR A SUCCESS? BECAUSE THOSE WHO SUPPORT THE VIEW STILL SUPPORT THE VIEW, AND THOSE WHO DOESN’T STILL DOESN’T. AND YOU ARE HERE, BUT YOU MAKE NO DIFFERENCE.

GOVERNOR: FIRST OF ALL, I THINK THAT THE ACCESS THAT I'VE BEEN GIVEN AND THE AMOUNT OF TIME WHICH HAS BEEN PAID TO HONG KONG HAS BEEN A GREAT SUCCESS. WE'VE INSURED THAT THE INTERESTS OF HONG KONG ARE ON THE AGENDA WHEN PEOPLE ARE CONSIDERING REVIEWING POLICY ON MFN AND POLICY ON TRADE. I THINK IT'S IMPOSSIBLE TO CONCEIVE OF HOW WE COULD HAVE BEEN BETTER TREATED, HOW WE COULD HAVE GOT MORE TIME.

SECONDLY, IF YOU EXPECTED ME TO COME TO HONG KONG AND CHANGE REPRESENTATIVE PELOSI’S VIEWS ON MFN, YOU HAD A MUCH HIGH REGARD FOR MY ELOQUENCE THAN I HAVE MYSELF. WHAT WE HAVE MANAGED TO DO IS TO ENSURE THAT EVERYONE, FROM CONGRESSIONAL LEADERS TO LEADERS OF THE ADMINISTRATION, IS PAYING SERIOUS ATTENTION TO HONG KONG'S POSITION WHILE IT REVIEWS ITS POLICY ON MFN.

THIS IS A NEW ADMINISTRATION WITH A CONCERN FOR BOTH THE THINGS THAT WERE SAID IN THE PRESIDENTIAL CAMPAIGN AND THE NEED TO BUILD BRIDGES TO THE CONGRESSIONAL LEADERSHIP. I DON'T THINK ANYBODY WAS EXPECTING THINGS TO BE EXACTLY THE SAME AS THEY WERE LAST YEAR; ALL THE MORE REASON FOR US THIS YEAR MAKING OUR OWN PITCH.

MR ELLIOTT: MIKE ELLIOTT FROM THE ECONOMIST. GOVERNOR, DO YOU THINK THERE ARE WAYS IN WHICH THE BROAD POLICY OBJECTIVES IN THE MITCHELL-PELOSI BILL COULD BE ADVANCED WITHOUT USING THE THREAT OF REMOVING MFN? IN OTHER WORDS, ARE THERE OTHER METHODS IN WHICH THE THINGS THAT MOTIVATE NANCY PELOSI AND GEORGE MITCHELL AND THEIR SUPPORTERS COULD BE TAKEN FORWARD? HAVE YOU DISCUSSED THAT?

GOVERNOR: YES, I HAVE, IN TERMS BOTH WITH THE SENATOR AND THE REPRESENTATIVE AND WITH OTHERS. IT'S, OF COURSE, NOT FOR ME TO CONSTRUCT A POLICY FOR THE U.S. ADMINISTRATION, BUT IN EACH OF THE SECTORS THAT ARE OF PARTICULAR CONCERN TO THE SENATOR AND THE REPRESENTATIVE AND TO OTHERS, I THINK THAT THERE ARE DIFFERENT AND SPECIFIC ROUTES THAT COULD BE FOLLOWED.

FOR EXAMPLE, IN THE CONTEXT OF WEAPONS PROLIFERATION THERE ARE PARTICULAR MODALITIES LAID DOWN NOT ONLY IN INTERNATIONAL AGREEMENTS, BUT ALSO IN NATIONAL LEGISLATION, FOR PURSUING PARTICULAR INTERESTS. THE PURCHASE OF AVIONICS AND OTHER SPACE PRODUCTS, FOR INSTANCE, IS ONE OF THE DOMESTIC LEGISLATION POSSIBILITIES FOR BREACHES FOR MTR.

/SECONDLY, IN ........

WEDNESDAY, MAY 5, 1993

3

SECONDLY, IN RELATION TO HUMAN RIGHTS CONCERNS, AND PEOPLE IN HONG KONG UNDERSTAND CONCERNS ABOUT HUMAN RIGHTS, THERE HAVE BEEN PARTICULAR -- THERE ARE PARTICULAR EXAMPLES -- THE UNITED KINGDOM, FRANCE, AUSTRALIA — OF COUNTRIES WHICH ARE CONCERNED ABOUT THOSE MATTERS PURSUING THEM BILATERALLY IN A DIALOGUE WITH THE PEOPLE'S REPUBLIC OF CHINA.

THE PEOPLE’S REPUBLIC OF CHINA SET OUT THEIR POSITION VERY CLEARLY, BUT I THINK THERE HAS BEEN A USEFUL DIALOGUE ON THOSE MATTERS. I HAVE MET, FOR EXAMPLE, MEMBERS OF BOTH THE UK AND AUSTRALIAN DELEGATIONS TO CHINA, WHICH DISCUSSED THEM.

ON SPECIFIC TRADE ISSUES, AGAIN THERE ARE WAYS IN WHICH THOSE CAN BE PURSUED ON THEIR MERITS. WE'VE SEEN THAT ALREADY WITH THE U.S. NEGOTIATORS IN RELATION TO 301, IN RELATION TO MARKET ACCESS, IN RELATION TO INTELLECTUAL PROPERTY. SO I'M VERY MUCH IN FAVOUR OF HORSES FOR COURSES RATHER THAN RUNNING THE MFN ANIMAL OVER THE FENCES. END OF THAT METAPHOR.

QUESTION: GOVERNOR, WHAT KIND OF ADVERSITIES DO YOU FACE AS FAR AS BALANCING — TRYING TO GET INITIAL MFN AND AT THE SAME TIME ENSURING THAT HONG KONG'S DEMOCRATIC REFORMS STAY, AND BALANCED BETWEEN TWO SOVEREIGN POWERS, AND THE MATERIAL KIND OF IMPACT YOU THINK YOUR VISIT WILL HAVE ON AN EXPECTED JLG TALK IN BEIJING THIS MONTH?

GOVERNOR: WELL YOU MUST TELL. ME ABOUT THE JLG TALK.

FIRST OF ALL, I THINK THAT EVERYONE IN WASHINGTON, PARTICULARLY, OF COURSE, THE PRESIDENT, HAS BEEN SCRUPULOUS IN MAKING THE POINT THAT THE IMPLEMENTATION OF THE JOINT DECLARATION IS A MATTER FOR BRITAIN AND CHINA, THE PRESENT SOVEREIGN POWER AND THE FUTURE SOVEREIGN POWER.

AT THE SAME TIME, THEY'VE EXPRESSED, UNDERSTANDABLY, THEIR CONCERN THAT THE JOINT DECLARATION SHOULD BE SUCCESSFULLY IMPLEMENTED, AND THAT'S A CONCERN AND AN INTEREST WHICH IS FELT THROUGHOUT THE WORLD. THAT’S NOT TRAMPLING OVER BRITAIN'S PRESENT SOVEREIGNTY OR CHINA'S FUTURE SOVEREIGNTY. IT'S AN EXPRESSION, AS I SUGGESTED EARLIER, OF HONG KONG'S INTEREST TO THE WHOLE WORLD.

I DON'T THINK THAT MAKING THE PITCH THAT WE HAVE ON MFN AND TRADE, AND ANSWERING QUESTIONS ABOUT THE POLITICAL DISAGREEMENTS THAT WE'VE HAD WITH CHINA, HAVE GOT INTERMINGLED OR CONFUSED. BUT I'M NOT SURPRISED THAT WE'VE HAD QUESTIONS ON POLITICS SINCE THAT TOUCHES ON THE SUCCESSFUL IMPLEMENTATION OF THE JOINT DECLARATION.

ONE MORE THING ON MFN. I REPEAT THAT AT A MOMENT WHEN THE ADMINISTRATION IS CLEARLY IN THE THROES OF REVIEWING ITS POLICY, AT A TIME WHEN CONGRESSIONAL LEADERS ARE TALKING TO THE ADMINISTRATION ABOUT THAT REVIEW OF POLICY, I THINK IT'S RIGHT AND APPROPRIATE FOR US TO BE HERE PUTTING OUR OWN ARGUMENT. I DON'T THINK THAT MANY PEOPLE EXPECTED THERE TO BE NO CHANGE AFTER THE ELECTION OF A NEW PRESIDENT, AND A NEW PRESIDENT WHO HAD SAID QUITE A LOT ABOUT THE ISSUE WHILE HE WAS CAMPAIGNING.

/QUESTION: .......

WEDNESDAY, MAY 5, 1993

4

QUESTION: SENATOR MITCHELL, WHEN HE WAS INTRODUCING THIS LEGISLATION SEVERAL WEEKS AGO, SAID HIMSELF THAT HE HOPED THAT IT WOULDN'T BE NECESSARY, IMPLYING POSSIBLY THAT JUST BY PUTTING THIS LEGISLATION ON THE TABLE THERE MIGHT BE ENOUGH PRESSURE TO ACHIEVE SOME OF THE U.S. OBJECTIVES VIS-A-VIS CHINA. DO YOU BELIEVE THAT THIS IS A PRODUCTIVE APPROACH TO ACCOMPLISHING THOSE OBJECTIVES, OR DO YOU THINK THAT IT'S COUNTERPRODUCTIVE TO PUT THE MFN LEGISLATION OUT FOR CONSIDERATION?

GOVERNOR: I DON'T THINK THAT THE LEGISLATIVE ROUTE IS A PARTICULARLY SENSIBLE ONE, AND I VERY MUCH AGREED WITH -- I'M SORRY TO ADVERTISE IT AGAIN. AS IF IT NEEDED IT. I VERY MUCH AGREED WITH THE LEADER IN THE WALL STREET JOURNAL LAST FRIDAY WHICH INDICATED SOME OF THE WEAKNESSES IN THE LEGISLATIVE APPROACH TAKEN IN THOSE TWO BILLS, SENATOR MITCHELL'S BILL AND REPRESENTATIVE PELOSI'S BILL.

SO I HAVE PARTICULAR VIEWS ABOUT THE LEGISLATION. I ALSO DON'T THINK IT'S VERY HELPFUL FOR ME TO MAKE COMMENTS ON WHAT CHINA'S REACTION MAY BE TO A PARTICULAR APPROACH TAKEN BY THE ADMINISTRATION OR CONGRESSIONAL LEADERSHIP, BECAUSE THAT MIGHT CONCEIVABLY MAKE ADJUSTMENTS OF POLICY OR INITIATIVES BY THE CHINESE LEADERSHIP LESS LIKELY RATHER THAN MORE LIKELY.

I THINK THAT THERE IS A BODY OF OPINION THAT. LIKE POLITICAL LEADERS ELSEWHERE, THOSE IN CHINA LIKE TO FEEL THAT THEY'RE TAKING THE INITIATIVE RATHER THAN REACTING. AND THAT CONDITIONS. I THINK, ALL OUR DIPLOMATIC ACTIVITY.

FRANCIS.

MR MORIARTY: GOVERNOR. PRESIDENT CLINTON HAS SAID THAT HE CONSIDERS THE SPREAD OF DEMOCRACY TO BE AN INVESTMENT IN AMERICA'S FUTURE, AND HE IS SAID TO BE OUTLINING A WHOLE RANGE OF WAYS OF GOING ABOUT DOING THAT AT A GRASSROOTS LEVEL: USAID, VOICE OF AMERICA, ET CETERA. DO YOU FEEL - HAVE YOU SAID TO HIM AND, IF ASKED, WOULD YOU SAY TO HIM THAT HONG KONG WOULD BE A GOOD PLACE FOR AMERICA TO MAKE SUCH AN INVESTMENT?

GOVERNOR: I WOULDN'T SUGGEST THAT HONG KONG WAS THE BEST PLACE TO START SINCE WE'RE DOING RATHER A LOT OURSELVES AT THE MOMENT. FIRST OF ALL. IT'S AS PRESIDENT CLINTON SAID TO ME AND TO YOU ON MONDAY, IT’S SCARCELY SURPRISING TO DISCOVER THAT THE UNITED STATES IS IN FAVOUR OF DEMOCRACY. IT IS. AFTER ALL, ONF, OF THE GREATEST DEMOCRACIES IN THE WORLD. AND AS HAS BEEN CONSISTENTLY THE CASE OVER DECADES, AMERICAN FOREIGN POLICY IS INFUSED WITH A SENSE OF VALUES, AND THOSE INCLUDE THE VALUES OF AN OPEN SOCIETY.

I THINK - SPEAKING AS CHRIS PATTEN RATHER THAN THE 28TH BRITISH GOVERNOR, I THINK THAT THE U.S.'S COMMITMENT TO HELP FLEDGLING DEMOCRACIES AROUND THE WORLD I THINK THE APPOINTMENT OF AN ASSISTANT SECRETARY, AN UNDER SECRETARY IN THE STATE DEPARTMENT WITH THAT RESPONSIBILITY IS EXTREMELY HELPFUL. AND IF 1 WAS A POLITICIAN IN CENTRAL OR EASTERN EUROPE, FOR EXAMPLE, I WOULD WELCOME THAT ASSISTANCE.

/BUT SECONDLY,

WEDNESDAY, MAY 5, 1993

5

BUT SECONDLY, IN HONG KONG WHAT IS POSSIBLE FOR US IN DEVELOPING DEMOCRATIC STRUCTURES IS ALREADY PREORDAINED IN THE JOINT DECLARATION, AND WE'RE MOVING AT A STEADY AND PREDETERMINED PACE TOWARDS DEMOCRACY. I DON'T, THEREFORE, THINK THAT THE UNITED STATES AND THE FOUNDATIONS ASSOCIATED WITH THE DEVELOPMENT OF DEMOCRACY HAVE A PLACE TO — HAVE A ROLE TO PLAY IN HONG KONG.

WE HAVE TO WORK OUT OUR OWN ARRANGEMENTS WITHIN THE PARAMETERS OF THE JOINT DECLARATION, AND THE DISAGREEMENT BETWEEN BRITAIN AND CHINA HAS BEEN OVER NOT THE PACE OF DEMOCRATISATION BUT THE CREDIBILITY OF THE DEMOCRATIC ARRANGEMENTS THAT WE MAKE BEFORE 1997. THAT’S A DISAGREEMENT THAT WE'RE TRYING TO RESOLVE, I BELIEVE IN A SPIRIT OF GOOD FAITH ON BOTH SIDES.

I HOPE WE WILL RESOLVE IT. IT INVOLVES — AS SHEN-ZIENG, THE DEPUTY HEAD OF THE HONG KONG MACAO OFFICE SAID, IT INVOLVES QUITE A STIFF CLIMB. I THINK HE SAID A CLIMB TO THE TOP OF THE GREAT WALL OF CHINA. AND WE'RE ALL FINDING THE JOURNEY BRACING.

JONATHAN.

QUESTION: YES. THERE HAVE BEEN REPORTS HAVE COME OUT IN THE OTHER NEWSPAPERS, IN BOTH THE WALL STREET JOURNAL AND THE POST, I THINK THE TIMES, I THINK, THAT SAID THAT DIPLOMATS, BRITISH DIPLOMATS HAVE BEEN SAYING THAT THEY WOULD HAVE BEEN HAPPIER IF YOU HAD JUST BEEN SEEN PHOTOGRAPHED WITH THE PRESIDENT AND THE PRESIDENT HADN'T MADE HIS BIG PLAY ON DEMOCRACY. AND THERE'S BEEN SOME FEELING THAT MAYBE A LOT OF WHAT YOU'VE BEEN — THAT THE HIGH PROFILE YOU'VE BEEN GETTING HAS ACTUALLY BEEN EMBARRASSING FOR THEM, BECAUSE YOU ARE HERE TO TRY AND SHOW THAT YOU CARE ABOUT — THAT YOU ARE HERE TO SHOW THAT YOU ARE DOING SOMETHING WHICH WILL HELP BOTH CHINA AND HONG KONG.

AND THE AMERICANS KEEP HARPING ON ABOUT -- AND YOU ARE NOT GOING TO GET AWAY WITH MFN IF THE AMERICANS KEEP HARPING ON ABOUT DEMOCRACY. DO YOU THINK THAT'S ACTUALLY SERVED YOUR PURPOSE OR DO YOU THINK IT COULD HAVE DAMAGED HONG KONG’S CAUSE AND YOUR OWN CAUSE IN CHINA?

GOVERNOR: IF THIS IS EMBARRASSMENT, GIVE ME MORE OF IT. I THINK THAT — I CANNOT BELIEVE — START A DIFFERENT WAY. I CANNOT BELIEVE THAT THERE IS REALLY, EVEN IN THE DEEPEST BASEMENTS OF THE FOREIGN OFFICE, A DIPLOMAT WHO COULD TAKE THE POINT OF VIEW WHICH HAS BEEN ASCRIBED TO THE FOREIGN OFFICE BY JONATHAN, THOUGH IT IS CONCEIVABLE THAT THERE MAY BE THE ODD RETIRED DIPLOMAT WHO MIGHT HAVE SAID THAT IN THE BAR OF THE TRAVELER'S CLUB.

WHO COULD EXPECT THE PRESIDENT OF THE UNITED STATES, WHILE SETTING OUT VERY CLEARLY THE PARAMETERS OF AMERICA'S INTEREST IN THESE MATTERS, WHO COULD EXPECT THE PRESIDENT OF THE UNITED STATES TO DO OTHER THAN EXPRESS SUPPORT FOR CREDIBLE DEMOCRATIC INSTITUTIONS RATHER THAN PLAYING AT DEMOCRATIC INSTITUTIONS.

/SECONDLY, I ........

WEDNESDAY, MAY 5, 1993

6

SECONDLY, I THINK THAT WHILE EVERYONE SENSIBLE RECOGNISES THAT U.S. POLICY THIS YEAR IS UNLIKELY TO BE IDENTICAL WITH U.S. POLICY LAST YEAR, THIS IS AN EXTREMELY GOOD MOMENT FOR US TO BE EXPRESSING OUR VIEWS ON WHAT THAT POLICY SHOULD BE. AND THE ACCESS THAT I HAVE HAD AND THE OPPORTUNITY THAT I HAVE HAD OF MEETING ADMINISTRATION OFFICIALS AND LEADERS IN CONGRESS HAS, I HOPE, ENSURED THAT WHATEVER POLICY EMERGES WILL REFLECT THE INTERESTS OF HONG KONG. AND IN MY JUDGMENT, THE INTERESTS OF HONG KONG ARE CLOSELY ASSOCIATED WITH THE INTERESTS OF THOSE WHO HAVE, WITH CONSIDERABLE ELAN, BEEN PROMOTING ECONOMIC REFORM IN CHINA.

SO I DON’T ACCEPT THE PARADOX POSED BY EITHER JONATHAN OR NAMELESS DIPLOMATIC SOURCES, WHOEVER THEY MAY BE. AND I SPEAK AS A RECENTLY ESTABLISHED DIPLOMAT.

QUESTION: IF I COULD FOLLOW THAT?

GOVERNOR: YES.

QUESTION: IT'S THE OTHER SIDE OF REALLY THE SAME QUESTION. PEOPLE HERE IN WASHINGTON HAVE BEEN TOTALLY IMPRESSED BY THE AMOUNT OF ACCESS YOU'VE GOTTEN AND THE AMOUNT OF PLAY ON DEMOCRACY. AND YOU SEEM NOT TO (INAUDIBLE). AND ALSO HAVE BEEN QUESTIONING THE WAY YOUR SPEECH WHICH YOU MADE AT THE NATIONAL PRESS’CLUB, PEOPLE SAYING YOU APPEARED TO BE ALMOST SNUBBING THE PRESIDENT, WHO IS GOING — YOUR SPEECH APPEARED TO PLAY DOWN THE WHOLE QUESTION OF HUMAN RIGHTS, EVEN THOUGH YOU SAY HONG KONG UNDERSTANDS YOU. DO YOU THINK THE PLAY HERE HAS ACTUALLY BEING SYMPATHETIC ON THE MFN FRONT?

GOVERNOR: I TOLD THE PRESIDENT WHAT I WAS PROPOSING TO SAY AT THE NATIONAL PRESS CLUB, AND WHAT I SAID AT THE NATIONAL PRESS CLUB WAS NOT VERY DIFFERENT FROM WHAT I SAID TO THE AMERICAN CHAMBER OF COMMERCE, IN A SPEECH BEFORE I LEFT HONG KONG. SO I GUESS THE PRESIDENT AND THE ADMINISTRATION WOULD HAVE BEEN WELL APPRISED OF MY POSITION.

I THINK THEY UNDERSTAND THAT, AS A MATTER OF BOTH PRINCIPLE AND PRACTICE, AND THE PRINCIPLE IN MY CASE IN SOMEWHAT BUTTRESSED BY THE FACT THAT FREE TRADE IS SOMETHING I FEEL STRONGLY IDEOLOGICAL ABOUT, t THINK THAT THE PRESIDENT AND THE ADMINISTRATION RECOGNISE THAT WE WOULD SET OUT OUR ARGUMENT ON MFN BOTH IN TERMS OF PRINCIPLE AND AS A MATTER OF UTILITARIAN FRONT LINE FACT.

IF MFN WERE TO BE CANCELLED OR IF MFN WERE TO BE SO QUALIFIED BY CONDITIONALITY AS TO MAKE A SERIOUS IMPACT ON TRADE BETWEEN CHINA AND THE UNITED STATES, THEN PEOPLE DO NEED TO RECOGNISE THAT HONG KONG WOULD BE HIT, AND WHATEVER THE OBJECTIVES, WHATEVER THE JUSTIFICATION SOME PEOPLE MAY FEEL FOR THOSE OBJECTIVES, THAT IS A FACT WHICH EVERYONE HAS TO RECOGNISE. I GUESS THAT YOU COULD DESIGN SOME FORMS OF EXPECTATION OR MODERATE CONDITIONALITY AROUND MFN WHICH WOULD NOT HAVE THAT EFFECT ON HONG KONG.

/BUT WHAT .......

WEDNESDAY, MAY 5, 1993

7

BUT WHAT I PLAINLY CAN'T DO, JONATHAN, WHEN I MAKE A SPEECH, IS TO CONCEDE THE POINT OF PRINCIPLE. AND TO MAKE A SPEECH ABOUT THE SORT OF MODEST CONDITIONALITY WHICH HONG KONG MIGHT FIND BEARABLE, THAT WOULDN'T MAKE SENSE AS A NEGOTIATING TACTIC, AND IT WOULD RAISE, I THINK, DOUBTS IN THE MINDS OF ALL BUT THE MOST SOPHISTICATED MEMBERS OF AN AUDIENCE LISTENING TO ME.

SO ONE, THE ADMINISTRATION HAS KNOWN ALL ALONG WHAT ARGUMENTS WE WOULD BE PUTTING THIS WEEK ON MFN . TWO, I HAVE MADE IT CONSISTENTLY CLEAR THAT WE UNDERSTAND WHAT THE UNITED STATES IS DOING, IS SAYING ABOUT HUMAN RIGHTS. WHO, MORE THAN PEOPLE IN HONG KONG, SHOULD BE CONCERNED ABOUT HUMAN RIGHTS? BUT THAT WE DON'T THINK THAT THE REMOVAL OF MFN OR THE STRICT HEDGING ABOUT OF MFN WITH SUBSTANTIAL CONDITIONS IS THE RIGHT WAY TO APPROACH THAT ISSUE.

IF YOU'RE SAYING THAT THERE ARE DIFFICULT CORNERS TO TURN ON BOTH THESE MATTERS, YOU'RE DEAD RIGHT.

LAST ONE. WHO'S PUT THEIR HAND UP MOST?

QUESTION: OKAY. IN YESTERDAY'S PRESS CONFERENCE, NANCY PELOSI, THE CONGRESSWOMAN, MENTIONED SOMETHING ABOUT SHE THINKS THAT YOU NOT GOING TO CHANGE THE MIND OF THE CONGRESS FOR CONDITIONING MFN, THAT'S THE FIRST THING, AND THEN THE SECOND THING SHE MENTIONED SOMETHING ABOUT EVEN THOUGH WITHOUT THE MFN, IF THERE IS SOME TRADE PACKAGE WHICH CREATES SOME RETALIATION FROM THE UNITED STATES TO CHINA, FOR EXAMPLE -- FOR EXAMPLE, LIKE IN SUPER 301 OR WHATEVER, SOME OTHER TERMS — WE CAN STILL KEEP HONG KONG, EVEN THOUGH WITHOUT MFN. THAT, I THINK YOU COULD JUST INTERPRET THE OTHER WAY. SO WHAT DO YOU FEEL ABOUT THIS COMMENT?

GOVERNOR: WELL, AS I SAID EARLIER, IF I HAD CHANGED REPRESENTATIVE PELOSI'S MIND, I THINK YOU ALL WOULD HAVE ALL HAVE BEEN HUGELY IMPRESSED BY MY SILVER-TONGUED CAPACITY.

WHAT I HOPE I HAVE DONE WITH REPRESENTATIVE PELOSI AND SENATOR MITCHELL AND OTHERS, AND WHAT I HOPE I WILL BE DOING AT MEETINGS WITH FOREIGN AFFAIRS COMMITTEES IN BOTH THE HOUSE OF REPRESENTATIVES AND THE SENATE TODAY, IS ENSURING THAT ON THE TABLE, WHEN THEY CONSIDER THESE MATTERS IN THE COMING 3 OR 4 WEEKS, THERE IS THE IMPACT ON HONG KONG OF WHATEVER DECISION THEY ARE GOING TO MAKE. AND I HOPE THAT THAT WILL HOPE TO AFFECT THE DECISION AND MODERATE WHATEVER DECISION THEY MAKE. I COULDN’T EXPECT TO DO MORE THAN THAT, BUT I HOPE WE'VE DONE THAT REASONABLY EFFECTIVELY.

SECONDLY, YOUR ENTIRELY RIGHT TO SAY THAT THERE ARE OTHER ISSUES, AS WELL AS MFN, WHICH CAN HAVE AN IMPACT ON HONG KONG'S ECONOMIC AND TRADING POSITION AND ON CHINA'S. SUPER 301 ADDED, FOR EXAMPLE, AS A BOBBLE ON A CHRISTMAS TREE TO FAST TRACK AUTHORITY ON THE URUGUAY ROUND. THAT CAN HAVE AN EFFECT ON HONG KONG, AS WELL. SO I HOPE THAT WHAT I HAVE SAID ABOUT HONG KONG ON MFN INFUSES WHAT IS SAID AND THOUGHT ABOUT ON OTHER SUBJECTS.

/A LAST .......

WEDNESDAY, MAY 5, 1993

8

A LAST REPETITION: THE U.S. IS IN THE THROES OF MAKING UP ITS MIND ABOUT MFN AND TRADE POLICY WITH CHINA. I STRONGLY SUSPECT THAT IT WOULD LIKE TO ARRIVE AT A POLICY WHICH FIRST OF ALL HAD THE MAXIMUM SUPPORT IN CONGRESS AND DID NOT INVOLVE A FIGHT BETWEEN THE ADMINISTRATION AND CONGRESS, AND SECONDLY, WHICH MEANT THAT THE DEBATE ABOUT MFN EACH YEAR DIDN'T BECOME THE CENTERPIECE OF AMERICA'S POLICY TOWARDS CHINA.

YOU DON'T HAVE TO BE PARTICULARLY WISE OR PERCEPTIVE TO REACH THE UNDERSTANDING THAT IT'S UNLIKELY THAT THE POLICY THAT AMERICA ADOPTS WILL PROBABLY BE SOMEWHAT DIFFERENT FROM THE POLICY ADOPTED BY A REPUBLICAN ADMINISTRATION. BUT I WANT THAT POLICY TO RECOGNISE HONG KONG'S INTEREST, WHATEVER IT IS AT THE END OF THE DAY.

IT’S NOT FOR ME TO COME HERE, AS THE NCNA WOULD TELL YOU, AS A SPOKESMAN FOR CHINA. IT’S NOT FOR ME TO COME AND LECTURE AMERICANS ON WHAT THE IMPACT WOULD BE ON THE AMERICAN ECONOMY IF THINGS WENT WRONG IN ITS TRADE RELATIONSHIP WITH CHINA. THAT'S, I'M SURE, WHAT A NUMBER OF AMERICAN SENATORS AND REPRESENTATIVES WILL BE SAYING.

IT IS FOR ME TO SAY WHAT THE IMPACT WOULD BE ON THE TENTH LARGEST TRADING COMMUNITY IN THE WORLD, WHAT THE IMPACT WOULD BE ON HONG KONG. AND THAT, I HAVE BEEN DOING, AND THAT, I SHALL DO HERE AND ELSEWHERE IN THE FUTURE. THAT'S NOT INTERNATIONALISING HONG KONG, THAT'S STANDING UP FOR HONG KONG AND THE PEOPLE OF HONG KONG AND THE COMMERCIAL INTERESTS OF HONG KONG.

QUESTION: WILL YOU BE HERE NEXT APRIL AND MAY, SIR, AGAIN ARGUING THIS, AS YOU INDICATED, PERHAPS THE GOVERNOR AND CHIEF EXECUTIVE OF THE SAR WILL BE HERE EVER APRIL AND MAY?

GOVERNOR: I THINK ALL OF US LOOK FORWARD TO THE TIME WHEN WHATEVER THE OTHER REASONS FOR RETURNING TO WASHINGTON IN THE SPRING, NOT BEING ON MFN ISN'T ONE OF THEM. BUT SO LONG AS MFN LOOMS LARGE IN OUR CONCERNS, THIS GOVERNOR AND FUTURE CHIEF EXECUTIVES WILL, IN MY JUDGMENT, BE HERE ENJOYING THE SUNSHINE AND THE BLOSSOMS AND THE RAIN AND THE SIGHTS.

AND YESTERDAY, I ENJOYED MEETING AT THE AWAKENING STATUTE A LARGE DELEGATION FROM THE PEOPLE'S REPUBLIC OF CHINA.

THANK YOU VERY MUCH, INDEED.

0

/9 ........

WEDNESDAY, MAY 5, 1993

- 9 -

SINO-BRITISH LAND COMMISSION *****

THE TWO SIDES OE THE SINO-BRITISH LAND COMMISSION HAVE AGREED THAT THE COMMISSION’S TWENTY-SEVENTH MEETING WILL BE HELD ON 7 MAY 1993. THE MEETING WILL DISCUSS THE 1993/94 LAND DISPOSAL PROGRAMME.

--------0 ----------

LAND COMMISSION MEETING VERY IMPORTANT: SIR DAVID

*****

THE DEPUTY TO THE GOVERNOR, SIR DAVID FORD, SAID THIS (WEDNESDAY) AFTERNOON THAT HE WAS VERY PLEASED THAT A MEETING OF THE SINO-BRITISH LAND COMMISSION HAI) BEEN ARRANGED THIS WEEK.

SPEAKING TO REPORTERS AT THE CENTRAL GOVERNMENT OFFICES, STR DAVID SAID: ’’IT’S CLEARLY VERY IMPORTANT THAI' WE DO GET ON WITH THESE PRACTICAL ISSUES WHICH AFFECT THE SOCIAL AND ECONOMIC- DEVELOPMENT OF HONG KONG.

"THERE’S MUCH TO DISCUSS AND WE’RE VERY PLEASED THAT WE’RE GOING TO HAVE A MEETING."

THE MEETING WILL BE HELD ON FRIDAY TO DISCUSS THE 1993/94 LAND DISPOSAL PROGRAMME.

-----0------

GOVERNOR’S SECOND DAY VISIT IN WASHINGTON ♦ * * * *

THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, STARTED HIS SECOND DAY OF MEETINGS DURING HIS VISIT TO WASHINGTON I) C YESTERDAY (TUESDAY) WITH A CALL ON SENATOR MITCH MCCONNELL (DEMOCRAT, KENTUCKY).

HE ALSO ATTENDED A LUNCHEON HOSTED BY THE NATIONAL PRESS CLUB WHERE HE DELIVERED A SPEECH BEFORE AN AUDIENCE OF 400 MEMBERS OF THE WASHINGTON PRESS CORPS AND GUESTS.

HEAD TABLE GUESTS INCLUDED MRS PATTEN, BRITISH AMBASSADOR TO THE UNITED STATES SIR ROBIN RENWICK, MEMBER OF THE BOARD OF GOVERNORS OF THE NPC MR ALAN ADAMS AND LEADING MEMBERS OF THE PRESS.

AFTER THE LUNCHEON, MR PATTEN CONTINUED WITH THE MEDIA BY BRIEFING AN EDITORIAL BOARD MEETING OF THE WASHINGTON POST.

/IN THE

WEDNESDAY, MAY 5, 1993

10 -

IN THE AFTERNOON, THE GOVERNOR ATTENDED A MEETING WITH THE CHAIRMAN OF THE INTERNATIONAL TRADE SUB-COMMITTEE OF THE SENATE FINANCE COMMITTEE, SENATOR MAX BAUCUS (DEMOCRAT, MONTANA).

SENATOR BAUCUS IS RECOGNISED AS A MAJOR FORCE IN THE SENATE ON FREE TRADE AND FOREIGN TRADE AGREEMENT. THE CHAIRMAN OF THE HOUSE WAYS AND MEANS COMMITTEE, REPRESENTATIVE DON ROSTENKOWSKI, WAS ALSO PRESENT.

THE GOVERNOR ENDED THE DAY BY GIVING A DINNER SPEECH AT THE CARNEGIE ENDOWMENT FOR INTERNATIONAL PEACE.

0

ROYAL NAVY MOVE TO STONECUTTERS GATHERS PACE ♦ ♦ ♦ ♦ ♦

WITH LESS THAN TWO WEEKS TO GO BEFORE THE ROYAL NAVY LEAVES THE PRESENT HMS TAMAR SITE IN CENTRAL AND TRANSFERS TO STONECUTTERS ISLAND, THE CURRENT STORES AND OFFICES ARE RAPIDLY EMPTYING AS EQUIPMENT IS TRANSFERRED BY BARGE AND LANDING CRAFT TO THE NEW BASE.

THE ROYAL NAVY WILL LEAVE THE PRESENT HMS TAMAR ON MAY 17 AND WILL RAISE THE ENSIGN ON THE NEW HMS TAMAR ON STONECUTTERS ISLAND ON MAY 18.

PREPARATIONS FOR THE FINAL MOVE ARE WELL ON SCHEDULE.

THE PRESENT SITE WILL BE RENAMED PRINCE OF WALES BARRACKS AND WILL CONTINUE TO BE THE HEADQUARTERS BRITISH FORCES HONG KONG.

NOTE TO EDITORS:

ON THURSDAY (MAY 6) THERE WILL BE AN OPPORTUNITY TO PHOTOGRAPH NAVAL STORES AND EQUIPMENT AS THEY ARE LOADED ON TO BARGES AND LANDING CRAFT.

MEDIA REPRESENTATIVES WISHING TO COVER THIS SHOULD ARRIVE AT THE MAIN GATE, HMS TAMAR AT 10 AM.

THE LOADING, UNLOADING AND MOVEMENT OF EQUIPMENT SHOULD BE COMPLETED BY NOON.

-----0------

/Il ........

WEDNESDAY, MAY 5, 1993

- 11 -

GOVERNMENT DETERMINED TO FURTHER IMPROVE NT ENVIRONMENT * * * * *

THE GOVERNMENT IS DETERMINED TO FURTHER IMPROVE THE LIVING ENVIRONMENT FOR RESIDENTS IN THE NEW TERRITORIES, THE REGIONAL SECRETARY FOR THE NEW TERRITORIES, MR ALBERT LAM, SAID THIS (WEDNESDAY) MORNING.

DURING HIS VISIT TO INSPECT LOCAL PUBLIC WORKS UNDERTAKEN BY CITY AND NEW TERRITORIES ADMINISTRATION IN SHA TIN AND TAI PO, MR LAM SAID THE GOVERNMENT HAD ALLOCATED MORE THAN $34 MILLION UNDER THE LOCAL PUBLIC WORKS PROGRAMME TO CARRY OUT PROJECTS IN RURAL AREAS FOR THE 1993/94 FINANCIAL YEAR.

THE AMOUNT WILL BE USED FOR THE CONSTRUCTION OF FOOTPATHS, PARKING AREAS, DRAINAGE CHANNELS, RECREATIONAL FACILITIES AND SITTING-OUT AREAS. THE PROJECTS WILL BE SPREAD THROUGHOUT THE NINE DISTRICTS OF THE NEW TERRITORIES.

THE ACCESS ROAD TO WU KAI SHA VILLAGE IN SHA TIN, HE SAID, WAS COMPLETED LAST SUMMER AT A COST OF $370,000. THIS WAS IN RESPONSE TO A REQUEST PUT TO THE DISTRICT OFFICER BY VILLAGERS IN 1990.

ANOTHER EXAMPLE CAN BE FOUND IN SAN UK TSAI, TAI PO, WHERE WORK ON A CHILDREN’S PLAYGROUND AND A VAN TRACK ARE IN PROGRESS.

THESE TWO PROGRAMMES COST ABOUT $640,000 AND ARE UNDERTAKEN BY WORKS STAFF OF THE TAI PO DISTRICT OFFICE.

THE WORKS ARE WARMLY WELCOME BY THE VILLAGERS.

"ALL THESE IMPROVEMENT SCHEMES WILL UPGRADE THE QUALITY OF LIFE OF THE NEW TERRITORIES RESIDENTS," MR LAM SAID.

OTHER DEVELOPMENTS COVERED BY HIS INSPECTION TOUR ARE THE IMPROVEMENT TO AN ACCESS ROAD TO MA ON SHAN TSUEN, THE CONSTRUCTION OF TWO RAIN SHELTERS IN MUI TZE LAM VILLAGE IN SHA TIN, AND A FOOTBRIDGE IN SAN TONG VILLAGE, TAI PO.

-----0-------

CONSULTANTS APPOINTED TO REVIEW PUBLIC WORKS PROCEDURES

******

THE GOVERNMENT HAS APPOINTED CONSULTANTS TO REVIEW THE PUBLIC WORKS PROCEDURES AND PRACTICES AND TO MAKE RECOMMENDATIONS ON HOW TO IMPROVE THE IMPLEMENTATION OF THE PUBLIC WORKS PROGRAMME AND UPLIFT OVERALL PERFORMANCE.

THE AGREEMENT FOR THE NINE-MONTH CONSULTANCY STUDY WAS SIGNED TODAY (WEDNESDAY) BY THE SECRETARY FOR WORKS, MR JAMES BLAKE AND THE MANAGING DIRECTOR OF THE MCKINSEY AND COMPANY INC HONG KONG, MR TREVOR MACMURRAY.

/MR BLAKE ........

WEDNESDAY, MAY 5, 1993

- 12

MR BLAKE SAID: "UNDER THE AGREEMENT, THE CONSULTANTS WILL BE WORKING ON TWO FRONTS: FIRSTLY TO IMPROVE THE FLOW OF INFORMATION RELATED TO THE PUBLIC WORKS PROGRAMME; AND SECONDLY ON OVERALL STRUCTURE ORGANISATION, SYSTEMS, PRACTICES AND PROCEDURES.”

"ON THE INFORMATION SIDE A SIGNIFICANT PRODUCT WILL BE THE DEVELOPMENT OF A PROTOTYPE COMPUTER-BASED MANAGEMENT SYSTEM LINKING TOGETHER ALL THE MAJOR PARTICIPANTS IN THE PUBLIC WORKS PROGRAMME."

"THE ORGANISATIONAL SIDE OF THE CONSULTANT’S WORK WILL BE TO CARRY OUT A FUNDAMENTAL REVIEW OF THE WAY WE HANDLE PUBLIC WORKS. AS WELL AS LOOKING AT PROCEDURES, IT WILL FOCUS ON ISSUES SUCH AS THE DEGREE TO WHICH WE MAY ENTRUST PUBLIC WORKS TO THE PRIVATE SECTOR, THE EXTENT TO WHICH CONSULTANTS SHOULD BE USED AND ON OVERALL STAFFING AND SKILL LEVELS OF THE WORKS GROUP OF DEPARTMENTS."

THE CONSULTANTS WILL BE GUIDED BY A STEERING COMMITTEE WHOSE MEMBERS INCLUDE THE SECRETARY FOR WORKS, SECRETARY FOR THE TREASURY, SECRETARY FOR ECONOMIC SERVICES, SECRETARY FOR TRANSPORT AND SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, AND PROMINENT CONSTRUCTION INDUSTRY FIGURES FROM THE PRIVATE SECTOR.

THE STEERING COMMITTEE WILL MEET LATER THIS MONTH TO CONSIDER THE CONSULTANT’S INCEPTION REPORT.

SPEAKING AT THE CONTRACT-SIGNING CEREMONY, MR MACMURRAY SAID: "WE ARE PARTICULARLY PLEASED WITH THE OPPORTUNITY TO WORK WITH THE GOVERNMENT ON THIS ASSIGNMENT GIVEN THE IMPORTANT CONTRIBUTION THAT PUBLIC WORKS MAKE TO HONG KONG’SECONOMIC PERFORMANCE AND ITS GENERAL WELLBEING."

THE AGREEMENT WAS SIGNED AFTER THE APPROVAL OF FUNDS BY THE FINANCE COMMITTEE OF THE LEGISLATIVE COUNCIL. OF THE $34 MILLION APPROVED, $12 MILLION IS FOR PAYMENT OF THE PROFESSIONAL FEES FOR IHIS CONSULTANCY.

--------0-----------

HK URGES ADB MEMBERS TO DEVELOP FINANCIAL SYSTEMS AND MARKETS ♦ * * t *

THE MEDIUM TERM STRATEGIC FRAMEWORK ADOPTED BY THE ASIAN DEVELOPMENT BANK FOR ITS OPERATION BETWEEN 1992 AND 1995 IS VERY APPROPRIATE, THE CHIEF EXECUTIVE OF THE HONG KONG MONETARY AUTHORITY, MR JOSEPH YAM, SAID TODAY (WEDNESDAY).

SPEAKING AT THE 26TH ANNUAL MEETING OF THE BOARD OF GOVERNORS OF THE ASIAN DEVELOPMENT BANK IN HIS CAPACITY AS THE ALTERNATE GOVERNOR FOR HONG KONG, MR YAM SAID: "FOR CERTAIN DEVELOPING MEMBER COUNTRIES (DMC ’ S) , SOME EMPHASISi, MAY VERY PRODUCTIVELY BE GIVEN TO THE DEVELOPMENT OF FINANCIAL SYSTEMS AND FINANCIAL MARKETS," HE SAID.

/HOWEVER SIMPLE .......

WEDNESDAY, MAY 5, 1993

- 13

HOWEVER SIMPLE THESE FINANCIAL SYSTEMS AND MARKETS MIGHT BE, WHEN PROPERLY CONSTRUCTED THEY SERVED A USEFUL PURPOSE OF EFFECTIVELY CHANNELLING SAVINGS TO PRODUCTIVE INVESTMENT, ENABLING THE MORE EFFICIENT USE OF MONEY AND PROVIDING A MECHANISM FOR SOME FORM OF MACRO ECONOMIC CONTROL WHICH MIGHT BECOME NECESSARY AS THE DEVELOPMENT PROCESS GAINED MOMENTUM, HE SAID.

’’WHEN PROPERLY CONSTRUCTED AND SUPPORTED BY CREDIBLE FINANCIAL POLICIES, THEY MAY SERVE ALSO TO ATTRACT FOREIGN INVESTMENT AND ENCOURAGE THE INTERNATIONAL FLOW OF PRIVATE CAPITAL RESOURCES," HE SAID.

"IT MAY BE DIFFICULT TO QUANTIFY THE LIKELY BENEFITS OF SUCH AN EFFORT. IT IS PERHAPS MORE OF A CATALYST TO DEVELOPMENT RATHER THAN A STRATEGIC OBJECTIVE IN ITSELF.

"BUT SPEAKING AS THE MONETARY AUTHORITY OF A FINANCIAL CENTRE, I THINK IT IS CERTAINLY SOMETHING THAT DESERVES GREATER EMPHASIS," MR YAM SAID.

ON ADB’S DISCUSSIONS AND DIALOGUE WITH DMC GOVERNMENTS ON VARIOUS ASPECTS OF POLICY AND THE STATUTORY, REGULATORY AND FISCAL FRAMEWORKS THAT HAVE A BEARING ON THE GROWTH AND DEVELOPMENT OF THE PRIVATE SECTOR, MR YAM SAID:

"PERHAPS THESE DISCUSSIONS AND DIALOGUE COULD BE INTENSIFIED AND EMPHASIS GIVEN TO THE DEVELOPMENT OF FINANCIAL SYSTEMS AND FINANCIAL MARKETS, WHERE THE BANK FEELS THAT THE CATALYTIC EFFECT I REFERRED TO HAS A HIGH LIKELIHOOD TO MATERIALISE IN INDIVIDUAL DMC’S".

"I AM SURE THERE ARE FINANCIAL EXPERTS IN THE BANK AND IN MEMBER COUNTRIES WHO ARE VERY CAPABLE OF GIVING ADVICE IN THIS FIELD AND ARE WILLING TO DO SO," HE ADDED.

HE URGED THAT MORE TECHNICAL ASSISTANCE GRANTED BY THE BANK TO DMC’S FOR FINANCIAL ADVISORY SERVK ES SHOULD BE CONSIDERED.

"THIS WILL BE MONEY WELL SPENT. AT MERELY US$5.59 MILLION IN 1992, THERE IS CLEARLY ROOM FOR EXPANSION IN THIS AREA, WITHOUT RISKING ANY SIGNIFICANT ADVERSE IMPACT ON OTHER ACTIVITIES OF THE BANK," MR YAM SAID.

HE SAID THE TERRITORY WOULD PLAY ITS PART IN ENCOURAGING THE DEVELOPMENT OF FINANCIAL MARKETS.

"WHERE OUR EXPERIENCE MAY BE USEFUL FOR THOSE INTERESTED, WE ARE MORE THAN WILLING TO SHARE IT," HE SAID.

CITING THE ISSUE OF DRAGON BOND AS EXAMPLE, MR YAM SAID HONG KONG LOOKED FORWARD TO MORE OF THIS ACTIVITY BY THE BANK AND WOULD COMPLEMENT THIS WITH THE TERRITORY’S EFFORTS.

EARLIER IN HIS SPEECH, MR YAM BRIEFED FELLOW GOVERNORS OF THE BANK ON THE NEWLY ESTABLISHED HONG KONG MONETARY AUTHORITY.

/HE NOTED .......

WEDNESDAY, MAY 5, 1993

- 14 -

HE NOTED THAT HONG KONG HAD FINALLY JOINED THE CENTRAL BANKING FRATERNITY AND LOOKED FORWARD TO MAINTAINING CLOSE CONTACTS WITH MEMBERS OF THAT FRATERNITY.

"WE HAVE ALSO RECEIVED MUCH ENCOURAGEMENT AND SUPPORT FROM INDIVIDUAL CENTRAL BANKS, PARTICULARLY FROM THE BANK OF ENGLAND AND THE PEOPLE’S BANK OF CHINA," HE SAID.

MR YAM IS CURRENTLY LEADING A HONG KONG DELEGATION TO THE 26TH ANNUAL MEETING OF THE BOARD OF GOVERNORS OF \DB IN MANILA.

OTHER HONG KONG DELEGATES ARE EXECUTIVE DIRECTOR (MONETARY MANAGEMENT), MR NORMAN ('HAN; HEAD, MONETARY POLICY DIVISION, MR JAMES LAU JR AND SENIOR MANAGER (MONETARY MANAGEMENT) OF THE HKMA, MR EDDIE YUE.

--------0-----------

"BE MY TEACHER" CAMPAIGN ENTERS SECOND PHASE

*****

THE SECOND PHASE OF THE "BE MY TEACHER" RECRUITMENT DRIVE BEGAN TODAY (WEDNESDAY) WITH THE CO-OPERATION OF FIVE TERTIARY INSTITUTIONS.

THE DRIVE TO RECRUIT MORE TEACHERS TO IMPROVE THE LEARNING ENVIRONMENT IN SCHOOLS WAS LAUNCHED ON MONDAY WHEN APPLICATION FORMS WERE MADE AVAILABLE TO POTENTIAL CANDIDATES AT THE NEWLY ESTABLISHED TEACHER RECRUITMENT INFORMATION OFFICE, THE 19 DISTRICT EDUCATION OFFICES, AND 10 EMPLOYMENT OFFICES OF THE LABOUR DEPARTMENT.

THE SECOND PHASE INVOLVED THE INSTALLATION OF FIVE APPLICATION FORM AND LEAFLET DISPENSERS AT THE HONG KONG BAPTIST COLLEGE, LINGNAN COLLEGE, HONG KONG POLYTECHNIC, CITY POLYTECHNIC OF HONG KONG, AND SHUE YAN COLLEGE.

COPIES OF THE APPLICATION FORM ARE ALSO AVAILABLE THROUGH THE FAX SERVICE OF THE EDUCATION DEPARTMENT’S AUTOMATIC TELEPHONE ENQUIRY SYSTEM.

"IN FACT, THERE WERE 185 (’ALLERS WHO DIALLED 891 0088 ON MONDAY AND TUESDAY REQUESTING THE FAX VERSION OF THE APPLICATION FORM WHILE THE NUMBER OF CALLERS BEFORE THE START OF THE CAMPAIGN INCREASED FROM AN AVERAGE OF JUST OVER 500 TO 1,164 ON TUESDAY," A SPOKESMAN FOR THE DEPARTMENT SAID.

THE CAMPAIGN ALSO RESULTED IN THE CHINESE UNIVERSITY OF HONG KONG REQUESTING 500 COPIES OF THE APPLICATION FORM FOR THEIR STUDENTS.

"APART FROM HELPING TO RECRUIT 780 TEACHERS NEEDED IN THE NEXT SCHOOL YEAR WHEN PRIMARY 1 CLASSES WILL BE REDUCED FROM 40 TO 35 STUDENTS, PARTICULARS OF THE APPLICANTS WILL FORM A DATABANK WHICH WOULD PROVIDE A SOURCE OF POTENTIAL TEACHING FORCE TO PRIMARY AND SECONDARY SCHOOLS," THE SPOKESMAN SAID.

/THE DATABANK .......

WEDNESDAY, MAY 5, 1993

- 15 -

THE DATABANK WILL ALSO BE AVAILABLE AS EROM MAY 17, TO SCHOOLS WITH FULL OR PART-TIME VACANCIES.

SCHOOL AUTHORITIES CAN CONTACT OFFICERS OF THE TEACHER RECRUITMENT INFORMATION OFFICE IN PERSON OR BY TELEPHONE AND THEY WILL RESPOND BY FAX A LIST OF TEACHERS SATISFYING AS FAR AS POSSIBLE THE SCHOOLS’ REQUIREMENTS.

"THE SCHOOLS CAN APPROACH THE CANDIDATES AND MAKE THEIR OWN INTERVIEW ARRANGEMENTS," HE SAID.

THE "BE MY TEACHER" CAMPAIGN ALSO INCLUDES PUBLICITY, INCLUDING THE PRODUCTION OF A 10-MINUTE VIDEO, TO ENHANCE THE IMAGE OF TEACHERS AIMED AT INCREASING PUBLIC AWARENESS OF THE IMPORTANCE OF TEACHERS IN THE CHARACTER DEVELOPMENT AND EDUCATION OF THEIR CHILDREN.

THE CAMPAIGN WILL ALSO BE EXTENDED TO STUDENTS STUDYING ABROAD THROUGH SPECIAL ARTICLES WHICH, WITH THE HELP AND CO-OPERATION OF THE PRINT MEDIA, WILL BE PUBLISHED IN OVERSEAS EDITIONS OF HONG KONG NEWSPAPERS.

--------0-----------

TSUEN WAN .SITE TO LET *****

THE BUILDINGS AND LANDS DEPARTMENT IS INVITING TENDERS FOR THE SHORT-TERM TENANCY OF A PIECE OF GOVERNMENT LAND IN THE NEW TERRITORIES.

OCCUPYING ABOUT 2,760 SQUARE METRES AT YEUNG UK ROAD, TSUEN WAN THE LAND IS INTENDED FOR USE AS A FEE-PAYING PUBLIC CAR PARK FOR VEHICLES, INCLUDING GOODS VEHICLES BUT EXCLUDING CONTAINER TRACTORS AND TRAILERS.

THE TENANCY IS FOR THREE YEARS, RENEWABLE QUARTERLY AFTERWARDS.

CLOSING DATE FOR SUBMISSION OF TENDERS IS NOON ON MAY 21.

THE TENDER FORM, TENDER NOTICE AND CONDITIONS MAY BE OBTAINED FROM:

* THE DISTRICT LANDS OFFICE, TSUEN WAN, IOTH FLOOR, TSUEN WAN STATION MULTI-STOREY CARPARK BUILDING, 174-208 CASTLE PEAK ROAD, TSUEN WAN;

* THE BUILDINGS AND LANDS DEPARTMENT, 14TH FLOOR, MURRAY BUILDING, GARDEN ROAD; AND

* THE DISTRICT LANDS OFFICES KOWLOON, IOTH FLOOR, YAU MA TEI CARPARK BUILDING, 250 SHANGHAI STREET, KOWLOON.

THE TENDER PLAN IS ALSO AVAILABLE IN THE OFFICES.

-----0-----------

/16 ......

WEDNESDAY, MAY 5, 1993

- 16 -

SALT WATER CUT IN HUNG HOM

*****

SALT WATER SUPPLY TO SOME PREMISES TN HUNG HOM WILL GO OFF FROM 9.30 AM TO 5 PM ON FRIDAY (MAY 7) TO FACILITATE CONNECTION WORK ON WATER MAINS.

THE SUSPENSION WILL AFFECT ALL THE PREMISES BOUNDED BY WUHU STREET, CHATHAM ROAD NORTH, BULKELEY STREET AND DOCK STREET.

-----0------

FINANCE COMMITTEE MEETS ON FRIDAY *****

THE FINANCE COMMITTEE WILL HOLD A MEETING FRIDAY (MAY 7) IN THE LEGISLATIVE COUNCIL CHAMBER.

MEMBERS OF THE PUBLIC ARE WELCOME TO OBSERVE FROM THE CHAMBER’S PUBLIC GALLERY. THEY MAY RESERVE 869 9492.

AT 2.30 PM ON

THE PROCEEDINGS

SEATS BY CALLING

--------0-----------

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS *****

$ MILLION

OPENING BALANCE TN THE ACCOUNT 1,700

REVERSAL OF LAF +450

BALANCE AFTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -610

CLOSING BALANCE IN THE ACCOUNT 1,540

LAF RATE 2.00 BID/4.00 OFFER TWI 111.7 *+0.0* 5.5.93

/HONG KONG .......

WEDNESDAY, MAY 5, 1993

17 -

HONG

KONG GOVERNMENT EXCHANGE FUND

KONG GOVERNMENT BONDS

HONG

BILLS

EF

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.25 PCT 12 MONTHS 2405 5.50 102.51 3.04

1 MONTH 2.54 PCT 15 MONTHS 2408 4.375 101.51 3.19

3 MONTHS 2.69 PCT 18 MONTHS 2411 4.625 101.83 3.42

6 MONTHS 2.83 PCT 21 MONTHS 2502 4.75 101.96 3.63

12 MONTHS 3.01 PCT

16,354

MN

TOTAL TURNOVER OF BILLS AND BONDS

CLOSED 5 MAY 1993

Received by PRO

onJJJW.B®

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL.: 842 8777

SUPPLEMENT WEDNESDAY, MAY 5, 3993

CONTENTS PAGE NO.

LEGISLATIVE COUNCIL:

STEPS TO IMPROVE CO-ORDINATION OF GOVT ACTIVITIES ............... 1

PORT DEVELOPMENT AND TRANSPORT PLANNING ......................... 2

SPEECH BY ACTING SECRETARY FOR SECURITY KEN WOODHOUSE AT

MOTION DEBATE ON LAW REFORM COMMISSION REPORT ON ARREST TN

LEGISLATIVE COUNCIL ........................................... 3

TRANSFER OF EXECUTIVE DUTIES .................................... 5

RULES FOR EXCO MEMBERS DECLARING INTERESTS ...................... 5

GOVERNOR COMPLETES REGISTER OF DECLARABLE INTERESTS ............. 6

FINAL ACCOUNTS FOR 103 PROJECTS TO BE SETTLED ................... 7

TREASURY SECRETARY EXPLAINS WORKS TENDERS ....................... 7

PLANS IN HAND TO OPTIMISE HOSPITAL SERVICES ..................... 8

WAYS TO REDUCE PEAK DEMAND FOR ELECTRICITY ...................... 9

MEASURES TO HELP STUDENTS FTGHT CRIME .......................... 10

CONTROL MECHANISM ON FOREIGN DOMESTIC HELPERS EFFECTIVE ........ 11

/POSITION ON .......

POSITION ON GOODS VEHICLE PARKING EXPLAINED ................... 12

INFORMATION ON SAFE HANDLING OF CHEMICAIS WIDEII DISTRIBUTED 12

CROSS-LINKING SERVICE TO EXTEND VISA VAI IDITA ................ 13

HIV-INFECTED HAEMOPHILIACS TO GET PAYMENTS SOON ............... 14

JOINT SURVEY ON INDOOR RADON LEVEI ............................ IS

POSTAL PLANNING CRITERIA SERVF RESIDENTS WEI.I ................ IS

—^CHARGING FOR DOMESTIC POTABLE WATFR ............................. 16

CRITERIA FOR EMPLOYING CONSULTANTS BY EPD EXPLAINED ........... 17

SMALL RURAL SCHOOLS NOT EDUCATIONALLY VIABLE .................. 17

TAX CASES SUPPLEMENT READY IN AUGUST/SEPTEMBFR ................ 16

IMPROVED COMPENSATION FOR PNEUMOCON I DTK'S ................... 18

BILL INTRODUCED TO PLUG CAR 'PAX I OOPHOI I ................... 20

CONTAINER VEHICLES PARKING ON FOOTPATHS NOT ALLOWED ........... 21

BILL TO BETTER REGULATE PORT INTRODUCED ....................... 22

BILL TO REGULATE LAWYERS INTRODUCED .......................... 2.3

TWO MOTIONS PASSED IN LEGCO ................................... 25

WEDNESDAY, MAY 5,. 1993

1

STEPS TO IMPROVE CO-ORDINATION OF GOVT ACTIVITIES *****

THE FINANCIAL SECRETARY, THE HON HAMISH MACLEOD, SAID THE GOVERNMENT HAD TAKEN STEPS TO ADDRESS THE SPECIFIC INSTANCES OF LACK OF CO-ORDINATION BETWEEN GOVERNMENT DEPARTMENTS AS HIGHLIGHTED IN THE PUBLIC ACCOUNTS COMMITTEE’S REPORT.

HE WAS TABLING BEFORE THE LEGISLATIVE COUNCIL THE GOVERNMENT MINUTE IN RESPONSE TO THE COMMITTEE’S REPORT ON THE ACCOUNTS OF THE GOVERNMENT FOR THE YEAR ENDED MARCH 31 LAST YEAR, AND THE RESULTS OF VALUE FOR MONEY AUDITS.

"FIRST, ALL STAGES IN THE PROVISION OF GOVERNMENT, INSTITUTION AND COMMUNITY FACILITIES IN PRIVATE DEVELOPMENTS ARE NOW BEING COORDINATED BY THE GOVERNMENT PROPERTY AGENCY," HE SAID.

MR MACLEOD SAID THE GOVERNMENT HAD ALSO TAKEN A NUMBER OF NEW INITIATIVES TO IMPROVE THE CO-ORDINATION OF PUBLIC WORKS PROJECTS.

THE SECRETARY FOR WORKS NOW CHAIRS A NEW PUBLIC WORKS PROGRESS COMMITTEE WHICH INCLUDES ALL POLICY SECRETARIES HAVING A CLOSE INVOLVEMENT WITH PUBLIC WORKS.

THE COMMITTEE IS ALSO ATTENDED BY THE DIRECTORS OF THE WORKS GROUP OF DEPARTMENTS.

"ITS MAIN TASK IS TO CO-ORDINATE THE GOVERNMENT’S EFFORTS TO DELIVER PUBLIC WORKS PROJECTS ON TIME AND WITHIN BUDGET," HE SAID.

IN ADDITION, A WIDE-RANGING REVIEW OF EXISTING PUBLIC WORKS PROCEDURES AND SYSTEMS IS BEING CARRIED OUT.

"THIS WILL INVOLVE A DETAILED EXAMINATION OF HOW PUBLIC WORKS PROJECTS ARE PLANNED, CO-ORDINATED, FINANCED AND EXECUTED," MR MACLEOD SAID.

"THE COMMITTEE’S PROPOSAL THAT A PROJECT CO-ORDINATOR BE APPOINTED FOR PROJECTS INVOLVING MORE THAN ONE DEPARTMENT WILL BE CONSIDERED IN THE REVIEW," HE SAID.

MR MACLEOD SAID A MORE SOPHISTICATED COMPUTER-BASED INFORMATION AND MANAGEMENT SYSTEM WOULD BE DEVELOPED TO LINK ALL WORKS DEPARTMENTS AND RELEVANT POLICY BRANCHES.

"WE ARE, OF COURSE, NOT CONTENT WITH SIMPLY IMPROVING COORDINATION OF ACTIVITY," HE SAID.

LINES OF COMMUNICATION AND ACCOUNTABILITY BETWEEN DEPARTMENTS AND POLICY SECRETARIES WOULD ALSO BE IMPROVED,

GOVERNMENT HE ADDED.

APART FROM THE WORK OF THE EFFICIENCY UNIT, IN THE COMING MONTHS FURTHER WORK WILL BE REQUIRED TO REFINE PERFORMANCE MEASURES AND TO INTRODUCE REGULAR PROGRAMME REVIEWS BETWEEN BRANCHES AND DEPARTMENTS, MR MACLEOD SAID.

"THESE ARRANGEMENTS WILL FACILITATE A MORE PROACTIVE APPROACH TO RESOURCE MANAGEMENT WITH A VIEW TO ENSURING THE BEST VALUE FOR MONEY IN DELIVERING THE GOVERNMENT’S PROGRAMMES," HE SAID.

-----0------

/2 .........

WEDNESDAY, MAY 5, 1993

2

PORT DEVELOPMENT AND TRANSPORT PLANNING *****

THE GOVERNMENT TAKES GREAT CARE TO CO-ORDINATE FUTURE PORT DEVELOPMENT AND LAND TRANSPORT PLANNING THROUGH THE STRATEGIC PLANNING, LAND-USE AND TRANSPORT PLANNING PROCESS.

THIS WAS STATED BY THE SECRETARY FOR TRANSPORT, MR MICHAEL LEUNG, IN A MOTION DEBATE ON WATERBORNE AND LAND TRANSPORT SYSTEMS IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

HE SAID ABOUT 88 HECTARES OF NEW BACK-UP AREAS WILL BE PROVIDED UPON COMPLETION OF CONTAINER TERMINALS NOS. 8 AND 9.

FOR THE LANTAU PORT, MR LEUNG SAID, SUCH PROBLEMS WOULD NO LONGER EXIST FROM THE OUTSET WITH 10 HECTARES OF BACK UP LAND TO BE PROVIDED FOR EACH CONTAINER BERTH.

TO COPE WITH THE PHENOMENAL GROWTH IN THE VOLUME OF FREIGHT MOVING ACROSS THE BORDER BY ROAD, THE GOVERNMENT INTENDS TO DOUBLE THE CAPACITY OF THE MAN KAM TO VEHICLE HOLDING AREA TO 220 VEHICLES AND WILL CONSIDER WITH THE CHINESE AUTHORITIES FURTHER EXTENSIONS TO OPENING HOURS AND INCREASING THE NUMBER OF VEHICLE CHANNELS IN OPERATION AT LOK MA CHAU.

IN THE LONG TERM, THE ROUTE 3 COUNTRY PARK SECTION WILL PROVIDE A THIRD MAJOR ROAD CORRIDOR FOR BORDER TRAFFIC.

MR LEUNG SAID THERE HAD BEEN VERY ENCOURAGING RESPONSE TO THE INVITATION FOR EXPRESSIONS OF INTEREST FROM THE PRIVATE SECTOR TO BUILD THIS ROAD UNDER A FRANCHISE ARRANGEMENT.

THE GOVERNMENT IS STUDYING THE PROPOSALS BEFORE MAKING DECISIONS ON THE TENDERING ARRANGEMENTS AS SOON AS POSSIBLE.

HE ALSO NOTED THAT THERE WAS A SUBSTANTIAL ROAD BUILDING PROGRAMME UNDERWAY IN NORTHWEST NEW TERRITORIES. THE TUEN MUN - YUEN LONG EASTERN CORRIDOR WILL OPEN TN JULY, FOLLOWED BY THE YUEN LONG SOUTHERN BYPASS BY THE MIDDLE OF NEXT YEAR.

"WE ARE ALSO SPENDING AS MEMBERS KNOW $1 BILLION ON FOUR CLIMBING LANES ON TUEN MUN HIGHWAY,” HE SAID.

IN THE EAST, THE GOVERNMENT IS TO COMMISSION LATER THIS YEAR A FEASIBILITY STUDY FOR ROUTE 16 WHICH WILL PROVIDE AN ADDITIONAL ROAD LINK BETWEEN CONTAINER PORT AND SHA TIN.

ON RAIL FACILITIES, MR LEUNG SAID TO HELP INCREASE THE KOWLOON-CANTON RAILWAY CORPORATION FREIGHT HANDLING CAPABILITY, FIVE HECTARES OF LAND ON THE HUNG HOM BAY RECLAMATION WILL BE GRANTED TO THE CORPORATION FOR EXPANSION OF ITS MAIN FREIGHT TERMINAL. THIS WILL INCREASE THE TERMINAL CAPACITY BY 140 WAGONS A DAY.

IN THE LONG TERM, THE RAILWAY DEVELOPMENT STUDY HAS RECOMMENDED THE DEVELOPMENT OF A PORT RAIL LINE FOR COMPLETION BY 2001.

THE RECOMMENDED LINE, WHICH COULD ALSO INCORPORATE A LINK TO THE LANTAU PORT AT A LATER DATE, COULD CARRY UP TO 4,000 CONTAINERS A DAY.

/MOREOVER, THE ........

WEDNESDAY, MAY 5, 1993

3

MOREOVER, THE FREIGHT TRANSPORT STUDY WILL RECOMMEND A STRATEGY FOR ROAD, RAIL AND WATERBORNE TRANSPORT SYSTEMS BEST SUITED TO THE ECONOMY OF HONG KONG.

FINDINGS OF THE STUDY WILL BE AVAILABLE LATER THIS YEAR, MR LEUNG ADDED. ----------------------------------0-------

SPEECH BY ACTING SECRETARY FOR SECURITY KEN WOODHOUSE AT MOTION DEBATE ON LAW REFORM COMMISSION REPORT ON ARREST IN LEGISLATIVE COUNCIL *****

MR PRESIDENT,

I AM GRATEFUL TO HONORABLE MEMBERS FOR THE OPPORTUNITY OFFERED BY THIS DEBATE TO LISTEN TO THEIR CONSTRUCTIVE VIEWS ON THE LAW REFORM COMMISSION REPORT ON ARREST. I AM HAPPY TO CONFIRM THAT THEY WILL BE FULLY CONSIDERED WHEN A POLICY DECISION IS TAKEN ON THE REPORT.

THE TASK ASSIGNED TO THE LAW REFORM COMMISSION FOUR YEARS AGO WAS DAUNTING; IT WAS ASKED TO EXAMINE THE THEN EXISTING LAW AND PRACTICE GOVERNING THE POWERS AND DUTIES OF THE POLICE, OTHER PUBLIC OFFICERS AND PRIVATE CITIZENS, RELATING TO STOP AND SEARCH, ARREST AND DETENTION. IT WAS SPECIFICALLY ASKED TO CONSIDER WHETHER PROVISIONS IN THE UNITED KINGDOM POLICE AND CRIMINAL EVIDENCE ACT 1984, KNOWN AS PACE, SHOULD BE ADOPTED IN HONG KONG. THE REPORT IS A VERY DETAILED AND COMPREHENSIVE DOCUMENT CONTAINING OVER 60 RECOMMENDATIONS, AND WE ARE GRATEFUL TO MEMBERS OF THE COMMISSION FOR THEIR HARD WORK.

PACE DEFINES THE LIMITS OF POLICE POWERS IN THE UNITED KINGDOM AND SETS OUT PROCEDURAL REQUIREMENTS TO AVOID THE ABUSE OF THESE POWERS. THE LAW REFORM COMMISSION PROPOSES THE ADOPTION OF A SUBSTANTIAL NUMBER OF THE PROVISIONS IN PACE, INCLUDING THOSE ON ROAD CHECKS AND DETENTION, SUITABLY MODIFIED TO SUIT HONG KONG’S CIRCUMSTANCES.

THE RECOMMENDATIONS OF THE LAW REFORM COMMISSION

APPLY

NOT ONLY TO THE POLICE, BUT TO OTHER LAW ENFORCEMENT AGENCIES AS WELL. FOLLOWING PUBLICATION OF THE REPORT, WE SOUGHT INITIAL COMMENTS FROM THE DISCIPLINED SERVICES AFFECTED BY ITS RECOMMENDATIONS; THEIR

PRELIMINARY VIEW IS THAT THE EFFECT ON THE EFFECTIVENESS OF REQUIRE LEGISLATION AND MAY IMPLICATIONS. WE CONCLUDED,

RECOMMENDATIONS MAY HAVE A LAW ENFORCEMENT; THEY WILL GIVE RISE TO SUBSTANTIAL THEREFORE, THAT CAREFUL,

PROFOUND CERTAINLY FINANCIAL

DETAILED

CONSIDERATION WAS REQUIRED.

/MR PRESIDENT

WEDNESDAY, MAY 5, 1993

It

MR PRESIDENT, I HOPE THAT HONOURABLE MEMBERS WILL NOT MISUNDERSTAND IF, EVEN AT THIS EARLY STAGE, I SOUND A NOTE OF WARNING AND ECHOED SOME OF THE REMARKS MADE THIS EVENING. PACE HAS NOT BEEN A PANACEA IN THE UNITED KINGDOM; THE LEGAL PROFESSION, SENIOR POLICE OFFICERS AND SOME MEMBERS OF THE JUDICIARY HAVE PUBLICLY VOICED THEIR RESERVATIONS. THERE ARE ALSO DIFFERENCES IN THE SOCIAL ILLS PERCEIVED IN THE UNITED KINGDOM PRIOR TO 1984, WHEN PACE WAS INTRODUCED, AND THOSE IN HONG KONG TODAY. PACE WAS INTRODUCED IN THE UNITED KINGDOM AT A TIME WHEN THE POLICE FORCES THERE WERE FAR FROM HOMOGENOUS, AND THERE WAS INCREASING CRIME AND RACIAL TENSION IN THE COUNTRY. THERE WERE ALSO DOUBTS ABOUT THE WAY IN WHICH THE POLICE THERE HANDLED SOME INVESTIGATIONS. A NUMBER OF HIGH PROFILE CASES, WHICH HAD RESULTED IN THE IMPRISONMENT OF PEOPLE, HAD SERIOUSLY CALLED INTO QUESTION POLICE POWERS. THESE FACTORS ARE NOT PRESENT IN HONG KONG WHICH, UNLIKE THE UNITED KINGDOM, HAS ENJOYED A COMPARATIVELY LOW RATE OF CRIME FOR MANY YEARS, FREE FROM RACIAL TENSION.

UNLIKE HONG KONG, THE UNITED KINGDOM DOES NOT HAVE A DOMESTIC BILL OF RIGHTS AND THIS MADE IT EVEN MORE IMPORTANT FOR THE LAWS THERE TO SET OUT CLEAR LIMITS ON POLICE POWERS AND THE SAFEGUARDS AGAINST ABUSE. ON THE OTHER HAND, WE DO HAVE A BILL OF RIGHTS IN HONG KONG WHICH, AMONGST OTHER THINGS, DOES SET LIMITS ON POLICE POWERS AND PROVIDES SAFEGUARDS AGAINST ABUSE.

THERE ARE DIFFERENCES IN THE CIRCUMSTANCES WHICH APPLIED IN THE UNITED KINGDOM PRIOR TO 1984 AND THOSE WHICH EXIST IN HONG KONG NOW. THEREFORE, WE MUST BE CAUTIOUS IN OUR APPROACH TO THE LAW REFORM COMMISSION’S REPORT.

NEVERTHELESS, MR PRESIDENT, WE BELIEVE THAT THERE IS MUCH IN PACE, WHICH HAS BEEN IDENTIFIED BY THE COMMISSION AS BEING OF BENEFIT TO HONG KONG. WE WILL NEED TO STUDY CAREFULLY THE 60 RECOMMENDATIONS IN THE REPORT IN GREATER DETAIL BEFORE WE CAN MAKE SPECIFIC PROPOSALS. WE HAVE, THEREFORE, SET UP AN INTER-DEPARTMENTAL WORKING GROUP, CHAIRED BY MYSELF, WITH SENIOR REPRESENTATIVES FROM THE DISCIPLINED SERVICES AND THE ATTORNEY GENERAL’S CHAMBERS.

THE WORKING GROUP HAS ALREADY STARTED WORK. THE ISSUES TO BE DISCUSSED ARE COMPLEX, BUT WE HAVE AGREED THAT THIS MUST BE A MATTER OF PRIORITY. AT THIS STAGE, I CANNOT PREDICT HOW LONG OUR DELIBERATIONS WILL TAKE, BUT I HOPE THAT, ONCE WF. HAVE BEEN WORKING FOR A LITTLE TIME, THE SCALE OF THE TASK WILL BECOME CLEARER AND I WILL THEN BE ABLE TO FORECAST COMPLETION.

WE HAVE, HOWEVER, AGREED THAT SEVERAL PRINCIPLES SHOULD GOVERN OUR EXAMINATION OF THE REPORT. FIRST, WE MUST ENSURE THAT ANY PROPOSALS WE MAKE ON ITS RECOMMENDATIONS WILL NOT HINDER THE EFFECTIVENESS OF THE DISCIPLINARY SERVICES IN MAINTAINING LAW AND ORDER. I AM REFERRING HERE NOT ONLY TO THE POWER TO INVESTIGATE CRIMES WHICH HAVE BEEN COMMITTED, BUT ALSO TO THE POWER TO PREVENT CRIMES FROM HAPPENING, SUCH AS THE POWER TO STOP AND SEARCH A PERSON AND TO SET ROAD BLOCKS.

SECOND, ANY OF OUR PROPOSALS SHOULD BE COMPATIBLE WITH THE BILL OF RIGHTS ORDINANCE. WE NEED TO STEER A CAREFUL BALANCE BETWEEN THE NEED FOR EFFECTIVE LAW ENFORCEMENT AND PROTECTION OF INDIVIDUAL RIGHTS.

/THIRD, THE ........

5

WEDNESDAY, MAY 5, 1993

THIRD, THE VIEWS EXPRESSED BY MEMBERS OF THIS COUNCIL AND THE PUBLIC SHOULD BE TAKEN INTO CONSIDERATION. DISCIPLINARY SERVICES’ POWERS ARE BY THEIR VERY NATURE CONTROVERSIAL AND IT IS IMPORTANT THAT IN FORMULATING OUR PROPOSALS ON THE REPORT’S

RECOMMENDATIONS, FULL CONSIDERATION SHOULD BE GIVEN TO PUBLIC OPINION. WE INTEND TO SEEK VIEWS AND WE ARE NOW CONSIDERING HOW BEST THIS SHOULD BE DONE. THE VIEW EXPRESSED BY HONOURABLE MEMBERS WILL BE TAKEN CAREFULLY INTO CONSIDERATION IN THIS REGARD.

MR PRESIDENT, THE ABILITY OF THE DISCIPLINED SERVICES TO MAINTAIN LAW AND ORDER IS THE BASIS OF OUR STABILITY. WE MUST ENSURE THAT THEIR POWERS ARE NECESSARY AND ADEQUATE AND, AT THE SAME TIME, CONSISTENT WITH THE BILL OF RIGHTS. THE LAW REFORM COMMISSION REPORT HAS PROVIDED A NUMBER OF SPECIFIC RECOMMENDATIONS WHICH WE MUST NOW CAREFULLY REVIEW. I HOPE THAT THE OUTCOME OF OUR DELIBERATIONS WILL BE APPROPRIATE TO MEET HONG KONG’S CIRCUMSTANCES AND WILL ENJOY THE SUPPORT OF THE COMMUNITY.

WITH THESE REMARKS, MR. PRESIDENT, I SUPPORT THE MOTION.

------0 - - - -

TRANSFER OF EXECUTIVE DUTIES

* * * » t

THE GOVERNMENT WILL IN DUE COURSE DEVELOP PLANS TO ENSURE AN ORDERLY AND SMOOTH TRANSFER OF DUTIES FROM THE EXISTING EXECUTIVE AUTHORITIES TO THE SPECIAL ADMINISTRATIVE REGION GOVERNMENT IN 1997,

THIS WAS STATED TODAY (WEDNESDAY) BY THE SECRETARY FOR CONSTITUTIONAL AFFAIRS, MR MICHAEL SZE, IN THE LEGISLATIVE COUNCIL.

REPLYING TO A QUESTION BY DR THE HON TANG SIU-TONG, MR SZE SAID: "SUCH ARRANGEMENTS WILL BE PUT IN PLACE BEFORE OR BY JUNE 30. 1997."

------0-------

RULES FOR EXCO MEMBERS DECLARING INTERESTS *****

THERE ARE ALREADY A NUMBER OF PROVISIONS WHICH HELP EXECUTIVE COUNCIL MEMBERS AVOID ANY CONFLICT OF INTEREST AND OBSERVE THE PRINCIPLE THAT THE ADVICE TENDERED ’I'O THE GOVERNOR IS DISINTERESTED AND IMPARTIAL.

THE REMARK WAS MADE BY THE FINANCIAL SECRETARY, THE HON HAMISH MACLEOD, WHEN HE WAS REPLYING TO A QUESTION BY THE HON HENRY TANG IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

THE PURPOSE OF THE SYSTEM OF REGISTRATION AND DECLARATION OF MEMBERS’ INTERESTS IS TO PROVIDE INFORMATION ON ANY PECUNIARY INTEREST OR OTHER MATERIAL BENEFIT WHICH A MEMBER MAY RECEIVE WHICH MIGHT BE THOUGHT TO INFLUENCE HIS DECISIONS IN TENDERING ADVICE TO THE GOVERNOR, MR MACLEOD SAID.

"IN THIS CONTEXT WE CAN SEE THE MERIT OF KEEPING THE SCOPE AND EFFECTIVENESS OF THE RULES RELATING TO REGISTRATION AND DECLARATION OF INTERESTS UNDER PERIODIC REVIEW.

/”WE ARE ........

6

WEDNESDAY, MAY 5, 1993

"WE ARE VERY READY TO RE-EXAMINE THE PRESENT RULES TO SEE WHETHER IMPROVEMENTS CAN BE MADE," HE SAID.

AND SPECIFICALLY TO LOOK CAREFULLY AND POSITIVELY AT THE SUGGESTION OF INTRODUCING A SYSTEM OF REGISTERING AND DECLARING TRANSACTIONS IN LOCAL INVESTMENT MARKETS, POSSIBLY ALONG THE LINES OF THE PROVISIONS CONCERNING DISCLOSURE OF INVESTMENT HOLDINGS BY DIRECTORS OF THE SECURITIES AND FUTURES COMMISSION, HE ADDED.

MR MACLEOD SAID THE OUTCOME OF THE REVIEW WOULD BE ANNOUNCED.

UNDER ADMINISTRATIVE RULES APPROVED BY THE EXECUTIVE COUNCIL IN 1991 MEMBERS ARE REQUIRED TO REGISTER INVESTMENT HOLDINGS IN RESPECT OF LAND AND PROPERTY OF SUBSTANTIAL VALUE (OR FROM WHICH A SUBSTANTIAL INCOME IS DERIVED).

ALSO, THE NAMES OF COMPANIES IN WHICH MEMBERS, EITHER THEMSELVES OR WITH OR ON BEHALF OF THEIR SPOUSES AND INFANT CHILDREN, HOLD IN EXCESS OF ONE PER CENT OF THE ISSUED SHARE CAPITAL, HAVE TO BE REGISTERED.

IN ADDITION TO THIS INFORMATION ON INVESTMENTS, OTHER INTERESTS ALSO HAVE TO BE REGISTERED SUCH AS REMUNERATED DIRECTORSHIPS AND EMPLOYMENTS, FINANCIAL SPONSORSHIPS AND SO ON.

MEMBERS ALSO HAVE A DUTY TO DECLARE AN INTEREST IN ANY SUBJECT WHICH IS PUT BEFORE THE COUNCIL FOR CONSIDERATION.

"MEMBERS’ INTERESTS ARE MONITORED ON A MEET ING-BY-MEET1 NG BASIS AND THESE PROCEDURES ARE SCRUPULOUSLY APPLIED," MR MACLEOD SAID.

MOREOVER, MEMBERS OF THE EXECUTIVE COUNCIL ARE SUBJECT TO CERTAIN LEGAL PROVISIONS WITH REGARD TO THE USE OR DISCLOSURE OF PRIVILEGED INFORMATION.

THE PROVISIONS OF THE SECURITIES (INSIDER DEALING) ORDINANCE APPLY IN RELATION TO THE USE OR DISCLOSURE OF RELEVANT INFORMATION IN TERMS OF THAT ORDINANCE.

AND MEMBERS OF THE EXECUTIVE COUNCIL ARE REGARDED AS PUBLIC SERVANTS FOR THE PURPOSES OF THE PREVENTION OF BRIBERY ORDINANCE.

------o-------

GOVERNOR COMPLETES REGISTER OF DECLARABLE INTERESTS

* * » » *

THE GOVERNOR, ON A PURELY VOLUNTARY BASIS, COMPLETED A REGISTER OF HIS DECLARABLE INTERESTS ON APRIL 22 THIS YEAR, THE CHIEF SECRETARY, THE HON STR DAVID FORD, SAID.

GIVING A WRITTEN REPLY TO A QUESTION BY THE HON EMILY LAU IN THE LEGISLATIVE COUNCIL, SIR DAVID SAID: "THE GOVERNOR HAS NO DECLARABLE INTERESTS IN HONG KONG."

------0-------

/7 .........

WEDNESDAY, MAY 5, 1993

7

FINAL ACCOUNTS FOR 103 PROJECTS TO BE SETTLED *****

THERE ARE 103 FINAL ACCOUNTS IN RESPECT OF CONSTRUCTION PROJECTS UNDERTAKEN/SUPERVISED BY THE ARCHITECTURAL SERVICES DEPARTMENT (ASD) WHICH HAVE NOT BEEN SETTLED.

ACTION ON 86 HAVE BEEN COMPLETED BY ASD AS REQUIRED UNDER THE CONTRACTS AND THEIR FINAL CONTRACT SUMS ARE NOW AWAITING THE CONTRACTORS’ AGREEMENT.

THIS WAS STATED BY THE SECRETARY FOR WORKS, MR JAMES BLAKE, IN A WRITTEN REPLY TO A QUESTION BY THE HON RONALD ARCULLl IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

DELAYS TO THE REMAINING 17 ACCOUNTS, WHICH RANGED FROM ONE MONTH TO 17 MONTHS, WERE LARGELY DUE TO THE TIME NEEDED TO VERIFY INFORMATION SUPPLIED BY THE CONTRACTOR REGARDING THE MEASUREMENT AND VALUATION OF AUTHORISED VARIATIONS.

OF THESE, MR BLAKE SAID THE ONE RELATING TO STAGE II OF QUEEN MARY HOSPITAL WAS UNDER ARBITRATION.

"DISCUSSIONS ARE BEING HELD WITH CONTRACTORS ON THE OTHERS, WITH THE OBJECTIVE OF SETTLEMENT OTHER THAN BY ARBITRATION OR LITIGATION," HE SAID.

THE HOUSING AUTHORITY HAS 72 FINAL ACCOUNTS IN RESPECT OF BUILDING AND SITE FORMATION CONTRACTS CURRENTLY OUTSTANDING, OF WHICH THE CONTRACTORS OF 63 ACCOUNTS HAVE BEEN PROVIDED WITH PRICED BILLS OF VARIATIONS.

IT WAS EXPECTED THAT ALL ACCOUNTS WOULD BE SETTLED BY NEGOTIATION BETWEEN THE HOUSING AUTHORITY AND ITS CONTRACTORS, HE ADDED.

-----0------

TREASURY SECRETARY EXPLAINS WORKS TENDERS *****

SINCE

RESPECT OF

CALLED IN

CATEGORY A.

TEMPORARY FINANCIAL ARRANGEMENTS WERE INTRODUCBD NON-AIRPORT CORE PROGRAMME PROJECTS, NO TENDERS HAVE ADVANCE OF FINANCE COMMITTEE UPGRADING THE PROJECTS

IN

BEEN TO

THIS WAS STATED TODAY (WEDNESDAY) BY THE SECRETARY FOR THE TREASURY, MR K Y YEUNG, IN A WRITTEN REPLY TO A QUESTION BY THF HON LT WAH-MJNG IN THE LEGISLATIVE COUNCIL.

WITHIN RECENT MONTHS, ONLY ONE PROJECT HAS BEEN SUBMITTED DIRECTLY TO FINANCE COMMITTEE FOR UPGRADING TO CATEGORY A, WITHOUT PREVIOUSLY BEING SUBMITTED TO THE PUBLIC WORKS SUB-COMMITTEE, HE SAID.

THIS WAS AT THE LAST MEETING OF THE FINANCE COMMITTEE AND DEALT WITH THE PURCHASE OF OFFICE ACCOMMODATION AT A COST OF $1.6 BILLION.

’’SUCH ITEMS HAVE ALWAYS BEEN SUBMITTED DIRECTLY TO THE FINANCE COMMITTEE," MR YEUNG SAID.

/THE GOVERNMENT'S .......

8

WEDNESDAY, MAY 5, 1993

THE GOVERNMENT’S ACCOUNTS DO NOT PERMIT YEAR-END PAYMENTS MADE UNDER THE TEMPORARY ARRANGEMENTS TO BE SEPARATELY AND READILY IDENTIFIED, NOR ARE YEAR-END PAYMENTS MADE FOR COMPLETED PROJECTS, HE SAID.

THESE PAYMENTS ARE MERELY AN ACCELERATION OF PAYMENTS WHICH HAVE OR SHOULD HAVE FALLEN DUE BY THE END OF THE FINANCIAL YEAR, AND ARE MADE ON THE EXPRESS CONDITION THAT THEY ARE ADJUSTABLE AGAINST SUBSEQUENT PAYMENTS DUE TO THE CONTRACTORS, HE ADDED.

IT IS ROUGHLY ESTIMATED THAT THESE YEAR-END PAYMENTS AMOUNTED TO SOME $2 BILLION.

------0-------

PLANS IN HAND TO OPTIMISE HOSPITAL SERVICES ♦ ♦ * ♦ ♦

THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, HAS ASSURED LEGISLATIVE COUNCILLORS THAT THE GOVERNMENT WILL CONTINUE TO REVIEW THE UTILISATION OF HOSPITAL RESOURCES TO ACHIEVE OPTIMUM EFFICIENCY IN SERVICE DELIVERY.

SHE SAID THE GOVERNMENT WAS AWARE OF THIS NEED "TO ENSURE THAT RESOURCES ARE DEPLOYED IN A WAY THAT MEETS THE MODERN NEEDS OF OUR COMMUNITY AND IS COST-EFFECTIVE".

MRS WONG WAS REPLYING TO A QUESTION BY THE HON EMILY LAU WAI-HING IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

SHE NOTED A RECENT REVIEW ON THE DEMAND AND SUPPLY OF PUBLIC HOSPITAL BEDS IN HONG KONG UP TO THE YEAR 2000 HAD POINTED TO THE NEED TO SHIFT THE EMPHASIS OF THE PRESENT PROVISION OF PUBLIC HOSPITAL SERVICES.

THIS IS MAINLY BECAUSE OF THE POPULATION SHIFT FROM THE OLDER URBAN AREAS OF HONG KONG ISLAND AND KOWLOON TO THE NEW TERRITORIES* THE AGEING POPULATION WHICH WILL INCREASE THE DEMAND FOR INFIRMARY FACILITIES; AND THE DEVELOPMENT OF NEW TECHNOLOGY TO FACILITATE DAY SURGERY AND OTHER AMBULATORY CARE PROCEDURES, THUS REDUCING THE NEED FOR GENERAL IN-PATIENT BEDS AND INCREASING THE INTERFACE WITH PRIMARY HEALTH CARE.

"I AM AWARE THAT THE HOSPITAL AUTHORITY HAS PLANS IN TRAIN TO OPTIMISE OPERATIONAL EFFICIENCY AND IMPROVE HOSPITAL SERVICES FOR THE COMMUNITY," MRS WONG SAID.

THESE INCLUDE:

♦ THE FORMULATION OF PLANS TO REDES I GN A'l’E SOME 1,000 GENERAL BEDS AS INFIRMARY OR PSYCHIATRIC BEDS TO MEET THE SHORTFALL IN THESE SERVICES;

* THE INTRODUCTION OF NEW SERVICES IN THE AREAS OF ACUTE HIGH TECHNOLOGY SERVICES, REHABILITATION PROGRAMMES AND HOSPICE CARE SO AS TO PROVIDE A MORE DIVERSIFIED RANGE OF SERVICES*,

» THE NETWORKING OF HOSPITALS TO FACILITATE REFERRALS; AND

/* THE UPGRADING .......

WEDNESDAY, MAY 5, 1993

9

♦ THE UPGRADING OE GERIATRIC SERVICES AT KWONG WAH HOSPITAL, UNITED CHRISTIAN HOSPITAL AND BUDDHIST HOSPITAL TO MEET NEW DEMANDS AND TO ALLEVIATE THE HEAVY WORKLOAD AT QUEEN ELIZABETH HOSPITAL.

"IN ADDITION, THE HOSPITAL AUTHORITY IS LOOKING INTO WAYS AND MEANS TO MEET THE SPECIAL NEEDS OF NEW TOWNS," SHE SAID.

-----0-------

WAYS TO REDUCE PEAK DEMAND FOR ELECTRICITY

*****

THE GOVERNMENT AND POWER COMPANIES ARE LOOKING INTO POSSIBLE MEANS OF REDUCING THE DAYTIME PEAK DEMAND FOR ELECTRICITY BY SHIFTING PART OF THE LOAD TO THE NIGHT-TIME OFF-PEAK HOURS, THE SECRETARY FOR ECONOMIC SERVICES, MR GORDON SIU, SAID TODAY (WEDNESDAY).

IN HIS WRITTEN REPLY TO A QUESTION BY THE HON ALBERT CHAN WAI-YIP IN THE LEGISLATIVE COUNCIL, MR STU SAID THE INSTALLATION OF ICE STORAGE AIR-CONDITIONING SYSTEMS IN COMMERCIAL BUILDINGS MIGHT BE ONE MEANS OF ACHIEVING SUCH A REDUCTION.

THE COST-EFFECTIVENESS OF INSTALLING AND OPERATING SUCH SYSTEMS IN HONG KONG IS BEING ASSESSED, HE ADDED.

THE SECRETARY SAID OTHER MEASURES AIMED AT REDUCING PEAK DEMAND HAD BEEN IMPLEMENTED.

"FOR EXAMPLE, CHINA LIGHT ft POWER NOW OFFERS CONCESSIONARY OFF-PEAK TARIFFS TO LARGE POWER USERS AND TO THE USERS OF DOMESTIC STORAGE-TYPE WATER HEATERS," HE SAID.

further, Under the new scheme of control agreements, the power COMPANIES ARE REQUIRED To PROPOSE WAYS OF REDUCING THE GROWTH IN Demand for electricity and promoting greater energy efficiency.

MR Stu SAID THE ELECTRICAL AND MECHANICAL SERVICES DEPARTMENT HAD BEGUN TO DISCUSS WI TH THE POWER COMPANIES ABOUT THE MOST APPROPRIATE APPROACH TO ENERGY CONSERVATION IN HONG KONG.

"THESE DISCUSSIONS COMPLEMENT THE CURRENT PUBLIC EDUCATION CAMPAIGN ON ENERGY EFFICIENCY DRAWN UP BY THE ENERGY EFFICIENCY ADVISORY COMMITTEE AND ONGOING PUBLIC CONSULTATION OVER STANDARDS FOR ENERGY USE IN BUILDINGS," HE SAID.

-----0------

/10 ........

WEDNESDAY, MAY 5, 1993

10

MEASURES TO HELP STUDENTS FIGHT CRIME

******

THERE WERE 14 STUDENTS ARRESTED FOR INVOLVEMENT IN TRAFFICKING IN DANGEROUS DRUGS IN THE PAST THREE YEARS, THE ACTING SECRETARY FOR SECURITY, MR KEN WOODHOUSE, SAID TODAY (WEDNESDAY).

REPLYING TO A QUESTION BY THE HON LEE WING-TAT IN THE LEGISLATIVE COUNCIL, MR WOODHOUSE SAID THE POLICE USED OFFICERS TN DISTRICT SCHOOL TEAMS TO LIAISE DIRECTLY WITH SCHOOLS TO IDENTIFY TRIAD ELEMENTS ACTIVE IN RECRUITMENT.

THEY ALSO RELY ON OTHER INTELLIGENCE SOURCES, HE ADDED.

ON WAYS TO ENCOURAGE STUDENTS TO REPORT (’RIME, HE SAID: "A STUDENT CRIME INFORMATION FORM IS CURRENTLY BEING TESTED ON A PILOT BASIS IN SECONDARY SCHOOLS IN WESTERN DISTRICT AND WONG TAI SIN DISTRICT.”

THESE FORMS ARE LEFT IN THE SCHOOL AND STUDENTS CAN PICK UP A COPY, REPORT ANY CRIME AND POST IT TO GPO BOX 999, HONG KONG.

"IF THIS PILOT SCHEME PROVES SUCCESSFUL, THE STUDENT CRIME INFORMATION FORMS WILL BE INTRODUCED IN ALL SCHOOLS THROUGHOUT THE TERRITORY," MR WOODHOUSE SAID.

A CRIME REPORT, AVAILABLE AT ALL DISTRICT OFFICES, CAN ALSO BE USED TO REPORT DRUG TRAFFICKING TO THE CUSTOMS AND EXCISE DEPARTMENT AND THE POLICE.

"STUDENTS ARE ASSURED OF ANONYMITY," HE SAID.

ON HELP PROVIDED BY SCHOOL SOCIAL WORKERS, HE SAID THERE WERE COUNSELLING SERVICE, INTERVIEWS, HOME VISITS AND TREATMENT GROUPS.

INTENSIVE COUNSELLING WILL BE OFFERED TO STUDENTS KNOWN, OR SUSPECTED, TO HAVE TRIAD INVOLVEMENT, OR STUDENTS BEING INDUCED TO TAKE PART IN THE DELIVERY AND TRAFFICKING OF DANGEROUS DRUGS.

PROTECTIVE ARRANGEMENTS CAN BE MADE WITH THE CONSENT OF THE STUDENTS AND THEIR PARENTS, INCLUDING HELPING THEM TO REPORT TO THE POLICE, ARRANGING FOR THEM TO CHANGE SCHOOLS OR RECEIVE TEMPORARY RESIDENTIAL CARE WHERE NECESSARY.

IF THEY ARE PUBLIC HOUS I NG ESTATE TENANTS, ARRANGEMENTS CAN BE MADE FOR TRANSFER THROUGH THE HOUSING DEPARTMENT.

"THESE MEASURES HELP TO PREVENT THEM FROM FALLING PREY TO TRIAD INFLUENCE AND THREATS," MR WOODHOUSE SAID.

FOR MORE SERIOUS CASES, THE DIRECTOR OF SOCIAL WELFARE MAY APPLY TO THE JUVENILE COURT FOR A CARE AND PROTECTION ORDER TO PLACE THEM UNDER STATUTORY SUPERVISION.

TURNING TO PREVENTIVE EDUCATION PROGRAMMES, HE SAID THE NARCOTICS DIVISION, AND THE EDUCATION AND SOCIAL WELFARE DEPARTMENTS LAUNCHED ACTIVITIES IN SCHOOLS.

/MR WOODHOUSE .......

WEDNESDAY, MAY 5, 1993

11

MR WOODHOUSE SAID A WORKING GROUP WAS SET UP LAST AUGUST IN THE EDUCATION DEPARTMENT TO CO-ORDINATE THE WORK OE TEACHERS, SOCIAL WORKERS AND THE POLICE IN THEIR FIGHT AGAINST TRIADS AND TRIAD-RELATED ACTIVITIES IN SCHOOLS.

GUIDELINES AND TRAINING COURSES WILL BE PROVIDED FOR DISCIPLINE MASTERS IN SCHOOLS.

THE WORKING GROUP ALSO HELPS IN STRENGTHENING THE POLICE DISTRICT SCHOOL TEAMS, HE SAID.

------0-------

CONTROL MECHANISM ON FOREIGN DOMESTIC HELPERS EFFECTIVE * * * * ♦

OVER 1,700 CASES OF OFFENCES INVOLVING FOREIGN DOMESTIC HELPERS WERE INVESTIGATED LAST YEAR, RESULTING IN 759 HELPERS AND 48 EMPLOYERS BEING PROSECUTED.

OF THE CASES, FOREIGN DOMESTIC HELPERS WHO HAD OVERSTAYED OR TAKEN UP UNAPPROVED EMPLOYMENT, INCLUDING STREET HAWKING, WERE FINED BETWEEN $1,000 AND $2,000 WHILE EMPLOYERS WHO HAD UNLAWFULLY DEPLOYED THEIR HELPERS WERE FINED BETWEEN $1,000 AND $5,000.

’’THE SITUATION IS REVIEWED FROM TIME TO TIME TO ENSURE THAT THE EXISTING POLICY AND LEGISLATION ON THE CONTROL MECHANISM ARE SUFFICIENT AND EFFECTIVE," THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, SAID WHEN REPLYING TO A QUESTION BY THE HON TAM YIU-CHUNG IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR CHAN TOLD THE COUNCIL THAT ALL FOREIGN DOMESTIC HELPERS COULD ONLY PERFORM DOMESTIC DUTIES FOR A SPECIFIED EMPLOYER AS STIPULATED IN THEIR STANDARD CONTRACT.

ANY HELPER FOUND TAKING UP UNAPPROVED EMPLOYMENT IS LIABLE TO PROSECUTION FOR BREACHING A CONDITION OF STAY UNDER THE IMMIGRATION ORDINANCE.

EMPLOYERS WHO UNLAWFULLY DEPLOY FOREIGN DOMESTIC HELPERS IN NON-DOMESTIC WORK ARE ALSO LIABLE TO PROSECUTION FOR AIDING AND ABETTING THE HELPERS TO BREACH THEIR CONDITIONS OF STAY.

IN BOTH CASES THE MAXIMUM PENALTY IS A FINE OF $5,000 AND IMPRISONMENT FOR TWO YEARS.

EMPLOYERS WITH PROVEN ADVERSE RECORDS WITH THE IMMIGRATION DEPARTMENT WILL NORMALLY BE DEBARRED FROM EMPLOYING FOREIGN DOMESTIC HELPERS IN FUTURE WHEREAS FOREIGN DOMESTIC HELPERS WHO HAVE BREACHED THEIR CONDITIONS OF STAY MAY BE DEBARRED FROM WORKING IN HONG KONG UNLESS THERE ARE GENUINE MITIGATING GROUNDS.

MR CHAN SAID TO ENFORCE THESE REQUIREMENTS, THE IMMIGRATION DEPARTMENT PAID SURPRISE VISITS TO BARS, SHOPS AND RESTAURANTS AND RAIDED VICE ESTABLISHMENTS JOINTLY WITH THE POLICE.

/ON THE ........

WEDNESDAY, MAY 5, 1993

12

ON THE NUMBER OF FOREIGN IN THE PAST FIVE YEARS, MR CHAN IN 1989, 70,300 IN 1990, 84,600

DOMESTIC HELPERS WORKING IN HONG KONG SAID THERE WERE 45,200 IN 1988, 58,000 IN 1991 AND 101,200 LN 1992.

THE REST WERE MALAYSIA AND

THE GREAT MAJORITY CAME FROM THE PHILIPPINES. FROM THAILAND, INDONESIA, INDIA, SRI LANKA, NEPAL,

BANGLADESH.

- - 0 -----------

POSITION ON GOODS VEHICLE PARKING EXPLAINED

*****

COMPREHENSIVE LONG-TERM SOLUTIONS TO THE GOODS VEHICLE PARKING PROBLEM WILL BE IDENTIFIED IN THE FREIGHT TRANSPORT STUDY, WHICH WILL BE COMPLETED IN THE NEXT FEW MONTHS.

THIS WAS STATED BY THE SECRETARY FOR TRANSPORT, MR MICHAEL LEUNG, IN REPLY TO A QUESTION BY THE HON ANDREW WONG, IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR LEUNG SAID IN THE INTERIM, THE GOVERNMENT WAS IDENTIFYING MORE ON-STREET PARKING FOR MEDIUM AND HEAVY GOODS VEHICLES IN AREAS OF NEED.

"WE ARE ALSO SEEKING CONVENIENTLY LOCATED SITES OFF-STREET TO BE OPERATED UNDER SHORT-TERM TENANCY ARRANGEMENTS.”

MR LEUNG EXPLAINED THAT THE STANDARDS FOR GOODS VEHICLE PARKING WERE LAID DOWN IN THE HONG KONG PLANNING STANDARDS AND GUIDELINES.

IN INDUSTRIAL ZONES, THE STANDARD IS 1 SPACE PER 900 SQUARE METRES OF GROSS FLOOR AREA OR 400 SQUARE METRES OF SITE AREA, WHICHEVER PROVIDES THE GREATER NUMBER OF PARKING SPACES. HALF OF THE SPACE SO PROVIDED ARE TO BE SET ASIDE FOR LOADING AND UNLOADING.

THE NUMBER OF MEDIUM AND HEAVY GOODS VEHICLES REGISTERED IN HONG KONG AND REGULARLY IN OPERATION IS ABOUT 32,200.

THERE ARE ABOUT 30,600 PARKING SPACES DESIGNATED FOR SUCH VEHICLES, INCLUDING ON-STREET PARKING AND SPACES IN PRIVATE AND PUBLIC OFF-STREET VEHICLE PARKS.

------0-------

INFORMATION ON SAFE

HANDLING OF CHEMICALS WIDELY DISTRIBUTED

*****

THE DIRECTOR OF HEALTH IS CONTACTING THE UNIVERSITY OF CALIFORNIA WITH REGARD TO ITS RECENT STUDY WHICH FOUND THAT WOMEN EXPOSED TO GLYCOL ETHERS FACED A HIGH RISK OF MISCARRIAGE.

THE DEPARTMENT WILL STUDY THE FINDINGS CLOSELY AND APPROPRIATE ACTION WILL BE TAKEN AS NECESSARY.

/THIS WAS ........

WEDNESDAY, MAY 5, 1993

13

THIS WAS STATED BY THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, IN A WRITTEN REPLY TO A QUESTION BY DR THE HON HUANG CHEN-YA IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MRS WONG SAID A SURVEY ON SOLVENT EXPOSURE IN SCREEN PRINTING WAS CONDUCTED BY THE OCCUPATIONAL HEALTH DIVISION OF THE LABOUR DEPARTMENT IN 1986.

"THIS SURVEY REVEALED THAT OCCUPATIONAL EXPOSURE OF WORKERS TO ETHYLENE GLYCOL MONOETHYL ETHER ACETATE WAS WITHIN THE CURRENT THRESHOLD LIMIT VALUE OF FIVE PARTS PER MILLION AND 27 MILIGRAMMES PER CUBIC METER, AS RECOMMENDED BY THE AMERICAN CONFERENCE OF GOVERNMENTAL INDUSTRIAL HYGIENISTS," SHE NOTED.

GLYCOL ETHERS, WHICH ARE COMMONLY USED IN THE SCREEN PRINTING INDUSTRY IN HONG KONG, ARE AMONG THE 231 LISTED SUBSTANCES UNDER THE FACTORIES AND INDUSTRIAL UNDERTAKINGS (DANGEROUS SUBSTANCES) REGULATIONS.

"THESE REGULATIONS REQUIRE ALL LISTED SUBSTANCES TO BE SUITABLY AND CLEARLY LABELLED ON THE CONTAINERS WITH THE PARTICULAR RISKS INVOLVED AND THE SAFETY PRECAUTIONS TO BE TAKEN," THE SECRETARY SAID.

"PROPRIETORS ARE REQUIRED UNDER THE REGULATIONS TO PROVIDE GENERAL SAFETY INFORMATION AND TRAINING IN THE HANDLING, USE AND STORAGE OF THE CHEMICALS AND TO SUPPLY PROTECTIVE EQUIPMENT FOR WORKERS HANDLING THESE CHEMICALS."

IN ADDITION, THE LABOUR DEPARTMENT HAS PUBLISHED TWO REFERENCE BOOKLETS ON THE USE OF CHEMICALS AT WORK AND A LEAFLET ON SOLVENT HAZARDS IN SCREEN PRINTING, WHICH ARE WIDELY DISTRIBUTED TO PROPRIETORS AND WORKERS.

ADVICE ON CHEMICAL SAFETY IS ALSO GIVEN TO PROPRIETORS AND WORKERS BY FACTORY INSPECTORS, OCCUPATIONAL HEALTH OFFICERS AND OCCUPATIONAL HYGIENISTS OF THE LABOUR DEPARTMENT IN THE COURSE OF THEIR DUTIES WHILE OCCUPATIONAL HEALTH NURSES OF THE DEPARTMENT GIVE TALKS ON HEALTH HAZARDS TO WORKERS, INCLUDING KNOWN HAZARDS FROM GLYCOL ETHERS.

------0-------

CROSS-LINKING SERVICE TO EXTEND VISA VALIDITY

* * * * *

A CROSS-LINKING SERVICE IS AVAILABLE FOR HOLDERS OF BRITISH DEPENDENT TERRITORIES CITIZENS (BDTC’S) PASSPORTS TO ENABLE THEM TO CONTINUE TO USE VALID VISAS IN THEIR OLD PASSPORTS AFTER RENEWAL OR AFTER REPLACEMENT BY A BN(O) PASSPORT.

THIS WAS STATED BY THE ACTING SECRETARY FOR SECURITY, MR KEN WOODHOUSE, IN A WRITTEN REPLY TO A QUESTION BY THE HON TIMOTHY HA WING-HO IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR WOODHOUSE SAID: "CROSS-LINKING IS AN ENDORSEMENT MADE IN THE NEW PASSPORT, STATING THAT THE HOLDER HAS PREVIOUSLY TRAVELLED ON A PASSPORT WHICH BEARS A VALID VISA.

/"THE NUMBER .......

14

WEDNESDAY, MAY 5, 1993

"THE NUMBER AND ISSUE DATE OE THE OLD PASSPORT ARE ALSO STATED."

AT THE SAME TIME, AN ENDORSEMENT IS MADE ON THE OLD PASSPORT.

"IT STATES THAT THE OLD PASSPORT IS EXTENDED BY THE ISSUE OF THE NEW OR REPLACEMENT PASSPORT, WITH THE NUMBER AND ISSUE DATE OF THE NEW PASSPORT SPECIFIED," HE ADDED.

A FEE OF 7.5 POUNDS STERLING, CHARGEABLE UNDER THE CONSULAR FEES ACT, THAT JS, ABOUT HK$89 IS AT PRESENT CHARGED FOR THIS SERVICE.

ABOUT 160 BDTC’S HAVE SO FAR USED THIS SERVICE TO EXTEND THE USE OF VALID VISAS IN THEIR OLD PASSPORTS FOR ENTRY INTO FOREIGN COUNTRIES, SUCH AS THE USA, WITHOUT ANY PROBLEM.

------0--------

HIV-INFECTED HAEMOPHILIACS TO GET PAYMENTS SOON

* * * * *

THE GOVERNMENT EXPECTS THE FIRST BATCH OF PAYMENTS TO HAEMOPHILIACS WHO HAVE BEEN INFECTED WITH HIV THROUGH THE TRANSFUSION OF CONTAMINATED BLOOD PRODUCTS IN HONG KONG PRIOR TO AUGUST 1985, WILL BE MADE LATER THIS MONTH.

IN A WRITTEN REPLY TO A QUESTION BY DR THE HON CONRAD LAM KUI-SHING IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY), THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, SAID FOLLOWING THE FIRST MEETING OF THE COUNCIL FOR THE AIDS TRUST FUND ON APRIL 20, THE SECRETARY TO THE COUNCIL HAD BEEN IN TOUCH WITH PROSPECTIVE CLAIMANTS WITH THE ASSISTANCE OF THEIR ATTENDANT DOCTORS.

"AS SOON AS CLAIMS ARE VALIDATED BY THE COUNCIL AND APPROVED, THE SECRETARY WILL CONTACT THE CLAIMANTS AGAIN TO ARRANGE PAYMENT IN A MANNER CONVENIENT TO THE RECIPIENTS," SHE SAID.

"WE EXPECT THE FIRST BATCH OF PAYMENTS TO BE MADE SHORTLY AFTER THE COUNCIL’S NEXT MEETING ON MAY 17."

THE RATES OF PAYMENT TO ELIGIBLE CLAIMANTS ARE AS FOLLOWS:

* FOR THE DIRECTLY INFECTED:

- MARRIED WITH DEPENDENT CHILDREN $1,000,000

- MARRIED WITHOUT DEPENDENT CHILDREN $750,000

SINGLE $600,000

* FOR AN INFECTED SPOUSE OR CHILD

OF THE ABOVE $300,000

* FOR THE FAMILY OF A VICTIM WHO HAS

DIED AND NOT ELIGIBLE FOR ANY OF

THE ABOVE $300,000

MRS WONG ALSO SAID ANY REQUESTS FROM HAEMOPHILIACS FOR URGENT ASSISTANCE WOULD BE CONSIDERED.

--------0-----------

/15 ........

WEDNESDAY, MAY t) ,

15

JOINT SURVEY ON INDOOR RADON LEVEL

*****

AN EXTENSIVE SURVEY ON INDOOR RADON LEVEL IS BEING CONDUCTED JOINTLY BYJ THE ENVIRONMENTAL PROTECTION DEPARTMENT (EPD) AND THE UNIVERSITY OE HONG KONG.

THIS WAS STATED BY THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, IN A WRITTEN REPLY TO A QUESTION BY THE HON MAN SAE-CHEONG IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

THIS SURVEY WILL COVER SOME 1,500 SITES IN DOMESTIC, COMMERCIAL, INDUSTRIAL AND SCHOOL PREMISES AND RESULTS ARE EXPECTED TO BE READY BY THE END OF THIS YEAR.

MR EASON SAID THE EPD WAS ALSO COLLABORATING WITH TERTIARY INSTITUTIONS TO INVESTIGATE THE EFFECTIVENESS OF VARIOUS RADON CONTROL MEASSURES.

LATEST SURVEY AND STUDIES HAVE BEEN TO ISSUE AN INFORMATION PAMPHLET ON IN BUILDINGS IN HONG KONG," HE SAID.

"WHEN THE RESULTS OF THE ASSESSED, THE GOVERNMENT INTENDS MEASURES TO MITIGATE RADON LEVELS

THE PAMPHLET IS LIKELY TO BE ISSUED TO THE PUBLIC EARLY NEXT YEAR, HE ADDED.

--------0-----------

POSTAL PLANNING CRITERIA SERVE RESIDENTS WELL

*****

THE LATEST REVIEW IN JANUARY LAST YEAR CONCLUDED THAT THE EXISTING PLANNING STANDARDS FOR POST OFFICE PROVISION, FLEXIBLY APPLIED, SERVE THE COMMUNITY WELL, THE SECRETARY FOR ECONOMIC SERVICES, MR GORDON SIU, SAID.

WITHIN THESE CRITERIA THERE ARE WELL-ESTABLISHED PROCEDURES ENSURING THAT SHIFTS IN POPULATION AND NEW RESIDENTIAL DEVELOPMENT ARE TAKEN FULLY INTO ACCOUNT IN THE PLANNING OF NEW POST OFFICES, HE SAID.

LAST YEAR, FOR INSTANCE, FOUR NEW POST OFFICES WERE OPENED TO SERVE NEW TOWN DEVELOPMENTS IN SHA TIN, TAI PO, TSUEN WAN AND TIN SHUI WAI .

GIVING A WRITTEN REPLY TO A QUESTION BY THE HON ERIC LI IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY), MR SIU SAID: "IN 1993, WE PLAN TO OPEN NEW POST OFFICES WHICH WILL SERVE THE MA ON SHAN AND TSEUNG KWAN O AREAS."

AS A GENERAL GUIDE, POST OFFICES ARE TO BE PROVIDED SO THAT LARGE GROUPS OF POPULATION IN URBAN AREAS CAN HAVE ACCESS TO FACILITIES WITHIN 0.8 KILOMETRES FROM WHERE THEY LIVE OR WORK. FOR RURAL AREAS THE DISTANCE IS 3.2 KILOMETRES.

OTHER FACTORS TO BE CONSIDERED INCLUDE POPULATION IN THE PROPOSED CATCHMENT AREAS WHICH SHOULD NORMALLY NOT BE LESS THAN 30,000 PERSONS; THE NATURE OF THE TERRAIN OVER WHICH CUSTOMERS MUST TRAVEL', PHYSICAL FEATURES SUCH AS BUSY MAIN ROADS AND PARTICULAR SOCIAL NEEDS OR SPECIAL REQUIREMENT FOR POSTAL SERVICES.

/HOWEVER, MR ........

WEDNESDAY, MAY 5, 1993

16

HOWEVER, MR SIU POINTED OUT THAT THE CRITERIA WERE APPLIED FLEXIBLY WHERE CIRCUMSTANCES JUSTIFIED.

’’FOR EXAMPLE, IN THE URBAN COMMERCIAL AREAS OF CENTRAL, WAN CHAI AND TSIM SHA TSUI, WE HAVE RECOGNISED THAT HEAVY DEMAND FROM THE BUSINESS COMMUNITY f6r POSTAL SERVICES JUSTIFIES A MORE GENEROUS PROVISION OF FACILITIES,” HE SAID.

’’THE PROVISION OF POST OFFICES ON THE OUTLYING ISLANDS ALSO DEMONSTRATES THIS FLEXIBILITY," THE SECRETARY SAID.

PENG CHAU AND LAMMA ISLAND HAVE POST OFFICES WITH CATCHMENTS OF ONLY 3,189 AND 2,943 PEOPLE RESPECTIVELY.

FOR RURAL AREAS WHERE THE POPULATION IS DISTRIBUTED MORE SPARSELY, THE POST OFFICE OPERATES A FLEET OF MOBILE POST OFFICES TO CATER FOR DEMAND.

THE PLANNING CRITERIA WERE DRAWN UP IN 1975 AND HAVE SINCE BEEN REGULARLY REVIEWED.

--------0

CHARGING FOR DOMESTIC POTABLE WATER

*****

THE PRESENT TIERED CHARGING STRUCTURE FOR DOMESTIC POTABLE WATER IS APPLICABLE ON THE SAME BASIS TO ALL HOUSEHOLDS IN A RESIDENTIAL BUILDING.

THIS WAS STATED BY THE SECRETARY FOR WORKS, MR JAMES BLAKE, IN A WRITTEN REPLY TO A QUESTION BY THE HON TAM YIU-CHUNG IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR BLAKE SAID HOUSEHOLDERS SHARING A COMMON WATER METER IN AN OLD TENEMENT BUILDING WERE TREATED NO DIFFERENTLY THAN OTHER REGISTERED CONSUMERS.

"EACH SUCH HOUSEHOLDERS IS ENTITLED TO A FREE ALLOWANCE OF 14 CJBIC METRES OF WATER, THAT IS, THE SAME ALLOWANCE PROVIDED TO INDIVIDUALLY METER HOUSEHOLDS," HE SAID.

HOUSEHOLDS SHARING COMMUNAL METERS MAY ACTUALLY BE CHARGED LESS THAN THOSE USING SEPARATE METERING BECAUSE COMMON-METERED USERS ARE AUTOMATICALLY GIVEN THE WHOLE 14 CUBIC METRES FREE ALLOWANCE, WHEREAS THOSE SEPARATELY METERED ARE GIVEN ACTUAL USAGE, UP TO A MAXIMUM OF 14 CUBIC METRES.

/17 ........

WEDNESDAY, MAY 5, 1993

17

CRITERIA FOR EMPLOYING CONSULTANTS BY EPI) EXPLAINED

*****

t

THE AVAILABILITY OF EXISTING RESOURCES AND EXPERTISE WITHIN THE ENVIRONMENTAL PROTECTION DEPARTMENT (EPD) REQUIRED TO UNDERTAKE A PARTICULAR PROJECT ARE THE CRITERIA USED TO DETERMINE WHETHER CONSULTANTS SHOULD BE EMPLOYED.

THIS WAS STATED BY THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, IN A WRITTEN REPLY TO A QUESTION BY THE HON GILBERT LEUNG IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR EASON SAID A CONSULTANCY MIGHT BE REQUIRED TO PROVIDE EXTRA • STAFF FOR A PARTICULAR PROJECT OR TO CARRY OUT WORK TO MEET PRESCRIBED TIME SCALES AND COPE WITH FLUCTUATING DEMAND FOR RESOURCES.

CONSULTANTS MIGHT ALSO BE REQUIRED TO PROVIDE SPECIALIST EXPERTISE, TO GIVE INDEPENDENT ADVICE OR TO PERMIT A MULTI- i DISCIPLINARY APPROACH, AS IN THE CASE OF THE MAJORITY OF EPD < CONSULTANCIES.

’’CONSULTANTS ARE NOT ENGAGED IF SUITABLE EPD STAFF ARE AVAILABLE ’1'0 PROVIDE THE SAME SERVICE OR EXPERTISE AGAINST THE SAME DEADLINES,” HE SAID.

MR EASON SAID IN THE PAST THREE YEARS, THE DEPARTMENT DIRECTLY t AWARDED 40 CONSULTANCIES AT A TOTAL COST OF $380 MILLION.

"OF THIS FIGURE, $266 MILLION IS FOR CONSULTANCY FEES AND THE REMAINDER FOR INVESTIGATIONS.

"EXPENDITURE TO DATE ON THESE PROJECTS IS $175 MILLION ON FEES AND $87 MILLION ON INVESTIGATIONS," MR EASON SAID.

SMALL RURAL SCHOOLS NOT EDUCATIONALLY VIABLE *****

FIVE VERY SMALL RURAL SCHOOLS ENROLLING ONLY A FEW PUPILS ARE * SCHEDULED TO BE CLOSED THIS YEAR, THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, SAID.

ALL AFFECTED PUPILS HAVE BEEN OR WILL BE PLACED IN OTHER SCHOOLS IN THE VICINITY, HE ADDED.

IN A WRITTEN REPLY TO A QUESTION BY THE HON ZACHARY WONG WAI-YIN IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY), MR CHAN SAID 20 SUCH SCHOOLS WERE CLOSED BETWEEN 1990 AND 1992.

HE EXPLAINED: "THE CURRENT POLICY ON VILLAGE OR RURAL PRIMARY SCHOOLS IS TO REPLACE THOSE OPERATING LESS THAN SIX CLASSES BY LARGER SCHOOLS SERVING A WIDER CATCHMENT AREA, WHEREVER POSSIBLE."

"THE SMALL SCHOOLS ARE NOT CONSIDERED EDUCATIONALLY VIABLE IN TERMS OF FACILITIES AND THE ABILITY TO DELIVER A BROAD CURRICULUM."

/PRESENT USES .......

WEDNESDAY, MAY 5, 1993

18

PRESENT USES OF FORMER RURAL SCHOOLS INCLUDE VILLAGE SOCIAL AND RECREATION CENTRES FOR VILLAGERS, STUDY ROOMS AND

OFFICERS, ACTIVITY

CENTRES FOR SCOUTS.

"IF THE EDUCATION DEPARTMENT HAS NO FURTHER USE FOR IH. ’ '

BUILDING AND THE LAND WILL BECOME AVAILABLE FOR AL1^CATION TO USERS BY THE DISTRICT LANDS OFFICE CONCERNED, ' MR CHAN ADDED.

--------o-----------

TAX CASES SUPPLEMENT READY IN AUGUST/SEPTEMBER

*****

THE NEXT SUPPLEMENT TO THE ’HONG KONG TAX CASES’ WILL BE AVAILABLE IN AUGUST/SEPTEMBER THIS YEAR, THE SECRETARY FOR THE TREASURY, MR K Y YEUNG, SAID.

IN A WRITTEN REPLY TO A QUESTION BY THE HON PETER WONG HONG-YUEN IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY), MR YEUNG SAID: "PREPARATORY WORK FOR THE PUBLICATION OF CASES ON HAND IS IN PROGRESS."

"MOST OF THE TAX CASES NOT YET PUBLISHED IN 'HONG KONG TAX CASES’ HAVE ALREADY BEEN REPORTED IN THE HONG KONG LAW REPORTS,” THE SECRETARY SAID.

THE SUFFICIENT WORTHWHILE.

PRESENT PRACTICE IS FOR MATERIALS HAVE BEEN

A SUPPLEMENT TO BE PUBLISHED WHEN ACCUMULATED TO MAKE PRINTING

-----0------

IMPROVED COMPENSATION FOR PNEUMOCON IOTICS

*****

A BILL PROPOSING A NUMBER OF IMPROVEMENTS TO THE COMPENSATION SCHEME FOR PNEUMOCONIOSIS SUFFERERS WAS INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MOVING THE SECOND READING OF THE PNEUMOCONIOSIS (COMPENSATION) (AMENDMENT) BILL 1993, THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, SAID THE MOST SIGNIFICANT IMPROVEMENT WAS TO INTRODUCE A SYSTEM OF MONTHLY PAYMENTS PAYABLE FOR THE LIFETIME OF A PNEUMOCONIOTIC.

"ASSESSMENT FOR COMPENSATION WILL BE MADE ON THE BASIS OF PHYSICAL INCAPACITY IN ACCORDANCE WITH A FORMULA WHICH TAKES INTO ACCOUNT ANY LIKELY REDUCTION IN EMPLOYABILITY OR LOSS OF QUALITY OF LIFE," HE SAID.

UNDER THE PRINCIPAL ORDINANCE WHICH WAS ENACTED IN JANUARY 1981, COMPENSATION IS PAID EITHER IN A LUMP SUM OR BY TWO INSTALMENTS.

THIS HAS BEEN FOUND TO BE INADEQUATE BECAUSE NO FURTHER RELIEF IS AVAILABLE TO THE PNEUMOCONIOSIS SUFFERERS IF THEIR HEALTH DETERIORATES FURTHER.

/IN VIEW .......

WEDNESDAY, MAY 5, 1993

19

IN VIEW OF THE PROGRESSIVE NATURE OF THE DISEASE, MR CHAN SAID, THE BILL ENABLES A PNEUMOCON I OTIC TO ASK FOR RE-EXAMINATION EVERY TWO YEARS.

"IF HE IS FOUND TO HAVE SUFFERED ADDITIONAL INCAPACITY, THE AMOUNT OF MONTHLY PAYMENT WOULD BE INCREASED.

"THIS ALSO APPLIES TO PNEUMOCON1OTICS WHO HAVE PREVIOUSLY RECEIVED COMPENSATION UNDER THE ORDINANCE," MR CHAN ADDED.

THE BILL ALSO PROVIDES FOR COMPENSATION TO BE GIVEN TO THE FAMILY MEMBERS OF A PERSON WHO DIES OF PNEUMOCONIOSIS.

FUNERAL EXPENSES WOULD BE REIMBURSED TO ANY PERSON WHO HAS INCURRED THEM FOR THE BURIAL OR CREMATION OF THE DECEASED.

IN ADDITION, THE NEW COMPENSATION SCHEME PROVIDES REIMBURSEMENT OF EXPENSES FOR THE SUPPLY OR USE OF APPROVED MEDICAL APPLIANCES AND COMPENSATION FOR BEREAVEMENT TO THE FAMILY MEMBERS OF A PNEUMOCONIOTIC WHO HAD NOT RECEIVED ANY COMPENSATION PRIOR TO HIS DEATH.

SOME 2,000 PNEUMOCONIOTICS WHO WERE DIAGNOSED BETWEEN JANUARY 1981 AND MARCH 1993 ARE ESTIMATED TO BE ABLE TO BENEFIT UNDER THE NEW SCHEME.

TO IMPLEMENT THE NEW COMPENSATION SCHEME, MR CHAN SAID, IT WOULD BE NECESSARY TO INCREASE THE RATE OF LEVY CHARGED ON THE BUILDING AND CONSTRUCTION AND QUARRYING INDUSTRIES FROM 0.02 PER CENT TO 0.3 PER CENT IN 1993.

HE SAID: "I INTEND TO MOVE THE NECESSARY RESOLUTION IN THIS COUNCIL AS SOON AS POSSIBLE AFTER THE PASSAGE OF THE BILL.

"I SHOULD ALSO GIVE NOTICE THAT A FURTHER INCREASE IN THE RATE OF LEVY TO 0.4 PER CENT OR 0.45 PER CENT MAY WELL BE REQUIRED IN 1994, DEPENDING ON THE ACTUAL PATTERN OF INCOME AND EXPENDITURE."

THE IMPROVED COMPENSATION SCHEME ENVISAGED IN THE BILL WILL APPLY, AS THE EXISTING ORDINANCE, ONLY TO PNEUMOCON1OTICS DIAGNOSED ON OR AFTER JANUARY 1, 1981.

FOR THOSE WHO WERE DIAGNOSED BEFORE 1981 TO HAVE CONTRACTED THE DISEASE AND WHO WERE GIVEN EX-GRATIA PAYMENT ON A ONCE-AND-FOR-ALL BASIS BY THE GOVERNMENT IN 1981, HE SAID THE GOVERNMENT PROPOSED TO PROVIDE FURTHER EX-GRATIA PAYMENTS TO THEM AT A RATE OF $2,200 PER MONTH FOR THE REST OF THEIR LIVES.

IT IS ALSO PROPOSED THAT AN AMOUNT NOT EXCEEDING $10,000 WOULD BE GIVEN TO ANY PERSON WHO HAS PAID FOR THE FUNERAL EXPENSES OF A PERSON WHO HAD DIED OF PNEUMOCONIOSIS.

A SUBMISSION WILL BE MADE TO THE FINANCE COMMITTEE TO SEEK APPROVAL OF THE FUNDS REQUIRED FOR THIS PURPOSE AS SOON AS POSSIBLE AFTER THE PASSAGE OF THE BILL.

DEBATE ON THE BILL WAS ADJOURNED.

-----0------

/20.........

WEDNESDAY, MAY 5, 1993

20

BILL INTRODUCED TO PLUG CAR TAX LOOPHOLE ******

A BILL PROPOSING TO CLOSE A MAJOR FIRST REGISTRATION TAX (FRT) LOOPHOLE AND TO PROVIDE A LEVEL PLAYING FIELD FOR MOTOR VEHICLE DEALERS WAS INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MOVING THE SECOND READING OF THE MOTOR VEHICLES (FIRST REGISTRATION TAX) (AMENDMENT) (NO. 2) BILL 1993, THE SECRETARY FOR THE TREASURY, MR K Y YEUNG, SAID THE BILL ALSO SOUGHT TO PROTECT BOTH THE PUBLIC REVENUE AND THE CONSUMER.

AT PRESENT, THE AMOUNT OF FRT PAYABLE ON A VEHICLE IS CALCULATED ON THE BASIS OF ITS COST, INSURANCE AND FREIGHT (CIF) VALUE.

THUS MOTOR VEHICLE DEALERS ARE ABLE LAWFULLY TO UNDER-DECLARE THE CIF VALUE OF THEIR VEHICLES IN ORDER TO REDUCE THE AMOUNT OF FRT PAYABLE.

BECAUSE THE PRESENT LEGISLATION LEAVES ROOM FOR TAX AVOIDANCE, AND IS DEFICIENT IN ITS PROVISIONS TO COUNTER TAX EVASION, INDIVIDUAL DEALERS WHO ABUSE THE SYSTEM CAN ENJOY AN UNFAIR COMPETITIVE ADVANTAGE OVER THE MAJORITY WHO ABIDE BY THE SPIRIT OF THE LAW.

MR YEUNG SAID BY LIMITING THE SCOPE FOR AVOIDANCE AND EVASION, THE BILL WOULD CREATE A LEVEL PLAYING FIELD AMONG ALMOST ALL THE NEARLY 40 MOTOR VEHICLE DISTRIBUTORS IN HONG KONG.

EXPLAINING THE NEW APPROACH, HE SAID THE BILL WOULD REQUIRE ANY PERSON WHO CARRIED ON THE BUSINESS OF IMPORTING AND DISTRIBUTING MOTOR VEHICLES FOR USE IN HONG KONG TO REGISTER WITH THE COMMISSIONER FOR TRANSPORT.

’’THIS IS A BASIC REQUIREMENT TO ENSURE THAT THE GOVERNMENT IS AWARE OF THE EXTENT OF THE MOTOR VEHICLE MARKET AND AS A MEANS OF MONITORING THE UNAUTHORISED SALE OF VEHICLES FOR USE IN THE TERRITORY," HE SAID.

SECONDLY, A REGISTERED DISTRIBUTOR WILL HAVE TO PUBLISH A LIST OF THE RETAIL PRICES OF ALL MAKES OF MOTOR VEHICLE WHICH HE IS OFFERING FOR SALE.

THE FRT ON EACH VEHICLE WILL BE CALCULATED ON THE BASIS OF THIS PUBLISHED LIST PRICE, AND IT WILL BE AN OFFENCE TO SELL THE VEHICLE AT A PRICE HIGHER THAN THE PUBLISHED VALUE.

"I EMPHASISE THAT THIS IN NO WAY CONSTITUTES INTERFERENCE WITH THE FREE MARKET OR AN ATTEMPT AT PRICE CONTROL BY THE GOVERNMENT," MR YEUNG SAID.

NOT ONLY WILL DEALERS BE FREE TO SELL VEHICLES AT PRICES LOWER THAN THE PUBLISHED VALUE, IF THEY WISH, BUT THEY WILL ALSO BE ABLE TO INCREASE THE PRICE AT ANY TIME, PROVIDED THAT THEY NOTIFY THE COMMISSIONER FIRST, HE ADDED.

"PUBLICATION WILL PROVIDE THE CRITICAL INFORMATION FROM WHICH THE COMMISSIONER WILL BE ABLE TO DETERMINE, AS A MATTER OF FACT, THE PROPER AMOUNT OF FRT TO BE PAID."

21

WEDNESDAY, MAY 5, 1993

WHEN A VEHICLE IS SOLD, THE DISTRIBUTOR AND THE PURCHASER WILL SIGN A FORM SETTING OUT THE PUBLISHED RETAIL PRICE AND THE ACTUAL PURCHASE PRICE OF THE VEHICLE.

THE PURCHASER WILL THUS BE FORMALLY ADVISED OF THE SHARE OF THE PURCHASE PRICE ATTRIBUTABLE TO TAX.

THE FORM INDICATING THE DECLARED VALUE WILL BE DELIVERED TO THE COMMISSIONER.

TO ENSURE THAT THE SYSTEM OPERATES FAIRLY, MR YEUNG SAID THE BILL WOULD EMPOWER THE COMMISSIONER OR PUBLIC OFFICERS AUTHORISED BY HIM TO SEARCH FOR AND EXAMINE RECORDS RELATING TO THE IMPORTATION AND SALE OF MOTOR VEHICLES.

NOTING THAT THE PRIMARY PURPOSE OF THE BILL WAS TO PROTECT THE INTEGRITY OF THE FRT SYSTEM, HE SAJI): "IT IS NOT TO RAISE ADDITIONAL REVENUE."

SINCE THE PUBLISHED RETAIL PRICE WILL INCLUDE NOT ONLY THE CIE VALUE BUT ALSO OTHER INCIDENTAL COSTS AND THE PROFIT ELEMENT, TO MAINTAIN THE PRESENT RATES OF FRT WOULD SIGNIFICANTLY INCREASE THE COST OF CARS TO ORDINARY PURCHASERS.

"WE HAVE THEREFORE DEVISED A NEW SCHEDULE OF RATES, BASED ON A SLIDING SCALE OF PUBLISHED RETAIL PRICES.

"THIS SCHEDULE IS DESIGNED SO THAT THE EFFECT OF THE NEW LEGISLATION, TAKEN AS A WHOLE, WILL BE ALMOST ’REVENUE-NEUTRAL" MR YEUNG SAID.

WHILE THE BILL WILL THEREFORE GENERALLY BE ’REVENUE-NEUTRAL*, THE GOVERNMENT WILL IN FUTURE BE ABLE TO RAISE OR LOWER THE RATES SET OUT IN THE SCHEDULE, WHETHER FOR FISCAL OR TRANSPORT POLICY REASONS, WITH GREATER CONFIDENCE THAT THE INTENDED EFFECT OF ANY SUCH ADJUSTMENT WILL BE ACHIEVED, AND THAT THE PLANNED AMOUNT OF REVENUE WILL BE COLLECTED, HE ADDED.

THE COMMISSIONER FOR TRANSPORT WILL ISSUE A PRACTICE NOTE TO GIVE GUIDANCE TO VEHICLE DISTRIBUTORS AND MEMBERS OF THE PUBLIC ON HOW THE DETAILED PROVISIONS OF THE LAW WILL BE INTERPRETED AND ENFORCED.

DEBATE ON THE BILL WAS ADJOURNED.

------0 - - -

CONTAINER VEHICLES PARKING ON FOOTPATHS NOT ALLOWED

******

PARKING CONTAINER VEHICLES ON FOOTPATHS IS NOT ALLOWED AND THE POLICE WILL TAKE ENFORCEMENT ACTION WHEN THIS OCCURS.

THIS WAS STATED BY THE SECRETARY FOR TRANSPORT, MR MICHAEL LEUNG, IN A WRITTEN REPLY TO A QUESTION BY THE HON ANDREW WONG, IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

"TO DETER SUCH ILLEGAL PARKING AND TO SAFEGUARD PEDESTRIANS, RAILINGS OR BOLLARDS MAY BE ERECTED ON THE FOOTPATHS," HE SAID.

/MR LEUNG .......

22

WEDNESDAY, MAY 5, 1993

MR LEUNG EXPLAINED THAT CONTAINER VEHICLE LOAD]NG/UNLOADING ACTIVITIES SHOULD NORMALLY BE CONFINED TO OFF-STREET SITES FOR TRAFFIC MANAGEMENT AND SAFETY REASONS.

IN AREAS WHERE SUCH ACTIVITIES OCCUR ON STREET, CAUSING PEDESTRIAN SAFETY OR TRAFFIC CONGESTION PROBLEMS, NO STOPPING RESTRICTIONS ARE IMPOSED.

LOADING AND UNLOADING SPACES FOR CONTAINER VEHICLES ARE USUALLY PROVIDED WITHIN BUILDING DEVELOPMENTS OR ON LAND ALLOCATED FOR THE PURPOSE BY MEANS OF SHORT-TERM TENANCIES (STTS).

THE AREA NORMALLY REQUIRED FOR AN ARTICULATED CONTAINER VEHICLE TO LOAD OR UNLOAD IS ABOUT 16 METRE BY 3.5 METRE, EXCLUDING ACCESS AND CIRCULATION SPACE REQUIRED AT OFF-STREET LOCATIONS.

-----0------

BILL TO BETTER REGULATE PORT INTRODUCED

*****

A BILL THAT SEEKS TO BETTER REGULATE SHIPPING AND PILOTAGE MATTERS WITHIN HONG KONG WATERS WAS INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

THE BILL ENABLES THE PILOTAGE ADVISORY COMMITTEE TO BETTER COPE WITH THE INCREASINGLY COMPLEX MANAGEMENT OE SHIPPING MATTERS AS THE PORT BECOMES MORE BUSY.

MOVING THE SECOND READING OF THE PILOTAGE (AMENDMENT) BILL 1993, THE SECRETARY FOR ECONOMIC SERVICES, MR GORDON STU, SAID THE MEMBERSHIP OF THE COMMITTEE NEEDED TO BE ADJUSTED TO TAKE IN A BROADER SPECTRUM OF EXPERIENCE, EXPERTISE AND OPINION.

"THE WORK OF THE COMMITTEE SHOULD BENEFIT FROM MEMBERSHIP OF A MORE VARIED BACKGROUND,” HE ADDED.

MR SIU NOTED THAT DISCIPLINARY PROCEDURES FOR PILOTS INVOLVED A DETAILED PRELIMINARY INQUIRY FOLLOWED BY EXAMINATION BY A BOARD OF INVESTIGATION.

’’THESE PROCEDURES ARE ESSENTIAL FOR NORMAL CASES BUT THEY ARE INEFFICIENT AND INFLEXIBLE IN THE CASE OF MINOR. COMPLAINTS WHERE THERE IS OFTEN NO NEED FOR SUCH ELABORATE PROCEDURES.

”IN ADDITION, THE SANCTIONS IMPOSED BY A BOARD OF INVESTIGATION, NAMELY THE CANCELLATION OR SUSPENSION OF A PILOT’S LICENCE, ARE INAPPROPRIATE FOR MINOR OFFENCES WHERE A WARNING, CAUTION OR REPRIMAND WOULD SUFFICE,” HE SAID.

THE BILL PROVIDES FOR THE ESTABLISHMENT OF A BOARD OF DISCIPLINE TO DEAL EXCLUSIVELY WITH MINOR OFFENCES.

NO FORMAL JUDICIAL OR QUASI-JUDICIAL PROCEDURES WILL BE INVOLVED, AND THE BOARD MAY RECOMMEND A RANGE OF LESSER SANCTIONS.

A PROVISION FOR APPEAL IS INCLUDED.

/’’THESE MEASURES ..........

WEDNESDAY, MAY 5, 1993

23

’’THESE MEASURES SHOULD ENABLE LESS SERIOUS INCIDENTS TO BE HANDLED EXPEDITIOUSLY, EFFECTIVELY AND FAIRLY,” HE SAID.

OTHER PROVISIONS IN THE BILL INCLUDED:

♦ GRANTING TO AN OFFICER CONDUCTING A PRELIMINARY INQUIRY CERTAIN POWERS, FOR EXAMPLE, POWERS TO CALL WITNESSES AND TO DEMAND THE RELEASE OF RELEVANT DOCUMENTS; AND

* DESIGNATING A NEW "DOCKYARD APPROACH" AREA ON NORTH LANTAU SO THAT SHIPS NAVIGATING TO AND FROM DOCK.S LOCATED THERE WILL BE SUBJECT TO THE SAME EXEMPTION FROM COMPULSORY PILOTAGE AS THE EXISTING DOCKYARD APPROACH AREA NEAR TSING YI ISLAND.

MR SIU SAID: "THE PROPOSED AMENDMENTS HAVE BEEN FORMULATED IN CONSULTATION WITH THE SHIPPING INDUSTRY, THE HONG KONG PILOTS ASSOCIATION AND THE PILOTAGE ADVISORY COMMITTEE.”

’’ALL PARTIES SUPPORT THE PROPOSALS.”

DEBATE ON THE BILL WAS ADJOURNED.

BILL TO REGULATE LAWYERS INTRODUCED

THE PRINCIPAL OBJECT OF THE LEGAL PRACTITIONERS (AMENDMENT) BILL 1993 WAS TO PROVIDE A STATUTORY FRAMEWORK FOR THE ADMISSION AND REGULATION OF FOREIGN LAWYERS AND FOREIGN LAW FIRMS IN HONG KONG, THE ACTING ATTORNEY GENERAL, THE HON JOHN WOOD, SAID IN THE LEGISLATIVE COUNCIL TODAY.

ANOTHER ASPECT OF THE BILL REPRESENTED THE DETERMINATION OF THE ADMINISTRATION AND THE LEGAL PROFESSION TO ERADICATE TOUTING AND IMPROPER COMMISSION-TAKING WITHIN THE PROFESSION.

MOVING THE SECOND READING OF THE BILL, MR WOOD SAID THE PROPOSED STATUTORY FRAMEWORK WOULD REPLACE THE PRESENT ADMINISTRATIVE ARRANGEMENTS THAT GOVERNED THE ENTRY OF FOREIGN LAWYERS AND LAW FIRMS INTO HONG KONG.

I'f IS CLEARLY INAPPROPRIATE THAT THE ADMISSION AND REGULATION OF A CONSIDERABLE NUMBER OF FOREIGN LAWYERS SHOULD BE DEALT WITH PURELY BY ADM INISTRATIVE MEANS, IN DISTINCTION TO LOCAL LAWYERS WHOSE ADMISSION AND REGULATION ARE LAID DOWN IN THE LEGAL PRACTITIONERS ORDINANCE ENACTED BY THIS COUNCIL," HE SAID.

MR WOOD POINTED OUT THAI’ IT WAS THE GOVERNMENT’S POLICY TO ENCOURAGE THE DEVELOPMENT OF HONG KONG AS A CENTRE FOR THE PROVISION OF LEGAL SERVICES, SO THAT THOSE DOING BUSINESS IN OR THROUGH HONG KONG HAD ACCESS TO HIGH QUALITY MULTI-JURISDICTIONAL LEGAL ADVICE.

"FOREIGN LAWYERS AND LAW FIRMS PLAY AN IMPORTANT PART IN THAT DEVELOPMENT, ADDING TO THE IMPRESSIVE RANGE OF LEGAL SERVICES ALREADY AVAILABLE FROM LOCAL LAWYERS,” HE SAID.

/THERE ARE .......

WEDNESDAY, MAY 5, 1993

24

THERE ARE SOME 29 FOREIGN LAW FIRMS AND OVER 180 FOREIGN

LAWYERS NOW WORKING HERE.

THE BILL REQUIRED FOREIGN LAWYERS AND FOREIGN LAW FIRMS TO REGISTER WITH THE LAW SOCIETY.

ONLY FOREIGN LAWYERS AND FOREIGN LAW FIRMS REGISTERED WITH THE LAW SOCIETY, AS WELL AS SOLICITORS AND BARRISTERS ADMITTED TO PRACTISE IN HONG KONG, WOULD BE PERMITTED TO PRACTISE FOREIGN LAW.

FOREIGN LAWYERS AND FOREIGN LAW FIRMS WOULD BE ABLE TO FORM ASSOCIATIONS WITH LOCAL LAW FIRMS, AND BE ABLE TO SHARE OFFICE SPACE, PERSONNEL AND FEES.

MR WOOD SAID THIS MEASURE WOULD BENEFIT LOCAL AND FOREIGN FIRMS, AND THE CLIENT, WHO COULD OBTAIN HIS LEGAL SERVICES AT ONE PLACE.

FOREIGN LAWYERS WOULD BE SUBJECT TO THE LAW SOCIETY’S RULES OF CONDUCT AND DISCIPLINARY POWERS.

UNDER SUBSIDIARY LEGISLATION TO BE MADE UNDER POWERS CONTAINED IN THE BILL, A FOREIGN LAWYER WOULD NOT BE ABLE TO PRACTISE HONG KONG LAW.

FURTHER, THE SUBSIDIARY LEGISLATION WOULD ALLOW A FOREIGN LAW FIRM, AFTER PRACTISING IN HONG KONG FOR AT LEAST THREE YEARS, AND WHERE ALL OF THE PARTNERS IN HONG KONG WERE ADMITTED TO PRACTISE IN HONG KONG, TO ESTABLISH A HONG KONG PRACTICE.

THE BILL WOULD ALSO ENABLE FOREIGN LAWYERS TO QUALIFY AS LOCAL LAWYERS, THUS ENABLING THOSE FOREIGN LAWYERS WHO WISHED TO PRACTISE HONG KONG LAW TO DO SO, AS HONG KONG LAWYERS.

FOREIGN LAWYERS WOULD BE ABLE TO SO QUALIFY ON THE BASIS OF OBJECTIVE, NON-DISCRIMINATORY AND COMPETENCY-BASED CRITERIA.

BEFORE ADMISSION, FOREIGN LAWYERS, WHETHER FROM A COMMON LAW OR A NON-COMMON LAW JURISDICTION, WOULD BE SUBJECT TO A TRANSFER TEST ADMINISTERED BY THE LAW SOCIETY.

ON THE PROBLEM OF TOUTING AND IMPROPER COMMISSION-TAKING WITHIN THE LEGAL PROFESSION, MR WOOD SAID THESE INSIDIOUS AND UNPROFESSIONAL PRACTICES ATTACKED THE ADMINISTRATION OF JUSTICE AND THE RULE OF LAW BY DEPRIVING CITIZENS OF THEIR RIGHT TO CHOOSE THEIR OWN SOLICITOR AND HAVE ACCESS TO HIM OR HER, BY GREATLY INCREASING THE COST OF LEGAL SERVICES TO THE PUBLIC, AND BY ATTRACTING UNDESIRABLE ELEMENTS TO PREY ON THE UNSUSPECTING CLIENT.

HE SAID AN IMPORTANT PART IN THAT FIGHT WAS THE PROPOSAL IN THIS BILL THAT WOULD EMPOWER A LAW SOCIETY INSPECTOR TO REQUIRE A SOLICITOR TO PRODUCE ALL RELEVANT DOCUMENTS TO ENSURE THAT THE SOCIETY’S RULES FOR GOOD PROFESSIONAL CONDUCT HAD BEEN FOLLOWED.

THE LAW SOCIETY’S NEW PRACTICE RULES TO STRENGTHEN ITS POWER TO DEAL WITH TOUTING WERE GAZETTED LAST FRIDAY.

DEBATE ON THE BILL WAS ADJOURNED.

0

/25 ........

WEDNESDAY, MAY 5, 1993

25

TWO MOTIONS PASSED IN LEGCO

* * * * * *

A MOTION MOVED BY DR THE HON TANG SIU-TONG, URGING THE GOVERNMENT TO REVIEW THE LAND AND WATERBORNE TRANSPORT SYSTEMS , WAS PASSED BY THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY) AFTER A ONE-AND-A-HALF-HOUR DEBATE.

A TOTAL OF 12 MEMBERS SPOKE. THE SECRETARY FOR ECONOMIC SERVICES, MR GORDON SIU; AND THE SECRETARY FOR TRANSPORT, MR MICHAEL LEUNG, SPOKE ON BEHALF OF THE GOVERNMENT.

A MOTION MOVED BY THE HON MRS SELINA CHOW URGING THE GOVERNMENT TO CONSIDER ALL VIEWS ON THE LAW REFORM COMMISSION REPORT ON ARREST WAS ALSO PASSED AFTER MORE THAN ONE HOUR OF DEBATE.

A TOTAL OF 11 MEMBERS SPOKE. THE ACTING SECRETARY FOR SECURITY, MR KEN WOODHOUSE, SPOKE ON BEHALF OF THE GOVERNMENT.

ONE BILL - MULTI-STOREY BUILDINGS (OWNERS INCORPORATION) (AMENDMENT) BILL 1992, WAS PASSED WITH AMENDMENTS.

FOUR OTHER BILLS WERE INTRODUCED FOR FIRST AND SECOND READINGS. DEBATES ON THEM WERE ADJOURNED.

THE BILLS WERE LEGAL PRACTITIONERS (AMENDMENT) BILL 1993, MOTOR VEHICLES (FIRST REGISTRATION TAX) (AMENDMENT) (NO. 2) BILL 1993, PNEUMOCONIOSIS (COMPENSATION) (AMENDMENT) BILL 1993 AND PILOTAGE (AMENDMENT) BILL 1993.

-..-0----

Received by PRO on1 1 MAY 19S3

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

THURSDAY, MAY 6, 1993

CONTENTS PAGE NO4

GOVERNOR CONCLUDES VISIT TO WASHINGTON .......................... 1

EXCO DECIDES TO IMPLEMENT BN(O) CONVERSION PROGRAMME ............ 2

RENT CONTROLS TO BE EXTENDED TO 1996 ............................ 4

COMPENSATION TO SENIOR EXECUTIVES................................ 5

INSURANCE COMPANIES (AMENDMENT) BILL 1993 TO BE GAZETTED TOMORROW ... 6

AG SPEAKS ON ALTERNATIVE DISPUTE RESOLUTION ...................   8

QUALITY IMPROVEMENT VITAL TO BUSINESSES ......................   10

GRADING OF BEACH WATER QUALITY .......................*......... 11

209 VM'S GO HOME .....................  ...u................. 14

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ..... 14

THURSDAY, MAY 6, 1993

1

GOVERNOR CONCLUDES VISIT TO WASHINGTON

*****

THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, YESTERDAY (WEDNESDAY) CONCLUDED HIS VISIT TO WASHINGTON D C.

SPEAKING AT A PRESS BRIEFING, HF DESCRIBED HIS VISIT AS A GREAT SUCCESS. MR PATTEN SAID:

"WE HAVE ENSURED THAT THE INTERESTS OF HONG KONG ARE ON THE UNITED STATES’ AGENDA. THE ADMINISTRATION AND THE CONGRESS NOW UNDERSTAND HOW IMPORTANT MEN RENEWAL IS TO HONG KONG.

"I THINK IT WOULD BE IMPOSSIBLE TO CONCEIVE OF HOW WE COULD HAVE BEEN BETTER RECEIVED BY THE ADMINISTRATION, THE SENATE AND THE HOUSE OF REPRESENTATIVES.

"I AM VERY GRATEFUL THAT SO MANY PEOPLE HAVE BEEN PREPARED TO GIVE UP THEIR TIME TO DISCUSS HONG KONG AND HONG KONG’S CONCERNS."

MR PATTEN BEGAN THE THIRD DAY OF HIS VISIT TO WASHINGTON WITH A PRESS BRIEFING. HE THEN MET REPRESENTATIVE TOM FOLEY, THE SPEAKER OF THE HOUSE OF REPRESENTATIVES.

THIS WAS FOLLOWED BY A MEETING WITH THE NATIONAL ECONOMIC ADVISOR, MR ROBERT RUBIN, AT THE WHITE HOUSE AND THEN A MEETING WITH EX-CONGRESSMAN MR STEPHEN SOLARZ.

MR PATTEN LED A LUNCH-TIME DISCUSSION AT THE BROOKINGS INSTITUTION WHICH WAS CHAIRED BY DR HARRY HARDING AND ATTENDED BY, AMONG OTHERS, CONGRESSWOMAN NANCY PELOSI AND CONGRESSMAN JOHN PORTER.

IN THE AFTERNOON, MR PATTEN MET CONGRESSMAN LEE HAMILTON, CHAIRMAN OF THE HOUSE FOREIGN AFFAIRS COMMITTEE AND THEN BRIEFED THE COMMITTEE.

THE MEETING WAS CHAIRED BY CONGRESSMAN GARY ACKERMAN. THE GOVERNOR THEN ADDRESSED THE EAST ASIAN AND PACIFIC AFFAIRS SUBCOMMITTEE OF THE SENATE FOREIGN RELATIONS COMMITTEE.

A GOVERNMENT SPOKESMAN SAID THE VERY HIGH ATTENDANCE AT BOTH MEETINGS WAS A CLEAR EXPRESSION OF INTEREST AND SUPPORT FOR HONG KONG ON CAPITOL HILL.

MR PATTEN CONCLUDED HIS THIRD DAY IN WASHINGTON WITH A MEETING WITH SENATOR BILL BRADLEY.

HE WILL THEN TRAVEL TO NEW YORK TODAY (THURSDAY) FOR A TWO-DAY VISIT.

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/2 .........

THURSDAY, MAY 6, 1993

2

EXCO DECIDES TO IMPLEMENT BN(O) CONVERSION PROGRAMME * * * * *

THE EXECUTIVE COUNCIL, HAVING CONSIDERED CAREFULLY THE VIEWS OF THE LEGISLATIVE COUNCIL SUB-COMMITTEE ON NATIONALITY, HAS DECIDED TO GO AHEAD WITH A PHASED PROGRAMME FOR. REGISTERING BRITISH DEPENDENT TERRITORIES CITIZENS (BDTCS) AS BRITISH NATIONALS (OVERSEAS) (BN(O)’S) AND FOR ISSUING THEM WITH PASSPORTS.

AT A MEETING TODAY (THURSDAY) WITH THE SUB-COMMITTEE, THE ACTING SECRETARY FOR SECURITY, MR KEN WOODHOUSE, EMPHASISED THE NEED TO IMPLEMENT THE PHASED PROGRAMME AND REASSURED MEMBERS THAT THE ADMINISTRATION WOULD LAUNCH AN INTENSIVE PUBLICITY CAMPAIGN TO DRAW THE ATTENTION OF ELIGIBLE BDTCS TO THE TIMETABLE AND THE CUT-OFF DATES APPLICABLE TO RESPECTIVE AGE GROUPS.

HE STRESSED THAT THE ACQUISITION OF THE BN(O) STATUS WOULD BE ABSOLUTELY VOLUNTARY.

"ONLY THOSE WHO WISH TO CONTINUE TO TRAVEL ON A BRITISH PASSPORT BEYOND 1997 AND DO NOT ALREADY HAVE A BN(O) PASSPORT NEED ApPLY," HE SAID.

AT THE REQUEST OF THE SUB-COMMITTEE, THE ADMINISTRATION HAD CONSULTED EXCO ONCE AGAIN ON TUESDAY (MAY 4) ON THIS SUBJECT.

"EXCO HAS DIRECTED THAT THE ADMINISTRATION SHOULD ASK THE BRITISH GOVERNMENT TO PROCEED WITH THE INTRODUCTION OF THE ORDER IN COUNCIL TO PARLIAMENT, IMPOSING CUT-OFF DATES FOR APPLICATION FOR REGISTRATION OF BDTCS AS BN(O)’S AND FOR REGISTRATION OR NATURALISATION AS BDTC’S AND ALLOWING A DISCRETION TO APPROVE LATE APPLICATIONS," MR WOODHOUSE SAID.

THE ORDER WILL CONTAIN PROVISIONS FOR ACCEPTING APPLICATIONS FROM PEOPLE WHO ARE PREVENTED FROM APPLYING ON TIME BY SPECIAL CIRCUMSTANCES, SUCH AS HOSPITALISATION DURING AN APPLICANT’S PHASE; BUT SIMPLY WANTING MORE TIME TO CONSIDER WOULD NOT BE REGARDED AS A VALID REASON.

MR WOODHOUSE SAID THE ADMINISTRATION HAD CAREFULLY RECONSIDERED THE SUB-COMMITTEE’S CONCERNS AND DOUBTS.

"OUR VIEW REMAINS THAT THE PHASED PROGRAMME IS THE ONLY WAY TO GUARANTEE THAT ALL BDTCS WHO WANT A BN(O) CAN SECURE ONE.

"IF THE PROGRAMME WAS TO BE WITHDRAWN, ONLY PEOPLE WHO WOULD SUFFER ARE THOSE BDTCS WHO WISH TO OBTAIN A BN(O) PASSPORT BUT FAIL TO DO SO BECAUSE THEIR APPLICATIONS COULD NOT BE PROCESSED IN TIME BEFORE THE CHANGE OF SOVEREIGNTY," HE SAID.

MR WOODHOUSE POINTED OUT THAT, BECAUSE OF THE LARGE NUMBERS INVOLVED (POSSIBLY 3.4 MILLION APPLICANTS), THE RIGHT TO DELAY APPLYING FOR REGISTRATION AS A BN(O) RIGHT UP TO JUNE 30, 1997 COULD NOT IN PRACTICE BE GRANTED.

"LARGE NUMBERS OF APPLICATIONS SUBMITTED IN THE LAST FEW WEEKS OR MONTHS PRIOR TO THE CHANGE OF SOVEREIGNTY COULD NOT BE PROCESSED BY JUNE 30, 1997. THE PHASED PROGRAMME GIVES ALL BDTC’S A FAIR AND EQUAL CHANCE AND REASONABLE TIME TO SUBMIT APPLICATIONS AND A GUARANTEE THAT THEY WILL RECEIVE THEIR BN(O) STATUS," HE SAID.

/HE ALSO ..

3

THURSDAY, MAY 6, 1993

HE ALSO POINTED OUT THAT THE ADMINISTRATION DID NOT AGREE THAT THE PHASED PROGRAMME DEPRIVED BDTC’S OF ANY RIGHTS; ADDING THAT IT WAS ONLY THE BDTC PASSPORT THAT REGISTERED BN(O)’S HAD TO GIVE UP AND THAT THEY RETAINED ALL OTHER RIGHTS AS BDTC'S UNTIL JUNE 30, 1997. »

MR WOODHOUSE EXPLAINED THAI’ THE BN(O) PASSPORT WAS EQUIVALENT TO THE BDTC PASSPORT IN ALL BUT ONE MINOR RESPECT; AUSTRIA ALLOWED BDTC PASSPORT HOLDERS VISA-FREE ENTRY, BUT NOT BN (O) PASSPORT HOLDERS.

"BDTC’S STAND TO LOSE NOTHING IN HAVING TO APPLY EARLY FOR REGISTRATION AS A BN(O) AND TO RECEIVE THE: BN(O) PASSPORT. THERE IS NO VALID REASON FOR WANTING TO HOLD THE BDTC PASSPORT TO THE LAST MOMENT,” HE SAID.

"TO ALL PRACTICAL PURPOSES, THE TWO PASSPORTS ARE THE SAME.”

THE UNDERSTANDING REACHED BETWEEN THE UNITED KINGDOM AND THE CHINESE GOVERNMENTS IN THE EXCHANGE OF MEMORANDA ANNEXED TO THE JOINT DECLARATION STATES THAT ALL BDTCS WHO WISH TO USE BN(O) PASSPORTS AFTER JUNE 30, 1997 HAVE TO BE IN POSSESSION OF THE PASSPORT BY THAT DATE.

THE TERMS OF THE UNITED KINGDOM MEMORANDUM LINK RETENTION OF THE BN(D) STATUS POST 1997 TO THE HOLDING OF A BN(O) PASSPORT.

"IT IS LEGALLY PERMISSIBLE TO ALLOW BN(O)’S TO APPLY AND REGISTER AND TO COLLECT THEIR PASSPORTS SOME TIME NEARER TO JUNE 30 1997, BUT THIS WOULD CREATE SERIOUS PRACTICAL DIFFICULTIES.

”WE WOULD EITHER HAVE TO INTRODUCE ANOTHER PHASED PROGRAMME FOR COLLECTION OR LEAVE REGISTERED BN(O) FREE TO COLLECT THEIR PASSPORTS AT ANY TIME BEFORE JULY 1, 1997.”

MR WOODHOUSE SAID, THEREFORE, THAT THE REGISTRATION OF STATUS SHOULD NOT BE SEPARATED FORM THE ISSUING OF THE PASSPORT AND BOTH HAVE TO BE COMPLETED BEFORE JULY 1, 1997.

”IT WAS ALWAYS THE ADMINISTRATION’S INTENTION WHEN DRAFTING THE HONG KONG ACT 1985 TO HAVE CUT-OFF DATES FOR BN(O) REGISTRATION. CUTOFF DATES WERE NOT INCLUDED IN THE HONG KONG (BRITISH NATIONALITY) ORDER 1986 SIMPLY BECAUSE THEY WERE NOT THEN IMMINENTLY NECESSARY,” MR WOODHOUSE SAID.

HE FURTHER POINTED OUT THAT IF NOTHING WAS DONE, IT WAS LIKELY THAT MANY BDTCS WHOSE PASSPORTS EXPIRED IN 1996 OR 1997 AND MANY WHO DID NOT HOLD A PASSPORT NOW WOULD NOT APPLY FOR A BN(O) PASSPORT UNTIL THE LAST MINUTE.

"THE PHASED PROGRAMME IS SIMPLY A MEANS OF PREVENTING THIS AND ENSURING THAT ALL BDTCS WHO WISH TO BECOME BN(O)S CAN ALL DO SO,” HF SAID.

BEFORE AND DURING THE CONVERSION EXERCISE, INTENSIVE PUBLICITY WILL BE ORGANISED TO INFORM THE PUBLIC ABOUT DETAILS OF THE CUT-OFF DATES FOR BN(O) REGISTRATION AND OF THE ADMINISTRATIVE CALL-UP TIMETABLE.

PUBLICITY WILL INCLUDE INFORMATION LEAFLETS, BOOKLETS, TV AND RADIO APIS (ANNOUNCEMENTS IN THE PUBLIC INTEREST), POSTERS, PRESS ADVERTISEMENTS, AND TELEPHONE RECORDED MESSAGES.

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/4......

THURSDAY, MAY 6, 1993


RENT CONTROLS TO BE EXTENDED TO 1?9S *****

THE PROPOSED DEADLINE EOR PHASING OUT RENT CONTROL WILL BE EXTENDED FOR A FURTHER TWO YEARS AND WILL NOW LAPSE ON DECEMBER 31, 1996 INSTEAD OF DECEMBER 31, 1994, A GOVERNMENT SPOKESMAN ANNOUNCED TODAY (THURSDAY).

TWO OTHER AMENDMENTS - TO REDUCE THE LEVEL OF MINIMUM RENTS WITH A PARALLEL PROPOSAL TO INCREASE COMPENSATION TO TENANTS DISPOSSESSED BY REDEVELOPMENT - WILL ALSO BE PROPOSED FOR INCLUSION INTO THE LANDLORD AND TENANT (CONSOLIDATION) (AMENDMENT) BILL 1992.

THE ANNUAL PERMITTED INCREASES TO THE MINIMUM RENT (CURRENTLY 70 PER CENT OF THE PREVAILING MARKET RENT) WILL BE SET AT FIVE PERCENTAGE POINTS, AS OPPOSED TO AN EARLIER PROPOSAL OF 7.5.

THE RECOMMENDED 'COMPENSATION MULTIPLIER’ MEANWHILE WILL RISE FROM 1.3 TO 1.7 OF THE CURRENT RATEABLE VALUE OF THE PREMISES.

THE PROPOSALS FOLLOWED FULL CONSULTATIONS WITH THE EXECUTIVE COUNCIL, THE SPOKESMAN SAID.

"PUBLIC AND LEGISLATORS’ EXPRESSED CONCERN ON THE ISSUE WERE ALSO THOROUGHLY TAKEN INTO ACCOUNT."

HE ALSO CONFIRMED THAT A DETAILED SURVEY OF THE AFFECTED TENANTS HAD BEEN CARRIED OUT BEFORE THE DECISIONS WERE REACHED.

THE EXHAUSTIVE AND CAREFUL CONSULTATION EXERCISE, HE STRESSED, WAS TO ENSURE THAT THE PROPOSED ADJUSTMENTS WOULD RESULT TN MODEST AND AFFORDABLE INCREASES.

INDEED, IN MONEY TERMS, HE POINTED OUT THAT THE BULK OF THE POORER TENANTS, PARTICULARLY THOSE OCCUPYING BEDSPACES, WOULD NOT BE AFFECTED BY THE DECONTROL AS THE MAJORITY WERE ALREADY PAYING MARKET RENTS.

FOR THOSE STILL UNDER THE CONTROL SCHEME, ADDITIONAL INCREASES WILL BE VERY SMALL - AVERAGING ONLY ABOUT $17 A MONTH IN 1994 AND NONE IN 1993.

SIMILARLY, INCREASES FOR THOSE LIVING IN SELF-CONTAINED FLATS, THE LARGEST CATEGORY OF AFFECTED TENANTS, WOULD ALSO NOT BE LARGE AND WILL AVERAGE ABOUT $136 IN 1993 AND $251 IN 1994.

HE CONFIRMED THAT CONTROLS AT PRESENT AFFECTED SOME 33,000 PREMISES AND ABOUT 150,000 PEOPLE, BUT EMPHASISED THAT THESE NUMBERS WERE DIMINISHING STEADILY.

AS REGARDS THE ENHANCED STATUTORY COMPENSATION, THE SPOKESMAN ESTIMATED THAT THE HIGHER MULTIPLIER WOULD ENABLE A DISPLACED TENANT TO RENT SIMILAR ACCOMMODATION FOR MORE THAN EIGHT MONTHS.

"THE NEW STATUTORY RATE WOULD ALSO MORE THAN DOUBLE THE EXISTING PAYMENT TO ABOUT $85,000 FOR A 600 SQ FT FLAT," HE ADDED.

/HE ALSO .......

THURSDAY, MAY 6, 1993

5

HE ALSO GAVE HIS ASSURANCE THAT SHOULD ABRUPT

MARKET OCCUR, THE AMENDED LEGISLATION

WILL CONTAIN

CHANGES IN THE "SAFEGUARDS" TO

ALLOW FOR THE SIZE OF PERMITTED

INCREASES

AND

DATES TO BE

ADJUSTED READILY BY

A SIMPLE

THEIR IMPLEMENTATION

RESOLUTION OF THE

LEGISLATIVE COUNCIL.

A SIMILAR MECHANISM WILL ALSO BE AVAILABLE FOR THE MULTIPLIER FOR STATUTORY COMPENSATION.

FURTHERMORE, TENANTS WILL STILL ENJOY SECURITY OF TENURE EVEN AFTER 1996 PROVIDED THEY ARE WILLING TO PAY MARKET RENTS.

ATTENTION NEWS EDITORS:

PRINCIPAL VALUER OF THE RATING AND VALUATION DEPARTMENT, MR P L WAN; AND PRINCIPAL ASSISTANT SECRETARY (NEW TERRITORIES), MR JIM MICHIE; WILL BE AVAILABLE TO ANSWER FOLLOW-UP ENQUIRIES /THIS SUBJECT AT 4 PM TODAY (THURSDAY) AT THE NEWS AND PUBLICITY DIVISION, CNTA HEADQUARTERS, SOUTHORN CENTRE, 30TH FLOOR, WAN CHAI.

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COMPENSATION TO SENIOR EXECUTIVES i t t t t

A GOVERNMENT SPOKESMAN SAID TODAY (THURSDAY):

"LEGAL ADVICE HAS BEEN TAKEN CONCERNING PRACTICE IN THE PRIVATE SECTOR OVER THE DISCLOSURE OF COMPENSATION PAID TO SENIOR EXECUTIVES. THIS ISSUE HAS BEEN DISCUSSED TODAY BY THE BOARD OF THE PROVISIONAL AIRPORT AUTHORITY IN RELATION TO THE DEPARTURE OF MR RICHARD ALLEN FROM HIS POST AS THE PAA’S CHIEF EXECUTIVE OFFICER. THE FINANCIAL SECRETARY WILL MAKE A STATEMENT TO THE LEGISLATIVE COUNCIL NEXT WEDNESDAY IN THE LIGHT OF THIS DISCUSSION."

THE SPOKESMAN SAID THAT SIR DAVID FORD, IN HIS CAPACITY AS CHAIRMAN OF FINANCE COMMITTEE, HAD TODAY WRITTEN TO THE HON ALBERT CHAN WAI-YIP. HE WAS RESPONDING TO A REQUEST FOR A REVIEW OF THE DECISION TAKEN ON MAY 4 BY SIR DAVID REGARDING THE ACCEPTABILITY FOR DISCUSSION OF MR CHAN’S MOTION CALLING FOR THE CHAIRMAN OF THE PAA TO GIVE EVIDENCE TO THE COMMITTEE.

THE TEXT OF SIR DAVID’S LETTER SAYS: "THANK YOU FOR YOUR LETTER OF 5 MAY. AS YOU HAVE STATED IN YOUR LETTER, THE MAIN FUNCTION OF THE FINANCE COMMITTEE ARE AS SET OUT IN THE PUBLIC FINANCE ORDINANCE AND STANDING ORDER 60, AND IN ESSENCE INVOLVE CONSIDERATION OF PROPOSALS FOR PUBLIC EXPENDITURE. YOUR MOTION DATED THE 30 APRIL IS NOT CONCERNED WITH ANY PROPOSALS FOR PUBLIC EXPENDITURE. THE MOTION IS THEREFORE OUT OF ORDER AND I CONFIRM MY PREVIOUS RULING."

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/6

THURSDAY, MAY 6, 1993

6

INSURANCE COMPANIES (AMENDMENT) BILU 1993 TO BE GAZETTED TOMORROW *****

THE GOVERNMENT IS PROPOSING LEGISLATIVE AMENDMENTS TO THREE AREAS IN THE INSURANCE COMPANIES ORDINANCE, A GOVERNMENT SPOKESMAN SAID TODAY (THURSDAY).

THE INSURANCE COMPANIES (AMENDMENT) BILL 1993 TO BE GAZETTED TOMORROW (FRIDAY) SEEKS TO DELEGATE TO THE INSURANCE AUTHORITY CERTAIN MINOR POWERS PRESENTLY EXERCISED BY THE GOVERNOR IN COUNCIL, TO REQUIRE INSURERS TO GIVE NOTIFICATION OF CESSATION OF PLACE OF BUSINESS IN HONG KONG, OR OF COMMENCEMENT OF LIQUIDATION OR SIMILAR PROCEEDINGS, AND TO PROVIDE FOR ENHANCED LEVELS OF SOLVENCY MARGIN FOR LONG-TERM INSURERS.

EXPLAINING THE BACKGROUND TO THE PROPOSED DELEGATION OF POWERS TO THE INSURANCE AUTHORITY, THE SPOKESMAN SAID SECTION (G)(1)(C) OF THE INSURANCE COMPANIES ORDINANCE PROVIDES THAT AN ASSOCIATION OF UNDERWRITERS INTENDING TO CARRY ON ANY CLASS OF INSURANCE BUSINESS IN OR FROM HONG KONG, WITH THE ONLY EXCEPTION OF LLOYD’S, MIGHT BE APPROVED ONLY BY THE GOVERNOR IN COUNCIL.

SECTION 8 OF THE ORDINANCE SETS OUT THE CRITERIA FOR AUTHORISATION OF INSURERS TO CONDUCT INSURANCE BUSINESSES IN HONG KONG BY THE INSURANCE AUTHORITY.

"THE CRITERIA WHEREBY THE AUTHORITY MAY AUTHORISE A COMPANY TO CARRY ON INSURANCE BUSINESS WOULD APPLY TO AN ASSOCIATION OF UNDERWRITERS NO LESS THAN TO A COMPANY," THE SPOKESMAN SAID.

"AS THE LEVEL OF RESPONSIBILITY REQUIRED FOR AUTHORISATION UNDER THESE TWO SECTIONS IS COMPARABLE, IT IS PROPOSED THAT THE POWER TO APPROVE UNDER SECTION 6 WOULD BE TRANSFERRED TO THE INSURANCE AUTHORITY BY CLAUSE 3 OF THE BILL," HE SAID.

SECTION 19(1) OF THE ORDINANCE EMPOWERS THE GOVERNOR IN COUNCIL TO PRESCRIBE CERTAIN AGREEMENTS OR ARRANGEMENTS AS UNDESIRABLE AND REQUIRE SPECIFIC INFORMATION FROM AN INSURER ENTERING INTO SUCH "PRESCRIBED" AGREEMENTS OR ARRANGEMENTS WITHIN SUCH PERIOD AS HE MAY PRESCRIBE.

"AS SUCH DUTIES ALSO FALL WELL WITHIN THE COMPETENCE OF THE AUTHORITY, WE HAVE PROPOSED THAT THE GOVERNOR IN COUNCIL’S POWERS IN SECTION 19 BE TRANSFERRED TO THE INSURANCE AUTHORITY BY CLAUSE 8 OF THE BILL,” THE SPOKESMAN SAID.

ON THE NOTIFICATION OF CESSATION OF PLACE OF BUSINESS AND OF LIQUIDATION OR SIMILAR PROCEEDINGS, THE SPOKESMAN SAID AT PRESENT AN INSURER INCORPORATED OUTSIDE HONG KONG IS NOT REQUIRED TO NOTIFY THE INSURANCE AUTHORITY WHEN IT EITHER CLOSES ITS PLACE OF BUSINESS IN HONG KONG OR BECOMES SUBJECT TO LIQUIDATION OR SIMILAR PROCEEDINGS.

"Al,THOUGH SUCH RETURNS ARE REQUIRED UNDER THE COMPANIES ORDINANCE, THE PRESENT ARRANGEMENTS WHEREBY THE AUTHORITY IS NOTIFIED OF THESE EVENTS THROUGH THE COMPANIES REGISTRY ARE INADEQUATE TO ALLOW THE AUTHORITY TO TAKE TIMELY ACTION IN RESPECT OF AILING INSURERS," HE SAID.

/"CLAUSE 17 .......

THURSDAY, MAY 6, 1993

7

"CLAUSE 17 WOULD THUS IMPOSE A REQUIREMENT ON THE OVERSEAS INSURER TO NOTIFY THE AUTHORITY DIRECTLY WHEN IT PROPOSES TO CLOSE ITS PLACE OF BUSINESS IN HONG KONG," THE SPOKESMAN SAID.

"FURTHER AMENDMENTS HAVE BEEN PROPOSED TO WIDEN THE REQUIREMENT TO COVER OTHER EVENTS INDICATIVE OF AN INSURER’S INSOLVENCY," HE ADDED.

CURRENTLY THE INSURANCE COMPANIES ORDINANCE DOES NOT PROVIDE FOR THE AUTHORITY TO BE NOTIFIED OF INSOLVENCY AND LIQUIDATION PROCEEDINGS TAKEN AGAINST AN INSURER INCORPORATED OUTSIDE HONG kONG OR SIMILAR PROCEEDINGS, SUCH AS THE ENFORCEMENT OF A JUDGEMENT FOR PAYMENT, AGAINST AN INSURER INCORPORATED EITHER WITHIN OR OUTSIDE HONG KONG.

"THIS IS UNSATISFACTORY AS SUCH PROCEEDINGS MAY ADVERSELY AFFECT THE INTERESTS OF HONG KONG POLICY HOLDERS, BECAUSE THE INSURER’S ASSETS IN HONG KONG MAY BE AT RISK OR, IN THE CASE OF AN OVERSEAS INSURER, MAY BE SEIZED BY AN OVERSEAS LIQUIDATOR FOR THE BENEFIT OF PREFERENTIAL CREDITORS OVERSEAS," THE SPOKESMAN SAID.

"LEGISLATIVE AMENDMENTS TO REQUIRE EARLY NOTIFICATION OF THESE EVENTS ARE THEREFORE NECESSARY TO ENABLE THE AUTHORITY TO TAKE ACTION FOR THE BETTER PROTECTION OF HONG KONG POLICY HOLDERS," HE SAID.

REGARDING THE PROPOSED CHANGES TO THE SOLVENCY MARGIN, THE SPOKESMAN SAID UNDER SECTION 10(2) OF THE ORDINANCE, A LONG TERM INSURER WAS REQUIRED TO MAINTAIN A MINIMUM SOLVENCY MARGIN, THAT WAS A MINIMUM EXCESS OF ASSETS OVER LIABILITIES, OF HK$2 MILLION.

"THIS MINIMUM, SET IN 1983, IS TOO LOW TO PROTECT POLICY HOLDERS AGAINST THE RISK THAT THE INSURER MAY BE UNABLE TO MEET ITS OBLIGATIONS IN FULL," THE SPOKESMAN EXPLAINED.

TO ENABLE THE AUTHORITY TO RECEIVE EARLY WARNING AND REQUIRE CORRECTIVE ACTION WHEN AN INSURER’S ASSETS APPROACH THE STATUTORY MINIMUM, CLAUSES 4, 9 AND 10 OF THE BILL WOULD ADJUST THE AMOUNTS OF SOLVENCY MARGIN MAINTAINED BY AN INSURER IN RESPECT OF ITS LONG TERM BUSINESS BY REFERENCE TO AN AMOUNT TO BE PRESCRIBED BY REGULATIONS, THE SPOKESMAN SAID.

THE PROPOSED PROVISIONS WOULD REQUIRE THE INSURER TO SUBMIT FOR APPROVAL BY THE INSURANCE AUTHORITY, AND GIVE EFFECT TO, A FINANCIAL PLAN OR SHORT-TERM SCHEME, WHERE THAT INSURER HAS FAILED TO MAINTAIN THE NEW SPECIFIED LEVELS OF SOLVENCY MARGIN.

"THE PROPOSED AMENDMENTS RELATING TO THE NEW SOLVENCY MARGINS ARE SIMILAR TO PRACTICES IN OVERSEAS JURISDICTIONS AND ARE WELL UNDERSTOOD BY THE INSURANCE INDUSTRY," THE SPOKESMAN ADDED.

THE BILL WILL BE INTRODUCED INTO THE LEGISLATIVE COUNCIL ON MAY 19.

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/8 .........

THURSDAY, MAY 6, 1993

8

AG SPEAKS ON ALTERNATIVE DISPUTE RESOLUTION *****

CONSUMERS OF LEGAL SERVICES ARE NOW LOOKING FOR MEANS TO FILL SOME OF THE GAPS IN THE FORMAL LEGAL SYSTEM IN ORDER TO AVOID SOME OF THE PROBLEMS OF DELAY, FORMALITY, PUBLICITY AND EXPENSE, AND THEY THEREFORE TURNED TO AN INCREASINGLY SOPHISTICATED ALTERNATIVE DISPUTE RESOLUTION SYSTEM, THE ATTORNEY GENERAL, MR JEREMY MATHEWS, SAID.

MODERATING A DISCUSSION SESSION ON ALTERNATIVE DISPUTE RESOLUTION AT THE 10TH COMMONWEALTH LAW CONFERENCE HELD IN CYPRUS TODAY (THURSDAY), MR MATHEWS SAID:

"THIS IS A WELCOME AND NECESSARY PROCESS BUT WE MUST NOT LOSE SIGHT OF THE REASONS WHY OUR SOPHISTICATED FORMAL SYSTEMS DEVELOPED IN THE FIRST PLACE.

"THERE IS OFTEN A NEED FOR CERTAINTY, A DEGREE OF FORMALITY, FOR CLEAR RULES AND INDEED FOR COMPULSION AND SUPERVISION."

HE SAID IT WAS NOT ONLY DESIRABLE BUT INEVITABLE THAT, HAVING MOVED APART, ALTERNATIVE DISPUTE RESOLUTION AND THE FORMAL STATE SYSTEMS SHOULD MOVE BACK TOGETHER AGAIN WITH EACH LENDING ITS STRENGTH TO THE OTHER.

HONG KONG’S EXPERIENCE, HE SAID, SHOWED THAT AMONGST THE CONSUMERS OF LEGAL SERVICES THERE WAS A STRONG DEMAND FOR A RETURN TO MEANS OF SETTLING LEGAL DISPUTES THAT WERE QUICK, FINAL AND CHEAP, WHICH WERE LACKING IN MOST FORMAL LEGAL SYSTEMS.

MR MATHEWS NOTED THAT THE RAPID GROWTH OF THE LEGAL SYSTEM IN HONG KONG OVER THE LAST 15 YEARS HAD BEEN BOTH A REFLECTION OF AND A REQUIREMENT FOR ITS RAPID ECONOMIC GROWTH.

"IT ALSO REMAINS ONE OF THE REASONS WHY HONG KONG IS STILL THE LOCATION OF CHOICE FOR INTERNATIONAL BUSINESS SEEKING TO GET A FOOTHOLD IN THE FAR EAST.

"AN HONEST AND RELIABLE LEGAL SYSTEM GIVES CONTRACTING PARTIES THE ASSURANCE THAT THEIR AGREEMENTS WILL BE HONOURED BECAUSE THEY KNOW THAT IF THEY ARE NOT THEY WILL HAVE A READY REMEDY," HE SAID.

"HONG KONG IS WHERE IT IS TODAY WITH ITS DEVELOPMENT OF ALTERNATIVE DISPUTE RESOLUTION AS A CONSEQUENCE OF ITS RAPID ECONOMIC DEVELOPMENT," HE ADDED.

MR MATHEWS DESCRIBED HOW HONG KONG HAVING ONCE, BY FORCE OF NECESSITY DEALT WITH ITS DISPUTES BY ALTERNATIVE DISPUTE RESOLUTION, THEN MOVED ON TO DEVELOP AN ADVANCED AND EXPENSIVE LEGAL SYSTEM AND HAD NOW COME FULL CIRCLE AND WAS LOOKING TO SEE HOW ALTERNATIVE DISPUTE RESOLUTION COULD SUPPLEMENT AND HELP AN EFFECTIVE LEGAL SYSTEM.

HE NOTED THAT IN 1985 THE GOVERNMENT BEGAN A TRIAL SCHEME FOR MEDIATION OF CONSTRUCTION DISPUTES AND IN 1990 PROVISION FOR MEDIATION WAS INTRODUCED INTO ALL SUBSTANTIAL GOVERNMENT CONSTRUCTION CONTRACTS.

/IN 1990

THURSDAY, MAY 6, 1993

9

IN 1990 HONG KONG ADOPTED THE MODAL LAW OF THE UNITED NATIONS OOMMISSION ON INTERNATIONAL TRADE LAW FOR ITS INTERNATIONAL ARBITRATIONS.

IT IS MY CLEAR FEELING FROM MY DISCUSSIONS WITH THE LEGAL AND COMMERCIAL COMMUNITY IN HONG KONG THAT ALTERNATIVE DISPUTE RESOLUTION IS BECOMING \ MORE AND MORE IMPORTANT ELEMENT OF OUR SYSTEM,” HE SAID.

ONE INDICATOR WAS THE INCREASED WORKLOAD OF THE HONG KONG INTERNATIONAL ARBITRATION CENTRE.

"SIGNIFICANTLY BOTH HONG KONG AND OTHER PARTIES ENTERING COMMERCIAL AGREEMENTS WITH CHINESE ORGANISATIONS ARE NOW REGULARLY SPECIFYING THE CENTRE’S RULES IN THEIR ARBITRATION CLAUSES.

"THIS CAN ONLY BE DONE BY AGREEMENT AND SHOWS THE WAY IN WHICH HONG KONG ARBITRATION IS BECOMING AN ESSENTIAL ELEMENT OF CHINA TRADE," MR MATHEWS SAID.

HE SAID ANOTHER INDICATOR WAS THAT HONG KONG GOVERNMENT DEPARTMENTS WERE NOW REGULARLY USING MEDIATION AS A MEANS TO RESOLVE CONSTRUCTION DISPUTES.

NOTING DEVELOPMENTS IN ALTERNATIVE DISPUTE RESOLUTION WITHIN THE COMMONWEALTH AND THE UNITED STATES AS EVIDENCE OF A BROAD TREND OR SEARCH FOR MEANS TO ACHIEVE RESOLUTION OF DISPUTES, HE SAID:

"WHAT WE HAVE IS NOT MERELY A COLLECTION OF MEANS ’ OF ALTERNATIVE DISPUTE RESOLUTION BUT WHAT CAN BE BETTER DESCRIBED AS AN ALTERNATIVE DISPUTE RESOLUTION SYSTEM.

"THIS IS NOT FAR FROM BEING AN ALTERNATIVE JUDICIAL SYSTEM RUN PRIVATELY AND BEYOND THE DIRECT CONTROL OF THE COURTS.”

BECAUSE MANY OF THE MEANS OF ALTERNATIVE DISPUTE RESOLUTION HAD DEVELOPED OUTSIDE THE CONTEXT OF THE ARBITRATION LEGISLATION, HE SAID PARTIES DID NOT ALWAYS HAVE SOME OF THE IMPORTANT PROTECTIONS.

"RATHER

INTRODUCED BY

THAN SEE THE NECESSARY CHECKS AND BALANCES GRADUALLY

A COMBINATION OF AD HOC LEGISLATIVE AND JUDICIAL

INTERVENTION, WE SHOULD RECOGNISE THE METHODS BUT ALSO THE LIMITATIONS OF AN

SURE THAT AS THEY DEVELOP THESE NEW INTO THE EXISTING SYSTEM SO THAT WE CAN

MERITS OF THESE ALTERNATIVE ALTERNATIVE SYSTEM AND MAKE METHODS THEY ARE INTEGRATED HAVE THE BEST OF BOTH WORLDS.”

THE FINAL PRODUCT OF SUCH A PROCESS WOULD BE SOMETHING WHICH MIGHT BE BEST DESCRIBED AS A DISPUTE RESOLUTION SYSTEM, HE SAID.

"IT WOULD COMPRISE A BALANCED MIXTURE OF ALTERNATIVE DISPUTE RESOLUTION REMEDIES WITH THE REMEDIES OF THE PUBLIC LAW.

"THE PUBLIC LAW WOULD SUPPORT ALTERNATIVE DISPUTE RESOLUTION WITHOUT INTERFERING WITH ITS ESSENTIALLY PRIVATE NATURE. AND IN A VERY REAL SENSE ALTERNATIVE DISPUTE RESOLUTION WOULD SUPPORT THE LEGAL SYSTEM," MR MATHEWS SAID.

- - 0 ------------

/io........

THURSDAY, MAY 6, 1993

10

QUALITY IMPROVEMENT VITAL TO BUSINESSES

THE GOVERNMENT FIRMLY BELIEVES THAT THE QUEST FOR IMPROVED QUALITY WILL PROVE TO RE A DECISIVE FACTOR IN DETERMINING THE FUTURE SUCCESS OF HONG KONG’S BUSINESSES.

THIS WAS STATED BY THE ACTING DIRECTOR-GENERAL OF INDUSTRY, MR RICKY FUNG, WHEN PRESENTING THE ISO 9002 CERTIFICATE TO MAXTOR (HONG KONG) LIMITED AT A CEREMONY TODAY (THURSDAY).

MR FUNG SAID IN THE BUSINESS WORLD OF THE 1990’S, QUALITY WAS A WEAPON RATHER THAN A PROBLEM TO BE SOLVED.

"THE INTRODUCTION OF A WELL STRUCTURED QUALITY MANAGEMENT SYSTEM AS AN INTEGRAL PART OF A COMPANY’S BUSINESS PLAN CAN HELP REDUCE COSTS, IMPROVE OUTPUT, ENSURE CONSISTENCY OF HIGH PRODUCT QUALITY AND SECURE MARKETS," HE SAID.

NOTING THAT CERTIFICATION WAS NOT EASY TO ACHIEVE, MR FUNG SAID IT WOULD BE READILY ATTAINABLE PROVIDED THE COMPANY WAS COMMITTED TO QUALITY IMPROVEMENT.

TOP MANAGEMENT HAD A CRUCIAL ROLE TO PLAY TN THIS PROCESS, AND IT HAD TO BE BACKED BY THE COMMITMENT AND SUPPORT OF THE STAFF, HE ADDED.

MR FUNG PRAISED MAXTOR (HONG KONG) FOR ITS FORWARD-LOOKING ATI CHIDE IN IHIS REGARD.

THE COMPANY’S DEDICATION TO QUALITY UNDERLINED THE CONTINUED SUCCESS OF HONG KONG’S MANUFACTURING INDUSTRIES IN THE FACE OF THE CHANGING STRUCTURE OF THE ECONOMY AND AN INCREASINGLY COMPETITIVE INTERNATIONAL MARKET, HE SAID.

HE POINTED OUT THAT THE EXPANSION OF HONG KONG’S MANUFACTURING INDUSTRIES INTO SOUTHERN CHINA HAD NOT, CONTRARY TO MISINFORMED PERCEPTION, DIMINISHED HONG KONG’S ROLE AS A REGIONAL MANUFACTURING CENTRE.

THE SHIFT HAD INSTEAD ENABLED HONG KONG’S OWN INDUSTRIAL STRUCTURE TO BECOME MORE STREAMLINED AND EFFICIENT, HE SAID.

"THIS IS ACHIEVED BY GREATER AUTOMATION, GREATER PRODUCTIVITY, AND HIGHER VALUE-ADDED AND HIGHER TECHNOLOGY PRODUCTION."

THE OFFICIAL STATISTICS TESTIFY TO THESE POINTS. FOR EXAMPLE, LABOUR PRODUCTIVITY INCREASED BY IB PER CENT AND RETAINED IMPORT OF INDUSTRIAL MACHINERY AND EQUIPMENT BY 11 PER CENT IN 1992 OVER 1991, MR FUNG SAID.

0 ---------

/II ........

THURSDAY, MAY 6, 1993

11

GRADING OF BEACH WATER QUALITY

* t t t t t

I

THE ENVIRONMENTAL PROTECTION DEPARTMENT TODAY (THURSDAY) ANNOUNCED GRADES ON THE BACTERIOLOGICAL WATER QUALITY OF ALL BATHING BEACHES IN HONG KONG.

THE PURPOSE IS TO INFORM SWIMMERS AND THE GENERAL PUBLIC ABOUT THE STATE OF BACTERIOLOGICAL POLLUTION AT .VARIOUS BEACHES.

A SPOKESMAN FOR THE DEPARTMENT SAID THE GRADING WOULD Bfi ANNOUNCED BIWEEKLY DURING THE BATHING SEASON TO COINCIDE WITH THE FREQUENCY AT WHICH BEACH WATERS WAS USUALLY SAMPLED.

THE GRADING IS BASED ON THE MOST RECENT E.COLT DATA OBTAINED BY THE DEPARTMENT IN ITS ROUTINE MONITORING PROGRAMME.

AS WITH LAST YEAR, THE GRADING ALSO INCLUDES AN ESTIMATE OF THE RISK OF SUFFERING SOME MINOR SKIN OR GASTROINTESTINAL COMPLAINTS AS A RESULT OF SWIMMING AT A BEACH THAT HAS SOME DEGREE OF POLLUTION.

THE ESTIMATE IS BASED ON

INFORMATION GATHERED IN HONG KONG IN

A LARGE BODY OF STATISTICAL

RECENT BATHING SEASONS.

THE GRADING OF SOME BEACHES MAY VARY DURING SUMMER. THIS REPRESENTS A NATURAL FLUCTUATION IN THE BACTERIOLOGICAL QUALITY OF BATHING WATER IN MOST CASES, AS RAIN AND TIDES BRING MORE OR LESS POLLUTION TO THE BEACHES.

HOWEVER, THE GRADES GIVE A GOOD GENERAL PICTURE OF THE WATER QUALITY AT BATHING BEACHES AT THE TIME OF REPORTING AND FORM THE BEST AVAILABLE FORECAST FOR THE IMMEDIATE FUTURE.

’’BEACHES WITH HIGHLY DEVELOPED HINTERLANDS ARE LIKELY TO BE MORE POLLUTED THAN THE GRADES SUGGEST DURING AND AFTER HEAVY RAIN.

’’BATHERS SHOULD AVOID SUCH BEACHES FOR TWO OR THREE DAYS AFTER A STORM, LONGER IF THE WEATHER REMAINS OVERCAST OR LESS IF THERE IS STRONG SUNSHINE.” THE SPOKESMAN SAID.

THE SYSTEM FOR GRADING BEACH WATER QUALITY IS AS FOLLOWS:

* GRADE ”1” INDICATES THAT THE WATER QUALITY IS GOOD. THE E. COLI COUNT IS NO MORE THAN 24 PER 100 MILLILITERS AT EACH BEACH SO GRADED, AND THE EXPECTED RISK OF MINOR ILLNESS TO SWIMMERS IS UNDETECTABLE.

t GRADE ”2” INDICATES THAT THE WATER QUALITY IS FAIR. THE E. COLT COUNT IS NO MORE THAN 180 PER 100 MILLILITERS AT EACH BEACH SO GRADED, AND THE EXPECTED HEALTH RISK IS NO MORE THAN 10 CASES OF MINOR ILLNESS PER 1,000 SWIMMERS.

* GRADE ”3” INDICATES THAT THE WATER QUALITY IS POOR. THE E. COLI COUNT IS NO MORE THAN 610 PER 100 MILLILITERS AT EACH BEACH SO GRADED, AND THE EXPECTED HEALTH RISK IS NO MORE THAN 15 CASES OF MINOR ILLNESS PER 1,000 SWIMMERS.

/* GRADE ”4”


12

THURSDAY, MAY 6, 1993

* GRADE ”4” INDICATES THAT THE WATER QUALITY IS VERY POOR. THE E. COLI COUNT IS MORE THAN 610 PER 100 MILLILITERS AT EACH BEACH SO GRADED, AND THE EXPECTED HEALTH RISK IS MORE THAN 15 CASES OF MINOR ILLNESS PER 1,000 SWIMMERS.

THE DECISION ON WHETHER OR NOT TO CLOSE A BEACH TO SWIMMERS IS BASED ON A JUDGEMENT OF WHAT DEGREE OF POLLUTION IS ACCEPTABLE.

NORMALLY, THE CLOSURE OF A BEACH WOULD ONLY BE CONSIDERED BY THE URBAN COUNCIL OR REGIONAL COUNCIL IF A GRADE ”4" OCCURRED REPEATEDLY, SO THAT THE AVERAGE HEALTH RISK OVER THE BATHING SEASON EXCEED 15 CASES PER 1,000 SWIMMERS.

AT PRESENT, TWO BATHING BEACHES - CASTLE PEAK AND OLD CAFETERIA - HAVE BEEN DECLARED UNSUITABLE FOR SWIMMING BASED ON THE WATER QUALITY DURING PAST SEASONS.

THEY ARE POLLUTED BY FAECAL WASTE. THE PUBLIC ARE ADVISED NOT TO SWIM THERE.

IN ADDITION, ROCKY BAY BEACH HAS BEEN CLOSED FOR SWIMMING BY THE URBAN COUNCIL. THESE THREE BEACHES ARE IDENTIFIED BY AN ”X” IN THE FOLLOWING LIST.

THE GRADES ON THE BACTERIOLOGICAL WATER QUALITY OF VARIOUS BEACHES IN HONG KONG TODAY ARE:

PREVIOUS PRESENT

BEACH GRADING GRADING

(AS AT 22.4.93) (AS AT 6.5.93)

HONG KONG SOUTH

BIG WAVE BAY 2 3

CHUNG HOM KOK 1 1

DEEP WATER BAY 1 1

HAIRPIN 1 2

MIDDLE BAY 1 1

REPULSE BAY 1 1

SHEK O 1 2

SOUTH BAY 1 1

ST STEPHEN'S 1 2

TURTLE COVE 1 1

STANLEY MAIN 2 2

ROCKY BAY X X

TO TEI WAN* 1 1

TUEN MUN DISTRICT

OLD CAFETERIA NEW CAFETERIA CASTLE PEAK KADOORIE BUTTERFLY

X 2

X 2

2

X 3 X

2 2

/SAI KUNG

THURSDAY, MAY 6, 1993

- 13 -

SAI KUNG DISTRICT

CAMPERS 1 1

CLEAR WATER BAY 1ST BEACH 1 1

CLEAR WATER BAY 2ND BEACH 1 1

HAP MUN BAY 1 1

KIU TSUI 1 1

PAK SHA CHAU 1 1

SILVERSTRAND 2 2

TRIO (HEBE HAVEN) 1 1

ISLANDS DISTRICT

CHEUNG SHA UPPER 1 1

CHEUNG SHA LOWER 1 1

DISCOVERY BAY* 2 2

HUNG SHING YEH 1 1

KWUN YAM WAN- 1 2

TONG FUK 1 1

LO SO SHING 1 1

PUI 0 1 1

SILVERMINE BAY 2 2

TUNG WAN, CHEUNG CHAU 2 2

TUNG 0* 1 2

TSUEN WAN DISTRICT

ANGLERS’ 3 3

APPROACH 3 3

CASAM 2 3

GEMINI 3 3

HOI MEI WAN 3 3

LIDO 2 3

TING KAU 3 3

TUNG WAN, MA WAN 2 2

NOTE : "X” THE BEACH HAS BEEN CLOSED FOR SWIMMING ♦ NON-GAZETTED BEACH

THE FOLLOWING BEACHES HAVE CHANGED GRADING ON THIS OCCASION:

HAIRPIN, SHEK O, ST STEPHEN’S, KWUN YAM WAN AND TUNG O FROM "1" TO ”2”; BIG WAVE BAY, NEW CAFETERIA, CASAM AND LIDO FROM ”2” TO ”3”.

THE CHANGES ARE WITHIN THE NORMAL RANGE OF FLUCTUATION OF THE BACTERIOLOGICAL WATER QUALITY OF THESE BEACHES.

NOTE TO EDITORS:

FOR FURTHER ENQUIRIES, PLEASE CONTACT DR M J BROOM, PRINCIPAL EVIRONMENTAL PROTECTION OFFICER ON 835 1234.

------0-------

• • *. * • i

/u

THURSDAY, MAY 6, 1993

14

209 VM’S GO HOME ♦ * *

A GROUP OF 209 VIETNAMESE MIGRANTS TODAY (THURSDAY) RETURNED TO VIETNAM UNDER THE UNHCR’S VOLUNTARY REPATRIATION PROGRAMME.

COMPRISING 89 MEN, 50 WOMEN, 39 BOYS AND 31 GIRLS, THEY WERE THE 151ST BATCH TO GO BACK UNDER THE PROGRAMME.

THIS GROUP BROUGHT TO 2,527 THE TOTAL NUMBER OF VIETNAMESE MIGRANTS WHO HAVE RETURNED VOLUNTARILY THIS YEAR, AND TO 28,839 THE TOTAL NUMBER OF RETURNEES SINCE THE PROGRAMME STARTED IN MARCH 1989.

» 0-

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ***** $ MILLION OPENING BALANCE IN THE ACCOUNT 1,540 REVERSAL OF LAP +610 BALANCE AFTER REVERSAL OF LAF 2,150 NET INJECTION/WITHDRAWAL TODAY NIL EFFECT OF LAF TODAY -380 CLOSING BALANCE IN THE ACCOUNT 1,770 LAF RATE 2.00 BID/4.00 OFFER TWI 111.7 *+0.0» 6.5.93 HONG KONG GOVERNMENT EXCHANGE FUND EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.34 PCT 12 MONTHS 2405 5.50 102.49 3.06

1 MONTH 2.57 PCT 15 MONTHS 2408 4.375 101.46 3.23

3 MONTHS 2.73 PCT 18 MONTHS 2411 4.625 101.81 3.43

6 MONTHS 2.87 PCT 12 MONTHS 3.04 PCT 21 MONTHS 2502 4.75 101.94 3.64

TOTAL TURNOVER OF BILLS AND BONDS - 6,247 MN

CLOSED 6 MAY 1993

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DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

FRIDAY, MAY 7, 1993

CONTENTS PAGE NO.

GOVERNOR’S STRONG CALL FOR UNCONDITIONAL MFN TO CHINA ........ 1

CIVIL SERVANTS WORKING ENTHUSIASTICALLY ...................... 2

BILLS TO STRENGTHEN CONTROL ON LIFTS SAFETY GAZETTED ......... 3

REHABILITATION OF SHEK O QUARRY .............................. 4

HKMA CONSULTS BANKING SECTOR ON BASLE COMMITTEE'S PROPOSALS .. 5

RCB INFORMED OF METRO NEWS CHANGES ........................... 6

UNPARALLELED BUSINESS OPPORTUNITIES FOR OVERSEAS INVESTORS .. 7

FISHERMEN GET MORE EX-GRATIA ALLOWANCES ...................... 8

SERVICE STATIONS FOR LORRY DRIVERS BEING EXAMINED ............ 9

INDEX OF INDUSTRIAL PRODUCTION FOR 1992 ...................... 10

PRINCE OF WALES HOSPITAL TO EXPAND ........................... 13

TRIPLE-UNIT CONVERSION CHARTS PUT UP AT PUBLIC MARKETS ....... 13

CHEUNG CHING TUNNEL VENTILATION SYSTEM ....................... 14

DRAIN PROJECT TO AVERT FLOODING .............................. 15

FOOTBRIDGES TO BE BUILT ON TSING YI .......................... 16

AREA COMMITTEES IMPORTANT TO GAUGE PUBLIC VIEWS .............. 16

TUEN MUN TREE PLANTING DAY 1993 .............................. 17

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS .. 18

FRIDAY, MAY 7, 1993

1

GOVERNOR’S STRONG CALL FOR UNCONDITIONAL MFN TO CHINA *****

THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, YESTERDAY (THURSDAY) ISSUED A STRONGLY WORDED CALL FOR THE UNITED STATES TO GRANT UNCONDITIONAL RENEWAL OF MOST FAVOURED NATION (MFN) STATUS FOR CHINA.

SPEAKING TO MORE THAN 600 PEOPLE AT A LUNCHEON MEETING ORGANISED BY THE NATIONAL COMMITTEE ON U.S.-(’HINA RELATIONS ON THE FIRST DAY OF HIS TWO-DAY VISIT TO NEW YORK, MR PATTEN WARNED HIS AUDIENCE OF PRIMARILY BUSINESS LEADERS AND GUESTS THAT HONG KONG WOULD BE SERIOUSLY HARMED ECONOMICALLY IF THE U.S. DID NOT RENEW MFN FOR CHINA UNCONDITIONALLY.

"IT IS IMPOSSIBLE TO CANCEL MFN, IMPOSSIBLE TO HEAVILY CONSTRAIN MFN, WITHOUT DAMAGING HONG KONG," HE SAID.

"THOSE PEOPLE WHO THINK THAT THEY CAN SOMEHOW HELP HONG KONG BY ATTACHING WHAT HAPPENS IN HONG KONG TO RENEWAL OF MFN SHOULD REALLY THINK AGAIN," THE GOVERNOR SAID.

"YOU CAN’T HELP HONG KONG BY HURT I NG HONG KONG’S ECONOMY," MR PATTEN TOLD HIS AUDIENCE.

"THE GOVERNOR SAID UNCONDITIONAL MFN RENEWAL BENEFITS NOT ONLY HONG KONG, BUI' ALSO CHINA AND THE UNITED STATES - HONG KONG’S TWO MOST IMPORTANT TRADING PARTNERS."

"I’VE SPENT MOST OF MY WEEK SO FAR. TALKING TO THE ADMINISTRATION AND CONGRESSIONAL LEADERS ABOUT ONE SUBJECT," HE SAID. "I’VE BEEN TALKING ABOUT TRADE."

"I THINK FREE TRADE IS LIKE RIDING A BICYCLE," MR PATTEN SAID. "ONCE YOU STOP TURNING THE PEDALS THERE’S ALWAYS A TERRIBLE DANGER OF FALLING OFF INTO SOME PROTECT I ON I ST PUDDLE. SO FREE TRADE IS ABOUT THE ONLY ISSUE ABOUT WHICH I AM UNASHAMEDLY IDEOLOGICAL."

MR PATTEN SAID HE BELIEVED, "THE BEST WAY OF IMPROVING THE QUALITY OF LIFE OF THE PEOPLE TN CH I NA IS THROUGH MORE TRADE AND CONTINUING SUCCESS FOR THE OPENING UP OF THE CHINESE ECONOMY."

"RESTRICT TRADE, STOP MFN AND THE PEOPLE YOU HURT MOST ARE THOSE WHO ARE AT THE CUTTING EDGE OF (’HINA’S GREAT EXPERIMENT WITH ECONOMIC LIBERALISM," THE GOVERNOR SAID.

HE ALSO CITED ESTIMATES THAI’ 'HIE UNITED STATES WOULD LOSE AS MANY AS 150,000 JOBS IF TRADE RELATIONS WERE DISRUPTED.

WHILE ACKNOWLEDGING THAT SUCH ISSUES AS WEAPONS PROLIFERATION, TRADE, AND HUMAN RIGHTS REMAIN POINTS OE DISCUSSION BETWEEN THE U.S. AND CHINA, Till-: GOVERNOR SAID: "THE BLUNDERBUSS OF MFN RENEWAL IS NOT THE RIGHT WAY '1'0 ADDRESS THESE PROBLEMS."

/ON HIS ........

FRIDAY, MAY 7, 1993

2

ON HIS POLITICAL REFORM, HE SAID: ’’THE ARGUMENT THAT WE’RE HAVING AT THE MOMENT WITH CHINA AND THE ARGUMENT WHICH I HOPE PASSIONATELY THAT WE WILL RESOLVE THROUGH THE TALKS THAT HAVE BEGUN WITH THE PRC, ISN’T ABOUT THE PACE OF THAT DEMOCRAT I SATTON."

"IT’S ABOUT THE CREDIBILITY OF THAT DEMOCRATISATION - THE ARGUMENT WE ARE HAVING IS ABOUT THE ARRANGEMENTS FOR THE LAST ELECTIONS ON THE BRITISH SOVEREIGNTY IN 1995; ARRANGEMENTS WHICH HAD NOT BEEN AGREED BEFORE THE 28TH BRITISH GOVERNOR ARRIVED IN HONG KONG LAST JULY,” MR PATTEN SAID.

BEFORE THE LUNCHEON, THE GOVERNOR HELD A PRIVATE MEETING WITH MR HENRY KISSINGER, FORMER U.S. SECRETARY OF STATE.

FOLLOWING THE LUNCHEON, MR PATTEN VISITED THE FLOOR OF THE NEW YORK STOCK EXCHANGE, WHERE HE WAS BRIEFED BY CHAIRMAN WILLIAM DONALDSON.

THE GOVERNOR ALSO ATTENDED AN EDITORIAL BOARD MEETING OF THE WALL STREET JOURNAL AND ATTENDED A DINNER IN HIS HONOUR HOSTED BY BRITISH CONSUL GENERAL MR ALISTAIR HUNTER.

NOTE TO EDITORS:

THE FULL TEXT OF THE GOVERNOR’S SPEECH WILL BE FAXED LATER.

--------0 - -

CIVIL SERVANTS WORKING ENTHUSIASTICALLY *****

THE DEPUTY TO THE GOVERNOR, STR DAVID FORD, SAID TODAY (FRIDAY) THERE COULD BE NO QUESTION OF HONG KONG CIVIL SERVANTS CARRYING OUT THEIR DUTIES LESS THAN ENTHUSIASTICALLY IN THE RUN UP TO 1997.

"OUR LOYALTY IS VERY CLEAR. IT IS TO THE PEOPLE OF HONG KONG AND TO THE HONG KONG GOVERNMENT WHICH IS RESPONSIBLE FOR THE ADMINISTRATION OF HONG KONG UP UNTIL 1997,” HE STRESSED.

SIR DAVID NOTED THAT IT HAD LONG BEEN THE CIVIL SERVICE’S TRADITION TO CARRY OUT ITS DUTIES ENTHUSIASTICALLY, AND FOR POLICY SECRETARIES TO EXPLAIN AND TO ENCOURAGE PUBLIC SUPPORT FOR GOVERNMENT POLICIES, ENDORSED BY THE EXECUTIVE COUNCIL.

"IF THEY WERE TO DO THEM LESS THAN ENTHUSIASTICALLY, THEN OBVIOUSLY THEY WOULD NOT BE DOING THEIR JOBS PROPERLY."

RESPONDING TO A QUESTION ON THE DUTY OF SENIOR CIVIL SERVANTS, SIR DAVID SAID IF THERE WERE TO BE VEILED THREATS AGAINST CIVIL SERVANTS FOR DOING THEIR JOBS TOO ENTHUSI AST1CALLY "THAT WILL CERTAINLY UNDERMINE THE STABILITY OF THE CIVIL SERVICE WHICH CANNOT BE GOOD FOR HONG KONG."

/SIR DAVID .......

FRIDAY, MAY 7, 1993

3

SIR DAV 11) DU) NOT BELIEVE THAT SUCH THREATS WOULD BE TAKEN SERIOUSLY, HOWEVER.

NEITHER DID HE BELIEVE GOVERNMENT. "THEY ARE ANXIOUS OBVIOUSLY IT IS A CRUCIAL EACTOR

THAT WAS THE POLICY OE THE CHINESE TO PROMOTE A STABLE CIVIL SERVICE. DURING THIS TRANSITIONAL PERIOD."

--------o-----------

BILLS TO STRENGTHEN CONTROL ON LIFTS SAFETY GAZETTED *****

TWO BILLS THAT SEEK TO STRENGTHEN AND RATIONALISE CONTROL ON THE SAFETY OF LIFTS AND ESCALATORS ARE GAZETTED TODAY (FRIDAY).

THE BUILDINGS (AMENDMENT) (NO.2) BILL 1993 AND THE LIFTS AND ESCALATORS (SAFETY) (AMENDMENT) BILL 1993 PROPOSE THAT THE DIRECTOR OF ELECTRICAL AND MECHANICAL SERVICES (DEMS) WOULD BE THE SOLE AUTHORITY RESPONSIBLE FOR ALL RELATED STATUTORY CONTROLS ON LIFT AND ESCALATOR MATTERS.

TO RATIONALISE THE CONTROL FRAMEWORK, A GOVERNMENT SPOKESMAN SAID CONTROLS UNDER THE BUILDINGS ORDINANCE ON LIFTS AND ESCALATORS WHICH DID NOT DIRECTLY CONCERN THE FABRIC AND SAFETY OF BUILDINGS WOULD BE INCORPORATED INTO THE LIFTS AND ESCALATORS (SAFETY) ORDINANCE.

THE BUILDING REQUIREMENTS FOR THE INSTALLATION OF LIFTS AND ESCALATORS WILL REMAIN IN THE BUILDINGS ORDINANCE UNDER THE SUPERVISION OF THE BUILDING AUTHORITY.

TO STRENGTHEN EXISTING CONTROL, THE LIFTS AND ESCALATORS

(SAFETY) (AMENDMENT) BILL

ESCALATOR CONTRACTORS WILL

INVESTIGATIONS RELATING TO

1993 PROVIDES THAT REGISTERED BE REQUIRED TO ASSIST DEMS LIFT OR ESCALATOR ACCIDENTS

LIFT OR IN HIS BY, FOR

EXAMPLE, SUBMITTING ACCIDENT REPORTS.

THE SUB-CONTRACTING OR ASSIGNMENT OF THE MAINTENANCE OF LIFTS AND ESCALATORS TO NON-REGI STERE I) CONTRACTORS WILL BE REGULATED.

IT IS ALSO PROPOSED THAT INSPECTION AND CHECKING OF THESE INSTALLATIONS SHOULD BE CARRIED OUT BY COMPETENT PERSONS.

THE BILLS WILL BE INTRODUCED INTO THE LEGISLATIVE COUNCIL ON MAY 19, 1993.

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/4.........

FRIDAY, MAY 7, 1993

4

REHABILITATION OE SHEK 0 QUARRY

*****

THE GOVERNMENT WILL REHABILITATE THE FACE OF SHEK 0 QUARRY TO MAKE IT COMPATIBLE WITH THE SCENIC SURROUNDING ENVIRONMENT AND WILL DEVELOP EVENTUALLY THE QUARRY FLOOR INTO A MARINE COVE FOR GENERAL RECREATIONAL USE BY THE PUBLIC.

THE REHABILITATION PROGRAMME WILL INVOLVE THE FLATTENING AND REGRADING OF THE STEEP QUARRY FACE AND REVEGETATTON TO REMOVE AN EXTENSIVE VISUAL SCAR LEFT BEHIND BY QUARRYING ACTIVITIES THERE SINCE 1964 .

THE WORK WILL BE CARRIED OUT BY A CONTRACTOR UNDER THE SUPERVISION OF THE CIVIL ENGINEERING DEPARTMENT.

TO PROVIDE SPACE TO CUT BACK THE STEEP QUARRY FACE TO A MORE GENTLE SLOPE, IT WILL BE NECESSARY TO REALIGN A SECTION OF SHEK O ROAD AND TO REMAP THE SHEK O COUNTRY PARK BOUNDARY TO RELEASE ABOUT NINE HECTARES OF LAND DURING THE REHABILITATION PERIOD.

THE CONTRACTOR WILL ALSO EXCAVATE THE QUARRY FLOOR TO BELOW SEA LEVEL, EVENTUALLY TO FORM A MARINE COVE FOR PUBLIC RECREATIONAL PURPOSES.

A GOVERNMENT SPOKESMAN SAID ON COMPLETION OF THE REHABILITATION, THE GOVERNMENT INTENDS TO RESTORE THE NINE HECTARES OF LAND FOR COUNTRY PARK USE.

THE SPOKESMAN SAID A PRELIMINARY ENVIRONMENTAL IMPACT ASSESSMENT INDICATED THE REHABILITATION WILL GREATLY IMPROVE THE LANDSCAPE AND ENVIRONMENT OF THE AREA.

THE REHABILITATION PROGRAMME ALSO ALLOWS FOR THE CASTING OF PRECAST TUNNEL UNITS TO BE UNDERTAKEN AT THE QUARRY FLOOR OUTSIDE THE SHEK O COUNTRY PARK BOUNDARY, SHOULD THIS BECOME PART OF THE WESTERN HARBOUR CROSSING APPROVED ARRANGEMENTS.

HE EMPHASISED THAT THE SLOPE REGRADING WORK WILL BE FOLLOWED BY EXTENSIVE TREE PLANTING FOR SOIL EROSION CONTROL AND LANDSCAPING. THE REVEGETATION WILL BE COMPATIBLE WITH THE SURROUNDING NATURAL ENVIRONMENT AND LONG-TERM RECREATIONAL USE OF THE AREA.

’’MOREOVER, THE REAL IGNMENT WILL REMOVE A HAIRPIN BEND AT SHEK O ROAD. THIS WILL SIGNIFICANTLY IMPROVE THE SAFETY OF THE ROAD," THE SPOKESMAN SAID.

THE PROPOSAL TO RE-DEL INEATE THE SHEK O COUNTRY PARK BOUNDARY TOGETHER WITH A GENERAL DESCRIPTION OF THE DRAFT REPLACEMENT MAP IS GAZETTED TODAY (FRIDAY).

COPIES OF THE DRAFT MAP WITH THE DETAILED NEW BOUNDARY ARE AVAILABLE FOR INSPECTION BY THE PUBLIC FREE OF CHARGE AT THE LAND REGISTRY, 18TH FLOOR, QUEENSWAY GOVERNMENT OFFICES, 66 QUEENSWAY, HONG KONG; BUILDING AND LANDS DEPARTMENT SURVEY AND MAPPING OFFICE, 14TH FLOOR, MURRAY BUILDING, GARDEN ROAD, HONG KONG; AND DISTRICT LANDS OFFICE, HONG KONG SOUTH, 20TH FLOOR, SOUTHORN BUILDING, 130 HENNESSY ROAD, WAN CHAT, HONG KONG.

/THE DRAFT .

FRIDAY, MAY 7, 1993

5

THE DRAFT MAP IS ALSO AVAILABLE FOR INSPECTION AT THE PUBLIC ENQUIRY SERVICES CENTRES OF THE 19 DISTRICT OFFICES AND THE AGRICULTURE AND FISHERIES DEPARTMENT, I2TII FLOOR, CANTON ROAD GOVERNMENT OFFICES, 393 CANTON ROAD, KOWLOON.

COPIES OF THE MAP ARE ALSO OBTAINABLE AGRICULTURE AND FISHERIES DEPARTMENT.

AT $20 EACH FROM THE

ANY PERSON AGGRIEVED BY THE DRAFT MAP MAY SEND IN THEIR OBJECTIONS IN WRITING WITHIN 60 DAYS TO THE COUNTRY PARKS AUTHORITY AND TO THE SECRETARY OF THE COUNTRY PARKS BOARD STATING THE NATURE OF AND REASONS FOR THE OBJECTION AND ANY PROPOSED ALTERATION IF THE OBJECTION COULD BE REMOVED BY AN YLTERATION TO THE DRAFT MAP.

0 ---------

HKMA CONSULTS BANKING SECTOR ON BASLE COMMITTEE’S PROPOSALS *****

THE HONG KONG MONETARY AUTHORITY HAS NOT TAKEN ANY DECISION AS TO WHEN OR HOW THE SUPERVISORY PROPOSALS PUT FORWARD BY THE BASLE COMMITTEE ON BANKING SUPERVISION WILL BE INTRODUCED IN HONG KONG, THE DEPUTY CHIEF EXECUTIVE OF THE MONETARY AUTHORITY, MR DAVID CARSE, SAID TODAY (FRIDAY).

’’THE CONSULTATIVE PAPERS ON NETTING, MARKET RISKS AND INTEREST RATE RISKS BY THE BASLE COMMITTEE REPRESENT A FURTHER STEP IN STRENGTHENING THE INTERNATIONAL FRAMEWORK OF BANKING SUPERVISION,” HE SAID.

’’THE FIRST STEP IS TO GIVE AUTHORISED INSTITUTIONS AND TN HONG KONG THE CHANCE TO PARTICIPATE IN THE INTERNATIONAL CONSULTATION EXERCISE BEING UNDERTAKEN BY THE BASLE COMMITTEE,’’ HE SAID.

FOLLOWING THE ISSUE OF CONSULTATIVE PAPERS, THE HONG KONG MONETARY AUTHORITY HAS WRITTEN TO THE SECURITIES AND FUTURES COMMISSION, HONG KONG ASSOCIATION Ol- BANKS, THE DEPOSIT TAKING COMPANIES ASSOCIATION AND THE HONG KONG CAPITAL MARKETS ASSOCIATION INVITING THEIR COMMENTS ON THE SUPERVISORY PROPOSALS.

DUE TO THE COMPLEXITY OF THE PROPOSALS, THE VARIOUS PARTIES BEING CONSULTED HAVE BEEN GIVEN UNTIL THE ENI) OF OCTOBER 1993 TO COMMENT ON THE PROPOSALS.

’’THE HONG KONG MONETARY AUTHOR ITY WOULD THEN CONSOLIDATE THESE COMMENTS AND SUBMIT THEM TO THE BASLE COMMITTEE BY THE END OF THIS YEAR,” MR CARSE SAID.

THE FIRST PROPOSAL CONCERNS LIBERALISATION OF THE TERMS OF THE 1988 BASLE CAPITAL ACCORD AS THEY APPLY TO THE USE OF BILATERAL NETTING IN THE MEASUREMENT OF CREDIT RISK ASSOCIATED WITH CERTAIN CLASSES OF OFF-BALANCE SHEET FINANCIAL INSTRUMENTS SUCH AS INTEREST RATE SWAPS AND FOREIGN EXCHANGE CONTRACTS.

/IN ADDITION, ........

FRIDAY, MAY 7, 1993

6

IN ADDITION, THE PAPER ALSO INVITES COMMENTS ON A NUMBER OF ISSUES OF A GENERAL NATURE RELATING TO MULTILATERAL NETTING.

TI1E SECOND PROPOSAL SETS FORTH A FRAMEWORK TO MODIFY THE CAPITAL ACCORD BY PROVIDING EXPLICIT CAPITAL CHARGES FOR THE RISKS ASSOCIATED WITH PRICE CHANGES IN OPEN POSITIONS (INCLUDING DERIVATIVE POSITIONS) IN DEBT AND EQUITY SECURITIES ON BANKS’ TRADING BOOKS AND IN FOREIGN EXCHANGE.

UNTIL NOW, THE CAPITAL ACCORD HAS BEEN MAINLY CONCERNED WITH CAPITAL CHARGES FOR CREDIT RISK.

THE THIRD PROPOSAL SETS FORTH A COMMON APPROACH TO THE MEASUREMENT OF INTEREST RATE RISK. IT PROPOSES A METHODOLOGY FOR ESTIMATING THE EXTENT TO WHICH THE FINANCIAL STRENGTH OF A BANK WILL BE IMPAIRED BY ADVERSE MOVEMENTS OF INTEREST RATES.

IT WOULD ASSIST BANKING SUPERVISORS IN IDENTIFYING THOSE INSTITUTIONS WHICH MAY BE ESPECIALLY VULNERABLE TO CHANGES TN INTEREST RATES AND IN INITIATING APPROPRIATE SUPERVISORY RESPONSES ON A CASE-BY-CASE BASIS.

THE PROPOSAL DOES NOT CONTEMPLATE A SYSTEM OF EXPLICIT CAPITAL CHARGES FOR INTEREST RATE RISK AND THUS WOULD NOT ENTAIL CHANGES IN THE CAPITAL ACCORD.

--------0-----------

RCB INFORMED OF METRO NEWS CHANGES

*****

A SPOKESMAN FOR THE RECREATION AND CULTURE BRANCH TODAY (FRIDAY) CONFIRMED THAT THE BRANCH HAD BEEN INFORMED OF THE PROPOSED CHANGES TO METRO NEWS AM SHORTLY BEFORE ISSUE OF THE PUBLIC ANNOUNCEMENT.

THE SPOKESMAN SAID: "THIS IS A COMMERCIAL DECISION WHICH METRO IS ENTITLED TO TAKE. IT DID NOT REQUIRE PRIOR GOVERNMENT OR BROADCASTING AUTHORITY (BA) APPROVAL."

"IT IS OUR POLICY THAT LICENSEES SHOULD HAVE THE FLEXIBILITY TO TAILOR THEIR BROADCASTS TO MEET LISTENER DEMAND PROVIDING THEY SATISFY THE REQUIREMENTS OF THEIR LICENCE AND FOLLOW THE CODES OF PRACTICE ISSUED BY THE BA.

"WE ARE SATISFIED ABOUT THIS PROPOSAL FROM I’HAT POINT OF VIEW AND, IN CONJUNCTION WITH THE BA, WE WILL MONITOR THIS NEW SERVICE TO ENSURE THAT THIS CONTINUES TO BE THE CASE."

-----0-------

n.......

1993

UNPARALLELED Bl SI NESS 0PP0R I I N ITI ES U‘OR OVERSEAS INVESTORS

******

THE ENORMOUS BUSINESS POTENTIAL IN HONG KONG AND CHINA MEANS UNPARALLELED OPPORTUNITIES FOR OVERSEAS INVESTORS \ND BUSINESSMEN, THE SECRETARY FOR TRADE AND INDUSTRY. MR T H ('HAU, SAID TODAY (FRIDAY).

SPEAKING AT A LUNCHEON HOSTED BY THE CANADIAN CHAMBER OF COMMERCE IN HONG KONG, MR (’HAU SAID CANADA WAS WELL PLACED TO SEIZE THESE OPPORTUNITIES.

’’THE PEOPLE OF HONG KONG AND THE PEOPLE OF CANADA HAVE BUILT UP ('LOSE TIES WITH ONE ANOTHER. MOST PROVINCES OF CANADA HAVE SET UP REPRESENTATIVE OFFICES HERE," HE SAID.

TOTAL TRADE BETWEEN HONG KONG AND CANADA GREW AT AN AVERAGE OF 15 PER CENT PER ANNUM OVER I’HE PASI FIVE YEARS.

RE-EXPORTS TO ('ANADA, MOST Ob WHICH WERE CHINA-RELATED, JUMPED BY AN ASTOUNDING RATE Ob 35 PER (ENT IN THE SAME PERIOD. CANADIAN EXPORTS TO ('HINA VIA HONG KONG ALSO REGISTERED A HEALTHY GROWTH Ob 13 PER CENT IN 1992.

’’THERE IS, HOWEVER, STI LI ROOM FOR FURTHER EXPANSION. OF THE 760 REGIONAL OFFICES ESTABLISHED IN HONG KONG, LESS THAN THREE PER CENT ARE CANADIAN. I’HE SHARE OF CANADIAN FIRMS IN I’HE 600 REGIONAL HEADQUARTERS IN HONG KONG IS EVEN SMALLER, ONLY 1.7 PER ('ENT,' MR CHAU SA I I).

MR CHAU NOTED THAT HONG KONG WAS EMINENTLY EQUIPPED AS THE CONDUIT TO ('HINA AND HE URGED CANADIAN BUSINESSMEN INTERESTED IN CHINA 3'0 CAPITALISE ON HONG KONG’S UNIQUE POSITION.

"THE FORMS Ob CO-OPERATION (AN BE VARIED, INCLUDING FOR EXAMPLE, USING I’HE TERRITORY \S THE BASE FOR CHINA OPERATIONS AND TEAMING UP WITH HONG KONG BUS INESSMEN FOR JOINT VENTURES IN CHINA," MR CHAU SAID.

TURN I NG 'I’o HONG KONG’S E( oNOM I ( LINKS WITH (HINA, MR CHAU NOIED THAT CURRENTLY HONG KONG AND CHINA WERE EACH OTHER’S LARGES'!' TRADING PARTNER.

ALMOST 40 PER CENT OE ( HINA’S TOTAL 'TRADE WAS HONG KONG-RELATED AND MORE THAN ONE-THIRD Ob HONG KONG’S TRADE WAS CHINA-RELATED, MR CHAU SAID.

RE-EXPORTS MAKE Up MOST Ob THE TRADE BETWEEN THE TWO PLACES, WITH ABOUT 45 PER ( ENT Ob CHINA’S TRADE WITH THE REST OF THE WORLD BEING HANDLED BY HONG KONG.

"HONG KONG IS, HOWEVER, MORE THAN JUST AN ENTREPOT TO CHINA," MR CHAU SAID.

"TODAY, HONG KONG ACCOUNTS FOR TWO-THIRDS OF TOTAL OVERSEAS INVESTMENTS IN ('HINA.

/’’OF ALL............

FRIDAY, MAY 7, 1993

8

"OF ALL THE DIRECT OVERSEAS INVESTMENTS IN GUANGDONG PROVINCE, OVER 80 PER CENT BY VALUE AND OVER 90 PER CENT RY NUMBER OF ENTERPRISES HAVE TIES IN ONE WAY OR ANOTHER WITH HONG KONG," HE SAID.

THE INTER-DEPENDENT ECONOMIC' RELATIONSHIP BETWEEN HONG KONG AND CHINA COULD ALSO BE REFLECTED BY THE GROWTH OF MAINLAND INVESTMENTS IN HONG KONG, MR CHAU SAID.

"TOTAL INVESTMENTS BY MAINLAND ENTERPRISES IN HONG KONG ARE ESTIMATED TO WELL EXCEED US$10 BILLION, REPRESENTING ONE OF THE LARGEST, IF NOT THE LARGEST, SOURCES OF OVERSEAS INVESTMENT IN HONG KONG.

"THE PROFITS GENERATED BY THESE ORGANISATIONS, THE EXPERIENCE, EXPOSURE AND INTERNATIONAL BUSINESS NETWORK THEY HAVE GAINED WILL MAKE A SIGNIFICANT CONTRIBUTION TO CHINA’S ECONOMIC’ DEVELOPMENT AND WILL RE-AFFIRM HONG KONG’S ROLE AS CHINA’S WINDOW ON THE WORLD," MR CHAU ADDED.

--------0-----------

FISHERMEN GET MORE EX-GRATIA ALLOWANCES

*****

CAPTURE FISHERMEN AFFECTED BY RECLAMATION, DREDGING OR DUMPING PROJECTS WILL GET HIGHER LEVEL OF EX-GRATIA ALLOWANCES AS A RESULT OF A NEW PACKAGE APPROVED BY THE LEGISLATIVE COUNCIL’S FINANCE COMM ITTEE TODAY (FRI DAY) .

AT THE MEETING, THE FINANCE COMMITTEE APPROVED AN INCREASE IN THE BASIS FOR CALCULATING THE EX-GRATIA ALLOWANCES FOR INSHORE FISHERMEN AFFECTED BY RECLAMATION, DREDGING OR DUMPING PROJECTS, FROM THE NOTIONAL VALUE OF ONE YEAR’S CATCH IN THE AFFECTED AREA TO THREE YEARS’.

THIS ALLOWANCE WILL NOW BE EQU I VALENT TO ABOUT FIVE YEARS’ NET INCOME FOR VESSEL OWNERS OR OPERATORS AFTER TAKING INTO ACCOUNT ALL EXPENSES.

EXPLAINING THE NEW ARRANGEMENT, A GOVERNMENT SPOKESMAN SAID CIRCUMSTANCES HAD (’HANGED SI GN IFICANTLY SINCE THE PRESENT EX-GRATIA ARRANGEMENT WAS APPROVED IN 1978.

IT WAS CONSIDERED THAT THE INCREASE IN THE NUMBER OF FISHERMEN AFFECTED BY THE CURRENT PROGRAMME OF WORKS, COMBINED WITH THE DECREASING OPPORTUNITIES FOR (’ONT INUI NG WORK IN FISHING AND FISHING-RELATED INDUSTRIES, HAD INEVITABLY RESULTED IN A LONGER PERIOD OF TIME FOR THE FISHERMEN TO RE-ESTABLISH.

"THE NEW PACKAGE IS BROADLY COMPARABLE WITH STATUTORY COMPENSATION FOR BUSINESS LOSS FOR LAND-BASED ENTERPRISES," THE SPOKESMAN SAID.

/HE POINTED .......

FRIDAY, MAY 7, 1993

HE POINTED OUT THAT THE COMPENSATION FOR EXTINGUISHMENT THROUGH RESUMPTION OF LEGALLY-ESTABLISHED RIGHTS TO CONDUCT BUSINESS IS TYPICALLY THREE TO EIVE TIMES THE ANNUAL NET DISCOUNTED PROFITS, DEPENDING ON THE ROBUSTNESS AND PROSPECTS OF THE BUSINESS BEING COMPENSATED.

ALSO, UNDER THE NEW ARRANGEMENT, FISHERMEN USING VESSELS LONGER THAN 15 METRES WHICH, LIMITED IO THEIR DESIGN AND EQUIPMENT, ARE HABITUALLY USED FOR INSHORF FISHING ARE ENTITLED TO CLAIMS FOR EX-GRAT1A ALLOWANCES.

THE TOTAL FINANCIAL IMPLICATION BETWEEN NOW AND 1995 FOR THE NEW ARRANGEMENT WILL BE $205.5 MILLION.

THE EFFECTIVE DATE FOR THE NEW EX-GRATTA ALLOWANCES WOULD BE DATED BACK TO APRIL 1 TH IS YEAR, MEANING THAT ALL VESSEL OWNERS OR OPERATORS AFFECTED BY THE CURRENT PROGRAMME WOULD BE PAID AT THE NEW RATE.

ARRANGEMENTS WOULD BE MADE FOR THOSE ELIGIBLE FOR THE NEW RATE, BUT WHO HAI) ALREADY BEEN OFFERED AN ALLOWANCE AT THE OLD RATE, TO BE PAID THE BALANCE, THE SPOKESMAN SAID.

-----0------

SERVICE STATIONS FOR LORRY DRIVERS BEING EXAMINED * ♦ ♦ * ♦

THE GOVERNMENT IS EXAMINING '1'111': POSS IB11.IT) OF SETTING UP SERVICE STATIONS AT BORDER POINTS FOR CROSS-BORDER LORRY DRIVERS.

THE PROPOSAL WAS RAISED IN A LEGISLATIVE COUNCIL TRANSPORT PANEL MEETING IN FEBRUARY.

FACILITIES IN THF PROPOSED SERVICE STATIONS INCLUDE PETROL FILLING, CAR PARKING, ('AR REPAIRING, RESTAURANTS, LATRINES AND REST AREAS FOR DRIVERS OF CROSS-BORDER VEHICLES.

THE TRANSPORT DEPARTMENT HAS ARRANGED A VISIT FOR LORRY TRADE REPRESENTATIVES 'TOMORROW (SATURDAY) TO I DENT IFY POTENT I ALLY SU I TABLE SITES FOR THE SERVICE STATIONS. THE VISIT WILL COVER ALL THREE BORDER CROSSING POINTS - SHA TAU KOK, MAN KAM TO AND LOK MA CHAU.

LEGISLATIVE COUNCILLORS, MR TAM YIU-CHUNG AND MR TTK (’HI-YUEN, WHO HAVE MADE THE REQUESTS FOR THE LORRY DRIVERS, WILL JOIN IN THE VISIT.

/RECENTLY, THE ........

FRIDAY, MAY 7, 1993

RECENTLY, THE TAXI TRADE HAS SEPARATELY PROPOSED THAT TAXIS BE ALLOWED TO TAKE PASSENGERS INTO LOK MA CHAU FOR CROSS-BORDER PASSENGERS. A VISIT TO LOK MA CHAU HAS ALSO BEEN ARRANGED TOMORROW FOR THE TRADE’S REPRESENTATIVES TO SEE THE PROPOSED SITE FOR A PUBLIC TRANSPORT INTERCHANGE.

A SPOKESMAN FOR THE TRANSPORT DEPARTMENT SAID THE VISITS WERE AIMED AT IDENTIFYING POTENTIALLY SUITABLE SITES AND OTHER RELATED PRACTICAL ISSUES. THE TWO PROPOSALS WILL THEN BE FURTHER CONSIDERED BY THE VARIOUS GOVERNMENT DEPARTMENTS CONCERNED.

- 0 -

INDEX OF INDUSTRIAL PRODUCTION FOR 1992 ******

THE INDEX OF INDUSTRIAL PRODUCTION LAST YEAR INCREASED SLIGHTLY BY 1.6% OVER THE PRECEDING YEAR, ACCORDING TO THE RESULTS OF A SURVEY RELEASED TODAY (FRIDAY) BY THE CENSUS AND STATISTICS DEPARTMENT.

THE PAPER PRODUCTS AND PRINTING INDUSTRY CONTINUED TO PROSPER WITH A DOUBLE-DIGIT GROWTH OF 16.9% IN PRODUCTION.

THE TEXTILES INDUSTRY AND THE INDUSTRY GROUP OF FOOD, BEVERAGE AND TOBACCO EXPERIENCED MODEST GROWTH OF 4.2% AND 5.4% RESPECTIVELY IN 1992.

OVERALL PRODUCTION OF THE INDUSTRY GROUP OF ELECTRICAL AND ELECTRONIC PRODUCTS, MACH 1NERY, PROFESSIONAL EQUIPMENT AND OPTICAL GOODS INCREASED SLIGHTLY BY 2%.

BUT THE PERFORMANCE OF INDIVIDUAL INDUSTRIES WITHIN THIS GROUP VARIED GREATLY, WITH THE PRODUCTION OF MACHINERY EQUIPMENT, APPARATUS, PARTS AND COMPONENTS RISING MARKEDLY BY 15.2% AND THAT OF CONSUMER ELECTRICAL AND ELECTRONIC PRODUCTS DROPPING BY 3.8%.

PRODUCTION OF THE WEARING APPAREL INDUSTRY SEEMED TO HAVE ARRESTED FROM THE DROP IN 1991 AND REBOUNDED SLIGHTLY BY 0.9% IN 1992.

ON THE OTHER HAND, PRODUCTION OF THE INDUSTRY GROUP OF CHEMICALS, RUBBER, PLASTIC AND NON-METALLK MINERAL PRODUCTS CONTINUED TO DECLINE, BY 4.7% OVER THE PRECEDING YEAR.

THE DECREASE WAS MAINLY ATTRIBUTABLE TO A FALL IN THE PRODUCTION OF PLASTIC PRODUCTS.

A SIMILAR DECREASE OF 4.5% WAS ALSO RECORDED IN THE BASIC METALS AND FABRICATED METAL PRODUCTS INDUSTRY.

THE INDEX OF INDUSTRIAL PRODUCTION IN THE FOURTH QUARTER OF 1992 INCREASED SLIGHTLY BY 1.5% OVER THE SAME QUARTER OF 1991.

/COMPARING WITH

FRIDAY, MAY 7, 1993

11

COMPARING WITH THE THIRD QUARTER OE 1992, THE INDEX INDICATED VIRTUALLY NO CHANGE.

THE INDEX OF INDUSTRIAL PRODUCTION REFLECTS CHANGES OF LOCAL MANUFACTURING OUTPUT IN REAL TERMS. IN OTHER WORDS, THE VOLUME OF LOCAL PRODUCTION IS MEASURED AFTER DISCOUNTING THE EFFECT OF PRICE CHANGES.

AS FROM THE FIRST QUARTER OF 1992, THE HONG KONG STANDARD INDUSTRIAL CLASSIFICATION (HSIC) IS USED TO CLASSIFY THE DATA INTO INDUSTRY GROUPS AND BROAD INDUSTRI GROUPS .

MORE DETAILED INFORMATION CAN BE FOUND IN THE "REPORT ON THE QUARTERLY INDEX OF INDUSTRIAL PRODUCTION, 4TH QUARTER 1992", WHICH IS ON SALE AT $3.5 A COPI AT THE GOVERNMENT PUBLICATIONS CENTRE, GROUND FLOOR, GENERAL POST OFFICE BUILDING, CONNAUGHT PLACE, CENTRAL, OR AT THE CENSUS AND STATISTICS DEPARTMENT PUBLICATIONS CENTRE, 19TH FLOOR, WANCHAI TOWER, 12 HARBOUR ROAD, WAN CHAI.

REGULAR SUBSCRIPTION MAY ALSO BE ARRANGED.

FURTHER ENQUIRIES ABOUT THE SURVEY MAY BE DIRECTED TO THE INDUSTRIAL RESEARCH SECTION OF THE CENSUS AND STATISTICS DEPARTMENT ON TELEPHONE R39 32.3R.

/Indexes of ........

FRIDAY, MAY 7, 1993

12

Indgxes.Qf industrial prod-P^lion by broad industry group and selected industry group (1986 = 100)

Broad industry group / Selected industry group Index % change over for 4th Qtr.4th Qtr. 3rd Qtr. 1992 1991 1992 Percentage change in the index for 1992 rs a whole over that for 1991

1. Food, beverages and tobacco 173 + 11.6 + 7.5 + 5.4

2. Wearing apparel, except footwear 122 + 4.3 + 1.7 +0.9

3. Textiles (including knitting) 134 -2.9 -9.5 +4.2

4. Paper products and printing 253 + 17.1 -5.2 + 16.9

5. Chemicals, rubber, plastic and non-metallic mineral products 82 -12.8 -5.7 -4.7

— Plastic products (65) (•16.7) (-11.0) (-7.1)

6. Basic metals and fabricated metal products 106 -7.0 -3.6 -4.5

— Fabricated metal products, except machinery and equipment (103) (-8.0) (-3.7) (-4.6)

7. Electrical and electronic products, machinery, professional equipment and optical goods 172 +6.2 + 9.6 + 2.0 •

— Consumer electrical and electronic products (137) (-0.7) (+10.5) (-3.8)

— Machinery, equipment, apparatus, parts and components (238) ( + 25.3) (+11.2) (+15.2)

8. Miscellaneous manufacturing industries 99 -10.0 -1.0 -2.0

ALL MANUFACTURING INDUSTRIES 136 + 1.5 0.0 + 1.6

1. Four selected industry groups, which carry relatively large weights and are major components of the respective broad industry groups, are also included in the above table. For easy reading, the figures ?f these selected industry groups are shown in brackets.

2. As from the first quarter of 1992, the Hong Kong Standard Industrial Classification (HSIC) is used to form the industry groups and broad industry groups presented in the above table. For the exact coverage of the groups in terms of HSIC codes, please refer to the ’Report on the Quarterly Index of Industrial Production, 4th Quarter 1992’.

--------0 - -

/13 ........

FRIDAY, MAY 7, 1993

- 13 -

PRINCE OF WALES HOSPITAL TO EXPAND

*****

THE ARCHITECTURAL SERVICES DEPARTMENT IS INVITING TENDERS FOR EXPANDING THE LI KA SHING SPECIALIST CLINIC (LKSSC) AT THE PRINCE OF WALES HOSPITAL, SHA TIN.

THE PROJECT AIMS AT MEETING INCREASING DEMAND FOR HOSPITAL AND SPECIALIST OUT-PATIENT SERVICES IN THE NEW TERRITORIES EASI REGION.

CONTRACT WORKS INVOLVE THE CONSTRUCTION OF AN ADDITIONAL FLOOR ON THE ROOF OF THE FOUR-LEVEL LKSSC BUILDING 'IO ACCOMMODATE EXPANDED PSYCHIATRIC CLINIC, AUDIOLOGY CLINIC AND SPEECH THERAPY CLINIC.

A NEW LIFT WILL BE INSTALLED TO SERVE THE ADDITIONAL FLOOR, AND PREMISES VACATED BY THE THREE CLINICS WILL BE CONVERTED INTO 12 CONSULTING ROOMS FOR USE BY THE EXPANDED EAR, NOSE, THROAT AND EYE CLINICS.

WORKS ARE EXPECTED TO START IN AUGUST FOR COMPLETION IN EARLY 1995.

FORMS OF TENDER AND FURTHER PARTICULARS MAY BE OBTAINED FROM THE ARCHITECTURAL SERVICES DEPARTMENT, 34TH FLOOR, QUEENSWAY GOVERNMENT OFFICES, 66 QUEENSWAY, HONG KONG.

TENDER OFFER WILL CLOSE AT NOON ON JUNE 4.

--------0 -

TRIPLE-UNIT CONVERSION CHARTS PUT UP AT PUBLIC MARKETS

*****

TRIPLE-UNIT CONVERSION CHARTS CALIBRATED IN CHINESE, IMPERIAL AND METRIC WEIGHING SCALES WILL BE DISPLAYED IN ABOUT 60 URBAN AND REGIONAL COUNCILS’ PUBLIC MARKETS THROUGHOUT THE TERRITORY TO ALLOW MARKET-GOERS AND STALL-OPERATORS TO FAMILIARISE THEMSELVES WITH THE METRIC SYSTEM.

AT A CEREMONY HELD TODAY (FRIDAY) AT SHEK TONG TSUI MARKET IN WESTERN TO MARK THE LAUNCH OF THE FIRST CONVERSION CHART, THE CHAIRMAN OF THE METRICATION COMMITTEE, MR K Y TONGSON, SAID METRICATION WAS NOT JUST A WORLD TREND, IT WOULD ALSO REDUCE THE CHANCES OF ABUSE BY UNSCRUPULOUS VENDORS THROUGH THE USE OF TAMPERED TRADITIONAL WEIGHING EQUIPMENT LIKE CHINESE ’CHINGS’.

LAST YEAR, A TOTAL OF 230 COMPLAINTS ON INACCURATE WEIGHTS AND MEASURES WERE RECEIVED BY THE CONSUMER PROTECTION DIVISION OF THE CUSTOMS AND EXCISE DEPARTMENT.

/AT THE ........

FRIDAY, MAY 7, 1993

- 14 -

AT THE SAME TIME, THE DEPARTMENT ALSO CONDUCTED 243 INVESTIGATIONS AND 584 SPOT CHECKS ON WEIGHTS AND MEASURES RESULTING IN 103 PROSECUTIONS AND 133 WARNINGS LAST YEAR.

"WE HOPE THAT THE USE OF METRIC SYSTEM WILL HELP TO MINIMISE SUCH MALPRACTICES BY UNSCRUPULOUS MERCHANTS," MR TONGSON SAID.

ON THE ADOPTION OF METRICATION IN HONG KONG, MR TONGSON SAID THE MAJOR PROBLEM AREA WAS IN THE RETAIL SECTOR, ESPECIALLY THE NON-PREPACKED FOOD TRADE.

"IT IS UNDERSTANDABLE THAT IT WILL BE DIFFICULT TO BREAK THE OLD HABIT OF USING TRADITIONAL UNITS OF MEASUREMENT, BUT THE METRICATION COMMITTEE WILL CONTINUE TO SEEK HELP AND CO-OPERATION OF THE RETAIL MANAGEMENT ASSOCIATION AND THE SUPERMARKETS," HE ADDED.

AS PART OF THE PROMOTION PROGRAMME ON METRICATION, A METRIC-SCALE COUNTER WAS SET UP AT THE SHEK TONG TSUI MARKET TODAY. DEMONSTRATIONS WERE GIVEN TO THE CUSTOMERS AND STALL-OPERATORS ON THE USE OF THE EQUIPMENT.

OFFICERS FROM THE CUSTOMER PROTECTION DIVISION OF THE CUSTOMS AND EXCISE DEPARTMENT WERE ALSO ON HAND TO EXPLAIN THE ENFORCEMENT OF THE WEIGHTS AND MEASURES ORDINANCE AS WELL AS ANSWERING ENQUIRIES ON SHORT-WEIGHT SALES OR OFFENCES RELATED TO THE USE OF INACCURATE WEIGHING EQUIPMENT.

APART FROM SETTING UP MORE METRIC-SCALE COUNTERS IN PUBLIC MARKETS, THE METRICATION COMMITTEE WILL ALSO ORGANISE A TERRITORY-WIDE CHINESE ESSAY-WRIT1 NG COMPETITION AMONG PRIMARY AND SECONDARY STUDENTS TO AROUSE THEIR AWARENESS OF "HONG KONG GOING METRIC".

--------0-----------

CHEUNG CHING TUNNEL VENTILATION SYSTEM * * * * *

THE HIGHWAYS DEPARTMENT IS INVITING APPLICATIONS FROM CONTRACTORS TO PREQUALIFY FOR TENDERING FOR THE TUNNEL VENTILATION AND CENTRAL MONITORING AND CONTROL SYSTEMS CONTRACT FOR THE ROUTE 3 CHEUNG CHING TUNNEL ON TSI NG YI.

A SPOKESMAN FOR THE DEPARTMENT SAID THE CONTRACT WORKS COMPRISE MAINLY THE DESIGN, MANUFACTURE, INSTALLATION, TESTING AND COMMISSIONING OF THE TUNNEL VENTILATION AND CENTRAL MONITORING AND CONTROL SYSTEMS FOR THE TUNNEL.

DETAILS OF THE PREQUALIFICATION INVITATION ARE CONTAINED IN THE GOVERNMENT GAZETTE PUBLISHED TODAY (FRIDAY).

/CONTRACTORS WITH

FRIDAY, MAY 7, 1993

- 15 -

CONTRACTORS WITH RELEVANT EXPERIENCE AND EXPERTISE ARE INVITED TO APPLY FOR PREQUALIFICATION. DOCUMENTS CAN BE OBTAINED FROM THE DEPARTMENT’S CONSULTANTS, SPHW, C/O SCOTT WILSON KIRKPATRICK AND PARTNERS, 38TH FLOOR METROPLAZA TOWER 1, 223 HING FONG ROAD, KWAI FONG.

COMPLETED DOCUMENTS SHOULD BE SUBMITTED AS DIRECTED NO LATER THAN NOON ON JUNE 25.

FOLLOWING THE PREQUALIFTCATION EXERCISE, THE HIGHWAYS DEPARTMENT INTENDS TO INVITE TENDERS FROM PREQUALIFIED CONTRACTORS IN SEPTEMBER.

- 0 -----------

DRAIN PROJECT TO AVERT FLOODING *****

THE DRAINAGE SERVICES DEPARTMENT WILL CONSTRUCT MAIN DRAINAGE CHANNELS IN YUEN LONG AND KAM TIN AS PART OF A COMPREHENSIVE DRAINAGE PROJECT TO ALLEVIATE FLOODING TN YUEN LONG AND KAM TIN CATCHMENTS.

THE TENDER NOTICE FOR THE WORKS HAS BEEN GAZETTED TODAY (FRIDAY).

THE WORKS INCLUDE THE CONSTRUCTION OF CONCRETE CHANNEL DOWNSTREAM OF THE FABRIC DAM IN SHAN PUI RIVER; DEEPENING AND WIDENING THE SHAN PUI RIVER FROM THE CONFLUENCE OF THE RIVER WITH KAM TIN RIVER TO INNER DEEP BAY; DREDGING A NAVIGATION CHANNEL LEADING TO THE DEEP WATER AREA OF DEEP BAY; AND ASSOCIATED ROAD AND DRAINAGE WORKS.

WORKS WILL START IN AUGUST AND TAKE 48 MONTHS TO COMPLETE.

CLOSING DATE FOR SUBMISSION OF TENDERS IS NOON ON JUNE 18.

FORMS OF TENDER AND FURTHER PARTICULARS ARE AVAILABLE FROM THE OFFICE OF CHIEF ENGINEER, NEW WORKS DIVISION, DRAINAGE SERVICES DEPARTMENT, 44TH FLOOR , REVENUE TOWER, 5 GLOUCESTER ROAD, WAN CHAI.

-----0------

Z16 ........

FRIDAY, MAY 7, 1993

16 -

FOOTBRIDGES TO BE BUILT ON TSING YI

*****

THE TSUEN WAN DEVELOPMENT OFFICE OF THE TERRITORY DEVELOPMENT DEPARTMENT IS INVITING TENDERS FOR THE CONSTRUCTION OF THREE COVERED FOOTBRIDGES IN TSING YI TOWN CENTRE AS PART OF THE CONTINUING PROGRAMME FOR THE DEVELOPMENT OF TSUEN WAN NEW TOWN.

UNDER THE PHASE II OF THE TSING YI TOWN CENTRE FOOTBRIDGES SYSTEM, ONE FOOTBRIDGE WILL BE BUILT ACROSS TSING YI HEUNG SZE WUI ROAD NEAR THE POLICE DISTRICT HEADQUARTERS TO LINK UP WITH THE ELEVATED WALKWAY SYSTEM IN GREENFIELD GARDEN.

TWO OTHER FOOTBRIDGES WILL BE BUILT ACROSS FUNG SHUE WO ROAD TO LINK THE ELEVATED WALKWAY SYSTEM IN GREENFIELD GARDEN WITH THAT IN SERENE GARDEN, AND TO LINK FUNG SHUE WO VILLAGE RESITE AREA WITH TSING YI ESTATE PHASE II.

THE WORKS ARE DUE TO START IN JULY AND TAKE ABOUT 18 MONTHS TO COMPLETE.

TENDER OFFERS WILL CLOSE AT NOON ON JUNE 4.

FORMS OF TENDER AND FURTHER PARTICULARS ARE AVAILABLE FROM THE OFFICE OF THE CONSULTING ENGINEERS, MESSRS SCOTT WILSON KIRKPATRICK AND PARTNERS, 38TH FLOOR, METROPLAZA TOWER 1, 223 HING

FONG ROAD, KWAI FONG.

AREA COMMITTEES IMPORTANT TO GAUGE PUBLIC VIEWS *****

AREA COMMITTEES (AC’S) ARE ONE OF THE IMPORTANT CHANNELS FOR THE GOVERNMENT TO COLLECT PUBLIC VIEWS, THE DEPUTY REGIONAL SECRETARY FOR HONG KONG AND KOWLOON, MR PHILIP CHOK, SAID TODAY (FRIDAY).

SPEAKING AT THE INAUGURATION CEREMONY OF SHAM SHUT PO DISTRICT AREA COMMITTEES, MR CHOK SAID AC’S ALSO PLAYED AN EQUALLY IMPORTANT ROLE IN DISTRICT ADMINISTRATION SCHEME.

"APART FROM PROMOTING CULTURAL AND RECREATIONAL ACTIVITIES, AC’S ALSO ADVISE THE GOVERNMENT ON ITS FACILITIES AND SERVICES AS WELL AS ON ENVIRONMENTAL IMPROVEMENTS AT THE DISTRICT LEVEL."

HE SAID AC’S HAD BEEN INTRODUCED FOR MORE THAN 20 YEARS AND THEIR PART IN DISTRICT AFFAIRS HAD PROGRESSIVELY INCREASED AND STRENGTHENED.

AC’S WERE INITIALLY FORMED TO HELP THE GOVENRMENT PUBLICISE TERRITORY-WIDE ACTIVITIES LIKE THE KEEP HONG KONG CLEAN AND FIGHT CRIME CAMPAIGNS BUT HAVE NOW BECOME AN ESSENTIAL PART IN COMMUNITY BUILDING.

Il

FRIDAY, MAY 7, 1993

17 -

TURNING TO DISTRICT ADMINISTRATION SCHEME, MR CHOK SAID DIFFERENT DISTRICTS HAD DIFFERENT NEEDS.

THE SCHEME IS TO ENSURE THAT THE GOVERNMENT IS CATERING FOR THE DIFFERENT NEEDS OF THE PEOPLE IN DIFFERENT DISTRICTS.

HE ADDED THAT THE SUCCESS OF THE SCHEME DEPENDED ON THE ACTIVE PARTICIPATION OF THE PUBLIC.

MR CHOK THEREFORE CALLED ON MEMBERS OF THE PUBLIC TO REGISTER AS VOTERS AND TO EXERCISE THEIR CIVIC DUTIES TN THE 1994/95 ELECTIONS.

-----0------

TURN MUN TREE PLANTING DAY 1993

*****

TO SHOW THEIR CARE FOR THE ENVIRONMENT, A GROUP OF SENIOR CITIZENS AND MENTALLY HANDICAPPED PERSONS WILL PARTICIPATE IN THE TUEN MUN TREE PLANTING DAY 1993 TOMORROW (SATURDAY) MORNING.

TOGETHER WITH OTHER LOCAL RESIDENTS AND GOVERNMENT OFFICIALS, THEY WILL PLANT 200 TREES IN THE TUEN MUN TOWN PARK.

CO-ORGANISED BY THE TUEN MUN DISTRICT OFFICE, THE EVENT WILL ALSO INCLUDE A CHILDREN’S DRAWING COMPETITION AND TELEMATCHES.

ATTENTION NEWS EDITORS:

THE OPENING CEREMONY OF THEN MUN TREE PLANTING DAY 1993 WILL BE HELD AT 9.30 AM AT THE TUEN MUN TOWN PARK MULTI-GAMES AREA.

DISTRICT OFFICER OF TUEN MUN, MR PETER LEUNG, WILL BE AMONG THE OFFICIATING GUESTS.

YOU ARE INVITED TO COVER THE EVENT.

--------0----------

718 ........

FRIDAY, MAY 7. 1993

- 18 -

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS *****

$ MILLION

OPENING BALANCE IN THE ACCOUNT 1,770

REVERSAL OF LAF +380

BALANCE AFTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -140

CLOSING BALANCE IN THE ACCOUNT 2,010

LAF RATE 2.00 BID/4.00 OFFER TWI 111.6 *-0.1* 7.5.93

HONG KONG GOVERNMENT EXCHANGE FUND

EF B I LLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.4 4 PCT 12 MONTHS 2405 5.50 102.47 3.06

1 MONTH 2.60 PCT 15 MONTHS 2408 4.375 101.45 3.23

3 MONTHS 2.74 PCT 18 MONTHS 2411 4.625 101.81 3.42

6 MONTHS 2.86 PCT 21 MONTHS 2502 4.75 101.93 3.64

12 MONTHS 3.05 PCT

TOTAL TURNOVER OF BILLS : AND BONDS - 12,309 MN

CLOSED 7 MAY 1993

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DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

SATURDAY, MAY 8, 1993

AMERICANS SHOW INTEREST IN HK SUCCESS: GOVERNOR ................. 1

GOVERNOR’S SPEECH TO COUNCIL ON FOREIGN RELATIONS IN NEW YORK .......................................................... 2

QUESTIONS AND ANSWERS AT GOVERNOR'S PRESS CONFERENCE TN NEW YORK ON FRIDAY................................................. 6

DIRECTOR OF IMMIGRATION TO VISIT CHINA ......................... 18

SUCCESSFUL MEETING BETWEEN GUANGDONG AND HK CUSTOMS ........... 18

REVISED MARINE DUMPING ACTION PLAN ............................. 19

SALT WATER CUT TN TO KWA WAN ................................... 20

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS

20

SATURDAY, MAY 8, 1993

1

AMERICANS SHOW INTEREST IN HK SUCCESS: GOVERNOR *****

THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, SAID ON FRIDAY (U.S. TIME) THAT THE WARM WELCOME HE HAD RECEIVED IN THE UNITED STATES WAS A CLEAR DEMONSTRATION OF THE INTEREST OF AMERICANS IN HONG KONG’S SUCCESS.

IN CONCLUDING HIS TWO-DAY VISIT TO NEW YORK, WHICH FOLLOWED A FOUR-DAY VISIT TO WASHINGTON, DC, WHERE HE MET WITH PRESIDENT CLINTON AND CONGRESSIONAL LEADERS, MR PATTEN SAID HE COULD NOT HAVE HOPED FOR A BETTER SERIES OF MEETINGS.

HE ALSO SAID HIS VISIT WAS WELL TIMED BECAUSE THE CLINTON ADMINISTRATION IS CLOSE TO FINALISING ITS POLICY ON MOST FAVOURED NATION (MFN) FOR CHINA.

MR PATTEN SAID THE NEXT THREE OR FOUR WEEKS WILL BE "DECISIVE” IN TERMS OF U.S.-CHINA TRADE RELATIONS. HE NOTED THAT ASSISTANT SECRETARY OF STATE WINSTON LORD IS TRAVELLING TO BEIJING FOR TALKS.

’’ALL 1 CAN SAY WITH ABSOLUTE CERTAINTY IS THAT HONG KONG’S POSITION AND THE IMPACT ON HONG KONG WILL BE ONE OF THE FACTORS TO BE TAKEN INTO ACCOUNT WHEN THE ADMINISTRATION SETTLES ITS POLICY ON THE MFN ISSUE,” MR PATTEN SAID.

"THIS VISIT HAS REMINDED ME OF THE INTERNATIONAL IMPORTANCE OF HONG KONG. IT’S REMINDED ME OF THE INTEREST SHOWN IN OUR FUTURE IN A WHOLLY PROPER. WAY BY OUR FRIENDS IN AMERICA, WHICH IS ONE OF OUR STRONGEST TRADING PARTNERS."

MR PATTEN, AS HE HAS DURING HIS ENTIRE U.S. VISIT, EMPHASISED HIS COMMITMENT TO HUMAN RIGHTS.

"AS THE GOVERNOR OF HONG KONG, OF COURSE I FEEL PASSIONATELY CONCERNED ABOUT HUMAN RIGHTS. IF PEOPLE IN HONG KONG AREN’T CONCERNED ABOUT HUMAN RIGHTS, IT WOULD BE VERY SURPRISING."

HOWEVER, THE GOVERNOR SAID: "I DON’T BELIEVE THAT RESTRICTIONS ON TRADE ARE THE BEST WAY OF SECURING HUMAN RIGHTS OBJECTIVES. I HAPPEN TO THINK THAT TRADE AND ECONOMIC GROWTH ARE MORE LIKELY TO PROMOTE PEOPLE’S QUALITY OF LIFE AND THEIR HUMAN RIGHTS THAN RESTRICTIONS ON TRADE OR THE DEPRESSION OF ECONOMIC GROWTH."

MR PATTEN PRAISED THE ECONOMIC AND TRADE OFFICES WHICH THE GOVERNMENT MAINTAINS IN WASHINGTON, DC, NEW YORK AND SAN FRANCISCO.

NOTING THAT THE LEGISLATIVE COUNCIL ONLY A FEW HOURS BEFORE HIS NEWS BRIEFING HAD ENDORSED MR BARRIE WIGGHAM AS NEW COMMISSIONER FOR THE UNITED STATES, THE GOVERNOR SAID THE INCREASED EFFORT IN THE U.S. WILL BE EXTREMELY IMPORTANT TO HONG KONG.

THE GOVERNOR BEGAN HIS LAST FULL DAY IN THE U.S. WITH A PRIVATE ADDRESS TO THE PRESTIGIOUS COUNCIL ON FOREIGN RELATIONS DURING LUNCH.

THIS WAS FOLLOWED BY A ROUNDTABLE MEETING WITH INFLUENTIAL CORE MEMBERS OF THE CHINA STUDIES SEMINAR OF THE COUNCIL.

/TWO OF ........

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SATURDAY, MAY 8, 1993

TWO OF THE MEDIA HIGHLIGHTS OF THE GOVERNOR’S TWO-DAY VISIT TO NEW YORK OCCURRED ON FRIDAY WHEN HE ATTENDED AN EDITORIAL BOARD MEETING OF THE NEW YORK TIMES AND APPEARED ON ('NN INTERNATIONAL HOUR, WHERE HE WAS INTERVIEWED BY HILARY BOWKER FROM LONDON.

THE GOVERNOR WRAPPED UP HIS VISIT WITH THE NEARLY ONE-HOUR PRESS BRIEFING FOR NEW YORK-BASED MEDIA AND THE REPORTERS WHO HAVE TRAVELLED WITH HIM FROM HONG KONG.

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GOVERNOR’S SPEECH TO COUNCIL ON FOREIGN RELATIONS TN NEW YORK

*****

FOLLOWING IS THE SPEECH BY THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN TO THE COUNCIL ON FOREIGN RELATIONS IN NEW YORK ON FRIDAY (U.S. TIME):

DICK, LADIES AND GENTLEMEN,

THE FIRST TIME I AM EVER SPOKE AS A MEMBER OF PARLIAMENT TO A ROTARY CLUB IN MY CONSTITUENCY I REMEMBER SAYING TO THE PRESIDENT AS WE WENT INTO LUNCH, HOW LONG WOULD YOU LIKE ME TO SPEAK FOR. AND HE SAID - WELL, HE SAID, YOU GO ON AS LONG AS YOU LIKE, BUT WE ALL LEAVE AT TWO FIFTEEN.

AND I UNDERSTAND I’M UNDER A SIMILAR CONSTRAINT TODAY. THE FACT, IN ADDITION THAT MY REMARKS ARE ON THE RECORD BUT Q&A IS OFF THE RECORD, SUGGESTS TO ME THAT IT WOULD BE MORE INTERESTING FOR ALL OF YOU IF I KEPT THE ON-THE-RECORD BIT AS BRIEF AS POSSIBLE.

AND TRY TO GET THROUGH THAT IN ABOUT TEN MINUTES. AND THEN YOU CAN HEAR THE TRUTH. THOUGH I HAVE TO SAY THAT ON THE WHOLE, I’VE RUINED MY CHANCES THROUGH LIFE BY SAYING MUCH THE SAME IN PUBLIC THAT I SAY IN PRIVATE. THE MAIN PURPOSE OF MY VISIT TO THE UNITED STATES THIS WEEK, APART FROM BUYING SOME BOOKS AND CD’S, THE MAIN PURPOSE WAS OBVIOUSLY TO BE HERE AT THE MOMENT WHEN THE DEVELOPMENT OF POLICY ON CHINA AND TRADE AND MFN WAS AT THE CUSP, THE MAIN PURPOSE WAS FOR ME TO TRY TO PUT ACROSS HONG KONG’S POINT OF VIEW IN THE MFN DEBATE SO THAT THAT WAS TAKEN ACCOUNT OF BY THOSE WHO ARE SHAPING POLICY.

A POLICY WHICH I ASSUME IS LIKELY TO BE DIFFERENT FROM THAT PURSUED BY THE PREVIOUS ADMINISTRATION. WHETHER ONE THINKS THAT IS A CORRECT CHANGE OR NOT. FOR US IN HONG KONG, AND I WILL PUT THE POINT VERY SIMPLY, FOR US IN HONG KONG, THE ISSUE MATTERS ENORMOUSLY. WE ARE THE SWING DOOR BETWEEN THE CHINESE ECONOMY AND THE REST OF THE WORLD.

OUR TWO BIGGEST AND MOST IMPORTANT TRADING PARTNERS ARE CHINA AND THE UNITED STATES. AND THERE IS NO CONCEIVABLE WAY TO BE FRANK, IN WHICH YOU COULD END MFN OR SUBSTANTIALLY CONSTAIN MFN WHICH WOULD NOT HAVE A SIGNIFICANT IMPACT ON HONG KONG’S ECONOMY. WHERE BOTH THE MAIN ROUTE FOR INVESTMENT INTO CHINA AND INTO GUANGDONG, 70 PER CENT OF THE EXTERNAL INVESTMENT INTO CHINA GOES THROUGH HONG KONG.

AND ONE OF THE MAIN ROUTES FOR CHINESE EXPORTS OUT TO THE REST OF THE WORLD. SO CUT OFF OR LIMIT TRADE BETWEEN CHINA AND THE UNITED STATES AND YOU HIT HONG KONG AND MAKE THE PROBLEMS WHICH ANYWAY WE HAVE, IN THE RUN-UP TO 1997 MUCH MORE DIFFICULT.

/THAT’S .......

SATURDAY, MAY 8, 1993

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THAT’S A UTILITARIAN ARGUMENT FOR OUR CONCERN ABOUT LIMITATIONS ON MFN. I HAPPEN, AND THIS IS MY FIRST AND CONCEIVABLY NOT LAST, CONFESSION OF THE DAY, I HAPPEN TO BE IDEOLOGICAL ABOUT FREE TRADE. IT’S ABOUT THE ONLY THING THAT I THINK J AM IDEOLOGICAL ABOUT.

PARTLY BECAUSE I BELIEVE THAT IT’S LIKE RIDING A BICYCLE. UNLESS YOU’RE IDEOLOGICAL ON FREE TRADE, YOU KEEP ON FALLING OFF INTO PROTECTIONIST PUDDLES. AND IT IS WHOLLY APPROPRIATE THAT THE GOVERNOR OF HONG KONG SHOULD HAVE THIS AS AN IDEE FIXE.

AFTER ALL, HONG KONG IS THE BEST POSSIBLE EXAMPLE THAT ADAM SMITH WORKS. THE BEST POSSIBLE EXAMPLE OF AN OPEN MARKET ECONOMY, PRACTISING AND BENEFITING FROM FREE TRADE PRINCIPLES. SO I HAVE BEEN SETTING OUT IN WASHINGTON AND IN NEW YORK, MY ARGUMENTS ON PRINCIPLE AGAINST EXCEPT IN THE MOST EXTREME CIRCUMSTANCES, POLITICISING TRADE.

ALLOWING POLITICAL LEADERS TO CONFUSE WHAT IS ECONOMICS ON THE ONE HAND AND WHAT IS POLITICS ON THE OTHER. I THINK IT RARELY WORKS. I THINK THAT TRADE IS THE BEST WAY OF EXERCISING INFLUENCE AND INCREASING UNDERSTANDING. AND WHICH IS DIFFICULT FOR ME TO SAY AS NOISILY AS I WOULD LIKE WHEN I AM TALKING ABOUT WHAT’S HAPPENING IN CHINA, I HAVE NO DOUBT WHATSOEVER THAT TRADE, ECONOMIC GROWTH, INCREASES IN PERSONAL AFFLUENCE, BETTER EDUCATION, MORE TRAVEL, INCREASING THE NUMBER OF CELLULAR TELEPHONES, MORE SATELLITE TV RECEIVERS, THAT ALL THOSE THINGS HAVE POLITICAL CONSEQUENCES.

AND PEOPLE WHO KID THEMSELVES THAT THERE AREN’T POLITICAL CONSEQUENCES, HAVE A RUDE AWAKENING IN STORE. SOME OF THE ARGUMENTS THAT HAVE BEEN USED TO ME OVER THE LAST FEW DAYS FOR USING MFN RENEWAL AS A POLITICAL WEAPON IN NEGOTIATING WITH CHINA, SOME OF THOSE ARGUMENTS ARE FAMILIAR TO YOU.

CONCERN AND UNDERSTANDABLE CONCERN ABOUT WEAPONS PROLIFERATION. CONCERN ABOUT SPECIFIC TRADE ISSUES. CONCERN ABOUT HUMAN RIGHTS. IN EACH OF THOSE CASES, I THINK THAT THERE ARE EXAMPLES. IT’S VERY OBVIOUSLY TRUE ABOUT ARMS PROLIFERATION.

THERE ARE SPECIFIC WAYS IN WHICH THE UNITED STATES CAN ADDRESS THOSE PROBLEMS IN ITS RELATIONSHIP WITH CHINA. I JUST HOPE THAT IT WON’T USE MFN TO DO SO. AND I DO LOOK FORWARD, AS I'M SURE THE ADMINISTRATION DOES, TO THE DAY WHEN MFN RENEWAL ISN’T THE CENTERPOINT OF THE UNITED STATES RELATIONSHIP WITH CHINA.

SAY ONE OTHER THING. I’M SURE YOU’LL WANT TO PURSUE SOME OF THESE QUESTIONS, SOME OF THESE ISSUES IN OUR Q*A. SAY ONE OTHER THING. I BELIEVE AND BELIEVE VERY STRONGLY THAT AFTER 1997, THE MOST IMPORTANT INGREDIENT IN DETERMINING AND SECURING HONG KONG’S FUTURE PROSPERITY, STABILITY AND WAY OF LIFE IS THE RELATIONSHIP BETWEEN CHINA AND THE UNITED STATES.

I SAY THAT AS THE 28TH BRITISH GOVERNOR, WITH A GOOD DEAL OF FEELING. WHILE I CAME TO WASHINGTON AND NEW YORK TO TALK AS MUCH AS I COULD ABOUT FREE TRADE, ABOUT MFN RENEWAL AND SO ON, I FOUND MYSELF INEVITABLY ANSWERING ALL THE QUESTIONS ABOUT POLITICAL ISSUES AND I GUESS IT’S PERHAPS THE CASE, BUT ONE OF THE REASONS WHY I’VE ENJOYED AS MUCH ACCESS AS I HAVE IS BECAUSE OF MY STARRING ROLE TN THE NONA’S LEXICON OF VILLAINRY. VILLAINY.

/SO I'D ........

SATURDAY, MAY 8, 1993

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SO I’D BETTER JUST SAY A WORD OR TWO ABOUT THE LATEST STATE OF PLAY IN OUR LESS THAN AMIABLE SO FAR ARGUMENT SO FAR WITH CHINA. I’LL BE VERY BRIEF. THE ARGUMENT ISN’T ABOUT THE PACE OF DEMOCRATISATION. THE ARGUMENT IS ABOUT THE CREDIBILITY OF DEMOCRATIC INSTITUTIONS.

WE’D AGREED IN THE JOINT DECLARATION, THE PROGRESS THAT HONG KONG SHOULD MAKE TOWARDS DEMOCRACY. WHAT ALAS, ALAS BECAUSE I WOULD HAVE HAD A QUIETER LIFE WERE IT OTHERWISE, WHAT ALAS WE HAD NOT AGREED WERE THE ARRANGEMENTS FOR THE LAST ELECTIONS HELD UNDER BRITISH SOVEREIGNTY FOR THE DISTRICT BOARDS AND MUNICIPAL COUNCILS, THE LOCAL AUTHORITIES IN 1994 AND FOR THE LEGISLATIVE COUNCIL ITSELF IN 1995. I THINK THE DIFFERENCE BETWEEN CHINA AND THE UNITED KINGDOM HAS BEEN THAT WE ARE DETERMINED THAT THOSE ARRANGEMENTS SHOULD PRODUCE A CREDIBLE, NOT A RUBBER STAMP LEGISLATURE.

WE’RE DETERMINED THAT THOSE ARRANGEMENTS SHOULD BE CLEAN AND STRAIGHTFORWARD AND NOT INTENDED TO PRODUCE A PREORDAINED RESULT. I WON’T PUT THE POINT MORE VIGOROUSLY THAN THAT. THERE IS ANOTHER RELATED ISSUE. WE THINK THAT IF INSTITUTIONAL ARRANGEMENTS TRANSFER THROUGH 1997, IT’S REASONABLE THAT THOSE WHO ARE ELECTED SHOULD ALSO TRANSFER THROUGH 1997.

IN EVERY LEGISLATURE PRETTY WELL AROUND THE WORLD, THERE ARE OBJECTIVE CRITERIA WHICH LEGISLATORS HAVE TO SATISFY TN ORDER TO TAKE UP THEIR POSITIONS IN THE LEGISLATIVE BODY CONCERNED. WHAT CHINA HAS BEEN PROPOSING IS THAT A COMMITTEE SHOULD BE SET UP IN 1996 WHICH WILL ITSELF DETERMINE ON SO FAR AS WE CAN TELL SUBJECTIVE CRITERIA, WHERE THE LEGISLATURES ELECTED IN 1995 CAN TRANSFER THROUGH 1997, TO 1999.

WE HAVE A SUSPICION - YOU MAY THINK WE’RE OVERDOING IT THAT THE PURPOSE OF THAT ARRANGEMENT SO FAR AS THE CHINESE ARE CONCERNED, IS TO ENABLE THEM, IF THEY WANT, TO THROW INDIVIDUAL LEGISLATORS OUT OF THE LEGISLATIVE COUNCIL IN 1997 BECAUSE THEY DON’T LIKE THEIR VIEWS.

BECAUSE THEY DON’T FOR INSTANCE LI KF WHAT THEY GOT UP TO AFTER TIENANMAN SQUARE IN 1989-90. SO A RELATED ISSUE THAT WE’RE DISCUSSING WITH CHINA IS - AND ONE ALWAYS HAS TO DO THESE ARGUMENTS IN TERMS OF METAPHORS, IS THE THROUGH TRAIN THAT WILL NOT ONLY RUN ON ITS OWN TRACKS THROUGH TO 1999, BUT WILL WE ALSO HELP CARRY THE LEGISLATIVE COUNCIL ALTOGETHER INSIDE IT? I PUT FORWARD PROPOSALS ON SOME OF THESE ISSUES LAST AUTUMN. THEY WERE DENOUNCED AND I THINK THAT THERE IS A GOOD DEAL OF FEELING THAT THE CHINESE GREATLY OVERREACTED TO THEM.

THE CHINESE SAID THAT THEY WOULD NOT DISCUSS M\ PROPOSALS UNTIL I WITHDREW THEM, WHICH WAS A CURIOUS KAFKAESQUE ACTIVITY WHICH WOULD HAVE GONE BIDDEN TO IMPLEMENT. THEY THEN, AT THE ELEVENTH HOUR, JUST BEFORE WE WERE GOING TO PUBLISH THE LEGISLATION ON MY PROPOSALS, AGREED TO HAVE TALKS.

WE THEN HAD THOSE FRIGHTFUL THINGS IN DIPLOMACY, TALKS ABOUT TALKS, WHILE THE CHINESE PUSHED OTHER PRECONDITIONS. WE BROKE OFF THOSE TALKS ABOUT TALKS, BECAUSE WE THOUGHT THEY WERE GETTING NOWHERE AND THE CHINESE WERE BEING UNREASONABLE.

/THEY TOOK ........

SATURDAY, MAY 8, 1993

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THEY TOOK UMBRAGE AT THE EACT THAT WE HAD DEMONSTRATED THAT WE HAD A BOTTOM LINE. THEY DENOUNCED US AND UPHILL AND DOWN DALE. WE BEGAN TALKS WITHOUT PRECONDITIONS THREE WEEKS AGO. SEVERAL MONTHS LATE BUT AS THEY SAV, BETTER LATE THAN NEVER.

WE’VE HAD TWO ROUNDS OE TALKS, FIVE DAVS OF DISCUSSIONS SO FAR. THE NEXT ROUND OF TALKS BEGINS IN A FORTNIGHT’S TIME. AND WE’VE ENTERED THOSE TALKS LN GOOD FAITH AND HOPE THEY PRODUCE A TOLERABLE SET OF ARRANGEMENTS ACCEPTABLE To THE FUTURE SOVEREIGN, ACCEPTABLE TO THE PRESENT SOVEREIGN AND ABOVE ALL, ACCEPTABLE TO THE PEOPLE OF HONG KONG.

I THINK THE ARGUMENT MATTERS FOR ONE VERY SIMPLE REASON. OVER. THE YEARS I SUPPOSE YOl COULD SAV THAT HONG KONG WAS PRETTY UNIQUE IN HAVING ADAM SMITH IN PERMANENT RESIDENCE. BUT IT’S BEEN UNIQUE FOR AN EVEN MORE SUBSTANT1 AL AND LONGLAST1NG REASON.

THE COMBINATION OF S H A NG H A INES E, CA N TONESI E N TREPR EN E URI ALIS M AND THE RULE OF LAW. IT’S THE RULE OF LAW WHICH MAKES HONG KONG REALLY SPECIAL AND UI” S THE RULE OF LAW WHICH GUARANTEES HONG KONG’S WAY OF LIFE AND IN MA JUDGMENT, GUARANTEES HONG KONG’S CONTINUING PROSPERITY AS WELL.

THE RULE OF LAW ISN’T JUST ABOUT JUDGES IN WIGS, IT’S ALSO ABOUT A FREE PRESS. IT’S ABOUT A CREDIBLE, NOT NECESSARILY A TOTALLY DEMOCRATIC LEGISLATIVE BODY, AND WE ARE DETERMINED TO DO EVERYTHING WE CAN BEFORE 1997, TO INSURE THAT THE RULE OF LAW SURVIVES AFTERWARDS.

AND ONE COUNTRY, TWO SYSTEMS, IF WE DON’T STAND UP FOR HONG KONG’S SYSTEM BEFORE 1997, I’M LESS THAN CONVINCED THAT ANYBODY WILL STAND UP FOR IT AFTER 1997. AND THEN IT WON’T ONLY BE THE ALMOST SIX MILLION PEOPLE WHO WILL STILL BE THERE WHO WILL HAVE REASON TO BE CONCERNED. IT’S ALSO THOSE IN BUSINESS AND COMMERCE WHO ARE AT PRESENT IN MANY CASES, A LITTLE CRITICAL. BUT \FRY OFTEN HAVE BRITISH AND AMERICAN AND CANADIAN PASSPORTS. THEA ALSO, EVEN IF THEY’RE NOT IN HONG KONG AFTER 1997, WILL I THINK HAVE REASON TO REGRET WHAT’S HAPPENED.

BECAUSE HONG KONG WON’T BE AS PROI'EROUS A PLACE EITHER. I THINK WHAT WE’RE TRYING TO DO TN HONG KONG IS RATHER LIKE THOSE VICTORIAN HYMNS THAT THEY USED TO SING, WHICH USED TO DEMONSTRATE THAT DOING WHAT WAS RIGHT AND WHAT THE ALMIGHTY APPROVED OE, WAS ALSO PRETTY GOOD FOR BUSINESS.

AND I THINK THAT’S TRUE IN HONG KONG. THANK YOU.

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/6 ........

SATURDAY, MAY 8, 1993

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QUESTIONS AND ANSWERS AT GOVERNOR'S PRESS CONFERENCE IN NEW YORK ON FRIDAY (MAY 7) ******

GOVERNOR PATTEN:

First Of. all - can I - thank all the media who’ve followed us round from Los Angeles to Washington to New York, and thank you very much indeed for looking after us so well.

I hope you’re not too tired. And I hope you’ve had as agreeable a tine as I have.

I think that this has been a very useful visit to Washington and New York. I’to obviously particularly grateful for the extensive access that we’ve had, for the reception that I received, both in Washington and here.

I think that’s a reflection of the interest that there is in Hong Kong and in Hong Kong’s success. I couldn’t have hoped for a better series of meetings, and I couldn’t have hoped to be here at a better time, because plainly the new administration is in the midst of considering its policy on trade with China and MFN in particular.

And I’m certain after the meetings I had in Washington that Hong Kong’s position is going to be borne in mind in the decisions which US officials come to.

I notice from the press reports that Winston Lord is travelling shortly to Peking and I hope that mission is successful.

Questions. Don’t have to, but you can if you want. Yeah? QUESTION:

( ? ) Congress, Congressional leaders and the

business communities here, in your opinion [?], what is the most decisive factors for the MFN

GOVERNOR PATTEN:

I think that the issues which are most concerning the administration and Congressional leaders are those with which you’re all familiar.

First of all, concern which was widely expressed on Capitol Hill, first of all, concern about human rights in China.

/SECONDLY, THERE ........

SATURDAY, MAY 8, 1993

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Secondly, there are particular anxieties about a number of trade issues, sone of-which I think were covered in the 3of talks a few months back, but those concerns continue.

Thirdly, and I’ve been perhaps a little surprised at the number of times this has been raised with me, and the clearly, the strength of feeling on the issue, I think there’s a lot of. worry about weapons proliferation.

That again was mentioned a great deal during my discussions in Washington. It hasn’t been mentioned in my—mentioned in my— discussions with the Council —on Foreign Relations today.

QUESTION: . 1

[ ? ) what particular effect [ ? ]

decisive [ (?) ] Clinton’s policy?

GOVERNOR PATTENx

Well, I think the issues that--what will be decisive is the extent to which the administration thinks that china is moving on those issues, and I assume though I'm only stating a rather obvious surmise on my part, I assume that that’s going to be one of the topics that’s the —that Winston Lord is going to be pursuing when he’s in Peking.

QUESTION:

Do you think it's ( ? ] within this month?

GOVERNOR PATTEN:

I think there's clearly going to be some hard talking between the administration and Chinese officials. But the next three or four weeks are going to be pretty decisive.

All I can say with some certainty, and you're able to speculate as well as I am about how the debate is likely to turn out, all I can say with absolute certainty is that Hong Kong's position and the impact on Hong Kong will be one of the factors which is considered by the administration and by Congress.

question:

[ ? ] an article in today's New York Times where it was saying

that ( ? ) Do you think it’s actually been a failure in

terms of (?) ( ? ? 1

GOVERNOR PATTEN:

I think that - were I to give the impression that I'd like to be on the sub-editor's desk of The New York Times, it might take away from my reputation as somebody who is keen on the freedom of the press.

I'm sure it was an uncharacteristic - elision—I’m trying very hard - on the part of The New York Times.

I’ve been putting a case in which I believe passionately in—on

/PRINCIPLE AS .......

SATURDAY, MAY 8, 1993

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principle, as well as for strictly utilitarian reasons. It happens to be .similar to the case which Chinese offigials are at present—at present’putting.

It’s—very agreeable to find myself in such good company, but you know as well as I do that because of the - close intimate symbiotic relationship between Hong Kong and the Chinese economy, between Hong Kong’s success and China’s continuing economic opening, you know that because of those things anything which damages China’s economy, anything which restricts trade between our two most important trading partners is potentially worrying and damaging for us.

QUESTION:

Do you think [ ? ] break his campaign promise on China

and ( ? ] if he’s going to actually do what he

wanted to do? [?] What do you think he’ll be able to [ •. ? ? )

the issue as it were so that he can - [ ? ] up on China

and do what you want him to do? (?) GOVERNOR PATTEN:

I think that were I to set up in business monitoring campaign pledges and their subsequent implementation, I might be in:danger of crossing over that border line between the acceptable behaviour of a guest and the unacceptable.

I’m sure that the President was entirely honest in what he said during the campaign and will be entirely straightorward in his attempts to turn that into policy.

He’s got many factors of which he has to take account. He’s got to take account of feelings in a predominantly Democratic Congress, he’s got to take account of feelings in the country and a number of organizations who are pressing him on, for example, human rights cases.

He has to take account, I’m sure, of what he’s told about weapons proliferation and - the impact on a very sensitive situation in the Middle East and elsewhere, and he’s got to take account, doubtless, of the sort of expressions of view from the business community which were faithfully recorded without any elision in The New York Times this morning, so he’s got a lot of factors to weigh up — a demonstration that governance and taking decisions in government is tough and nowhere more so than in the United States.

I - I’m sure that he understood my argument, that almost the most important factor for Hong Kong’s long term success, stability, . prosperity is the state of the relationship between China and the United States. Frances?

/HE HOPES .......

SATURDAY, MAY 8, 1993

9

he hopes that - that PRC officials will put forward proposals if they don't like ours so that we can have an even more constructive debate and negotiation.

QUESTION:

t t ] oppression. During your visit in

Washington [ ? ] newspaper already putting out an

article saying you’ve been internationalized [?] ( ? ?

]. Do you think your visit here actually ( ?

] for increased attention to [ ? ? j

GOVERNOR PATTEN:

Well as I have said and it, it becomes a little repetitious, but since the question’s the same - I'll give much the same answer.

I think of all the ridiculous arguments with which I've had to contend since last July, the proposition that the—that visits by the Governor of Hong Kong to major trading partners represent internationalization quote unquote take the biscuit.

Hong Kong is and will remain a vastly important international financial and commercial center. If the Governor of Hong Kong or the Chief Executive of Hong Kong in due course were not to travel, were not to - represent Hong Kong around the globe, then the Governor of Hong Kong stroke Chief Executive would not be doing his job.

I think that - repeating as one or two newspapers do extremely silly arguments doesn't make those arguments less silly.

How about that?

[LAUGHTER]

No more internationalization. Hi.

QUESTION:

( ? ] the meetings have been very useful-

GOVERNOR PATTEN:

Yeah.

QUESTION:

—that you're wrapping up your US visit, what kind of advice would you give, or what, what will the strategy be now, to lobby staunch conditional—Congressional leaders (?) as far as the policy ( ? ] what's the strategy now?

GOVERNOR PATTEN:

Well the strategy is to follow up my own visit with continuing efforts, particularly directed to Congressional opinion.

We've got, as I'm sure you will have observed in Washington - a very good office and good staff. The same in New York, and we'll be using their professionalism and their expertise and later in the year we'll have in place I think it was endorsed by the Legislative Council - a few hours ago—we'll have in place a new commissioner running our operation.

/WE’RE .......

SATURDAY, MAY 8, 1993

- 10 -

We’re trying to put even more - oomph behind what we’re doing in Washington.and I think, that’s--extremely important.

QUESTION:

Are you the—

GOVERNOR PATTEN:

Sorry.

question:

— ( ? * ] every year prior to [ ?

GOVERNOR PATTEN:

I will want to make regular visits to the United States, whether I will come every year or at this time every year I think we’ll have to judge in due course, but I would very much welcome it, as I’m sure the Administration would if we were to arrive at a situation in which this spring time debate on MFN renewal didn’t appear to be the center point of policy on China.

I think it would be helpful if that was no lonaer the situation. QUESTION:

Governor, when you said you did not solicit support from the President [ ? ] my question is, did you* [

? ] Congressional leaders and how much support did you get?

GOVERNOR PATTEN:

Well I think you will have - recalled that at the beginning of my very valuable meeting with the President there was a photo call and during the photo call as happens these days one of the —one of your professional colleagues asked the President a question about the political situation in Hong Kong and the President replied—with views on democratization which I don’t imagine will have surprised anyone.

So - the Governor of Hong Kong didn’t raise the issue with the President, it was raised with the President by one of your professional colleagues.

QUESTION:

Mr. Patten, from the speeches you made in Washington DC and [ ?

GOVERNOR PATTEN:

Yeah.

QUESTION:

— you played up the importance of human rights. Is that to you human rights— you regard—human right as important [ ? ?

] so actually when you come to choose [ ? ] human right and

trade, trade is your priority?

GOVERNOR PATTEN:

No, that’s—a —I don’t mean to be rude, but it’s a distortion of what I’ve been attempting to say.

As the Governor of Hong Kong, of course I feel passionately concerned about human rights. If people in Hong Kong aren’t

/CONCERNED ABOUT

SATURDAY, MAY 8, 1993

11

concerned about human rights, it would be very surprising✓ The joint declaration is a—an eloquent- statement of the human rights of people in Hong Kong which we wish to see safeguarded after 1997, and I’ve- said again and again that it is my prime task, the most important job I have to lay the foundations so that the joint declaration is fully implemented after 1997 as well as before 1997.

People in Kong Kong are concerned about human rights. But I don’t believe that restrictions on trade are the best way of securing human rights objectives.

1 happen to think that trade and economic growth are more likely to promote people’s quality of life and their human rights than restrictions on trade or the depression of economic growth.

I think that trade increases the influence of one trading partner with others and I think it increases understanding and as I've said this week I think that trade casts light into dark corners so my argument is that you don’t best go about pursuing human rights objectives by using trade as a weapon, and I promise I won’t make that speech again this week.

QUESTION:

The—one of the things that ( ? ] is that you need to stand up

to [ ? ] sometimes on human rights. Do you not also need to

stand up to people sometimes on trade? Talking about—if you say this is a—

GOVERNOR PATTEN:

Sure—

QUESTION:

—You know—also say this is [ ? ] trade. GOVERNOR PATTEN:

You do need to stand up to people sometimes on trade issues. If you have in a bilateral relationship particular concerns that the other party to that relationship isn't - behaving according to international agreement, isn’t actually giving you - the parity of opportunity which you’re providing then you’re perfectly entitled to take specific trade measures to cope with that, and we’ve seen the United States doing that in a number of its trading relationships around the world.

That is using trade in a trade dispute or trade argument, it’s not using trade in a discussion of politics.

Somebody who hasn't ans—asked one.

QUESTION:

I've a couple of questions about the Hong Kong issue. What is your response to the latest warning from the new Chinese agency (?) official [ ? ] against [ ? ? ? ] and the second

question is, on the [ ? ) commission meeting Friday is the

/QUESTION .......

SATURDAY, MAY 8, 1993

12

QUESTION: •

4.4 You rePeatftd again today as you have bo manv

other tines that you are a salesman for [?1 with China Y

etcetera, but the fact— 1

GOVERNOR PATTEN:

I’m a salesman for Hong Kong.

QUESTION:

But the fact that you are here, giving this message at the same time the Chinese are pitching a rather cynical eleventh hour display of contract signing with all these people in an effort to get American businesses up and moving on this issue and why they’re behind them [?]t the proximity of those two events makes it a little bit tough to suspend disbelief.

BAsic question is not are you or are you not, the question is what do you expect to get back for the effort?

GOVERNOR PATTEN:

I expect - to get back from the effort rather greater belief on the part of Chinese officials that I do what I say I’ll do, and I also expect to get back for the effort a rather greater recognition of the fact that I have consistently in the past and will consistently in the future draw a distinction between trade and economic issues on the one hand and politics on the other.

I very much hope that I can look to Chinese officials to make the same distinction in practice as well as allegedly in principle.

QUESTION: r

Can you [ ? j the airport?

GOVERNOR PATTEN:

The airport, as I’ve said on a number of occasions, in my judgement, we could kick loose in a morning with a break for coffee. Just needs--a—‘the will and a fair wind. We’re ready and willing and able to do business on the airport whenever China wants.

QUESTION:

t J In the last few days did you actively

solicit [?] VS Embassy (?] and Congress support for your political reform proposal and can you say that [ ?

? ] political reform remain unchanged so far. [?1 GOVERNOR PATTEN:

The answer to the first question is no, I didn’t solicit support.

The answer to the second question is the British Government supports the proposals that we put forward last Autumn. It’s also very pleased that it is now talking to the Government of the PRC about the arrangements for the 1994/95 elections and I think that, were a British minister here today, he would also say that

/FIRST TIME ......

SATURDAY, MAY 8, 1993

13

first time it doesn’t create any solutions ( ? ) and they’re to

extend it till next week. What is what— your response to. [ ?

GOVERNOR PATTEN:

I haven’t had a report yet on the meeting about land disposals. I very much hope that it leads to an early and satisfactory-conclusion. -

On the first question, I think were threats to be made against individual public officials in Hong Kong, by members of the New China News Agency—the whole Hong Kong community would deplore them, but I haven’t seen the specific terms of the charge which you say was made.

QUESTION:

Does the contingency plan that you have, if MFN was not renewed, what would be the immediate impact on Hong Kong?

GOVERNOR PATTEN: ;

- There have been some economic models which suggest that if we were to lose MFN the impact on Hong Kong would be to halve our . economic growth rate and to lose about 70,000 jobs.

I’m not sure that it’s always wise to be that categoric in economic modelling. Hong Kong is a very flexible market economy and I’m sure would adjust to any loss of MFN or substantial .constraint on MFN.

But one could not avoid there being some impact on the Hong Kong economy in the short term. We—it’s difficult to see how you could plan for an eventuality the precise nature of which you don’t know, but we may well find ourselves having to take short term action to deal with at least somd of the consequences*

Couple more. Who hasn’t—anybody hasn’t asked one? One two. Yeah?

question:

Governor, [ ? ] you have conditional--

GOVERNOR PATTEN;

That I have what?

QUESTION:

Seems that you have a set of conditions (?) —if so, do you understand [ ? ? ] ' '

GOVERNOR PATTEN:

I haven’t accepted any such thing. I’ve gone on arguing for MFN renewal but I’ve also said that it’s - plainly the case that the Administration is in the middle of looking at and reviewing its policy, and I think it must be plain to all of you who’ve been coming round with me for the last few days, as it is to me, that it’s unlikely that the policy of this Administration on trade with China is going to be identical to the policy of the last administration.

/BUT WE’LL .......

SATURDAY, MAY 8, 1993

14 -

But we’ll have to see.

QUESTION:' . .

[ ' ? ) England, Portugese.[?] government

concerning this place is the question. '

GOVERNOR PATTEN:

I think I really would have been accused of internationalizing the issue

if I’d spoken very extensively about

and Portugal during the course of the last few days, but I’m sure that Portugese ministers and my good friend and colleague the governor of Hacd# will have felt the same way about the importance of MFN renewal as I have felt because Mac a & would be I imagine affected by any restrictions on trade just as Hong Kong would be affected.

Macao anci Hong Kong have a close economic relationship . just as . they both have a close economic relationship with - China, with the PRC, so I guess we find ourselves on this issue in the'same boat and therefore arguing much the same case.

QUESTION:

How about ( ? ]

GOVERNOR PATTEN:

How about the—?

QUESTION:

Cultural aspect [ ? ]

GOVERNOR PATTEN:

The cultural impact of MFN, you mean?

QUESTION:

Yes.

GOVERNOR PATTEN:

The most obvious cultural impact I suppose is that any community which is getting better off is likely to have a more extensive and varied cultural life.

So if we weren’t growing as rapidly I guess in both Macao and Hong Kong that would have some impact on our—on our culture, but you may be using the word culture in a different wer—in a different

QUESTION:

-I [ ? ) ’97, after ’99 ’97 [ ? [ China.

GOVERNOR PATTEN:

Both Macac and Hong Kong when China resumes sovereignty will retain I’m sure their distinct identities, the unique lifestyles, even though they will be parts of the PRC albeit with a degree of autonomy, but I’m sure that Chinese officials would want MicaC •

/AND HONG ........

SATURDAY, MAY 8, 1993 15 -

and Hong Kong to go on with their distinctive qualities and their distinctive cultural lifestyle.-

QUESTION:

Another question about arms control—corporation [?]. The Korea issue, the North Korea issue complicates this very much. Is there not a feeling right now that there’s a limit on how far China can be pushed in certain directions, given that its participation and help would be necessary in dealing with North Korea.

Have you discussed this during your trip and what are the—-results?

GOVERNOR PATTEN:

I haven’t discussed the North Korean situation in any detail. I’ve got my work cut out being Governor of Hong Kong, but I am a»uafeof that dimension and I’m sure that it’s an issue which is being discussed or will be discussed bilaterally between US officials and Chinese.

QUESTION:

Have you worded (?] do you feel that China—that one should take a fairly easy position on China in certain respects because it’s [ ? [?] ) in such cases as [ ? ]?

GOVERNOR PATTEN:

I think it’s very difficult for me to answer that question, but I’m sure that - a better and more cooperative relationship in some areas would have an impact on the totality of the relationship as well the relationship in other

and maybe unrelated areas.

QUESTION:

Quickly, how would you categorize [?] your meetings with President Clinton and how do you [ ? ] will favor

MFN?

GOVERNOR PATTEN:

I had a very good and enjoyable meeting with President Clinton, who was as courteous, charming and intelligent and articulate as I’d been led to expect.

I don’t think it’s productive for me to go further than I have already on MFN. The Administration is shaping its policy and taking account of all the factors which I mentioned earlier.

Last question. Anybody hasn’t asked one?

QUESTION:

[INAUDIBLE]

GOVERNOR PATTEN:

I think that because I’m such a judicious and diplomatic fellow I wouldn't give explicit advice to China on their human rights, except to hope that China would enjoy a good dialogue with' the US on the issue.

A number of Congressional leaders who spoke to me in the last few

/DAYS HAD ........

SATURDAY, MAY 8, 1993

16

days had enjoyed visits to China and I think had learned.a good deal from them, so those sort of exchanges are I think very •useful.

Very last one.

QUESTION:

[INAUDIBLE]

GOVERNOR PATTEN:

I think it’s true for all of us, I guess it’s true for you, that being away from wherever is home gives you new perspectives and new dimensions.

This visit has reminded me of the international importance of Hong Kong. It’s reminded me of the interest shown in our future in a wholly proper way by our friends in America who are one of our strongest trading partners.

I think that one shouldn’t become too introverted in Hong Kong. We shouldn’t let our own agenda, important as it is blinker as to what’s happening elsewhere in the world.

There is a great big world out there. We understand that and recognize that commercially and economically so it’s a little strange if we don’t recognize it in other ways as well.

There’s a lot of world out there and a lot of CDs, some of which I intend to now go out and buy.

[LAUGHTER]

QUESTION:

May I ask a question about the food chain? [?] GOVERNOR PATTEN: Well this really is the very last because I’ve gone on 15 minutes longer than I’d intended.

QUESTION:

In your speech yesterday, you — you said it is [ ? )

typical [ ? ] and you left a counsellor to be [ ?

? ] because he’s faced [ ? ? ] and do you

agree that just [ ? ? ] to uphold the basic law and

to—to swear allegiance is enough to qualify to get on the [ ? ? ]

GOVERNOR PATTEN:

I think that what is necessary is to have criteria which are objective rather than subjective. Precisely what those criteria should be is doubtless a matter which will form the basis of

fruitful discussion between Mr. JJang Enzho.

Maclaren in the coming weeks.

and Sir Robin

But the important point of principle is that there should be objective criteria so that people in 1995 know exactly where they stand, when they stand.

QUESTION:

/IS

SATURDAY, MAY 8, 1993

- 17 -

IS— GOVERNOR PATTEN:

Thank you all. I—I can’t add to what I’ve said. Thank very much indeed.

END, BRIEFING. AND END TRANSCRIPT

---------0 -----------

/18.........

SATURDAY, MAY 8, 1993

18

DIRECTOR OF IMMIGRATION TO VISIT ('HINA

*****

THE DIRECTOR OF IMMIGRATION, MR LAURENCE LEUNG MING-YIN, WILL VISIT CHINA FROM M^Y 9 TO 24 AT THE INVITATION OF THE MINISTRY OF PUBLIC SECURITY.

HE WILL BE ACCOMPANIED BY ASSISTANT DIRECTOR OF IMMIGRATION, MR CHRISTOPHER LEE KA-KEUNG.

DURING THE VISIT, THEY WILL MEET AND DISCUSS MATTERS OF MUTUAL INTEREST WITH THEIR CHINESE COUNTERPARTS IN BEIJING AND SHANGHAI.

ITEMS ON THE AGENDA WILL INCLUDE SINO-HONG KONG CO-OPERATION IN HANDLING THE EVER-1NCREAS1 NG BORDER TRAFFIC, FACILITATION OF RESIDENTS IN CHINA TO VISIT HONG KONG AS WELL AS MEASURES AGAINST ILLEGAL IMMIGRATION AND USE OF FORGED TRAVEL DOCUMENTS.

’’THE DISCUSSIONS THAT WILL BE HELD WITH THE CHINESE OFFICIALS WILL NO DOUBT PROMOTE FURTHER UNDERSTANDING BETWEEN THE TWO GOVERNMENTS,” MR LEUNG SAID.

"THE STRONG ECONOMIC TIES CALL FOR CLOSER CO-OPERATION IN FACILITATING TRAVEL BETWEEN CHINA AND HONG KONG. THIS WILL BE OF GREAT BENEFITS IN THE RUN-UP TO 1997 AND BEYOND,” HE SAID.

- 0 -

SUCCESSFUL MEETING BETWEEN GUANGDONG AND HK CUSTOMS

******

AN EIGHT-MEMBER DELEGATION OF GUANGDONG CUSTOMS VISITED HONG KONG FROM MAY 3 TO 7 For MEETINGS WITH SENIOR OFFICIALS OF THE HONG KONG CUSTOMS AND EXCISE DEPARTMENT.

THE DELEGATION WAS LED BY MR LIU WENJIE, DIRECTOR OF THE GUANGDONG BRANCH OF THE CUSTOMS GENERAL ADMINISTRATION OF CHINA.

THIS WAS THE 11TH ANNUAL MEETING TO REVIEW LIAISON ARRANGEMENTS AND ACHIEVEMENTS OF THE TWO ADMINISTRATIONS IN THE AREAS OF EXCHANGE OF INTELLIGENCE ON NARCOTICS AND SMUGGLING AS WELL AS ON ANTI-SMUGGLING ACTIVITIES.

USEFUL DISCUSSIONS WERE ALSO HELD ON TOPICS OF MUTUAL INTEREST INCLUDING DRUG TRAFFICKING, CONTROLS AT THE LAND BORDER, AND PRACTICAL WAYS TO ENHANCE CO-OPERATION IN ANT I-SMUGGLING.

THE GUANGDONG CUSTOMS DELEGATION ALSO VISITED LOK MA CHAU CONTROL POINT, HONG KONG INTERNATIONAL AIRPORT, AND VARIOUS SMUGGLING BLACK SPOTS AT SEA TO GAIN AN INSIGHT INTO RECENT DEVELOPMENTS IN HONG KONG.

MR CLIVE OXLEY, COMMISSIONER OF CUSTOMS AND EXCISE, WHO CHAIRED THE MEETING SAID TODAY (SATURDAY) THAT IT HAD BEEN VERY SUCCESSFUL IN ENHANCING MUTUAL CO-OPERATION, PARTICULARLY IN RELATION TO THE INTERDICTION OF THE TRAFFICKERS OF NARCOTICS AND OF SMUGGLERS.

/19

SATURDAY, MAY 8, 1993

19

REVISED MARINE DUMPING ACTION PLAN *****

THE ENVIRONMENTAL PROTECTION DEPARTMENT (EPD) HAS REVISED ITS MARINE DUMPING ACTION PLAN TO APPLY STRICTER CONTROL TO MARINE DUMPING ACTIVITIES IN HONG KONG.

THE DEPARTMENT'S ASSISTANT DIRECTOR, MR JOHN BOXALL, SAID TODAY (SATURDAY) THAT THE REVISED PLAN, WHICH CAME INTO EFFECT ON MAY 1, HAD BEEN DRAWN UP IN CONSULTATION WITH THE HONG KONG CONSTRUCTION ASSOCIATION AND WITH SUPPORT FROM THE MARINE DUMPING INDUSTRY.

HE SAID THE REVISED PLAN HAD INCORPORATED NEW POSSIBLE OFFENCES IN ADDITION TO THOSE LISTED IN THE FIRST MARINE DUMPING ACTION PLAN WHICH WAS INTRODUCED IN MAY 1991.

"IT DEFINES MORE CLEARLY THE PENALTIES AGAINST OFFENDERS ACCORDING TO THE GRAVITY OF THE OFFENCES.

"THERE ARE STIFFER PENALTIES FOR OFFENCES INVOLVING CONTAMINATED MUD."

MR BOXALL SAID: "THE REVISED PLAN HAS ALSO INCORPORATED THE REQUIREMENT FOR DUMPING VESSELS TO INSTALL AN AUTOMATIC SELF MONITORING SYSTEM WHICH CAME INTO EFFECT IN JANUARY THIS YEAR.

"MOREOVER, CONTRACTORS ARE ENCOURAGED TO DEVELOP AN ENVIRONMENTAL MANAGEMENT CONTROL SYS'I’EM WHICH SETS OUT CLEARLY TO THEIR EMPLOYEES THE PROCEDURES TO MANAGE THE DUMPING OPERATION AND TO PREVENT ANY ILLEGAL ACT BY THE BARGE OPERATOR," HE ADDED.

THE MARINE DUMPING ACTION PLAN ENABLES THE EPD TO APPLY CONTROL TO MARINE DUMPING ACTIVITIES AND TO DETER CONTRACTORS' MALPRACTICES.

MR BOXALL SAID: "FOR ANY OFFENCE SEEN, THE DEPARTMENT WILL PROSECUTE THOSE CONSIDERED TO BE RESPONSIBLE. IT MAY ALSO DELETE THE VESSELS INVOLVED IN MALPRACTICE FROM THE LICENCE CONCERNED.

"FURTHERMORE, IF OFFENCES ARE REPEATED, THE DEPARTMENT MAY REVOKE CONTRACTORS' CURRENT LICENCES AND REFUSE TO ISSUE NEW LICENCES," HE ADDED.

"THROUGH THE TIGHTENED ENFORCEMENT STIPULATED IN THE ACTION PLAN," MR BOXALL SAID, "THE MARINE DUMPING INDUSTRY HAS ADOPTED A MORE RESPONSIBLE ATTITUDE TOWARDS MARINE DUMPING IN THE PAST TWO YEARS."

THE DEPARTMENT SPOTTED 41 ILLEGAL MARINE DUMPING CASES IN 1991.

HE SAID: "THE NUMBER OF CASES DETECTED DROPPED TO 24 IN 1992 IN SPITE OF AN INCREASE IN DUMPING ACTIVITIES AND MORE FREQUENT MARINE PATROLS BY EPI).

THE IMPROVED CONTROL EFFORT HAS ALSO HELPED IN REDUCING THE AMOUNT OF FLOATING REFUSE AT THE SEA.

--------0-----------

/20.........

20

SATURDAY, MAY 8, 1993

ON THE AUTOMATIC SELF MONITORING REQUIREMENT, MR BOXALL SAID IT HAD BEEN VERY SUCCESSFUL IN PUTTING THE BARGES UNDER SURVEILLANCE AND REDUCING ILLEGAL DUMPING ACTIVITIES.

THE DEPARTMENT REGULARLY RETRIEVES DATA FROM THE AUTOMATIC SELF MONITORING DEVICES (ASMD) ON ABOUT 150 BARGES WHICH RECORD THE DRAUGHT AND MOVEMENTS OF THE BARGES ROUND THE CLOCK.

"ENFORCEMENT WILL BE PLANNED ACCORDING TO THE SELF MONITORING DATA TO DIRECT SPECIAL VIGILANCE TO SUSPICIOUS CASES, HE ADDED.

MR BOXALL SAID: "THE REQUIREMENT ALSO ENABLES US TO FOCUS ON THOSE VESSELS OSTENSIBLY USED ONLY FOR RECLAMATION WORK AND THEREFORE HAVE NOT BEEN EQUIPPED WITH ASMD."

"CONTRACTORS WHO USE BARGES FOR DUMPING WITHOUT THE ASMD WILL BE PROSECUTED."

THE DEPARTMENT HAD SPOTTED 10 SUCH CASES SINCE THE REQUIREMENT CAME INTO EFFECT AT THE BEGINNING OF THIS YEAR AND TWO CASES WERE RELATED TO SHORT DUMPING AT DISCOVERY BAY AND NORTH TSING YI.

------0 ------

SALT WATER CUT IN TO KWA WAN

******

SALT WATER SUPPLY TO SOME PREMISES IN TO KWA WAN WILL GO OFF FROM 9.30 AM TO 5 PM ON MONDAY (MAY 10) TO FACILITATE CONNECTION WORK ON WATER MAINS.

THE SUSPENSION WILL AFFECT ALL THE PREMISES AT LOK SHAN ROAD, TO KWA WAN ROAD, NGAN HON STREET AND THOSE ALONG THE SEAFRONT OF TO KWA WAN.

------0-------

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS

OPENING BALANCE IN THE ACCOUNT

REVERSAL OF LAF

BALANCE AFTER REVERSAL OF LAF

NET TNJECTION/WITHDRAWAL TODAY

EFFECT OF LAF TODAY

CLOSING BALANCE IN THE ACCOUNT

LAF RATE 2.00 BID/4.00 OFFER

$ MILLION

2,010

+ 120

2,130

NIL

-880

1,250

TWI 111.7 *+0.1* 8.5.93

- 0 -

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE. HONG KONG. TEL: 842 8777

SUNDAY, MAY 9, 1993

CONTENTS PAGE NO.

IMPACT ON HONG KONG RECOGNISED: GOVERNOR ......................... 1

REVISED COLLEGE OF EDUCATION ADMISSION CRITERIA .................. 1

RESEARCH PROJECT ON EDUCATION FOR GIFTED CHILDREN ................ 3

PLACEMENT SERVICE FOR TEACHERS ................................... 4

NEW DISTRICT OFFICER FOR TSUEN WAN ............................... 4

SPECIAL INSPECTION CAMPAIGN ON FACTORIES ......................... 5

SUNDAY, MAY 9, 1993

1

IMPACT ON HONG KONG RECOGNISED; GOVERNOR ♦ * * * *

THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, BELIEVES THAT HE HAS MANAGED TO ENSURE THAT THE IMPACT ON HONG KONG IS RECOGNISED WHEN THE UNITED STATES IS CONSIDERING ITS POLICY ON RENEWING CHINA’S MEN STATUS.

SPEAKING TO REPORTERS AT THE \ IRPORT THIS (SUNDAY) EVENING UPON HIS RETURN FROM THE UNITED STATES, THE GOVERNOR SAID: ”1 THINK THAT OUR ARGUMENTS, BOTH OUR ARGUMENTS IN PRINCIPLE AND OUR ARGUMENTS IN TERMS OF THE IMPACT ON HONG KONG, WOULD HAVE BEEN TAKEN INTO ACCOUNT OVER THE LAST DAYS AND WILL BE TAKEN INTO ACCOUNT DURING THE NEXT WEEKS WHEN THE U.S. IS CONSIDERING ITS POLICY.

"I AM SURE THAT THE VISIT OF WINSTON LORD TO PEKING SHORTLY WILL BE ANOTHER DECISIVE IMPACT IN THE EVOLUTION OF POLICY."

DESCRIBING HIS TRIP AS EFFECTIVE AND USEFUL, THE GOVERNOR SAID: "IT GAVE ME THE OPPORTUNITY OF SETTING OUT HONG KONG’S CASE ON TRADE AND IN PARTICULAR ON MFN RENEWAL AT A TIME WHEN THE UNITED STATES IS CONSIDERING ITS FUTURE POLICY ON THOSE MATTERS.

"SO I THINK THE TIME COULDN’T BE BETTER IN GETTING OUR CASE, OUR POSITION, OUR ARGUMENTS, OUR CONCERNS ON THE US AGENDA.

"I AM SURE THAT IT IS IMPORTANT FOR US TO BE ABLE TO PUT ACROSS OUR CASE IN WASHINGTON AND UNITED STATES FREQUENTLY AND VIGOROUSLY BOTH NOW AND IN THE FUTURE. THAT IS WHAT WE INTEND TO GO ON DOING."

------0--------

REVISED COLLEGE OF EDUCATION ADMISSION CRITERIA

* * * * *

IN RESPONSE TO COMMENTS THAT THE REVISED ADMISSION CRITERIA FOR THE COLLEGES OF EDUCATION WOULD LOWER THE STANDARD OF INTAKE, A SPOKESMAN FOR THE EDUCATION DEPARTMENT REASSURED THE PUBLIC THAT THE MINIMUM ADMISSION CRITERIA REMAINED UN(HANGED.

THAT IS TO SAY, CANDIDATES MUST HAVE AT LEAST SIX SUBJECTS AT GRADE E OR ABOVE IN THE HONG KONG CERTIFICATE OF EDUCATION EXAMINATION (HKCEE) (CERTIFIED BY THE HKEA) OR EQUIVALENT, AND MUST HAVE A TOTAL OF 11 POINTS OR ABOVE IN THE BEST SIX SUBJECTS.

THE FLEXIBILITY BUILT INTO THE REVISED SYSTEM IS THAT THE SIX SUBJECTS MAY BE OBTAINED IN NOT MORE THAN TWO SITTINGS WITH AT LEAST FOUR SUBJECTS IN EITHER ONE SITTING.

THIS IS TO ALLOW FOR (’AND I DATES WHO MAY HAVE GOOD OVERALL POTENTIAL BUT HAVE SLIPPED IN THE FIRST ATTEMPT OF THE HKCEE THROUGH FACTORS BEYOND THEIR CONTROL.

THIS CONCEPT OF FLEXIBILITY IS IN LINE WITH THE PRACTICE IN OTHER TERTIARY INSTITUTIONS, BOTH LOCAL AND OVERSEAS.

THERE IS NO EVIDENCE TO PROVE THAT THE SUCCESS RATE OF STUDENTS WITH PASSES ACCUMULATED OVER ONE OR TWO SITTINGS IS LESS FAVOURABLE THAN THOSE WHO ACHIEVED PASSES IN ONE SITTING.

/THE MINIMUM .......

SUNDAY, MAY 9, 1993

2

THE MINIMUM OF 11 POINTS IS IDENTICAL TO PREVIOUS REQUIREMENTS,. EXCEPT THAT THE USE OF AGGREGATE SCORE ALLOWS FOR FLEXIBILITY TN THE COMBINATION OF GRADINGS THAN THE RIGID REQUIREMENT IN PREVIOUS YEARS THAT TWO SUBJECTS MUSI’ BE AT GRADE ( , ONE VI' GRADE D AND THREE AT GRADE E.

BASED ON THE 1992 COLLEGES OF EDUCATION ADMISSION EXERCISE AND IF THE SAME FLEXIBILITY HAD BEEN INTRODUCED, AN ADDITIONAL 1,077 QUALIFIED CANDIDATES WOULD HAVE BEEN ELIGIBLE FOR CONSIDERATION FOR THE THREE-YEAR COURSE.

THESE CANDIDATES HAD GENERAL STANDARDS EITHER EQUIVALENT TO OR HIGHER THAN THOSE CONSIDERED ELIGIBLE UNDER THE OLD RIGID SYSTEM.

THE FLEXIBILITY OF THE REVISED CRITERIA WOULD HAVE WIDENED THE POOL OF CANDIDATES TO Bl SELECTED FOR THE THREE-YEAR COURSE FROM FIVE CANDIDATES PER PLA( E TO ABOUT SEVEN CANDIDATES PER PLACE.

THERE IS NO REASON WHY THE STANDARD OF CANDIDATES ADMITTED SHOULD BE LOWERED.

SIMILARLY, ANOTHER ADDITIONAL 587 CANDIDATES WITH THE REQUIRED ADVANCED LEVEL SUBJECTS WOULD HAVE BEEN ELIGIBLE FOR THE TWO-YEAR COURSE.

THIS WOULD HAVE RESULTED IN MORE SECONDARY SEVEN LEAVERS BEING ADMITTED INTO THE TWO-YEAR COURSE.

THE SPOKESMAN STRESSED AGAIN THAI’ CANDIDATES WITH FOUR PASSES AT THE HKCEE WOULD NOT BE ADMITTED INDER THE FLEXIBLE ARRANGEMENT.

THE EDUCATION DEPARTMENT WILL MONITOR HIE ADMISSION EXERCISE THIS YEAR TO ENSURE THAT THE FLEXIBILITY WOULD NOT LOWER THE ACADEMIC STANDARD.

IN ADDITION, THE PROGRESS OF STUDENTS IN THE COLLEGES OF EDUCATION WOULD CONTINUE TO BE MONITORED THROUGH CONTINUOUS ASSESSMENT OF ACADEMIC ACHIEVEMENTS, PROJECT WORK AND PRACTICAL TEACHING BEFORE STUDENTS WOULD BE ALLOWED TO GRADUATE.

A SURVEY CONDUCTED IN 1991 OF THE PERFORMANCE OF NEW FROM THE COLLEGES OF EDUCATION COVERING 527 PRIMARY AND SCHOOLS REVEALED THAT THE SCHOOL HEADS CONS IDERED THESE COMPETENT AND WERE OF HIGH QUALITY.

GRADUATES

SECONDARY

TEACHERS

THERE ILAVE ALSO BEEN CLAIMS THAT Uli CHANGE WOULD JEOPARDISE THE TEACHING PROFESSION’S PAY IN FUTURE REVIEW OF SALARIES BY THE STANDING COMMISSION ON CIVIL SERVICE PAY AND CONDITIONS OF SERVICE.

’’CIVIL SERVICE PAY IS BASED ON A NUMBER OF FACTORS. ENTRY QUALIFICATION TO ANY GRADE IS OF COURSE AN IMPORTANT FACTOR BUT IN THE CASE OF CERTIFICATED MASTER/M1 STRESS, IT IS THE CERTIFICATE AWARDED BY A COLLEGE OF EDUCATION THAT MATTERS AND NOT THE ENTRY REQUIREMENT FOR TRAINING," THE SPOKESMAN EXPLAINED.

HE EMPHASISED THAT THE FLEXIBLE ENTRY REQUIREMENT WOULD NOT ALTER THE VALUE OF THE CERTIFICATE.

/”WE ARE ........

SUNDAY, MAY 9, 1993

3

"WE ARE NOT REDUCING THE DURATION OF TRAINING, NOR ARE WE LOWERING THE STANDARD OF THE COURSES OFFERED AT THE COLLEGES," HE STRESSED.

THE SPOKESMAN ALSO ANNOUNCED THAT APPLICATION FORMS FOR ADMISSION TO THE COLLEGES OF EDUCATION IN SEPTEMBER WOULD BE AVAILABLE FROM WEDNESDAY (MAY 12) AT:

* EDUCATION DEPARTMENT HEADQUARTERS, WU (HUNG HOUSE, 213 QUEEN’S ROAD EAST, I 5TH FLOOR, WAN (’HAI, HONG KONG.

* EDUCATION DEPARTMENT KOWLOON SUB-OFFK E, KOWLOON GOVERNMENT OFFICES, 405 NATHAN ROAD, SEVENTH FLOOR, KOWLOON.

* NORTHCOTE COLLEGE OF EDUCATION, 21 SASSOON ROAD, POKFULAM, HONG KONG.

GRANTHAM COLLEGE OF EDUCATION, 42 GASCOIGNE ROAD, KOWLOON.

* SIR ROBERT BLACK COLLEGE OF EDUCATION, 6 CALDECOTT ROAD, PIPER’S HILL, KOWLOON.

HONG KONG TECHNICAL TEACHERS’ COLLEGE, 373 QUEEN’S ROAD EAST, WAN CHAI, HONG KONG.

------0-------

RESEARCH PROJECT ON EDUCATION FOR GIFTED CHILDREN * * * * *

THE ROYAL HONG KONG JOCKEY CLUB HAS DONATED $2.5 MILLION FOR A RESEARCH PROJECT TO IDENTITY ACADEMICALLY GIFTED CHILDREN IN LOCAL SCHOOLS.

A SPOKESMAN FOR THE EDUCATION DEPARTMENT SAID THE EDUCATION COMMISSION, IN ITS REPORT NO. 4, RECOGNISED THE LACK OF IDENTIFICATION TOOLS, AND DATA ON AVAILABLE PROGRAMMES FOR THE GIFTED CHILDREN.

"IT IS HOPED THAT THROUGH THIS RESEARCH PROJECT, INFORMATION AND DATA ON THE DISTRIBUTION PATTERN AND EDUCATIONAL NEEDS OF OUR ACADEMICALLY GIFTED STUDENTS COULD BE GATHERED," HE SAID.

/THE RESEARCH .......

SUNDAY, MAY 9, 1993

4

THE RESEARCH WORK WILL BE CARRIED OUT IN THE 1993/94 SCHOOL YEAR.

THE SPOKESMAN ADDED THAT AN ADVISORY COMMITTEE WOULD BE FORMED WITH REPRESENTATIVES FROM THE EDUCATION AND MANPOWER BRANCH AND THE EDUCATION DEPARTMENT TO MONITOR THE PROGRESS OF THE PROJECT.

”AT PRESENT, THERE IS A RESEARCH PROJECT ON ADAPTING ASSESSMENT TOOLS FOR IDENTIFICATION OF GIFTED CHILDREN. THIS WAS ALSO MADE POSSIBLE BY A DONATION OF $1.16 MILLION FROM THE ROYAL HONG KONG JOCKEY CLUB LAST YEAR.

’’THE PROJECT IS BEING CARRIED OUT BY A TERTIARY INSTITUTE AND IS EXPECTED TO BE COMPLETED BY 1994,” HE SAID.

-----0--------

PLACEMENT SERVICE FOR TEACHERS

*****

THE EDUCATION DEPARTMENT’S PLACEMENT SERVICE TO HELP REDUNDANT TEACHERS IN AIDED PRIMARY SCHOOLS OBTAIN NEW TEACHING POSTS WILL START TOMORROW (MONDAY).

A SPOKESMAN FOR THE DEPARTMENT EXPLAINED THAT THE TEACHERS WERE USUALLY MADE REDUNDANT BY THE DROP IN SCHOOL ENROLMENT IN THEIR SCHOOLS DUE TO PEOPLE MOVING FROM URBAN AREAS TO NEW TOWNS.

THE PLACEMENT SERVICE UNIT HAD HELPED SOME 6,700 SUCH TEACHERS IN SECURING NEW TEACHING POSTS OVER THE PAST YEARS.

”WE WILL CONTINUE TO GIVE THEM FULL ASSISTANCE AGAIN THIS YEAR. OUR 100 PER CENT SUCCESS RATE OVER THE PAST YEARS OWES MUCH TO THE SUPPORT AND CO-OPERATION OF SCHOOL HEADS AND SCHOOL MANAGEMENT COMMITTEES FOR WHICH THE DEPARTMENT IS MOST GRATEFUL,” SAID SENIOR EDUCATION OFFICER MR WOO HON-HANG, WHO HEADS THE UNIT.

------0-------

NEW DISTRICT OFFICER FOR TSUEN WAN

******

MR THOMAS CHOW TAT-MING WILL TAKE UP THE POST OF DISTRICT OFFICER OF TSUEN WAN TOMORROW (MONDAY).

MR CHOW, AGED 32, JOINED THE GOVERNMENT AS ADMINISTRATIVE OFFICER IN 1984 AND WAS PROMOTED I’O SENIOR ADMINISTRATIVE OFFICER LAST APRIL.

HE HAS SERVED IN THE SOCIAL WELFARE DEPARTMENT AND THE GENERAL DUTIES BRANCH, AND HAS BEEN WITH THE MONETARY AFFAIRS BRANCH FOR ABOUT THREE YEARS.

HE WAS ALSO A FORMER ASSISTANT DISTRICT OFFICER O^YUEN LONG.

HIS PREVIOUS POSTING WAS ASSISTANT PRIVATE SECRETARY TO THE GOVERNOR.

------0-------

/5 ........

SUNDAY, MAY 9, 1993

SPECIAL INSPECTION CAMPA I (IN ON FACTORIES *******

THE LABOUR DEPARTMENT WILL LAUNCH A SPECIAL INSPECTION CAMPAIGN ON FACTORIES TOMORROW (MONDAY) AS PART OF ITS CONTINUED EFFORTS TO PROMOTE SAFETY AWARENESS AMONG EMPLOYERS AND EMPLOYEES AND TO FURTHER IMPROVE WORKPLACE SAFETY IN FACTORIES.

’’THE TERRITORY-WIDE SPECIAL INSPECTION OPERATION WILL FOCUS ON FACTORIES WITH UNSATISFACTORY SAFETY PERFORMANCE RECORDS, PROBLEMATIC PLANTS OR WITH HIGH-RISK WORK PROCESSES,” DEPUTY CHIEF FACTORY INSPECTOR, MR KAN HON-SANG, SAID TODAY (SUNDAY).

DURING THE CAMPAIGN, EMPLOYERS AND EMPLOYEES WILL BE ADVISED OF THEIR RESPONSIBILITIES IN COMPLYING WITH THE SAFETY REQUIREMENTS UNDER THE LAW.

IN ADDITION, FACTORY INSPECTORS WILL CONCENTRATE THEIR ATTENTION ON HIGH-RISK PLANTS AND PROCESSES IN FACTORIES, AND ALSO SAFETY PRACTICES AND PERFORMANCE IN HOUSEKEEPING, MEANS OF ESCAPE, USE OF CHEMICALS AND FIRE HAZARDS.

"RIGOROUS ENFORCEMENT ACTIONS WILL BE TAKEN AGAINST FACTORIES WITH UNSAFE WORKING CONDITIONS WHICH ARE LIKELY TO CAUSE ACCIDENTS," HE SAID.

"PROSECUTIONS WILL BE TAKEN OUT BY OUR FACTORY INSPECTORS, WITHOUT HESITATION, AGAINST BLATANT OFFENDERS WHO REPEATEDLY TURNED A BLIND EYE TO THE REQUIRED SAFETY MEASURES," HE ADDED.

MR KAN POINTED OUT THAI SIMILAR INSPECTION CAMPAIGN HELD LAST YEAR HAI) PROVED TO BE EFFECTIVE IN IMPROVING SAFETY IN FACTORIES.

"ABOUT 800 FACTORIES HAD BEEN INSPECTED IN A SIMILAR CAMPAIGN LAST YEAR, AND 152 SUMMONSES WERE TAKEN OUT," HE SAID.

"IT IS ENCOURAGING TO NOTE THAI’ THE NUMBER OF ACCIDENTS IN THE MANUFACTURING SECTOR HAS GONE DOWN BY 17 PER CENT IN THE PAST YEAR," HE ADDED.

- 0 -

Received by PRO

O._ 13 MM 893

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

MONDAY, MAY 10, 1993

CONTENTS PAGE NO.

TENDER FOR FIRST ISSUE OF EXCHANGE FUND NOTES .......... 1

MARINE DIRECTOR RECEIVES BRIDGE ACCTDENT REPORT ........ 3

GDP FOR FOURTH QUARTER OF 1992 ON RISE ................. 3

STRATEGY MAKES SEWAGE DISPOSAL MORE EFFECTIVE .......... 7

SECRETARY FOR SECURITY RETURNS FROM VIETNAM ............ 8

POSSESSING ENDANGERED SPECIES WITHOUT LICENCE AN OFFENCE ... 8

MORE CONVENIENT SERVICES FOR FOREIGN DOMESTIC HELPERS .. 9

MUSIC OFFICE ACTIVITIES WILL CONTINUE .................. 11

INT'L MAIL CENTRE HIGHLY ESTEEMED WORLDWIDE ............ 11

PHOTO CONTEST TO MARK FIRE SERVICES 125TH ANNIVERSARY .. 13

MEDICAL ASSOCIATION JOINS STUDENT CAMPAIGN ............. 14

WATER STORAGE FIGURE ................................... 14

HONG KONG GOVERNMENT EXCHANGE FUND ..................... 15

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS

15

MONDAY, MAY 10, 1993

1

TENDER FOR FIRST ISSUE OF EXCHANGE FUND NOTES

*****

THE HONG KONG MONETARY AUTHORITY ANNOUNCED TODAY (MONDAY) THAT THE TENDER FOR THE FIRST ISSUE OF EXCHANGE FUND NOTES WILL BE HELD NEXT MONDAY (MAY 17) FOR SETTLEMENT ON TUESDAY (MAY 18).

AS ANNOUNCED IN THE BUDGET SPEECH BY THE FINANCIAL SECRETARY, THE GOVERNMENT BOND PROGRAMME WOULD BE REPLACED BY AN EXCHANGE FUND NOTE PROGRAMME.

SIMILAR TO PREVIOUS ISSUES OF GOVERNMENT BONDS, AN AMOUNT OF HK$500 MILLION TWO-YEAR EXCHANGE FUND NOTES WILL BE ON OFFER.

IN ADDITION TO THAT, ANOTHER HK$100 MILLION WILL BE HELD AS RESERVE BY THE HONG KONG MONETARY AUTHORITY FOR SUPPLY TO MARKET MAKERS IN THE SECONDARY MARKET.

THE NOTES WILL MATURE ON THURSDAY, MAY 18, 1995 AND WILL CARRY INTEREST AT THE RATE OF 3.75 PER CENT PER ANNUM PAYABLE SEMI-ANNUALLY IN ARREARS.

MEMBERS OF THE PUBLIC WHO WISH TO TENDER FOR THE NOTES MAY DO SO THROUGH ANY OF THE MARKET MAKERS OR RECOGNISED DEALERS ON THE PUBLISHED LIST WHICH CAN BE OBTAINED FROM THE HONG KONG MONETARY AUTHORITY ON 24TH FLOOR, ADMIRALTY CENTRE, TOWER II, 18 HARCOURT ROAD, HONG KONG (OR TELEPHONE 528 9110).

EACH TENDER MUST BE FOR AN AMOUNT OF HK$50,000 OR INTEGRAL MULTIPLES THEREOF.

/HONG KONG ........

MONDAY, MAY 10, 1993

2 -

HONG KONG GOVERNMENT EXCHANGE FUND NOTE PROGRAMME TENDER INFORMATION

Tender information for first issue of Exchange Fund Notes :

Issue Number 2505

Tender Date and Time Monday 17 May 1993. 9:30 a m. to 10:30 a.m.

Issue and Settlement Date Tuesday 18 May 1993

Amount on Offer HKD 500 million plus an additional HKD 100 million as reserve stock for the Monetary Authority

Maturity Two years

Maturity Date 18 May 1995

interest Hate 3.75 % per annum payable semi-annually in arrears

Interest Payment Dates 18 November 1993, 18 May 1994 18 November 1994, 18 May 1995

Tender Amount Each tender must be for an amount of HKD 50,000 or integral multiples thereof. Members of the public who wish to tender for the Notes may approach Market Makers or Recognized Dealers on the published list

Other details Please see Information Memorandum published or approach Market Makers or Recognized Dealers

Hong Kong Monetary Authority

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/3 .........

MONDAY, MAY 10, 1993

3

MARINE DIRECTOR RECEIVES BRIDGE ACCIDENT REPORT *******

IN RESPONSE TO MEDIA REPORTS AND ENQUIRIES CONCERNING AN ACCIDENT NEAR TSING Y1 NORTH BRIDGE YESTERDAY, A SPOKESMAN FOR THE MARINE DEPARTMENT THIS (MONDAY) MORNING REITERATED THAT A SINGAPORE-REGISTERED TANKER DID NOT MAKE CONTACT WITH TSING Y1 NORTH BRIDGE.

SHE ONLY LIGHTLY TOUCHED THE PROTECTIVE BREAKWATER IN FRONT OF THE BRIDGE, HE SAID.

A REPORT ON THE ACCIDENT WAS SUBMITTED TO THE DIRECTOR OF MARINE, MR ALLAN PYRKE THIS MORNING.

SHORTLY AFTER 4 PM YESTERDAY (SUNDAY) THE STERN OF THE 497-TONNE TANKER "MERLION" LIGHTLY CONTACTED THE UNDERWATER PART OF THE BREAKWATER WHILE SHE WAS BERTHING AT AN OIL DEPOT ON NORTH TSING YI.

THE ACCIDENT OCCURRED DURING A STRONG WIND AND RAINSTORM. No INJURY WAS REPORTED AND THERE WAS NO DAMAGE TO THE VESSEL NOR THE BREAKWATER.

THIS ACCIDENT CONFIRMS THE ADVANTAGE OF THE BREAKWATER WHICH If DESIGNED TO PROTECT THE BRIDGE STRUCTURE.

-----0 - - - -

GDP FOR FOURTH QUARTER OF 1992 ON RISE

******

HONG KONG’S GROSS DOMESTIC PRODUCT (GDP) GREW BY 5.1% IN REAL TERMS IN THE FOURTH QUARTER OF LAST YEAR OVER THE SAME QUARTER IN 1991, ACCORDING TO THE PRELIMINARY ESTIMATES RELEASED BY THE CENSUS AND STATISTICS DEPARTMENT TODAY (MONDAY).

AMONG THE MAIN COMPONENTS OF THE GDP ESTIMATES, GROSS DOMESTIC FIXED CAPITAL FORMATION GREW SIGNIFICANTLY BY 10.7% IN REAL TERMS IN THE FOURTH QUARTER OF 1992 OVER THE SAME QUARTER IN 1991.

WITHIN THIS COMPONENT, EXPENDITURE ON MACHINERY AND EQUIPMENT SHOWED A REMARKABLE INCREASE OF 27.5%. EXPENDITURE ON CONSTRUCTION ALSO RECOVERED TO RECORD A POSITIVE GROWTH OF 8.6% IN THE FOURTH QUARTER.

ON THE SAME BASIS OF COMPARISON, THE GROWTH RATE IN REAL TERMS FOR PRIVATE CONSUMPTION EXPENDITURE WAS 7%, WHILE THAT FOR GOVERNMENT CONSUMPTION EXPENDITURE (DEFINED IN NATIONAL ACCOUNTS TERMS) WAS 7.6%.

REGARDING EXTERNAL TRADE IN GOODS, RE-EXPORTS GREW SUBSTANTIALLY BY 25.3% IN REAL TERMS IN THE FOURTH QUARTER OF 1992 OVER THE SAME QUARTER IN 1991, WHILE DOMESTIC EXPORTS DECLINED BY 1.5%. THE CORRESPONDING GROWTH RATE FOR IMPORTS OF GOODS WAS 22.9%.

AS REGARDS EXPORTS Of- SERVICES, THE GROWTH RATE IN REAL TERMS WAS 10.4%. THE CORRESPONDING GROWTH RATE FOR IMPORTS OF SERA ICES WAS 4.2%.

/THE IMPLICIT .......

MONDAY, MAY 10, 1993

4

THE IMPLICIT PRICE DEFLATOR OF GDP, AS A BROAD MEASURE OF OVERALL INFLATION IN THE ECONOMY, ROSE BY 10.3% IN THE FOURTH QUARTER OF 1992 OVER THE SAME QUARTER IN 1991, FOLLOWING AN INCREASE OF 9.4% IN THE THIRD QUARTER.

THE MORE RAPID RATE OF CHANGE OF THE IMPLICIT PRICE DEFLATOR OF GDP IN THE FOURTH QUARTER OF 1992 WAS RELATED TO THE DIFFERENT PRICE MOVEMENTS OF THE EXTERNAL SECTOR.

IN THAT QUARTER, THE RATE OF CHANGE OF IMPORT PRICE IS MUCH SLOWER THAN THAT OF THE TOTAL EXPORT PRICE. THE GDP DEFLATOR WAS HENCE TEMPORARILY LIFTED BY THE IMPROVED TERMS OF TRADE.

THE YEAR-ON-YEAR GROWTH RATE OF OVERALL GDP FOR THE FOURTH QUARTER OF 1992 WAS LOWER THAN THE GROWTH RATES RECORDED FOR THE VARIOUS FINAL DEMAND COMPONENTS, INCLUDING PRIVATE CONSUMPTION EXPENDITURE, GOVERNMENT CONSUMPTION EXPENDITURE, GROSS DOMESTIC FIXED CAPITAL FORMATION AND TOTAL EXPORTS OF GOODS AND SERVICES.

THIS IS NOT UNEXPECTED AS THE INCREASES FOR THE VARIOUS FINAL DEMAND COMPONENTS WERE SUPPORTED BY A LARGE INCREASE IN IMPORTS APART FROM THE INCREASE IN LOCAL SUPPLY.

GDP REFLECTS HOW MUCH THE LOCAL ECONOMY HAS PRODUCED AND IS THE SUM OF ALL FINAL DEMAND COMPONENTS NET OF THEIR CORRESPONDING IMPORT CONTENTS.

THE REVISED (MAY 93) ESTIMATES SHOW THAT THE YEAR-ON-YEAR GROWTH RATES OF GDP IN REAL TERMS FOR THE FIRST TWO QUARTERS OF 1992 REMAINED UNCHANGED AT 5.2% AND 4.6% RESPECTIVELY, WHILST THAT FOR THE THIRD QUARTER OF 1992 WAS ADJUSTED SLIGHTLY DOWNWARD, FROM 5.2% TO 5.1%.

BASED ON THE LATEST GDP ESTIMATES, GDP GREW BY 5% IN REAL TERMS IN 1992 OVER 1991.

THE LATEST ESTIMATES OF QUARTERLY GDP FROM THE FIRST QUARTER OF 1991 TO THE FOURTH QUARTER OF 1992 ARE PUBLISHED IN A REPORT ENTITLED ’’QUARTERLY ESTIMATES OF GROSS DOMESTIC PRODUCT, 4TH QUARTER 1992”.

THE REPORT IS NOW ON SALE AT $2 A COPY AT THE GOVERNMENT PUBLICATIONS CENTRE, HONG KONG; AND AT THE PUBLICATIONS SALES COUNTER OF THE CENSUS AND STATIST ICS DEPARTMENT, 19TH FLOOR, WAN CHAI TOWER, 12 HARBOUR ROAD, WAN ('HAI.

ENQUIRIES MAY BE DIRECTED TO THE NATIONAL INCOME BRANCH OF THE CENSUS AND STATISTICS DEPARTMENT ON TELEPHONE 582 5077.

/TABLE 1 .......

MONDAY, MAY 10, 1993

5

Table 1 Expenditure-based GDP Estimates

first quarter of 1991 to fourth quarter of 1992

GDP at Current Market Prices GDP at Constant (1980) Market Prices

% %

Change over Change over

same period of same period of

Year/quarter HK$ Mn the preceding year HK$ Mn the preceding year

1991 640,634 14.6 273,682 4.2

1992 742,250 15.9 287,346 5.0

1991 QI * 139,381 13.4 61,690 4.2

Q2 151,401 14.2 64,369 3.8

Q3 171,323 14.4 73,211 3.7

Q4 178,529 16.1 74,412 5.0

1992 QI 163,813 17.5 64,887 5.2

Q2 174,513 15.3 67,311 4.6

Q3 197,006 15.0 76,964 5.1

Q4 206,918 15.9 78,184 5.1

/TABLE 2 .......

MONDAY, MAY 10, 1993

6

Table 2 Expenditure-based GDP Estimates

Quarterly Year-on-year Growth Rates of 1992

Expenditure % growth over same i period of the preceding year

Components of GDP At current market prices At constant (1980) market prices

01 Q2 01 01 1992 01 Q2 Q3 01 1992

Private consumption expendi ture 17.4 14.9 16.7 15.2 16.0 8.9 7.9 9.1 7.0 8.2

Government consumption expenditure 16.6 18.4 20.3 18.0 18.3 7.7 8.2 9.5 7.6 8.2

Gross domestic fixed capita] formation 14.1 18.6 19.5 14.5 16.7 7.0 11.5 11.6 10.7 10.3

Total exports of goods 23.2 23.0 20.0 17.9 20.8 20.8 21.5 18.3 16.8 19.2

Imports of goods 21.6 24.4 21.9 22.2 22.6 21.9 23.9 20.7 22.9 22.3

Exports of services 15.4 22.1 15.6 19.2 18.2 10.6 14.2 7.7 10.4 10.7

Imports of services 9.0 10.6 16.0 8.9 11.1 6.7 5.6 8.2 4.2 6.2

Total expenditure on GDP 17.5 15.3 15.0 15.9 15.9 5.2 4.6 5.1 5.1 5.0

-----0------

/7.........

MONDAY, MAY 10, 1993

7

STRATEGY MAKES SEWAGE ♦ *

DISPOSAL MORE EFFECTIVE

* * *

THE SEWYgE STRATEGY TO BE IMPLEMENTED OVER THE NEXT 10 YEARS AT A COST OF OVER $15 BILLION WOULD ENSURE THE DISPOSAL OF HONG KONG’S SEWAGE IN A MOST ENVIRONMENTALLY ACCEPTABLE AND COST-EFFECTIVE WAY.

THIS WAS STATED BY THE SECRETARY FOR WORKS, NR JAMES BLAKE, AT THE OPENING CEREMONY OF THE NORTH WEST NEW TERRITORIES SEWERAGE SCHEME AT THE HA I’SUEN PUMPING STATION IN YUEN LONG THIS (MONDAY) AFTERNOON.

HE NOTED THAT THE GOVERNMENT COMMISSIONED THE SEWAGE STRATEGY STUDY IN 1987 TO DETERMINE WATER QUALITY OBJECTIVES TO PROTECT THE COASTAL WATERS OF HONG KONG, AND TO DEVELOP A LONG-TERM STRATEGY FOR SEWAGE COLLECTION, TREATMENT AND DISPOSAL IN ORDER TO MEET THESE OBJECTIVES.

’’THE KEY COMPONENT OF THE STRATEGY WILL BE THE PROVISION OF A ROBUST SEWERAGE INFRASTRUCTURE INVOLVING THE CONSTRUCTION OF A SERIES OF DEEP TUNNELS TO COLLECT AND TRANSFER SEWAGE FROM THE URBAN AREAS OF THE TERRITORY TO TREATMENT WORKS AT STONECUTTERS ISLAND AND MOUNT DAVIS BEFORE DISPOSAL IN THE OCEAN,” HE SAID.

ON THE NORTH WEST NEW TERRITORIES SEWERAGE SCHEME WHICH COSTED $1.1 BILLION AND HAS TAKEN THREE-AND-A-HALF YEARS TO BUILD, MR BLAKE SAID IT REPRESENTED THE CULMINATION OF 10 YEARS OF CAREFUL PLANNING, DESIGN, CO-ORDINATION AND CONSTRUCTION AMONG CONSULTANTS, CONTRACTORS AND SEVERAL GOVERNMENT DEPARTMENTS.

THE SCHEME PROVIDES THE ESSENTIAL TREATMENT OF AND DISPOSAL OF EFFI .CENT FROM A GROWING POPULATION AND EXPANDING INDUSTRIAL SECTOR IN NORTH WEST NEW TERRITORIES.

THE SCHEME (’OVERS THE LARGE CATCHMENT OF TIN SHUI WAI, YUEN LONG AND NORTH TUEN MUN. THE ULTIMATE POPULATION COVERED IN THIS CATCHMENT WILL BE 600,000 PEOPLE.

MR BLAKE SAID THE SEWAGE COLLECTED WOULD BE PUMPED FROM HA I’SUEN PUMPING STATION TO SAN WAI TREATMENT WORKS.

’’AFTER TREATMENT, THE EFFLUENT WILL GRAVITATE THROUGH A NINE-KILOMETRE-LONG, THREE-METRE-DIAMETER TUNNEL UNDERNEATH THE CASTLE PEAK FIRING RANGE AND WILL BE DISPOSED OF TO DEEP WATERS AT URMSTON ROAD CHANNEL, WEST OF TUEN MUN VIA A 1.8-METRE-DIAMETER SUBMARINE OUTFALL WITH DIFFUSERS,” HE EXPLAINED.

OFFICIATING AT THE OPENING CEREMONY, CHAIRMAN OF THE ENVIRONMENTAL POLLUTION ADVISORY COMMITTEE, PROFESSOR WANG GUNGWU, SAID THE COMPLETION OF THE SCHEME SHOWED THAT THE GOVERNMENT WAS DETERMINED TO COMBAT POLLUTION, AND IN PARTICULAR, TO PROTECT THE ENDANGERED ECOLOGY Ob THE DEEP BAY AREA.

HE NOTED THAT ALTHOUGH DEEP BAY WAS ONLY ABOUT ONE KILOMETRE FROM THF MASSIVE NEW HOUSING DEVELOPMENT AT TIN SHUI WAI NEW TOWN, THE GOVERNMENT HAD DECIDED NOT TO TAKE THE SHORT ROUTE TO DEEP BAY TO DISCHARGE SEWAGE INTO ITS SHALLOW WATERS.

/’•INSTEAD, AFTER..........

MONDAY, MAY 10, 1993

8

” INSTEAD, AFTER TREATMENT \T SAN WAI EREATMENT WORKS, SEWAGE WILL BE CONVEYED SOME 15 KILOMETRES BY PIPES AND TUNNEL THROUGH A RANCH* OE HILLS EOR DISPOSAL I VIO RF I Al I \ EIA OPEN WATERS," HE SAID.

HE POINTED OPT THAT I’HE TREATED EFFLUENT DISCHARGED BY 30 DIFFUSERS IN THE SUBMARINE OUTFALL WILL MIX UI TH THE SURROUNDING SEA WATER.

"THIS WILL DILUTE THE SEWAGE BEFORE IT IS CARRIED AWAY FROM HONG KONG BY SEA CURRENT."

"IN THIS WAY, I’HE COASTAL AND MARINE ENVIRONMENT, IN THE NEIGHBOURHOOD AND ESPECIALLY AT DEEP BAY, WILL NOT BE AFFECTED," PROFESSOR WANG ADDED.

------0-------

SECRETARY FOR SECURITY RETURNS FROM VIETNAM

******

THE SECRETARY FOR SECURITY, MR ALISTAIR ASPREY, HAS RETURNED FROM VIETNAM FOLLOWING A SEVEN-DAY VISIT THERE.

"MR ASPREY HAS HAD A VERY USEFUL EXCHANGE OF VIEWS WITH THE VARIOUS MINISTRIES IN VIETNAM OVER THE VIETNAMESE MIGRANTS PROBLEM IN HONG KONG," A GOVERNMENT SPOKESMAN SAID TODAY (MONDAY).

MR ASPREY LEFT HONG KONG FOR VIETNAM ON MAY 2 AND VISITED HO (’HI MINH CITY AND HANOI .

HE MET SENIOR OFFICIALS AT BOTH THE PROVINCIAL AND CENTRAL LEVELS AND DISCUSSED WITH THEM A WIDE RANGE OF ISSUES CONCERNING VIETNAMESE MIGRANTS, INCLUDING I’HE PROGRESS ON THE REPATRIATION OF THOSE WHO HAVE BEEN SCREENED OUT AS NON-REFUGEES.

HE ALSO VISITED SOME OF THE RETURNEES SENT HOME UNDER THE ORDERLY REPATRIATION PROGRAMME AND W\S BRIEFED ON THE MEASURES TAKEN TO REINTEGRATE THEM BACK INTO THEIR COMMUNITIES.

MR ASPREY RETURNED TO IIONG KONG ON SATURDAY (MAY 8).

------0-------

POSSESSING ENDANGERED SPECIES WITHOUT LICENCE AN OFFENCE

* ♦ ♦ ♦ ♦

MEMBERS OF I’HE PUBLIC ARE TODAY (MONDAY) REMINDED THAT POSSESSING ENDANGERED SPECIES WITHOUT VALID LICENCES ISSUED BY THE AGRICULTURE AND FISHERIES DEPARTMENT IS AN OFFENCE PUNISHABLE BY HEAVY PENALTIES.

THE REMINDER WAS ISSUED BY THE DEPARTMENT’S SENIOR CONSERVATION OFFICER, MR (HEUNG MAN-KWONG, AFTER CUSTOMS OFFICERS SEIZED AN ORANG UTAN FROM A SAILOR ON BOARD A CARGO SHIP IN TRANSIT THROUGH HONG KONG ON FRIDAY.

/•'ORANG UTANS

MONDAY, MAY 10, 1993

9

"ORANG UTANS ARE ENDANGERED SPECIES PROTECTED UNDER THE ANIMALS AND PLANTS (PROTECTION OF ENDANGERED SPECIES) ORDINANCE IN HONG KONG," MR CHEUNG SAID.

ANYONE FOUND GUILTY OF ILLEGALLY IMPORTING, EXPORTING OR POSSESSING THE ANIMALS WILL BE LIABLE ON CONVICTION TO A MAXIMUM FINE OF $25,000 AND IN CASE OF A REPEATED OFFENCE A FINE OF $50,000 PLUS SIX MONTHS’ IMPRISONMENT.

MR CHEUNG ALSO CALLED ON LOCAL RESIDENTS OR SEAMEN NOT TO BRING IN OR OUT OF HONG KONG ANY ENDANGERED SPECIES UNLESS ALL IMPORT AND EXPORT REQUIREMENTS ARE COMPLIED WITH.

AT PRESENT, OVER 9,000 SPECIES OF ANIMALS AND PLANTS, WHETHER ALIVE, DEAD, STUFFED SPECIMEN, PARTS OR DERIVATIVES, ARE LISTED UNDER THE ORDINANCE.

THE SEIZED ANIMAL IS IN GOOD HEALTH AND BEING TAKEN CARE OF BY THE DEPARTMENT’S VETERINARY STAFF.

--------0-----------

MORE CONVENIENT SERVICES * i *

FOR FOREIGN DOMESTIC HELPERS * * * *

FOREIGN DOMESTIC HELPERS AND THEIR EMPLOYERS ARE TO RECEIVE MORE CONVENIENT CONSULTATION AND CONCI LI AT ION SERVICES FROM THE LABOUR DEPARTMENT NEXT MONTH WHEN SUCH SERVICES WILL BE HANDLED BY THE DEPARTMENT’S LABOUR RELATIONS SERVICE (LRS).

AT PRESENT, THEY HAVE TO VISIT THE FOREIGN DOMESTIC HELPERS SERVICE (FDHS) ON THE 12TH FLOOR, HARBOUR BUILDING IN CENTRAL, TO SEEK FREE CONSULTATION AND CONCILIATION ASSISTANCE.

"STARTING FROM JUNE, THEY CAN OBTAIN SIMILAR SERVICES FROM THE DEPARTMENT’S 11 LRS OFFICES THROUGHOUT THE TERRITORY," A SPOKESMAN FOR THE DEPARTMENT SAID TODAY (MONDAY).

THE FDHS WILL CEASE OPERATION ON JUNE 1.

THE SPOKESMAN EXPLAINED THAT IT IS THE DEPARTMENT’S CONTINUED EFFORT IN EXPLORING WAYS TO PROVIDE CONVENIENT AND EFFICIENT SERVICE TO THE PUBLIC.

HE SAID MORE AND MORE DOMESTIC HELPERS ARE NOW WORKING IN HONG KONG AND THAT THEY ENJOY THE SAME STATUTORY BENEFITS AS THEIR LOCAL COUNTERPARTS.

"BY ADOPTING THE NEW ARRANGEMENT, DOMESTIC HELPERS AS WELL AS THEIR EMPLOYERS, ESPECIALLY THOSE LIVING IN REMOTE AREAS, WILL SAVE TIME AND EFFORTS IN SEEKING HELP.

"THEY CAN SIMPLY VISIT THE LRS BRANCH OFFICE THAT IS NEAREST TO THEIR HOME," HE ADDED.

THE ADDRESSES OF THE BRANCH OFFICES ARE:

/HONG KONG .......

10

MONDAY, MAY 10, 1993

HONG KONG EAST EASTERN LAW COURT BUILDING 12TH ELOOR 29 TAI ON STREET SAItWAN HO, HONG KONG

HONG KONG WEST WESTERN MAGISTRACY BUILDING THIRD ELOOR 2A POKFULAM ROAD HONG KONG

KOWLOON EAST SAN PO KONG GOVERNMENT OFFICES 692 PRINCE EDWARD ROAD SAN PO KONG, KOWLOON

KOWLOON WEST LAI HO HOUSE, FIRST LEVEL 125, 127 AND 129-134 LAI KOK ESTATE (HEUNG SHA WAN, KOWLOON

KOWLOON SOUTH PARK-IN COMMERCIAL CENTRE ROOM 1814 56 DUNDAS STREET MONG KOK, KOWLOON

KWUN TONG KOWLOON EAST GOVERNMENT OFFICES SIXTH FLOOR 12 LEI YUE MUN ROAD KWUN TONG, KOWLOON

TSUEN WAN TSUEN WAN GOVERNMENT OFFICES FIFTH FLOOR 38 SAI LAU KOK ROAD TSUEN WAN, NEW TERRITORIES

KWAI CHUNG KWAI HING GOVERNMENT OFFICES SIXTH FLOOR 166-174 HING FONG ROAD KWAI CHUNG, NEW TERRITORIES

TUEN MUN TUEN MUN GOVERNMENT OFFICES FIRST FLOOR 1 TUEN HI ROAD TUEN MUN, NEW TERRITORIES

TAI PO TAI 1’0 GOVERNMENT OFFICES BUILDING THIRD I-LOOR, TING KOK ROAD TAI PO, NEW TERRITORIES

SHA TIN HILTON PLAZA LEVEL 3 SHOPS 8 AND 20 3-9 SHA TIN CENTRE STREET SHA TIN, NEW TERRITORIES

ENQUIRIES ABOUT FOREIGN DOMESTIC HELPERS CAN BE MADE OF TH' LABOUR DEPARTMENT’S GENERAL ENQUIRY TELEPHONE SERVICE ON 717 1771.

--.-0----

/Il ........

MONDAY, MAY 10, 1993

- 11 -

MUSIC OFFICE ACTIVITIES WILL CONTINUE

*****

A SPOKESMAN FOR THE RECREATION AND CULTURE BRANCH TODAY (MONDAY) ASSURED THE PUBLIC THAT ACTIVITIES OF THE MUSIC OFFICE WOULD CONTINUE AND THERE WAS NO INTENTION TO REDUCE THEM.

HE ADDED THAT A PROPOSAL IN THE ARTS POLICY REVIEW CONSULTATION REPORT THAT THE MANAGEMENT ROLE OF SUCH ACTIVITIES BE TRANSFERRED TO THE NON-GOVERNMENT SECTOR, INCLUDING THE ACADEMY FOR PERFORMING ARTS (APA), WAS AIMED AT STREAMLINING EXISTING ADM INISTRATIVE ARRANGEMENTS.

HIS COMMENTS FOLLOWED A MEETING BETWEEN THE MUSIC OFFICE AND THE CULTURE, RECREATION AND SPORTS COMMITTEE OF’ THE TUEN MUN DISTRICT BOARD.

"SINCE THE ESTABLISHMENT OF THE MUSIC OFFICE LN 1977, THE MUSIC SCENE IN HONG KONG HAS MUCH DEVELOPED.

"THE ROLE OF THE GOVERNMENT IN MUSIC TRAINING AS A CATALYST HAS BEEN FULFILLED.

"THE NON-GOVERNMENT SECTOR WOULD BE MORE EFFECTIVE, CREATIVE AND FLEXIBLE IN CONTINUING TO CARRY ON THE WORK AT PRESENT DONE BY THE MUSIC OFFICE," THE SPOKESMAN SAID.

THE APA IS REFERRED TO AS ONE POSSIBILITY IN TAKING OVER THE WORK OF THE MUSIC OFFICE AS IT IS A TERTIARY EDUCATION INSTITUTION PROVIDING TRAINING IN PERFORMING ARTS.

IT ALSO CURRENTLY RUNS JUNIOR MUSIC PROGRAMMES FOR ABOUT 500 STUDENTS AND HAS THE NECESSARY EXPERTISE AND EXPERIENCE TO PROVIDE MUSIC TRAINING OF A VERY HIGH STANDARD TO EXISTING TRAINEES.

THE SPOKESMAN SAID THE APA WOULD NOT BE EXPECTED TO FUNCTION ON ITS EXISTING PREMISES IN WAN CHAI ALONE AND IS LIKELY TO TAKE OVER THE EXISTING MUSIC CENTRES OF THE MUSIC OFFICE IN ITS VARIOUS LOCATIONS BECAUSE THEY SERVE A USEFUL NEED IN MUSIC PROMOTION.

HE SAID: "THE GOVERNMENT WILL MAINTAIN THE AIM TO PROVIDE MUSIC TRAINING TO YOUNG PEOPLE AT \ REASONABLE AND AFFORDABLE COST."

--------0-----------

INT’L MAIL CENTRE HIGHLY ESTEEMED WORLDWIDE *****

HONG KONG HAS BECOME A KEY PLAYER IN THE GLOBAL THEATRE OF POSTAL TRAFFIC, THANKS MUCH TO THE WORK OF THE POST OFFICE.

AND THE OFFICE’S INTERNATIONAL MAIL CENTRE (IMC) HAS A BIG PART TO PLAY IN REALISING THE WORLD AS ONE GLOBAL COMMUNITY.

OPERATED SINCE 1980, THE IMC AT HUNG HOM HAS GROWN FROM STRENGTH TO STRENGTH. TO DATE, IT EXCHANGES MAIL WITH ABOUT 200 OVERSEAS POSTAL ADMINISTRATIONS BY AIR, SEA AND RAIL.

/IT HANDLES .......

MONDAY, MAY 10, 1993

12

IT HANDLES MORE THAN ONE MILLION MAIL ITEMS EVERY DAY.

AMONG ALL POSTAL SERVICES, SPEEDPOST IS THE PREMIUM AND MOS1 RAPIDLY EXPANDING ONE.

LAST YEAR, HONG KONG WAS THE WORLD’S SECOND LARGEST HANDLER OF INWARD SPEEDPOST ITEMS, ONIA AFTER THE UNITED STATES.

SENIOR CONTROLLER OF POSTS (INTERNATIONAL MAIL CENTRE), MR PHILIP YAM CHUNG-YIU, SAID THE CENTRE HANDLED A TOTAL OF FOUR MILLION SPEEDPOST ITEMS LAST YEAR, REPRESENTING AN INCREASE OF 14 PER CENT OVER 1991.

CHINA IS HONG KONG’S LARGEST PARTNER IN THE EXCHANGE OF SPEEDPOST, ACCOUNTING FOR ABOUT ONE-THIRD OF THE TOTAL VOLUME, FOLLOWED BY JAPAN, THE UNITED STATES AND TAIWAN.

HE SAID THESE FOUR COUNTRIES REPRESENTED OVER 80 PER CENT OF THE TOTAL INCOMING SPEEDPOST ITEMS AND OVER 50 PER CENT OF ALL OUTGOING SPEEDPOST TRAFFIC LAST YEAR.

"THE HUGE VOLUME OF SPEEDPOST HANDLED REFLECTS THE VITAL ROLE OF THE IMC IN OUR INTERNATIONAL TRADE AND THE CLOSE TRADING RELATIONSHIP BETWEEN HONG KONG AND CHINA," MR YAM ADDED.

THE IMC SENT OUT ABOUT 300,000 ITEMS OF AIRMAIL OR A TOTAL OF 44 TONNES DAILY LAST YEAR.

THE UNITED STATES - THE MAJOR DESTINATION OF EXCHANGE, ACCOUNTS FOR ABOUT 20 PER CENT OF THE TOTAL VOLUME. THIS IS FOLLOWED BY THE UNITED KINGDOM, CHINA AND JAPAN.

THIS MEANS THAT ON AVERAGE ONE IN EVERY 20 PERSONS IN HONG KONG SENT OUT AN AIRMAIL ITEM EACH DAY LAST YEAR. AND THE LOAD WAS: 2.6 KILOGRAMS OF AIRMAIL ITEMS FOR EVERY PERSON LAST YEAR.

"THESE FIGURES ARE ENTIRELY OUT OF PROPORTION TO THE POPULATION AND THE SIZE OF HONG KONG."

AND ONLY WITH AN ACE SERVICE COULD THE KING-SIZED POSTAL DEMAND OF THE PEOPLE HERE BE MET, HE SAID.

THE IMC ALSO DEALS WITH A DAILY AVERAGE OF ABOUT 60,000 SURFACE MAIL ITEMS. CHINA IS THE NUMBER ONE PARTNER OF EXCHANGE.

MR YAM SAID THE ADVANCED LEVEL OF TECHNOLOGY AND A HIGH DEGREE OF AUTOMATION HAD ENABLED THE IMC TO COPF WITH SUCH A LARGE VOLUME OF MAIL ITEMS EACH DAY.

MORE, A MECHANISED LETTER SORTING SYSTEM (MLSS) WAS INSTALLED IN 1990.

THE MLSS COMPRISED THREE OPTICAL CHARACTER RECOGNITIONS (OCR), TWO VIDEO CODING MACHINES (VCM) AND 28 VIDEO CODING DESKS (VCD). THE OCR AND THE VCM TACKLES AN AVERAGE OF 20,000 AND 1,500 MAIL ITEMS AN HOUR RESPECTIVELY.

/’’THE MLSS ..........

MONDAY, MAY 10, 1993

13

’’THE MLSS IS ONE OF THE ADVANCED TECHNOLOGIES OPERATING IN TH! WORLD’S MAJOR POSTAL ADMINISTRATIONS. THE POST OPT ICE IN HONG KONG IS PROUD TO BE ONE OF THEM.”

TO IMPROVE SERVICE, THE ]MC HAS GONE AN EXTRA MILE IN ITS EFFORTS TO UPGRADE EQUIPMENT.

”TO MEET CONTINUING GROWTH IN TRAFFIC AND KEEP THE EXISTING HIGH STANDARD OF SERVICE, THE IMC IS PUSHING AHEAD WITH A GREATER DEGREE OF MECHANISATION AND AUTOMATION," HE ADDED.

PLANS ARE AFOOT TO INSTALL A PACKET SORTING MACHINE TO SORT LARGE MAIL ITEMS SUCH AS MAGAZINES.

MR YAM SAID THE IMC ALSO SERVED AS A CENTRE OF VISIT FOR OVERSEAS POSTAL ADMINISTRATIONS. ITS VITAL INTERNATIONAL ROLE AND ADVANCED TECHNOLOGY ATTRACTS A LARGE NUMBER OF POSTAL ADMINISTRATORS FROM ALL OVER THE WORLD EVERY YEAR.

TO ENHANCE THE UNDERSTANDING OF THE DISTRICT BOARDS ON ITS POSTAL OPERATION, THE POST OFFICE HAS STARTED ORGANISING A SERIES OF VISIT FOR EACH DISTRICT BOARD TO TAKE TURN TO VISIT THE IMC FROM MARCH.

------o ------

PHOTO CONTEST TO MARK FIRE SERVICES 125TH ANNIVERSARY * * * * *

THE FIRE SERVICES DEPARTMENT IS ORGANISING A PHOTOGRAPHIC CONTEST AS PART OF A PROGRAMME TO CELEBRATE ITS 125TH ANNIVERSARY THIS YEAR.

THE CONTEST IS DIVIDED INTO "OPEN" AND "SERVING AND RETIRED FIRE SERVICES MEMBERS" GROUPS.

MEMBERS OF THE PUBLIC, INCLUDING PRESS PHOTOGRAPHERS, ARE WELCOME TO TAKE PART. WINNERS WILL RECEIVE CASH PRIZES RANGING FROM $1,000 TO $5,000.

PHOTOGRAPHS MAY SHOW THE WORK OF THE FIRE SERVICES STAFF, SUCH AS FIRE-FIGHTING, RESCUE OPERATION AND TREATMENT OF CASUALTIES.

TO FACILITATE PARTICIPANTS, THE FOLLOWING EIRE STATIONS OR AMBULANCE DEPOT WILL BE OPEN FOR PHOTOGRAPHY.

DATE/TIME

LOCATION

MAY 12 (WEDNESDAY) 10 AM TO NOON

MAY 23 (SUNDAY) 10 AM TO NOON

EIRE SERVICES TRAINING SCHOOL, PAT HEUNG, NEW TERRITORIES (PARTICIPANTS MAY MAKE USE OF A VAN LEAVING TSIM SHA TSUI FIRE STATION AT 333 CANTON ROAD AT H.30 AM).

TSIM SHA TSUI FIRE STATION.

/JUNE 13 .......

MONDAY, MAY 10, 1993

14

JUNE 13 (SUNDAY)

10 AM TO NOON

SHA TIN EIRE STATION AND AMBULANCE

DEPOT, 26 YUEN WO ROAD, NEW TERRITORIES.

ENTRANTS ARE REQUIRED TO USE KODAK FILM AND PAPER. ALL ENTRIES, WITH A SIZE OF 8R (OR EIGHT x 10 INCHES), SHOULD BE SENT TO THE DEPARTMENT ON OR BEFORE JUNE 30.

-----0------

MEDICAL ASSOCIATION JOINS STUDENT CAMPAIGN * * * * *

THE EDUCATION DEPARTMENT’S CAMPAIGN TO ENCOURAGE STUDENTS TO ADOPT A POSITIVE ATTITUDE TOWARDS LIFE HAS RECEIVED SUPPORT FROM THE HONG KONG MEDICAL ASSOCIATION.

THE LATEST SUPPORT WILL BE IN THE FORM OF A SERIES OF TALKS ON MENTAL HEALTH AND STRESS MANAGEMENT TO BE GIVEN TO SECONDARY SCHOOL STUDENTS BY MEMBERS OF THE ASSOCIATION.

ATTENTION NEWS EDITORS:

DETAILS OF THE PROGRAMME WILL BE ANNOUNCED AT A NEWS CONFERENCE TO BE HELD TOMORROW (TUESDAY).

PRESENT WILL BE THE DIRECTOR OF EDUCATION, MR DOMINIC S W WONG; THE PRESIDENT OF HONG KONG MEDICAL ASSOCIATION, DR DAVID FANG; ITS VICE-PRESIDENT, DR K H LEE; AND ITS MEMBERS AND PSYCHIATRISTS, DR PETER TSOI AND DR IP YAN-MING.

YOUR REPRESENTATIVES ARE INVITED TO ATTEND THE CONFERENCE WHICH WILL START AT 2 PM IN THE 14TH FLOOR CONFERENCE ROOM, EDUCATION DEPARTMENT HEADQUARTERS, WU CHUNG HOUSE, 213 QUEEN’S ROAD EAST, WAN CHAI .

------0-------

WATER STORAGE FIGURE * * *

STORAGE IN HONG KONG’S RESERVOIRS AT 9 AM TODAY (MONDAY) STOOD AT 53.6 PER CENT OF CAPACITY OR 314.367 MILLION CUBIC METRES.

THIS TIME LAST YEAR THE RESERVOIRS CONTAINED 305.489 MILLION CUBIC METRES OF WATER, REPRESENT I NG 52.1 PER CENT OF CAPACITY.

------0 ------

/15 ........

MONDAY, MAY 10, 1993

- 15

HONG KONG GOVERNMENT EXCHANGE FUND * * *

TENDERS TO BE HELD IN THE WEEK BEGINNING 17 MAY 1993 -

TENDER DATE 17 MAY 93

PAPER ON OFFER EF NOTES

ISSUE NUMBER 2505

ISSUE DATE 18 MAY 93

MATURITY DATE 18 MAY 95

TENOR 2 YEARS

AMOUNT ON OFFER HKD500 +100 MN

COUPON 3.75 PCT

--------o-----------

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ***** $ MILLION

OPENING BALANCE IN THE ACCOUNT 1,250

REVERSAL OF LAF +900

BALANCE AFTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -300

CLOSING BALANCE IN THE ACCOUNT 1,850

LAF RATE 2.00 BID/4.00 OFFER TWI 111.7 *+0.0* 10.5.93

/HONG KONG ........

MONDAY, MAY 10, 1993

16

HONG KONG GOVERNMENT EXCHANGE FEND

EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.53 PCT 12 MONTHS 2405 5.50 102.41 3. 11

1 MONTH 2.68 PCT 15 MONTHS 2408 4.375 101.41 3.26

3 MONTHS 2.79 PCT 18 MONTHS 24 1 I 4.625 101.78 3.44

6 MONTHS 2.92 PCT 21 MONTHS 2502 4.75 101.89 3.67

12 MONTHS 3.11 PCT

TOTAL TURNOVER OF BILLS AND BONDS - 5,650MN

CLOSED 10 MAY 1993

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

TUESDAY, MAY 11, 1993

CONTENTS PAGE NO.

STATEMENT ON GOVERNOR'S MEETING WITH LEGCO SUB-COMMITTEE ON NATIONALITY .................................................... i

SINO-BRITISH LAND COMMISSION ................................. 2

WITNESS PROTECTION INQUIRY GRANTED EXTENSION OF TIME LIMIT .. 2

THREE HK CITIZENS BACK FROM THAILAND TO SERVE SENTENCE ....... 3

COMMITTEE SET UP TO ADVISE ON TEACHER EDUCATION AND QUALIFICATIONS ................................................. 4

VOLUME AND PRICE MOVEMENTS OF EXTERNAL TRADE IN FEBRUARY .... 6

TERRITORY-WIDE CRACKDOWN ON MISUSE OF MARKED OIL ............. 11

GRAMMAR-TO-PREVOCATIONAL SCHOOL BRIDGING COURSE .............. 11

CLOSURE OF SAN PO KONG ILLEGAL STRUCTURE SOUGHT .............. 12

NEW TEXTILES EXPORT LICENCE FORM 5 INTRODUCED ................ 12

AUCTION OF LUCKY CAR REGISTRATION MARKS ...................... 13

MFN MOTION DEBATE ON LEGCO AGENDA ............................ 14

HONG KONG GOVERNMENT EXCHANGE FUND TENDER RESULTS ............ 15

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPFRATIONS ..

16

TUESDAY, MAY 11, 1993

STATEMENT ON GOVERNOR’S MEETING WITH LEGCO SUB-COMMITTEE ON NATIONALITY *****

FOLLOWING THE GOVERNOR’S MEETING WITH THE LEGISLATIVE COUNCIL SUB-COMMITTEE ON NATIONALITY THIS (TUESDAY) AFTERNOON, A GOVERNMENT SPOKESMAN SAID: "THE GOVERNOR HAD A 45-MINUTE MEETING WITH MEMBERS OF THE LEGCO SUB-COMMITTEE ON NATIONALITY THIS AFTERNOON."

"DURING THE MEETING, THE GOVERNOR STRESSED THAT HE AND THE HONG KONG GOVERNMENT HAVE SUPPORTED, AND CONTINUE TO SUPPORT, THE CASE WHICH THE SUB-COMMITTEE HAD PUT ON THE QUESTION OF BRITISH NATIONALITY FOR MEMBERS OF ETHNIC MINORITIES.

"THE HONG KONG GOVERNMENT HAS AGREED TO SEE IF THERE ARE OTHER WAYS IN WHICH GREATER REASSURANCE CAN BE PROVIDED TO MEMBERS OF ETHNIC MINORITIES IN HONG KONG THAN THAT OFFERED IN BARONESS YOUNG’S STATEMENT TO THE HOUSE OF LORDS IN MARCH 1985.

"THE GOVERNOR EMPHASISED THAT THE HONG KONG GOVERNMENT HAS ALREADY MADE VERY CLEAR TO THE BRITISH GOVERNMENT THE STRENGTH OF FEELING WITHIN THE LEGISLATIVE COUNCIL ON THIS ISSUE; THAT CONCERN WILL OF COURSE BE UNDERLINED BY MEMBERS OF THE SUB-COMMITTEE THEMSELVES WHEN THEY VISIT LONDON SHORTLY.

"ON THE QUESTION OF A PHASED PROGRAMME FOR THE REGISTRATION AND ISSUING OF BN(O) PASSPORTS, THE GOVERNOR SAID HE RECOGNISED THE CONCERN OF MEMBERS OF LEGCO THAT THEY HAD NOT BEEN CONSULTED EARLIER.

"HE STILL BELIEVED STRONGLY THAT A PHASED PROGRAMME WAS NECESSARY IN ORDER TO ENSURE THAT ALL THOSE WHO WISHED TO CLAIM AND RECEIVE A BN(O) PASSPORT BEFORE JUNE 30, 1997 WERE ABLE TO DO SO.

"HOWEVER, HE REALISED THAT LEGCO MEMBERS’ VIEWS ON THE PHASED PROGRAMME MIGHT BE AFFECTED BY WHETHER OR NOT INDIVIDUALS WHO HAD MISSED THE CUT-OFF DATE IN THE PROGRAMME, DUE TO ’SPECIAL CIRCUMSTANCES’, WOULD HAVE A MEANS OF APPEAL.

"THE GOVERNOR, THEREFORE, PROPOSED THAT THERE SHOULD BE AN INDEPENDENT APPEAL PANEL, ON WHICH THERE COULD BE A MAJORITY OF LEGCO MEMBERS.

"THE GOVERNOR WAS CONTENT FOR LEGCO MEMBERS TO NOMINATE THEIR OWN REPRESENTATIVES TO THIS PANEL.

"THE PANEL WOULD HAVE THE FINAL RESPONSIBILITY FOR ADJUDICATING ON THE NATURE OF THE 'SPECIAL CIRCUMSTANCES’ IN INDIVIDUAL CASES."

- - 0 -

TUESDAY, MAY 11, 1993

2

SINO-BRITISH LAND COMMISSION *****

THE TWENTY-SEVENTH MEETING OF THE SINO-BRITISH LAND COMMISSION WAS HELD ON 7 MAY 1993 AND 11 MAY 1993. THE TWO SIDES AGREED THAT THE LAND DISPOSAL PROGRAMME FOR THE 1993/94 FINANCIAL YEAR SHOULD AMOUNT TO 127.80 HECTARES. THE PROGRAMME COMPRISES 23.37 HECTARES FOR COMMERCIAL, RESIDENTIAL AND INDUSTRIAL DEVELOPMENT; 27.63 HECTARES FOR HOME OWNERSHIP SCHEME, SANDWICH CLASS HOUSING SCHEME; PRIVATE SECTOR PARTICIPATION SCHEME, HONG KONG HOUSING SOCIETY DEVELOPMENT AND VILLAGE HOUSING; 14.70 HECTARES FOR PUBLIC UTILITIES, EDUCATIONAL, WELFARE, RELIGIOUS, RECREATIONAL AND OTHER USES; AND 62.10 HECTARES AS SPECIAL REQUIREMENTS INCLUDING 45.59 HECTARES FOR THE BLACK POINT POWER STATION.

THE TWO SIDES ALSO AGREED TO SET ASIDE 5 HECTARES OF LAND IN A SUPPLEMENTARY LAND DISPOSAL PROGRAMME. THE LAND COMMISSION WILL DECIDE DURING THE YEAR ON THE AMOUNT OF LAND TO BE RELEASED FROM THE SUPPLEMENTARY PROGRAMME IN THE LIGHT OF DEMAND.

--------0------------

WITNESS PROTECTION INQUIRY GRANTED EXTENSION OF TIME LIMIT *****

THE GOVERNOR IN COUNCIL HAS TODAY (TUESDAY) GRANTED THE COMMISSION OF INQUIRY INTO WITNESS PROTECTION AN EXTENSION OF THE TIME LIMIT BY 10 WEEKS TO ENABLE INVESTIGATIONS ON THE SECOND PART OF THE INQUIRY CONCERNING WITNESS PROTECTION ARRANGEMENTS TO BE COMPLETED.

A GOVERNMENT SPOKESMAN SAID ACCORDING TO THE ORIGINAL TIMETABLE, AS APPROVED BY THE GOVERNOR IN COUNCIL, THE HONOURABLE MR JUSTICE MICHAEL KEMPSTER IS REQUIRED TO SUBMIT A REPORT TO THE GOVERNOR BY TOMORROW (WEDNESDAY).

THE ORIGINAL TIMETABLE WAS A ROUGH ESTIMATE OF THE TIME IT WOULD TAKE FOR THE INVESTIGATIONS TO BE COMPLETED.

SINCE THE TIME LIMIT FOR THE FIRST PART OF THE INQUIRY HAS BEEN EXTENDED BY FIVE WEEKS, COMMENCEMENT OF THE SECOND PART WAS DEFERRED ACCORDINGLY, THE SPOKESMAN SAID.

"ALSO, THE GREAT MANY DOCUMENTS TO BE STUDIED IN CONNECTION WITH THE SECOND PART AND THE NEED TO LIAISE CLOSELY WITH A LARGE NUMBER OF ORGANISATIONS BOTH IN HONG KONG AND OVERSEAS HAVE MADE IT NECESSARY FOR THE COMMISSIONER TO BE GIVEN MORE TIME TO CONSIDER FULLY ALL THE MATTERS BEFORE HIM," HE SAID.

"THE PUBLIC WOULD EXPECT A COMPREHENSIVE AND THOROUGH INVESTIGATION," THE SPOKESMAN ADDED.

/MR JUSTICE .......

TUESDAY, MAY 11, 1993

- 3

MR JUSTICE KEMPSTER WAS APPOINTED IN .JANUARY THIS YEAR TO CONDUCT AN INQUIRY INTO THE CIRCUMSTANCES LEADING TO THE DECISION BY THE PROSECUTION TO OFFER NO EVIDENCE IN A MURDER TRIAL.

HIS SPECIFIC TERMS OF REFERENCE ARE:

(A) TO INQUIRE INTO THE CIRCUMSTANCES LEADING TO THE DECISION TO OFFER NO EVIDENCE IN THE CASE OF R V NGUYEN VAN-BAN (HIGH COURT CRIMINAL CASE NO. 291 OF 1991) AND IN PARTICULAR -

(I) TO INQUIRE WH\ , INSTEAD OF DECIDING TO OFFER NO EVIDENCE, THE PROSECUTION DID NOT ENTER A NOLLE PROSEQUI OR DID NOT MAKE FURTHER ATTEMPTS TO ADJOURN THE CASE;

(II) TO INQUIRE INTO THE ADEQUACY OR OTHERWISE OF THE WITNESS PROTECTION ARRANGEMENTS MADE OR OFFERED TO THE WITNESS BUI VAN-XUAN AND, IF APPROPRIATE, TO DESCRIBE OTHER ARRANGEMENTS THAT MIGHT REASONABLY HAVE BEEN MADE OR OFFERED TO HIM; AND

(B) TO INQUIRE INTO THE ADEQUACY OR OTHERWISE OF ..EXISTING ARRANGEMENTS FOR THE PROTECTION OF PROSECUTION WITNESSES AND, IF APPROPRIATE, TO MAKE RECOMMENDATIONS AS TO HOW SUCH ARRANGEMENTS SHOULD BE IMPROVED.

-----0------

THREE HK CITIZENS BACK FROM THAILAND TO SERVE SENTENCE* ♦ ♦ ♦ ♦ ♦

THREE PRISONERS, WHO ARE HONG KONG CITIZENS, HAVE BEEN TRANSFERRED FROM THAILAND BACK TO HONG KONG TONIGHT (TUESDAY) TO SERVE THE REMAINDER OF THEIR SENTENCES.

THE TRANSFER WAS CONDUCTED BY CORRECT IONAL SERVICES DEPARTMENT OFFICERS.

ANNOUNCING THIS TONIGHT, A GOVERNMENT SPOKESMAN SAID THIS WAS THE FIRST TIME HONG KONG CITIZENS SERVING SENTENCES OF IMPRISONMENT IN FOREIGN COUNTRIES WERE RETURNED TO HONG KONG TO SERVE THE REMAINDER OF THEIR SENTENCES.

THE SPOKESMAN EXPLAINED THAT THE TRANSFER WAS CONDUCTED IN ACCORDANCE WITH A BILATERAL AGREEMENT BETWEEN THE BRITISH AND THE THAI GOVERNMENTS (WHICH HAS BEEN EXTENDED TO HONG KONG) ON THE TRANSFER OF OFFENDERS AND ON CO-OPERATION IN THE ENFORCEMENT OF PENAL SENTENCES.

/THE AIM

TUESDAY, MAY 11, 1993

4

THE AIM OF THE AGREEMENT IS TO FACILITATE THF SUCCESSFUL REHABILITATION AND REINTEGRATION OF OFFENDERS INTO SOCIETY BY GIVING THEM THE OPPORTUNITY TO SERVE THEIR SENTENCES WITHIN THEIR OWN SOCIETY.

AT PRESENT, 51 HONG KONG CITIZENS SERVING THEIR SENTENCES OF IMPRISONMENT IN THAILAND HAVE INDICATED THEY WISH TO TRANSFER BACK TO HONG KONG.

- 0 ------------

COMMITTEE SET UP TO ADVISE ON TEACHER EDUCATION AND QUALIFICATIONS ******

THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, TODAY (TUESDAY) ANNOUNCED THE GOVERNOR’S APPOINTMENTS TO THE ADVISORY COMMITTEE ON TEACHER EDUCATION AND QUALIFICATIONS (ACTEQ), WHICH IS BEING SET UP ON THE ADVICE OF THE EDUCATION COMMISSION IN ITS REPORT NO. 5 PUBLISHED LAST YEAR.

THE CHAIRMAN OF ACTEQ WILL BE PROFESSOR FELICE LI EH MAK, A MEMBER OF THE EXECUTIVE COUNCIL AND PROFESSOR OF PSYCHIATRY OF THE UNIVERSITY OF HONG KONG.

AS CHAIRMAN OF THE COMMITTEE, SHE WILL BE AN EX-OFFICIO MEMBER OF THE EDUCATION COMMISSION.

ACTEQ WILL COMPRISE 14 OTHER MEMBERS APPOINTED IN THEIR PERSONAL CAPACITIES AND FIVE EX-OFFICIO MEMBERS.

THOSE APPOINTED IN THEIR PERSONAL CAPACITIES ARE:

DR CHENG KAI-MING, SENIOR LECTURER, DEPARTMENT OF CURRICULUM STUDIES, THE UNIVERSITY OF HONG KONG;

* PROFESSOR MAURICE CRAFT, DEAN, SCHOOL OF EDUCATION, THE OPEN LEARNING INSTITUTE;

* DR FRANK FU, HEAD AND READER, DEPARTMENT OF PHYSICAL

EDUCATION, HONG KONG BAPTIST COLLEGE;

* DR LESLIE LO, DEAN, FACULTY OF EDUCATION, THE CHINESE

UNIVERSITY OF HONG KONG;

* MS BOW SU I-MAY, PRINCIPAL, HONG KONG SCHOOL FOR THE DEAF;

* MR CHAN PUI-TIN, TEACHER, WAN YAN COLLEGE;

* MISS PAULINE (’HOW, TEACHER, WELLINGTON ( OLLFGE;

* MS MAGGIE KOONG MAY-KAY, HEAD. VICTORIA KINDERGARTEN;

/* MS TANG ........

TUESDAY, MAY 11, 1993

5 -

* MS TANG MEI-SIN, HEAD, BAPTIST LUI MING CHOI PM PRIMARY SCHOOL;

* DR WONG HIN-WAH, LECTURER, DEPARTMENT OF CURRICULUM AND INSTRUCTION, THE CHINESE UNIVERSITY OF HONG KONG;

* MRS DIANE WONG IP WAI-YING, PRINCIPAL, ST PAUL’S SECONDARY SCHOOL;

* MR YANG YU-WAI, PRINCIPAL EDUCATION OFFICER, THE VOCATIONAL TRAINING COUNCIL;

* MR IRVING Y Y KOO, CHIEF EXECUTIVE, JARDINE SYSTEM

PRODUCTS; AND

* MR MICHAEL TIEN PUK-SUN, MANAGING DIRECTOR OF G2000

(APPAREL) LTD.

THE FIVE EX-OFFICIO MEMBERS ARE:

* THE DEPUTY SECRETARY FOR EDUCATION AND MANPOWER;

* THE SECRETARY FOR THE CIVIL SERVICE OR HER REPRESENTATIVE;

* THE DIRECTOR OF EDUCATION OR HIS REPRESENTATIVE;

* THE SECRETARY-GENERAL OF THE UNIVERSITY AND POLYTECHNIC GRANTS COMMITTEE; AND

* THE EXECUTIVE DIRECTOR OF THE HONG KONG COUNCIL FOR ACADEMIC ACCREDITATION.

IT IS INTENDED THAT THE DIRECTOR OF THE HONG KONG INSTITUTE OF EDUCATION WILL BECOME THE SIXTH EX-OFFICIO MEMBER AS SOON AS THE INCUMBENT IS IN POST.

MR CHAN SAID ACTEQ’S ROLE WOULD BE TO PROVIDE UNIFIED ADVICE TO THE GOVERNMENT ON ISSUES RELATING TO TEACHER EDUCATION.

ITS WORK WILL FALL INTO TWO BROAD AREAS: TEACHER EDUCATION AND TEACHING QUALIFICATIONS.

UNDER TEACHER EDUCATION, ACTEQ WILL ADVISE THE GOVERNMENT ON SUCH MATTERS AS THE LEVELS, TYPES AND PROFESSIONAL RELEVANCE OF TEACHER EDUCATION PROGRAMMES TO MEET PRESENT AND FORECAST NEEDS OF SCHOOLS; THE DISTRIBUTION BETWEEN ACTIVITIES FUNDED BY THE UNIVERSITY AND POLYTECHNIC GRANTS COMMITTEE (UPGC) AND OTHER ACTIVITIES; AND THE FUNDING AND ACADEMIC QUALITY OF TEACHER EDUCATION, OTHER THAN THOSE FUNDED THROUGH THE UPGC.

UNDER TEACHER QUALIFICATIONS, ACTEQ WILL ADVISE THE GOVERNMENT ON THE SUITABILITY FOR TEACHING IN HONG KONG OF ANY ACADEMIC OR PROFESSIONAL QUALIFICATION ACQUIRED OUTSIDE HONG KONG, AND APPROPRIATE MEASURES FOR ASSESSING SUCH SUITABILITY.

/"ACTEQ WILL .......

TUESDAY, MAY 11, 1993

6

"ACTEQ WILL ALSO CONSIDER THE NEED FOR THE LIGHT OF LOCAL NEEDS AND OF DEVELOPMENTS AROUND THE WORLD," SAID MR CHAN.

THE MEMBERS HAVE BEEN APPOINTED FOR TWO MAY 1, 1993.

ANY POLICY CHANGES, IN

IN TEACHER EDUCATION

YEARS WITH EFFECT FROM

--------0-----------

VOLUME AND PRICE MOVEMENTS OF EXTERNAL TRADE IN FEBRUARY *****

THE VOLUME OF DOMESTIC EXPORTS IN THE FIRST TWO MONTHS OF THIS YEAR DECREASED BY 1.1% OVER THE SAME PERIOD LAST YEAR, WHILE THAT OF RE-EXPORTS RECORDED A SIGNIFICANT INCREASE OF 27%.

THIS IS INDICATED IN THE STATISTICS RELEASED TODAY (TUESDAY) BY THE CENSUS AND STATISTICS DEPARTMENT.

TAKING DOMESTIC EXPORTS AND RE-EXPORTS TOGETHER, THE VOLUME OF TOTAL EXPORTS INCREASED BY 21%. IMPORTS INCREASED BY 20% IN VOLUME.

THE GROWTH IN THE VOLUME OF TRADE IS DERIVED FROM THE GROWTH IN TRADE VALUES WITH THE EFFECT OF PRICE CHANGES BEING DISCOUNTED.

AS REGARDS PRICE CHANGES OVER THE SAME PERIOD OF COMPARISON, THE PRICES OF DOMESTIC EXPORTS WERE ABOUT THE SAME WHILE THOSE OF REEXPORTS DECREASED BY 1.4%. IMPORT PRICES DECREASED BY 1.6%.

PRICE CHANGES ARE REFLECTED BY CHANGES IN UNIT VALUE INDICES, WHICH ARE COMPILED BASED ON AVERAGE UNIT VALUES OR, FOR CERTAIN COMMODITIES, BASED ON SPECIFIC PRICE DATA.

THE TERMS OF TRADE INDEX, DEFINED AS THE RATIO OF TOTAL EXPORT PRICE INDEX TO IMPORT PRICE INDEX, INCREASED SLIGHTLY BY 0.7% IN THE FIRST TWO MONTHS OF 1993 AS COMPARED WITH THE SAME PERIOD LAST YEAR.

TAKING FEBRUARY 1993 ALONE AND COMPARING WITH FEBRUARY 1992, THE VOLUME OF DOMESTIC EXPORTS DECREASED BY 4.6% WHILE THAT OF REEXPORTS INCREASED BY 26%. THE VOLUME OF TOTAL EXPORTS INCREASED BY 19%. THE VOLUME OF IMPORTS GREW BY 23%.

OVER THE SAME PERIOD OF COMPARISON, THE PRICES OF DOMESTIC EXPORTS INCREASED BY 0.7% WHILE THOSE OF RE-EXPORTS DECREASED BY 1.3%. IMPORT PRICES DECREASED BY 1.4%.

COMPARING FEBRUARY 1993 WITH FEBRUARY 1992, COMMODITY GROUPS WHICH RECORDED SUBSTANTIAL INCREASES IN THE VOLUME OF DOMESTIC EXPORTS INCLUDED ELECTRONIC COMPONENTS (+39%); TEXTILE YARN AND THREAD (+13%); AND METAL MANUFACTURES (+11%).

ON THE OTHER HAND, CONSIDERABLE DECREASES IN THE VOLUME OF DOMESTIC EXPORTS WERE RECORDED FOR FOOTWEAR (-44%); CLOTHING (-34%); TEXTILE MADE-UPS AND RELATED ARTICLES (-33%); AND TRAVEL GOODS, HANDBAGS AND SIMILAR ARTICLES (-30%).

/AS REGARDS .......

TUESDAY, MAY 11, 1993

7

AS REGARDS DOMESTIC EXPORT PRICES, COMMODITY GROUPS WHICH RECORDED SIGNIFICANT INCREASES INCLUDED FOOTWEAR (+7.2%) AND CLOTHING (+4.0%).

ON THE OTHER HAND, DECREASES IN DOMESTIC EXPORT PRICES WERE RECORDED FOR RADIOS OF ALL KINDS (-9.5%); AND TEXTILE YARN AND THREAD (-5.7%).

THE IMPORT VOLUME OF FOODSTUFFS DECREASED BY 4.5% IN FEBRUARY 1993 AS COMPARED WITH FEBRUARY 1992.

SIGNIFICANT DECREASES WERE RECORDED FOR THE IMPORT VOLUME OF SOYA BEAN OIL, PEANUT OIL, VEGETABLE OIL AND LARD; FRUIT; AND CEREALS AND CEREAL PREPARATIONS (OTHER THAN RICE, WHEAT AND FLOUR). HOWEVER, CONSIDERABLE INCREASES WERE RECORDED IN THE IMPORT VOLUME OF WHEAT AND FLOUR; AND TEA AND COFFEE.

OVER THE SAME PERIOD OF COMPARISON, THE IMPORT VOLUME OF CONSUMER GOODS INCREASED BY 19%.

COMMODITY ITEMS WITH CONSIDERABLE INCREASES IN IMPORT VOLUME INCLUDED PASSENGER MOTOR CARS; CAMERAS, FLASHLIGHT APPARATUS AND SUPPLIES FOR PHOTOGRAPHY; TOBACCO MANUFACTURES; AND HOUSEHOLD TYPE ELECTRICAL APPLIANCES.

HOWEVER, DECREASE IN IMPORT VOLUME WAS NOTED FOR MISCELLANEOUS MADE-UP ARTICLES OF TEXTILE MATERIALS.

THE IMPORT VOLUME OF RAW MATERIALS AND SEMI-MANUFACTURES INCREASED BY 21% IN FEBRUARY 1993 AS COMPARED WITH FEBRUARY 1992.

SIGNIFICANT INCREASES IN IMPORT VOLUME WERE NOTED FOR IRON AND STEEL; BASE METALS (OTHER THAN IRON AND STEEL); WOOD, LUMBER AND CORK; AND PAPER AND PAPERBOARD.

HOWEVER, CONSIDERABLE DECREASES WERE RECORDED IN THE IMPORT VOLUME OF RAW COTTON AND MAN-MADE FIBRES.

IMPORTS OF FUELS INCREASED BY 32% IN VOLUME IN FEBRUARY 1993 AS COMPARED WITH FEBRUARY 1992.

AS REGARDS CAPITAL GOODS, THE IMPORT VOLUME INCREASED BY 47%.

NOTABLE INCREASES WERE RECORDED FOR THE IMPORT VOLUME OF CONSTRUCTION MACHINERY; TEXTILE MACHINERY; AND OTHER INDUSTRIAL MACHINERY (OTHER THAN ELECTRICAL MACHINERY AND TEXTILE MACHINERY).

COMPARING FEBRUARY 1993 WITH FEBRUARY 1992, THE IMPORT PRICES OF FUELS AND CAPITAL GOODS INCREASED BY 3.4% AND 1.6% RESPECTIVELY. THE IMPORT PRICES OF RAW MATERIALS AND SEMI-MANUFACTURES DECREASED BY 4.5%.

THE IMPORT PRICES OF FOODSTUFFS AND CONSUMER GOODS WERE VIRTUALLY UNCHANGED.

/COMPARING FEBRUARY .......

TUESDAY, MAY 11, 1993

8

COMPARING FEBRUARY 1993 WITH FEBRUARY 1992, THE VOLUME OF REEXPORTS OF FUELS AND CAPITAL GOODS GREW SUBSTANTIALLY BY 113% AND 75% RESPECTIVELY.

THAT OF RAW MATERIALS AND SEMI-MANUFACTURES; AND CONSUMER GOODS REGISTERED INCREASES OF 28% AND 14% RESPECTIVELY. HOWEVER, THE VOLUME OF RE-EXPORTS OF FOODSTUFFS DECREASED BY 8.2%.

OVER THE SAME PERIOD OF COMPARISON, THE PRICES OF RE-EXPORTS OF CAPITAL GOODS INCREASED BY 1.2%. ON THE OTHER HAND, THE RE-EXPORT PRICES OF RAW MATERIALS AND SEMI-MANUFACTURES; FUELS; FOODSTUFFS; AND CONSUMER GOODS DECREASED BY 3.7%, 2.8%, 1.4% AND 0.6% RESPECTIVELY.

DETAILS OF THE ABOVE STATISTICS ARE PUBLISHED 1993 ISSUE OF THE "HONG KONG TRADE INDEX NUMBERS".

IN THE FEBRUARY

THE REPORT WILL BE AVAILABLE ON SALE AROUND MAY 12 AT $8.5 A COPY AT THE GOVERNMENT PUBLICATIONS CENTRE ON THE GROUND FLOOR, GENERAL POST OFFICE BUILDING, CONNAUGHT PLACE, CENTRAL; OR THE PUBLICATIONS SECTION OF THF CENSUS AND STATISTICS DEPARTMENT ON THE 19TH FLOOR, WANCHA1 TOWER, 12 HARBOUR ROAD, WAN CHAI.

ENQUIRIES ABOUT REGULAR SUBSCRIPTION TO THE REPORT MAY BE DIRECTED TO THE INFORMATION SERVICES DEPARTMENT AT FRENCH MISSION BUILDING, I BATTERY PATH, HONG KONG (TEL 842 8802) AND ENQUIRIES ON TRADE INDICES TO THE CENSUS AND STATISTICS DEPARTMENT (TEL 582 4918) .

NOTE TO EDITORS:

THE CHANGES IN THE VALUE, UNIT VALUE AND VOLUME OF DOMESTIC EXPORTS BY PRINCIPAL COMMODITY GROUP ARE SHOWN IN TABLE 1.

THE CHANGES IN THE VALUE, UNIT VALUE AND VOLUME OF IMPORTS BY END-USE CATEGORY ARE SHOWN IN TABLE 2.

THE CHANGES IN THE VALUE, UNIT VALUE AND VOLUME OF RE-EXPORTS BY END-USE CATEGORY ARE SHOWN IN TABLE 3.

/Table 1 : ........

TUESDAY, MAY 11, 1993

- 9 -

Table 1 : Changes in domestic exports by principal commodity group

Commodity group Comparing FEB 1993 with FEB 1992 Comparing JAN-FEB 1993 with JAN-FEB 1992

Value % Unit Value Volume Value % Unit Value V< % olume %

% %

Clothing -31.5 4.0 -34.0 -14.7 3.1 -17.2

Textile fabrics -4.3 -0.3 -3.8 17.4 * 17.4

Textile yarn and thread 6.7 -5.7 13.1 4.9 -5.2 10.7

Textile made-ups and related articles -31.2 2.6 -33.0 -6.6 4.0 -10.1

Radios of all kinds -17.8 -9.5 -9.2 * -9.2 10.3

Electronic components 37.2 -1.3 38.9 35.3 -3.0 39.5

Footwear -39.9 7.2 -43.9 -36.3 7.1 -40.6

Metal manufactures 7.6 -2.7 10.5 1.4 -2.7 4.3

Metal ores and scrap 3.5 -2.9 6.7 12.0 -4.1 16.8

Watches and clocks -16.0 -1.0 -15.1 -15.1 -1.2 -14.2

Travel goods, handbags and similar articles -31.0 -1.8 -29.9 -44.6 -2.0 -43.4

Domestic electrical appliances 3.4 -2.6 6.3 -22.7 -3.0 -20.5

ALL COMMODITIES -3.9 0.7 -4.6 -1.0 0.2 -1.1

* less than 0.05%

/Table 2 :

TUESDAY, MAY 11, 1993

10

Table 2 : Changes in imports by end-use category

End-use category Comparing FEB 1993 with FEB 1992 Comparing JAN-FEB 1993 with JAN-FEB 1992

Value % Unit Value Volume Value % Unit Value Volume

% % % %

Foodstuffs -4.5 -0.1 -4.5 6.2 -0.4 6.5

Consumer goods 19.1 * 19.2 14.6 -0.6 15.2

Raw materials and semi-manufactures 15.6 -4.5 21.1 15.2 -4.5 20.7

Fuels 36.0 3.4 31.7 25.1 3.4 21.0

Capital goods 48.9 1.6 46.5 34.7 1.4 32.9

ALL COMMODITIES 21.5 -1.4 23.1 17.8 -1.6 19.8

less than 0.05%

Table 3 : Changes in re-exports by end-use category

End-use category Comparing FEB 1993 with FEB 1992 Comparing JAN-FEB 1993 with JAN-FEB 1992

Value % Unit Value Volume Value % Unit Value Volume

% % % %

Foodstuffs -9.5 -1.4 -8.2 12.5 -1.7 14.5

Consumer goods 13.6 -0.6 14.2 18.8 -0.7 19.6

Raw materials and semi-manufactures 22.9 -3.7 27.8 23.0 -4.2 28.4

Fuels 107.1 -2.8 113.3 41.8 -1.2 43.5

Capital goods 76.7 1.2 74.8 55.6 1.4 53.4

ALL COMMODITIES 24.7 -1.3 26.2 25.3 -1.4 27.1

/Il ........

-----0------

TUESDAY, MAY 11, 1993

- 11 -

TERRITORY-WIDE CRACKDOWN ON MISUSE OF MARKED OIL

*****

CUSTOMS OFFICERS OF LAND ENFORCEMENT DIVISION AND TASK FORCE CONDUCTED A TERRITORY-WIDE JOINT OPERATION TODAY (TUESDAY) TO DETECT THE MISUSE OF MARKED OIL ON CONSTRUCTION SITES AND CONTAINER YARDS.

DURING THE OPERATION WHICH LASTED FROM 8 AM TO 3 PM, 128 VEHICLES WERE CHECKED AND 20 DRIVERS WERE FOUND USING MARKED OIL.

THE OFFICERS SEIZED 1,400 LITRES OF MARKED OIL.

THE DRIVERS WERE CHARGED AND WERE GRANTED BAIL OF $500 EACH, PENDING APPEARANCE IN COURTS NEXT MONTH.

IN THE OPERATION, THE OFFICERS ALSO DISCOVERED A MARKED OIL REFILLING STATION ON A CONTAINER YARD AT PILLAR POINT, TUEN MUN AND ARRESTED THE OPERATOR.

THE OPERATOR WAS CHARGED AND ALLOWED BAIL OF $2,500.

AREAS COVERED BY THE OPERATION INCLUDED TSEUNG KWAN O, CHA KWO LING, TAI PO, SHA TIN, SHEUNG SHU I , CHAI WAN, ABERDEEN AND WONG CHUK HANG.

--------0------------

GRAMMAR-TO-PREVOCATIONAL SCHOOL BRIDGING COURSE

********

THE SECOND PHASE OF THE TWO-YEAR PILOT BRIDGING COURSE FOR STUDENTS WISHING TO TRANSFER FROM A GRAMMAR TO A PREVOCATIONAL SCHOOL WILL START IN JULY.

THE PILOT SCHEME TO ESTABLISH THE FEASIBILITY OF AND DEMAND FOR THE BRIDGING COURSE WAS FIRST CONDUCTED LAST SUMMER.

THE SECOND AND LAST PHASE WOULD AGAIN PROVIDES THREE CLASSES OF 40 STUDENTS EACH IN KOWLOON AND THE NEW TERRITORIES.

THE COURSE, WHICH IS FREE OF CHARGE, PROVIDE THEORETICAL AND PRACTICAL STUDIES ON METALWORK, ELECTRICAL STUDIES AND TECHNICAL DRAWING.

’’STUDENTS APPLYING SHOULD HAVE COMPLETED SECONDARY 1 BECAUSE THEY WILL CONTINUE THEIR STUDIES IN SECONDARY 2 IN A PREVOCATIONAL SCHOOL,” AN EDUCATION DEPARTMENT SPOKESMAN SAID.

THE SPOKESMAN ALSO SAID THE PILOT SCHEME WAS ARRANGED FOLLOWING THE RECOMMENDATION OF THE EDUCATION COMMISSION IN ITS REPORT NO. 4 ON THE NEEDS OF STUDENTS WHO, HAVING BEEN ALLOCATED PLACES IN GRAMMAR SCHOOLS, FOUND THEMSELVES AFTER THE FIRST YEAR OR SO LOSING INTEREST IN THE MORE ACADEMIC APPROACH AND WISHING TO LEARN MORE PRACTICAL SUBJECTS.

/THE BRIDGING

TUESDAY, MAY 11, 1993

12

THE BRIDGING COURSE WILL BE HELD AT THREE CENTRES:

* BISHOP HALL MEMORIAL PREVOCATIONAL SCHOOL 82 HIU KWONG STREET, SAU MAU PING, KOWLOON

* COTTON SPINNERS ASSOCIATION PREVOCATIONAL SCHOOL 350 KWAI SHING CIRCUIT, KWAI CHUNG, NEW TERRITORIES

* MARDEN FOUNDATION CARITAS PREVOCATIONAL SCHOOL 18-24 MAN LAI ROAD, SHA TIN, NEW TERRITORIES

THE SPOKESMAN SAID STUDENTS SHOULD ATTEND ALL CLASSES AND PASS A TEST AT THE END OF THE SIX-WEEK BRIDGING COURSE.

------0-------

CLOSURE OF SAN PO KONG ILLEGAL STRUCTURE SOUGHT

******

THE BUILDING AUTHORITY IS SEEKING TO CLOSE AN UNAUTHORISED STRUCTURE AT A BUILDING IN SAN PO KONG SO THAT IT CAN BE DEMOLISHED WITHOUT CAUSING DANGER TO THE OCCUPIERS AND THE PUBLIC.

THE SINGLE-STOREY STRUCTURE BEING USED FOR RESIDENTIAL PURPOSE IS ON THE ROOF OF WING LOK BUILDING AT 16-30A TSEUK LUK STREET AND 1-3 YIN HING STREET.

NOTICE OF INTENTION TO APPLY FOR A CLOSURE ORDER FROM THE HONG KONG DISTRICT COURT UNDER THE BUILDINGS ORDINANCE ON JULY 6 WAS POSTED ON THE PREMISES TODAY (TUESDAY).

IT IS EXPECTED THAT DEMOLITION WORKS WILL START AS SOON AS THF CLOSURE ORDER IS ISSUED.

-----0------

NEW TEXTILES EXPORT LICENCE FORM 5 INTRODUCED *****

A NEW TEXTILES EXPORT LICENCE FORM 5 WILL BE PUT INTO USE WITH EFFECT FROM SATURDAY (MAY 15), THE TRADE DEPARTMENT ANNOUNCED TODAY.

EXPORT LICENCE FORM 5, COMMONLY KNOWN AS "BLUE" OR "QUOTA” LICENCE, IS USED TO COVER EXPORT OF TEXTILES SUBJECT TO SPECIFIC QUOTA RESTRAINT, OTHER THAN EXPORT TO THE USA UNDER QUOTA OF PIECE-KNITTED GARMENTS MADE FROM KN IT-TO-SHAPE PANELS KNITTED IN HONG KONG.

/WHEN USING ........

TUESDAY, MAY 11, 1993

- 13 -

WHEN USING THE NEW FORM 5, APPLICANTS WILL BE ASKED TO GIVE MORE INFORMATION SUCH AS FAX NUMBER, FACTORY REGISTRATION NUMBER OF THE MANUFACTURER, AND ORIGIN MARKING ON PACKAGES AND GOODS TO THE TRADE DEPARTMENT.

’’THE EXPORTER’S AND MANUFACTURER’S DECLARATIONS HAVE ALSO BEEN MODIFIED. THIS IS PART OF THE MEASURES OF THE GOVERNMENT TO TIGHTEN ITS CONTROL ON TEXTILES EXPORT TO RESTRAINED MARKETS,” A TRADE DEPARTMENT SPOKESMAN SAID.

THE NEW FORM 5 WILL BE ON SALE AT THE TRADE DEPARTMENT COLLECTION OFFICE, ROOM 813, TRADE DEPARTMENT TOWER, 700 NATHAN ROAD FROM MAY 15 AT $20 PER PAD.

THE CURRENT FORMS WILL CONTINUE TO BE ACCEPTED UNTIL JUNE 11 THIS YEAR.

MEANWHILE, FORM 4 LICENCE, WHICH IS MAINLY USED FOR EXPORT OF TEXTILES NOT SUBJECT TO SPECIFIC QUOTA RESTRAINT, WILL ALSO CHANGE TO A NEW FORMAT BY JULY 1, 1993. NEW FORMS WILL BE AVAILABLE FOR SALE ON THE SAME DAY.

--------0-----------

AUCTION OF LUCKY CAR REGISTRATION MARKS

*****

THE TRANSPORT DEPARTMENT WILL HOLD ANOTHER AUCTION OF LUCKY VEHICLE REGISTRATION MARKS ON SATURDAY (MAY 15) AT 9.30 AM AT THE CITY HALL RECITAL HALL.

A TOTAL OF 50 LUCKY VEHICLE REGISTRATION MARKS WILL BE

AVAILABLE FOR BIDDING. THEY ARE:

FD6668 FD668 FE983 FD2229

FA1128 FEI 39 FD3200 FD2448

♦FK1881 ♦ FL2 ♦ FK28 ♦ AJ8

FD816 FD948 FD883 FE227

AC1351 BE 150 FA326 FD6609

FE235 FD899 AC 139 AW1230

FD833 FB2328 FD3228 FC8826

♦ AJ38 ♦ DD5 *FK3 ♦ DL7

FD268 FBI 1 18 FC 168 FD1239

FE9788 FD6663 FD8082 FEI 161

FD9369 FE1969 ♦ 547 FD8256

AP8363 FD834I BB8586 ♦FJ2222

FD3498 FD7160

* SPECIAL VEHICLE REGISTRATION MARK (NOT TRANSFERABLE)

SUCCESSFUL BIDDERS MUST PAY BY CHEQUE IMMEDIATELY AFTER THE BIDDING.

/A TRANSPORT .......

TUESDAY, MAY 11, 1993

- 14 -

A TRANSPORT DEPARTMENT SPOKESMAN REMINDED BIDDERS THAT THE REGISTRATION MARKS WOULD ONLY BE ASSIGNED TO A VEHICLE REGISTERED IN THE NAME OF THE SUCCESSFUL BIDDER WITHIN 12 MONTHS OF THE AUCTION.

THE CERTIFICATE OF INCORPORATION MUST BE PRODUCED IMMEDIATELY AFTER THE AUCTION IF THE VEHICLE REGISTRATION MARK IS TO BE REGISTERED UNDER THE NAME OF BODY CORPORATE.

PROCEEDS OF THE AUCTION, AFTER DEDUCTION OF EXPENSES, WILL AS USUAL GO TO THE GOVERNMENT LOTTERIES FUND.

THE COMING AUCTION WILL BE THE 193RD ORGANISED BY THE TRANSPORT DEPARTMENT SINCE MAY 1973.

--------0-----------

MFN MOTION DEBATE ON LEGCO AGENDA

♦ * * * *

THE LEGISLATIVE COUNCIL WILL DEBATE A MOTION THAT URGES THE RENEWAL OF MOST-FAVOURED-NATION STATUS FOR CHINA UNCONDITIONALLY AT ITS MEETING TOMORROW (WEDNESDAY).

THE MOTION IS PROPOSED BY THE HON ALLEN LEE.

THE HON LAU CHIN-SHEK WILL RAISE AN ADJOURNMENT DEBATE ON COLLECTIVE BARGAINING.

COUNCIL MEMBERS WILL ALSO ASK 20 QUESTIONS AND CONSIDER 13 BILLS.

FIVE OF THE BILLS WILL BE INTRODUCED FOR FIRST AND SECOND READINGS.

THEY ARE JUDICIAL PROCEEDINGS (ADJOURNMENT DURING GALE WARNINGS) (AMENDMENT) BILL 1993, ROAD TRAFFIC (AMENDMENT) BILL 1993, FIXED PENALTY (TRAFFIC CONTRAVENTIONS) (AMENDMENT) BILL 1993, BUILDINGS (AMENDMENT) BILL 1993 AND NOISE CONTROL (AMENDMENT) BILL 1993. DEBATES ON THEM ARE DUE TO BE ADJOURNED.

IN ADDITION, DEBATES ON EIGHT BILLS TO IMPLEMENT THE REVENUE-RELATED PROPOSALS IN THE BUDGET WILL BE RESUMED. THEY ARE DUE TO GO THROUGH THE COMMITTEE STAGE AND BE GIVEN A THIRD READING.

THE BILLS ARE INLAND REVENUE (AMENDMENT) BILL 1993, ESTATE DUTY (AMENDMENT) BILL 1993, ENTERTAINMENTS TAX (REPEAL) BILL 1993, STAMP DUTY (AMENDMENT) BILL 1993, DUTIABLE COMMODITIES (AMENDMENT) BILL 1993, MOTOR VEHICLES (FIRST REGISTRATION TAX) (AMENDMENT) BILL 1993, ROAD TRAFFIC (MISCELLANEOUS AMENDMENTS) BILL 1993 AND CROSS-HARBOUR TUNNEL (PASSAGE TAX) (AMENDMENT) BILL 1993.

THE PUBLIC ARE WELCOME TO OBSERVE THE PROCEEDINGS OF THE MEETING FROM THE PUBLIC GALLERY. THEY MAY RESERVE SEATS BY CALLING 869 9492.

0

TUESDAY, MAY 11, 1993

- 15 -

HONG KONG GOVERNMENT EXCHANGE FUND TENDER RESULTS

*****

TENDER DATE PAPER ON OFFER ISSUE NUMBER AMOUNT APPLIED AMOUNT ALLOTTED AVERAGE YIELD ACCEPTED HIGHEST YIELD ACCEPTED PRO RATA RATIO AVERAGE TENDER YIELD HONG KONG 11 MAY 93 EF BILLS Q319 HK$3,015 MN HK$1,000 MN 2.79 PCT 2.80 PCT ABOUT 75 PCT 2.84 PCT GOVERNMENT EXCHANGE FUND 11 MAY 93 EF BILLS H364 HK$1,590 MN HK$400 MN 2.91 PCT 2.92 PCT ABOUT 86 PCT 2.97 PCT

TENDERS TO BE HELD IN TENDER DATE PAPER ON OFFER ISSUE NUMBER ISSUE DATE MATURITY DATE TENOR AMOUNT ON OFFER THE WEEK BEGINNING 18 MAY 93 EF BILLS Q320 19 MAY 93 18 AUG 93 91 DAYS HK$ 1,000 + 200 MN 17 MAY 1993 18 MAY 93 EF BILLS Y389 19 MAY 93 18 AUG 94 364 DAYS HK$200 + 60 MN

-----0------

/16 ........

TUESDAY, MAY 11, 1993

- 16 -

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS * * * * *

$ MILLION

OPENING BALANCE IN THE ACCOUNT REVERSAL OF LAF 1,850 + 300

BALANCE AFTER REVERSAL OF LAF NET INJECTION/WITHDRAWAL TODAY EFFECT OF LAF TODAY CLOSING BALANCE IN THE ACCOUNT LAF RATE 2.00 BID/4.00 OFFER TWI 112.2 2,150 NIL -455 1 ,695 *+0.5» 11 .5.93

HONG KONG GOVERNMENT EXCHANGE FUND EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE

1 WEEK 2.49 PCT 12 MONTHS 2405 5.50 102.45

1 MONTH 2.71 PCT 15 MONTHS 2408 4 . 375 101.46

3 MONTHS 2.79 PCT 18 MONTHS 24 1 1 4.625 101.81

6 MONTHS 2.90 PCT 21 MONTHS 2502 4.75 101.92

12 MONTHS 3.06 PCT TOTAL TURNOVER OF BILLS AND BONDS - CLOSED 11 MAY 1993 13,820 MN

YIELD

3.06

3.21

3.42

3.64

--------0------------

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

WEDNESDAY, MAY 12, 1993

CONTENTS PAGE NO.

LADY THATCHER VISITS HONG KONG ............................... 1

AMENDMENT BILLS TO ENABLE BANK OF CHINA TO ISSUE BANK NOTES . 2

GOVERNOR SENDS CONDOLENCES FOR BANGKOK FIRE VICTIMS .......... 3

NEW POLITICAL ADVISER APPOINTED .............................. 4

APPEAL FOR FIRE SAFETY IN INDUSTRIAL BUILDINGS ............... 5

NEED TO MONITOR LEGAL AID ASSIGNMENTS ........................ 6

SA PO ROAD SITE TO LET ....................................... 7

APRIL AIR QUALITY REPORT RELEASED ............................ 8

256 VIETNAMESE BACK HOME TODAY ............................. 9

NORTH POINT UNAUTHORISED STRUCTURE TO BE CLOSED .............. 9

FINANCE COMMITTEE MEETS ON FRIDAY ............................ ]0

SALT WATER CUT IN TAI PO .................. in

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS

10

WEDNESDAY, MAY 12, 1993

1

LADY THATCHER VISITS HONG KONG * * * * »

THE BARONESS THATCHER OF KESTEVEN, OM, FRS, THE FORMER BRITISH PRIME MINISTER, WILL VISIT HONG KONG AS A GUEST OF THE GOVERNOR FROM TODAY (WEDNESDAY) TO FRIDAY (MAY 14). SHE WILL STAY AT GOVERNMENT HOUSE.

LADY THATCHER WILL HAVE A FULL PROGRAMME ARRANGED BY GOVERNMENT HOUSE. SHE WILL ALSO UNDERTAKE A NUMBER OF PRIVATE ENGAGEMENTS DURING HER VISIT.

AS THE PRIME MINISTER WHO NEGOTIATED AND SIGNED THE JOINT DECLARATION, LADY THATCHER NATURALLY TAKES A CLOSE AND CONTINUING INTEREST IN HONG KONG.

THIS VISIT WILL ENABLE HER TO SEE THE TERRITORY ONCE AGAIN AND SEE SOME OF THE LATEST DEVELOPMENTS HERE AT FIRST HAND.

AFTER HER ARRIVAL THIS EVENING, LADY THATCHER WILL JOIN THE GOVERNOR AND HIS FAMILY AT GOVERNMENT HOUSE FOR A CELEBRATORY DRINK ON HIS BIRTHDAY.

ON THURSDAY MORNING, LADY THATCHER WILL HAVE A MEETING WITH MR ZHOU NAN, DIRECTOR OF THE HONG KONG BRANCH OF THE NEW CHINA NEWS AGENCY.

IN THE AFTERNOON, LADY THATCHER WILL VISIT THE ST JAMES’ SETTLEMENT SHELTERED WORKSHOP AND THE DAY CARE CENTRE FOR THE ELDERLY IN WAN CHAI.

SHE WILL THEN GO TO NEW AIRPORT PROJECTS ('O-ORDINATI ON OFFICE (NAPCO) FOR A BRIEFING ON THE AIRPORT CORE PROGRAMME BY NAPCO AND THE PROVISIONAL AIRPORT AUTHORITY, BEFORE FLYING TO CHEK LAP KOK, WEATHER PERMITTING, TO VISIT THE NEW AIRPORT SITE.

LADY THATCHER WILL FLY FROM CHEK LAP KOK TO STONECUTTERS’ ISLAND TO VISIT THE NEW ROYAL NAVY BASE THERE.

SHE WILL RETURN FROM STONECUTTERS’ ISLAND TO HMS TAMAR ABOARD A ROYAL NAVY PATROL CRAFT. AT HMS TAMAR, SHE WILL ATTEND A ROYAL NAVY COCKTAIL PARTY.

LADY THATCHER’S FINAL ENGAGEMENT ON THURSDAY WILL BE A DINNER AT GOVERNMENT HOUSE WHICH THE GOVERNOR. WILL HOST IN HER HONOUR.

ON FRIDAY MORNING, LADY THATCHER WILL VISIT THE VOCATIONAL TRAINING CENTRE IN KOWLOON BAY AND GIVE A NUMBER OF INTERVIEWS AT GOVERNMENT HOUSE.

ON FRIDAY AFTERNOON, SHE WILL ACCOMPANY THE GOVERNOR ON A VISIT TO EASTERN DISTRICT.

LADY THATCHER WILL JOIN THE GOVERNOR IN ANSWERING A NUMBER OF QUESTIONS FROM THE PRESS AT THE END OF HER VISIT TO EASTERN DISTRICT ON FRIDAY AFTERNOON.

/SHE WILL ........

WEDNESDAY, MAY 12, 1993

2

SHE WILL LEAVE HONG KONG ON FRIDAY NIGHT.

ATTENTION NEWS EDITORS:

FACILITIES HAVE BEEN ARRANGED FOR THE NEWS MEDIA TO COVER SOME OF LADY THATCHER’S OFFICIAL PROGRAMMES. DETAILS ARE AS FOLLOWS:

THURSDAY (MAY 13)

2.30 PM - 3 PM

VISIT TO ST JAMES’ SETTLEMENT SHELTERED WORKSHOP AND DAY CARE CENTRE FOR THE ELDERLY, 85 STONE NULLAH LANE, WAN CHAI. MEDIA REPRESENTATIVES ARE REQUESTED TO ARRIVE NO LATER THAN 2 PM. THEY SHOULD NOTE THAT THERE WILL BE NO PARKING FACILITIES IN STONE NULLAH LANE.

FRIDAY (MAY 14)

9.15 AM - 10.45 AM

2.30 PM - 5.40 PM

VISIT TO KOWLOON BAY TRAINING CENTRE COMPLEX OF THE VOCATIONAL TRAINING COUNCIL AT 46 TAI YIP STREET, KOWLOON. REPRESENTATIVES ARE REQUESTED TO ARRIVE NO LATER THAN 8.45 AM.

VISIT TO EASTERN DISTRICT WITH THE GOVERNOR. MEDIA REPRESENTATIVES ARE REQUESTED TO ARRIVE AT THE VICTORIA KINDERGARTEN, HING FAT STREET, CAUSEWAY BAY NO LATER THAN 1.45 PM.

-----0------

AMENDMENT BILLS TO ENABLE BANK OF CHINA TO ISSUE BANK NOTES *******

PROPOSAL WILL BE PUT TO THE LEGISLATIVE COUNCIL TO AMEND LEGISLATION TO ENABLE THE BANK OE CHINA (BOG) TO BECOME A BANK NOTEISSUER, A SPOKESMAN POR THE HONG KONG MONETARY AUTHORITY SAID TODAY (WEDNESDAY).

AN ANNOUNCEMENT WAS MADE IN JANUARY THAT THE GOVERNOR-IN-COUNCIL HAD DECIDED THAT APPROVAL SHOULD BE GIVEN EOR BOC TO COMMENCE ISSUING BANK NOTES FROM MAY 1994, SUBJECT TO THE ENACTMENT OF NECESSARY LEGISLATIVE AMENDMENTS.

THE GOVERNOR-IN-COUNCIL HAS NOW DECIDED THAT THE BANK NOTES ISSUE (AMENDMENT) BILL 1993 AND THE EXCHANGE FUND (AMENDMENT) BILL 1993 SHOULD BE INTRODUCED INTO THE LEGISLATIVE COUNCIL

/AT PRESENT.........

WEDNESDAY, MAY 12, 1993

3

AT PRESENT, THERE ARE TWO NOTE-ISSUING BANKS IN HONG KONG, THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED AND STANDARD CHARTERED BANK.

THE SPOKESMAN SAID: "AMENDMENTS TO THE BANK NOTES ISSUE ORDINANCE AND THE EXCHANGE FUND ORDINANCE ARE REQUIRED SO THAT THE BOC WOULD BECOME A NOTE-ISSUING BANK AND ISSUE BANK NOTES AS LEGAL TENDER IN HONG KONG."

"THE OPPORTUNITY IS ALSO TAKEN TO AMEND THE EXCHANGE FUND ORDINANCE TO MAKE CLEAR THAT THE FINANCIAL SECRETARY HAS THE POWER TO USE THE RESERVES, DEPOSITED WITH THE EXCHANGE FUND BY A NOTE-ISSUING BANK AS BACKING FOR THE BANK NOTES ISSUED, FOR REDEMPTION OF SUCH NOTES IN THE EVENT THAT THE NOTE-ISSUING BANK CONCERNED IS WOUND UP," HE ADDED.

THE SPOKESMAN SAID THIS AMENDMENT CLARIFIED THE EXISTING PROVISION AND DID NOT ADD TO OF? DETRACT FROM THE EXISTING POWERS OF THE FINANCIAL SECRETARY.

THE AMENDMENT BILLS WILL BE PUBLISHED IN Till GAZETTE ON MAY 21, 1993, AND WILL BE INTRODUCED INTO THE LEGISLATIVE COUNCIL ON JUNE 2, 1993.

THE BOC HAS ESTIMATED THAT IT COULD COMPLETE THE PREPARATORY WORK TO BEGIN NOTE-ISSUE IN MAY 1994.

---------0

GOVERNOR SENDS CONDOLENCES FOR BANGKOK FIRE VICTIMS ♦ ♦ ♦ * ♦

A GOVERNMENT SPOKESMAN SAID TODAY (WEDNESDAY) THAT THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, HAS SENT THE FOLLOWING MESSAGE TO THE PRIME MINISTER OF THAILAND TODAY:

"I WAS APPALLED TO LEARN OF THE TRAGIC FIRE AT A HONG KONG-OWNED FACTORY IN BANGKOK. I KNOW MY DISTRESS IS WIDELY SHARED THROUGHOUT HONG KONG WHERE NEWS OF THE DISASTER HAS BEEN RECEIVED WITH SHOCK AND CONCERN. THERE IS ENORMOUS SYMPATHY FOR THE VICTIMS AND THEIR FAMILIES. PLEASE ACCEPT MY DEEPEST CONDOLENCES AT THE TRAGIC LOSS OF LIFE."

-----0------

/4.........

WEDNESDAY, MAY 12, 1993

- 4 -

NEW POLITICAL ADVISER APPOINTED * ♦ * ♦ ♦

MR ROBERT PEIRCE HAS BEEN APPOINTED TO TAKE OVER THE POST OF POLITICAL ADVISER IN THE HONG KONG GOVERNMENT THIS SUMMER FROM MR WILLIAM EHRMAN, WHO WILL BE RETURNING TO THE FOREIGN AND COMMONWEALTH OFFICE (FCO) TO TAKE UP ANOTHER POST.

MR EHRMAN WILL LEAVE HONG KONG IN JULY AND MR PEIRCE WILL ARRIVE IN MID-AUGUST.

MR PEIRCE, AGED 38, IS AT PRESENT FIRST SECRETARY IN THE UNITED KINGDOM MISSION TO THE UNITED NATIONS IN NEW YORK.

HE STUDIED CHINESE (PUTONGHUA) IN HONG KONG IN THE LATE 1970S, SERVED AS SECOND AND LATER FIRST SECRETARY IN PEKING FROM 1980 TO 1983, AS DEPUTY POLITICAL ADVISER IN THE HONG KONG GOVERNMENT FROM 1986 TO 1988, AND AS ASSISTANT PRIVATE SECRETARY TO THE FOREIGN SECRETARY FROM 1988 UNTIL HE TOOK UP HIS PRESENT POST IN 1990.

HE IS MARRIED WITH TWO CHILDREN.

FOLLOWING IS HIS CURRICULUM VITAE:

BORN MARCH 18, 1955 - MARRIED 1978 (CHRISTINA)

ONE SON (ALEXANDER, 1986). ONE DAUGHTER (KATHERINE, 1988)

OXFORD UNIVERSITY (MODERN HISTORY), MA

CAMBRIDGE UNIVERSITY (CHINESE LANGUAGE)

SECOND, LATER FIRST SECRETARY, BRITISH EMBASSY, PEKING 1980-83

NEAR EAST AND NORTH AFRICA DEPARTMENT, FCO 1983-85

HONG KONG DEPARTMENT, FCO 1985

CABINET OFFICE 1985-86

DEPUTY POLITICAL ADVISER 1986-88

ASSISTANT PRIVATE SECRETARY TO THE FOREIGN SECRETARY

(SIR GEOFFREY HOWE, THEN MR JOHN MAJOR, THEN MR DOUGLAS HURD) 1988-90

UK MISSION TO THE UNITED NATIONS 1990-93

- 0 -----------

/5 .........

WEDNESDAY, MAY 12, 1993

- 5

APPEAL FOR FIRE SAFETY IN INDUSTRIAL BUILDINGS *****

LABOUR DEPARTMENT’S CHIEF FACTORY INSPECTOR CHAN TAT-KING TODAY (WEDNESDAY) CALLED ON OWNERS OF NOTIFIABLE WORKPLACES TO MAINTAIN IN GOOD WORKING CONDITION AND FREE FROM OBSTRUCTION EVERY DOORWAY, STAIRWAY AND PASSAGEWAY WHICH AFFORDS A MEANS OF ESCAPE IN CASE OF FIRE.

HE MADE THE APPEAL FOLLOWING A RECENT FACTORY FIRE IN BANGKOK IN WHICH MORE THAN 200 WORKERS WERE REPORTEDLY KILLED.

MR CHAN SAID OWNERS OF NOTIFIABLE WORKPLACES WOULD COMMIT AN OFFENCE UNDER REGULATION 5 OF THE FACTORIES AND INDUSTRIAL UNDERTAKINGS (FIRE PRECAUTIONS IN NOTIFIABLE WORKPLACES) REGULATIONS IF THEY FAILED IN THE MAINTENANCE OF FIRE ESCAPES WITHOUT REASONABLE EXCUSE.

’’UPON CONVICTION, PROPRIETORS CONTRAVENING THIS REGULATION ARE LIABLE TO A FINE OF $30,000 AND TO IMPRISONMENT FOR SIX MONTHS,” HE ADDED.

MR CHAN ALSO REMINDED OWNERS OF NOTIFIABLE WORKPLACES NOT TO CARRY OUT ANY UNAUTHORISED ALTERATION OR ADDITION TO THF PREMISES OF THE WORKPLACE WHICH MIGHT CREATE A SERIOUS RISK OF THE SPREAD OF FIRE OR SMOKE, OR AN OBSTRUCTION OF FREE PASSAGEWAY TO A MEANS OF ESCAPE I ROM THE WORKPLACE.

”TO PREVENT A DOMINO EFFECT RESULTING FROM A STAMPEDE OF WORKERS ESCAPING FROM A FIRE IN A MULTI-STOREY INDUSTRIAL BUILDING, PROPRIETORS SHOULD TAKE ALL NECESSARY PRECAUTIONS RELATING TO GENERAL FIRE SAFETY FOR THEIR EMPLOYEES AND CARRY OUT REGULAR INSPECTIONS ON STAIRWAYS OF WORKPLACES TO ENSURE THAT THEY ARE FREE FROM OBSTRUCTION.

’’GENERALLY, PEOPLE ESCAPING FROM A FIRE TEND TO USE THE WAY THEY ENTER THE WORKPLACE.

” IT IS NOT UNUSUAL TO FIND MANY ESCAPEES FROM A FIRE GOT THEMSELVES TRAPPED AND ENTANGLED UP IN A STAIRWAY BECAUSE THEY ALL HEADED FOR THE SAME ROUTE THEY WERE FAMILIAR WITH ONLY To FIND THAT IT WAS NOT WIDE ENOUGH FOR EVACUATING A LARGE NUMBER OF PEOPLE COMING OUT AT THE SAME TIME,” HE ADDED.

HE ADVISED THAT ALL WORKERS IN THF WORKPLACE SHOULD BE REMINDED FROM TIME TO TIME TO MAKE FULL USE OF ALL AVAILABLE STAIRWAYS INSTEAD OF USING ONE IN CASE OF AN EMERGENCY.

”TO AROUSE GREATER AWARENESS OF FIRE SAFETY AMONG WORKERS, FIRST-AID FIRE-FIGHTING TEAMS SHOULD BE SET UP WITHIN THE BUILDING AND FIRE DRILLS SHOULD BE ARRANGED FROM TIME TO TIME PARTICULARLY DURING DRY SEASON. WHERE NECESSARY ADVICE FROM THF FIRE SERVICES DEPARTMENT SHOULD BE SOUGHT," HE SAID.

/HE SAID .......

WEDNESDAY, MAY 12, 1993

HE SAID THAT IE A EIRE BREAKS OUT ON THE UPPER FLOOR OF AN INDUSTRIAL BUILDING, WORKERS ON THE LOWER FLOORS SHOULD BE DIRECTED TO GO DOWN THE BUILDING BY MAKING AS MUCH USE OF THE ALTERNATIVE STAIRWAYS AS POSSIBLE.

"IF THE FIRE OCCURS AT A LOW LEVEL, UPPER FLOOR OCCUPANTS SHOULD BE RETREATED TO A PLACE OF SAFETY UPWARD BY USING ALL AVAILABLE STAIRWAYS."

"THEREFORE, IT IS EXTREMELY IMPORTANT THAT PROPRIETORS SHOULD MAKE SURE ALL FIRE ESCAPES OF WORKPLACES ARE FREE FROM OBSTRUCTION AND THAT ALL EXITS, STAIRWAYS AND ROOFTOPS, ARE MAINTAINED SERVICEABLE AT ALL TIMES," HE ADDED.

MR CHAN SAID THE LABOUR DEPARTMENT WAS LAUNCHING A SPECIAL INSPECTION CAMPAIGN ON FACTORIES AS PART OF ITS CONTINUED EFFORTS TO PROMOTE SAFETY AWARENESS AMONG EMPLOYERS AND EMPLOYEES AND TO FURTHER IMPROVE SAFETY IN FACTORIES.

DURING THE CAMPAIGN, EMPLOYERS AND EMPLOYEES WILL BE ADVISED OF THEIR RESPONSIBILITIES IN COMPLYING WITH THE SAFETY REQUIREMENTS UNDER THE LAW.

IN ADDITION, FACTORY INSPECTORS WILL CONCENTRATE THEIR ATTENTION ON HIGH-RISK PLANTS AND PROCESSES IN FACTORIES, AND ALSO SAFETY PRACTICES AND PERFORMANCE IN HOUSEKEEPING, MEANS OF ESCAPE, USE OF CHEMICALS AND FIRE HAZARDS.

"RIGOROUS ENFORCEMENT ACTIONS WILL BE TAKEN AGAINST FACTORIES WITH UNSAFE WORKING CONDITIONS WHICH ARE LIKELY TO CAUSE ACCIDENTS," HE SAID.

HE STRESSED THAT PROSECUTIONS WOULD BE TAKEN OUT BY FACTORY INSPECTORS, WITHOUT HESITATION, AGAINST BLATANT OFFENDERS WHO REPEATEDLY TURNED A BLIND EYE TO THE REQUIRED SAFETY MEASURES.

NEED TO MONITOR LEGAL AID ASSIGNMENTS *****

A DEPARTMENTAL COMMITTEE HAS BEEN SET UP TO MONITOR THE ASSIGNMENT OF' LEGAL AID WORK TO THE PRIVATE SECTOR, A LEGAL AID DEPARTMENT SPOKESMAN SAID TODAY (WEDNESDAY).

"THE OBJECT OF THE COMMITTEE IS TO SAFEGUARD AGAINST ANY ACCUSATIONS OF FAVOURITISM AND TO DEVELOP AND MAINTAIN A FAIR, EQUITABLE AND CORRUPTION-FREE SYSTEM WHICH WILL ASSIST IN ENSURING THE CLIENTS AND THE TAXPAYERS THE REST VALUE-FOR-MONEY," THE SPOKESMAN ADDED.

CLIENTS’ INTERESTS WILL ALWAYS COME

FIRST, HE ADDED.

/"THE COMMITTEE

WEDNESDAY, MAY 12, 1993

7

"THE COMMITTEE WILL ENSURE THAT LEGAL AID CLIENTS ARE GIVEN THE MOST SUITABLE COUNSEL, SOLICITORS AND EXPERTS."

HOWEVER, AS PUBLIC FUNDS ARE INVOLVED, THE ALLOCATION OF WORK MUST ALSO BE SEEN TO BE FREE FROM ANY FAVOURITISM.

"MOREOVER, WHERE THERE IS A POOL OF COMPETENT EXPERTISE AVAILABLE FOR HANDLING A CASE, CONSIDERATION SHOULD ALSO BE GIVEN TO WHETHER THE WORK COULD BE SPREAD OUT MORE EVENLY," HE SAID.

IN VIEW OF THE NUMBER OF AVAILABLE PRACTITIONERS ON THE LEGAL AID PANEL, THE SPOKESMAN SAID IT WOULD OF COURSE NOT BE POSSIBLE TO ENSURE THAT EVERY AVAILABLE PRACTITIONER OBTAINS A SHARE.

BUT WITHOUT COMPROMISING CLIENTS’ INTERESTS, CONSIDERATION COULD BE GIVEN TO TAPPING THE AVAILABLE POOL OF EXPERTISE MORE FULLY," HE ADDED.

-----0------

SA PO ROAD SITE TO LET *****

THE BUILDINGS AND LANDS DEPARTMENT IS INVITING TENDERS FOR THE SHORT-TERM TENANCY OF A PIECE OF GOVERNMENT LAND ON SA PO ROAD, KOWLOON.

WITH AN AREA OF ABOUT 2,340 SQUARE METERS, THE LAND IS INTENDED FOR USE AS A PUBLIC FEE-PAYING PARKING AREA FOR VEHICLES, EXCLUDING CONTAINER VEHICLES.

THE TENANCY IS FOR THREE YEARS, RENEWABLE QUARTERLY AFTERWARDS.

CLOSING DATE FOR SUBMISSION OF TENDERS IS NOON ON MAY 28.

TENDER FORMS, TENDER NOTICE AND CONDITIONS CAN BE OBTAINED FROM THE DISTRICT LANDS OFFICE, KOWLOON EAST, 1OTH FLOOR, YAU MA TEI CARPARK BUILDING, 250 SHANGHAI STREET, KOWLOON OR THE BUILDINGS AND LANDS DEPARTMENT, 14TH FLOOR, MURRAY BUILDING, GARDEN ROAD.

THE RELATED PLAN FOR THE TENDER IS ALSO AVAILABLE FOR INSPECTION AT THE OFFICES.

--------0------------

/8 ........

WEDNESDAY, MAY 12, 1993

8 -

APRIL AIR QUALITY REPORT RELEASED

* * * * *

THE ENVIRONMENTAL PROTECTION DEPARTMENT TODAY (WEDNESDAY) RELEASED AIR QUALITY INFORMATION FOR APRIL.

A SPOKESMAN FOR THE DEPARTMENT SAID THE PURPOSE OF THE ANNOUNCEMENT WAS TO KEEP THE PUBLIC INFORMED OF THE AIR QUALITY LEVELS IN THE TERRITORY AND TO EXPLAIN THE MEASUREMENTS.

THE ANNOUNCEMENT NORMALLY CONTAINS MONITORING RESULTS OBTAINED AT ITS MONG KOK, CENTRAL/WESTERN AND KWAI CHUNG MONITORING STATIONS.

THESE LOCATIONS ARE TYPICAL OF THREE OF THE IMPORTANT LAND USE TYPES FOUND IN THE TERRITORY, NAMELY:

* LOCATIONS CLOSE TO ROAD TRAFFIC IN BUILT-UP URBAN DISTRICTS;

» COMBINED COMMERCIAL AND RESIDENTIAL DISTRICTS; AND

* DISTRICTS CLOSE TO INDUSTRIAL AREAS.

THE REPORTED AIR POLLUTANTS INCLUDE SULPHUR DIOXIDE (SO2), NITROGEN DIOXIDE (NO2), RESPIRABLE SUSPENDED PARTICULATES (RSP) AND TOTAL SUSPENDED PARTICULATES (TSP). THE GASEOUS POLLUTANTS ARE MONITORED CONTINUOUSLY WHILE PARTICLE SAMPLES ARE COLLECTED FOR 24 HOURS, ONCE EVERY SIX DAYS.

IN APRIL THERE WERE NO EXCEEDANCES OF THE 24-HOUR AIR QUALITY OBJECTIVES FOR ANY OF THE POLLUTANTS REPORTED, EVEN THOUGH THERE WERE DAYS WITH LOW WIND SPEEDS, NORMALLY THE CONDITIONS THAT ALLOW POLLUTANT CONCENTRATIONS TO INCREASE.

DUST LEVELS WERE MUCH LOWER THAN LAST YEAR.

THIS IS THOUGHT TO BE BECAUSE LAST YEAR THERE WAS A DUST EPISODE OF SEVERAL DAYS THAT BROUGHT IN LARGE AMOUNTS OF DUST, AND ALSO BECAUSE THIS YEAR THE RELATIVE HUMIDITY WAS HIGHER.

EVEN SO, CONCENTRATIONS OF TSP AT MONG KOK WERE A SIGNIFICANT PROPORTION OF THE 24-HOUR AIR QUALITY OBJECTIVE.

CONCENTRATIONS OF THE SMALLER RESPIRABLE SUSPENDED PARTICULATES WERE SIMILAR AT ALL THREE SITES.

CONCENTRATIONS OF THE GASEOUS SPECIES AT CENTRAL/WESTERN AND KWAI CHUNG FOLLOWED SIMILAR TRENDS TO EACH OTHER INDICATING THAT METEOROLOGY WAS THE DRIVING FORCE FOR THE OBSERVED LEVELS.

THE PEAK ON THE 21ST AND 22ND OF THE MONTH WAS ASSOCIATED WITH LIGHT WINDS THAT WERE DRIER THAN AVERAGE.

THE FOUR POLLUTANTS DISCUSSED HAVE DIFFERENT ORIGINS. SO2 MOSTLY ORIGINATES FROM THE COMBUSTION OF SULPHUR CONTAINING FOSSIL FUELS. NO2 IS FORMED EITHER DIRECTLY DURING COMBUSTION OR, BY THE ATMOSPHERIC OXIDATION OF NITRIC OXIDE (NO) WHICH IS ALSO PRODUCED DURING COMBUSTION.

/VEHICLE EXHAUST ........

WEDNESDAY, MAY 12, 1993

- 9 -

VEHICLE EXHAUST IS A MAJOR SOURCE OF NO AND NO2 . IT IS ALSO A MAJOR SOURCE OF AIRBORNE PARTICLES; OTHER SOURCES INCLUDE INDUSTRY, FURNACES AND BOILERS, CONSTRUCTION ACTIVITIES, THE SEA AND SOIL DUST.

THE DEPARTMENT CURRENTLY MONITORS AIR QUALITY CONTINUOUSLY AT 11 STATIONS, INCLUDING THE THREE MENTIONED ABOVE. SHORT-TERM MEASUREMENT CAMPAIGNS ARE ALSO UNDERTAKEN AS AND WHERE THE NEED ARISES.

NOTE TO EDITORS:

FURTHER ENQUIRY CAN BE DIRECTED TO PRINCIPAL ENVIRONMENTAL PROTECTION OFFICER, MR RAYMOND LEUNG ON TEL 594 6401.

-----0------

256 VIETNAMESE BACK HOME TODAY

*****

A GROUP OF 256 VIETNAMESE MIGRANTS TODAY (WEDNESDAY) RETURNED TO VIETNAM UNDER THE UNHCR’S VOLUNTARY REPATRIATION PROGRAMME.

COMPRISING 86 MEN, 71 WOMEN, 50 BOYS AND 49 GIRLS, THEY WERE THE 152ND BATCH TO GO BACK UNDER THE PROGRAMME.

THE GROUP BROUGHT TO 2,783 THE TOTAL NUMBER OF VIETNAMESE MIGRANTS WHO HAVE RETURNED VOLUNTARILY THIS YEAR, AND TO 29,095 THE TOTAL NUMBER OF RETURNEES SINCE THE PROGRAMME STARTED IN MARCH 1989.

--------0-----------

NORTH POINT UNAUTHORISED STRUCTURE TO BE CLOSED

******

THE BUILDING AUTHORITY IS SEEKING TO CLOSE AN UNAUTHORISED STRUCTURE AT A BUILDING IN NORTH POINT SO THAT IT CAN BE DEMOLISHED WITHOUT CAUSING DANGER TO THE OCCUPIERS AND THE PUBLIC.

THE UNAUTHORISED STRUCTURE IS AN EXTENSION OF FLAT A2 ON THE SIXTH FLOOR OF KING’S TOWERS AT 480 KING’S ROAD AND 15-23A TSAT TSZ MUI ROAD.

NOTICE OF INTENTION TO APPLY FOR A CLOSURE ORDER FROM THE HONG KONG DISTRICT COURT UNDER THE BUILDINGS ORDINANCE ON JUNE 3 WAS POSTED ON THE PREMISES TODAY (WEDNESDAY).

IT IS EXPECTED THAT DEMOLITION WORKS WILL START AS SOON AS THE CLOSURE ORDER IS ISSUED.

--------0-----------

/10.........

WEDNESDAY, MAY 12, 1993

- 10 -

FINANCE COMMITTEE MEETS ON FRIDAY

******

THE FINANCE COMMITTEE WILL HOLD A MEETING AT 2.30 PM ON FRIDAY (MAY 14) IN THE LEGISLATIVE COUNCIL CHAMBER.

MEMBERS OF THE PUBLIC ARE WELCOME TO OBSERVE THE PROCEEDINGS FROM THE CHAMBER’S PUBLIC GALLERY. THEY MAY RESERVE SEATS BY CALLING 869 9492.

-----0-------

SALT WATER CUT IN TAI *****

PO

SALT WATER SUPPLY TO SOME PREMISES IN TAI PO WILL GO OFF FROM 10 PM ON FRIDAY (MAY 14) TO 6 AM THE FOLLOWING DAY TO FACILITATE WASTE DETECTION WORK ON WATER MAINS.

THE SUSPENSION WILL AFFECT ALL THE PREMISES AT ON PO ROAD, ON PO LANE, FU SHIN ESTATE, MING NGA COURT, SUN HING GARDEN, TAI PO POLICE STATION AND NEW TERRITORIES REGIONAL POLICE HEADQUARTERS.

--------0 -

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS *****

$ MILLION

OPENING BALANCE IN THE ACCOUNT 1,695

REVERSAL OF LAF +455

BALANCE AFTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -600

CLOSING BALANCE IN THE ACCOUNT 1,550

LAF RATE 2.00 B1D/4.00 OFFER TWI 112.3 *+0.1* 12.5.93

/HONG KONG ........

WEDNESDAY, MAY 12, 1993

- 11 -

HONG KONG GOVERNMENT EXCHANGE FUND

EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.48 PCT 12 MONTHS 2405 5.50 102.46 3.05

1 MONTH 2.72 PCT 15 MONTHS 2408 4.375 101.46 3.21

3 MONTHS 2.79 PCT 18 MONTHS 2411 4.625 101.79 3.43

6 MONTHS 2.91 PCT 21 MONTHS 2502 4.75 101.93 3.64

12 : MONTHS 3.06 PCT

TOTAL TURNOVER OF BILLS AND BONDS - 9,328MN

CLOSED 12 MAY 1993

--------0

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

SUPPLEMENT

WEDNESDAY, MAY 12, 1993

LEGISLATIVE COUNCIL:

STI IN MFN MOTION DEBATE ......................................... i

SEM ON COLLECTIVE BARGAINING ....................................  5

BILL ON NOISE CONTROL ............................................ 7

PROPOSAL TO ADJOURN COURT CASES IN HEAVY RAINSTORMS .............. 8

BUILDINGS (AMENDMENT) BILL ....................................... 9

CONTRACTING OUT OF PARKING METER MANAGEMENT ..................... 10

DEBT RECOVERING PROCEDURES EFFECTIVE ............................ 10

LEGCO TOLD OF ELECTIONS TALKS .................................... n

S2M ON CANCER PREVENTION EDUCATION .............................. 12

GOVERNMENT CONCERNED ABOUT LANDSLIDES ........................... 12

SCHOOLS TO DECIDE ON INSTRUCTION MEDIUM BY 1994/95 .............. 13

OVER 2,000 ILLEGAL IMMIGRANTS CAUGHT AT WORKPLACE ............... 14

/EMPLOYMENT VISAS

EMPLOYMENT VISAS FOR OVERSEAS WORKERS .......................... 15

LOCAL RECRUITMENT OF NURSES SATISFACTORY ....................... 15

YOUTH ADVISED TO STAY AWAY FROM DRUGS .......................... 16

CONTROL ON LIFTING APPLIANCES TO BE STREAMLINED ................ 17

STUDY ON OPEN STORAGE USES ..................................... 19

"FAST TRACK" PROCEDURE USED BY LAW REFORM COMMISSION ........... 19

MOTOR VEHICLE INSURANCE FOR HANDICAPPED DRIVERS ................ 20

DIVIDEND PAYMENT HAS NO IMPACT ON KCRC FARE .................... 21

NO PLAN TO REVISE POLICY ON POLITICAL ADVERTISEMENTS ........... 22

SCHOOLS ENCOURAGED TO TEACH PUTONGHUA .......................... 23

MOBILE PHONE MARKET HAS DISCIPLINE ............................. 23

METAL INDUSTRY WELL-EQUIPPED TO MEET DEMANDS ................... 24

POST OFFICE COMMITTED TO PRODUCTIVITY IMPROVEMENT PROGRAMME . 25

MFN MOTION PASSED IN LEGCO

26

WEDNESDAY, MAY 12, 1993

1 -

STI IN MFN MOTION DEBATE

*****

I

FOLLOWING IS THE SPEECH BY THE SECRETARY FOR TRADE AND INDUSTRY, MR T H CHAU, IN THE LEGISLATIVE COUNCIL MOTION DEBATE ON THE RENEWAL OF THE MOST-FAVOURED-NATION STATUS FOR ('HINA:

MR PRESIDENT,

I WOULD LIKE TO START BY ASSURING MS EMILY LAU THAT I AM SPEAKING IN THIS DEBATE NOT BECAUSE I DO NOT AGREE WITH LORD TENNYSON’S PREFERRED SUBJECT FOR SPRING BUI’ BECAUSE IT HAPPILY FALLS UPON ME THE SECRETARY FOR TRADE AND INDUSTRY TO RESPOND ON BEHALF OF THE GOVERNMENT. HONOURABLE MEMBERS WHO HAVE SPOKEN IN THIS DEBATE HAVE ALL RECOGNISED THE IMPORTANCE TO OUR ECONOMY OF CHINA’S MOST-FAVOUREDNATION TARIFF STATUS IN THE UNITED STATES. MANY REFERENCES HAVE BEEN MADE TO THE DAMAGE THAT COULD BE CAUSED TO HONG KONG’S ECONOMY IF MFN WERE TO BE TERMINATED. I DO NOT INTEND TO REPEAT ANY OF THIS.

FOR THE PURPOSE OF A RATIONAL DEBATE AND IN ORDER TO APPRECIATE THE PARTICULARLY DIFFICULT SITUATION IN WHICH WE FIND OURSELVES THIS YEAR, 1 FEEL IT IS NECESSARY TO LOOK BACK BRIEFLY AT WHAT HAPPENED IN THE LAST TWO YEARS. WITH THE BENEFIT OF HINDSIGHT, I CAN SAY THAT WE HAD A RELATIVELY EASY TASK IN THE PAST. PRESIDENT BUSH WAS CLEAR AND FIRM IN HIS POLICY OF RENEWING CHINA’S MFN STATUS WITHOUT CONDITIONS. THE DEMOCRAT-CONTROLLED CONGRESS WAS EQUALLY DETERMINED TO IMPOSE

CONDITIONS THROUGH LEGISLATION. THE U.S. ADMINISTRATION’S STRATEGY WAS VERY SIMPLE - THE PRESIDENT WOULD VETO ANY CONDITIONALITY BILL PASSED BY CONGRESS AND SUSTAIN THAT VETO BY SECURING NOT LESS THAN 34

VOTES IN THE SENATE. ALL THAT HONG KONG HAD TO DO WAS TO SUPPORT THE U.S. ADMINISTRATION BY LOBBYING SELECTED SENATORS IN ORDER TO ENSURE THAT NO LESS THAN 34 OF THEM SUPPORTED THE PRESIDENT’S VETO. AND PRESIDENT BUSH’S STRATEGY WAS SUCCESSFUI IN BOTH 1991 AND 1992. BUT DID WE ]N THE HONG KONG GOVERNMENT CLAIM ANY OF THE CREDIT FOR THOSE SUCCESSES? OF COURSE NOT! WE WERE NOT SO NAIVE. WE FULLY RECOGNISED THAT THE HONG KONG FACTOR, ALTHOUGH SIGNIFICANT, WAS NOT A DECISIVE ARGUMENT LN THE MFN DEBATE AND THAT THE OUTCOME WOULD BE DICTATED BY THE UNITED STATES’ OWN INTERESTS. AND THAT WAS WHY ONE OF THE MAIN PLANKS OF OUR LOBBYING STRATEGY WAS TO ALLY OURSELVES WITH A COALITION OF U.S. BUSINESSES WHICH HAD HUGE FINANCIAL INTERESTS LINKED TO THE MFN ISSUE AND HAD INFINITELY GREATER INFLUENCE THAN HONG KONG IN WASHINGTON.

I

/ALL THAT ..........

WEDNESDAY, MAY 12, 1993

2

ALL THAT CHANGED WITH THE ELECTION OE PRESIDENT CLINTON, WHO HAD MADE HIS POSITION ON CHINA VERY CLEAR DURING HIS ELECTION CAMPAIGN. IT WAS NECESSARY TO REVIEW OUR POLICY AND STRATEGY. WE CAME TO THE CONCLUSION THAT WE SHOULD CONTINUE TO SUPPORT UNCONDITIONAL MFN RENEWAL FOR SEVERAL REASONS. THE FIRST IS THAT MFN IS THE NORMAL CONDITION FOR INTERNATIONAL TRADE AND IS NOT A PREFERENTIAL TREATMENT. SECONDLY, WE BELIEVE THAT TRADE ISSUES SHOULD NOT BE POLITICISED AND THAT MFN IS NOT THE RIGHT TOOL TO ACHIEVE OTHER POLICY OBJECTIVES, REGARDLESS OF THE MERITS OR OTHERWISE OF THOSE OBJECTIVES. OF COURSE THE HONG KONG GOVERNMENT CARES ABOUT HUMAN RIGHTS. WE BELIEVE HOWEVER THAT MFN SHOULD NOT BE USED AS A LEVERAGE ON THAT ISSUE. THIRDLY, BECAUSE CHINA HAS CONSISTENTLY REJECTED THE ATTACHING OF CONDITIONS TO HER MFN STATUS, A CONDITIONAL RENEWAL COULD BE TAKEN BY BUSINESSMEN AND INVESTORS AS AN ADVANCE NOTICE TO PHASE OUT OPERATIONS AND INVESTMENTS IN CHINA, THEREBY DAMAGING HONG KONG’S ECONOMY EVEN BEFORE MFN HAS BEEN REVOKED. FOURTHLY, THE U.S. BUSINESS COMMUNITY IS AGAIN LOBBYING VIGOROUSLY FOR UNCONDITIONAL MFN THIS YEAR IN SPITE OF ALL THAT THE CLINTON ADMINISTRATION HAS SAID IN FAVOUR OF ATTACHING CONDITIONS SINCE ASSUMING OFFICE. GIVEN HONG KONG’S VERY LIMITED INFLUENCE IN WASHINGTON, IT IS OBVIOUSLY NECESSARY FOR US TO RETAIN THE SUPPORT OF THE U.S. BUSINESS COALITION AND ACT IN CONCERT WITH IT. FIFTHLY, STRONG SUPPORT FOR UNCONDITIONAL RENEWAL IS REQUIRED TO COUNTERBALANCE THE EFFORTS OF THOSE WHO ARE ARGUING EITHER FOR REVOCATION OF MFN OR FOR STRINGENT CONDITIONS TO BE IMPOSED.

MR PRESIDENT I MAY NOT BE AS CLEVER AS I THINK I AM, BUT I AM CERTAINLY NOT AS NAIVE NOR AS UNREALISTIC AS SOME PEOPLE MAY THINK I AM. WE HAVE GONE INTO THIS YEAR’S LOBBYING EXERCISE WITH OUR EYES OPEN. WE ARE FULLY AWARE OF THE IMMENSE ODDS AGAINST UNCONDITIONAL RENEWAL. WE HAVE KNOWN ALL ALONG THAT PRESIDENT CLINTON IS EXTREMELY UNLIKELY TO FOLLOW THE POLICY OF II IS PREDE('ESSOR. BUT I ALSO KNOW THAT IF WE BELIEVE SOMETHING TO BE RIGHT, AND GOOD FOR HONG KONG, THEN WE SHOULD AIM FOR IT DESPITE THE ODDS AND STRIVE FOR IT CEASELESSLY UNTIL THE OUTCOME IS KNOWN.

MR PRESIDENT, IT IS AGAINST THIS BACKGROUND THAI’ HONG KONG’S LOBBYING EFFORTS THIS YEAR SHOULD BE SEEN AND JUDGED. A GREAT DEAL HAS BEEN DONE, BOTH BY THE HONG KONG GOVERNMENT AND BY HONG KONG’S BUSINESS SECTOR. THOSE EFFORTS HAVE BEEN WELL PUBLICISED AND, WITH ONE EXCEPTION, I WILL NOT TAKE UP HONOURABLE MEMBERS' TIME BY REPEATING THEM HERE. THOSE EFFORTS CULMINATED IN THE GOVERNOR’S VISIT TO THE UNITED STATES LAST WEEK. BEFORE TOUCHING ON THE GOVERNOR’S VISIT, 1 WOULD LIKE ONE COMMENT TO BE PLACED ON RECORD, IN VIEW OF THE MISUNDERSTANDING THAT HAS APPARENTLY ARISEN IN CERTAIN QUARTERS. MY COMMENT IS THAT, AS FAR AS THE HONG KONG GOVERNMENT IS CONCERNED, ALL OUR LOBBYING EFFORTS ARE MADE ON BEHALF OF HONG KONG’S INTERESTS ALONE. WE RECOGNISE THAI’ THE MFN ISSUE IS PRIMARILY A BILATERAL MATTER BETWEEN THE U.S. AND CHINA AND WE HAVE NO RIGHT AND NO WISH TO INTERFERE. BUT THE POSSIBLE DAMAGE TO HONG KONG’S ECONOMY, WHICH IS PROPORTIONALLY GREATER THAN THAT WHICH MFN REVOCATION MIGHT CAUSE TO CHINA’S OWN ECONOMY, IS FOR US A COMPELLING STORY WHICH NEEDS TO BE TOLD, AND TOLD IN THE MOST FORCEFUL TERMS.

/THIS BRINGS .......

WEDNESDAY, MAY 12, 1993

3

THIS BRINGS ME TO THE GOVERNOR’S VISIT. AS HONOURABLE MEMBERS ARE AWARE, THE GOVERNOR WILL BE HERE TOMORROW TO GIVE HIS OWN ACCOUNT OF HIS VISIT AND IT IS FOR HIM TO GIVE HIS OWN ASSESSMENT OF THE OUTCOME OF THAT VISIT. HOWEVER, SOME COMMENTS IN THE MEDIA IN RECENT DAYS HAVE PROMPTED ME TO MAKE A FEW POINTS ON THE GOVERNOR’S VISIT, IN ORDER TO HAVE THEM INCLUDED IN THE RECORD OF THIS DEBATE. AT THE RISK OF BEING LABELLED A SYCOPHANT, I WOULD LIKE TO SAY THAT THE GOVERNOR HAS ACHIEVED HIS OBJECTIVE. WHAT WAS THAT OBJECTIVE? IT WAS TO PUT HONG KONG’S ARGUMENTS FOR UNCONDITIONAL RENEWAL TO AMERICAN DECISIONMAKERS AND LEGISLATORS AT THE HIGHEST LEVELS, SO AS TO ENSURE THAT HONG KONG’S POSITION WOULD BE A FACTOR, HOWEVER SMALL, IN THE CONSIDERATION OF U.S. POLICY ON CHINA’S MFN STATUS.

GIVEN THIS OBJECTIVE, THE GOVERNOR’S VISIT WAS EXTREMELY WELL-TIMED. THE MFN DEBATE WITHIN THE U.S. ADMINISTRATION HAD GONE PAST THE LEVEL OF DEPUTY SECRETARIES AND WAS MAKING ITS WAY UPWARDS TOWARDS THE TOP, AGAINST A DEADLINE OF 3 JUNE BY WHICH PRESIDENT CLINTON MUST ANNOUNCE HIS DECISION. TWO BILLS SEEKING TO IMPOSE CONDITIONS HAD BEEN INTRODUCED IN CONGRESS. THE GOVERNOR WAS ABLE TO GAIN ACCESS TO THE HIGHEST LEVELS IN BOTH THE U.S. ADMINISTRATION AND THE U.S. CONGRESS SO AS TO ENSURE THAT HONG KONG’S POSITION WOULD BE TAKEN FULLY INTO ACCOUNT.

A SUBSIDIARY OBJECTIVE OF THE GOVERNOR WAS TO PUT ACROSS TO HIS INTERLOCUTORS HIS FIRM POSITION THAT HONG KONG’S CONSTITUTIONAL DEVELOPMENT SHOULD NOT BE LINKED WITH CHINA’S MFN STATUS. IN THE GOVERNOR’S OWN WORDS, ’’YOU CANNOT HELP HONG KONG BY DAMAGING ITS ECONOMY”. THE U.S. ADMINISTRATION UNDERTOOK TO TAKE HONG KONG’S

POSITION FULLY INTO ACCOUNT IN REACHING THEIR FINAL DECISION. WHERE CONGRESS IS CONCERNED, THE NEW YORK TIMES OF 9MAY QUOTED

CONGRESSWOMAN NANCY PELOSI, AUTHOR OF ONE OF THE TWO CONDITIONALITY BILLS, AS SAYING THAT SHE HAD BEEN PERSUADED BY THE GOVERNOR TO ADJUST HER PROPOSAL BY ELIMINATING ITS REFERENCES TO HONG KONG. TWO FINAL POINTS ON THE GOVERNOR’S VISIT, MR PRESIDENT. 1 REJECT CATEGORICALLY AND IN THE STRONGEST TERMS POSSIBLE THE COMMENT THAT THE GOVERNOR HAD RIDICULED CHINA DURING HIS STAY IN THE UNITED STATES. THE GOVERNOR OF COURSE DID NOTHING TO RIDICULE CHINA IN ANY WAY. ON THE CONTRARY, IN STANDING UP FOR HONG KONG’S OWN ECONOMIC INTERESTS, HE SPENT MUCH OF HIS TIME IN THE U.S. ARGUING FORCEFULLY FOR THE RENEWAL OF CHINA’S MFN STATUS. ONE HONOURABLE MEMBER QUOTED SOME OF THE GOVERNOR’S COMMENTS WHEN HE WAS IN WASHINGTON AND CAME TO THE ERRONEOUS CONCLUSION THAT AFTER HIS MEETING WITH PRESIDENT CLINTON, THE GOVERNOR HAD REFERRED ONLY TO THE PRESIDENT’S UNSOLICITED SUPPORT OF HIS CONSTITUTIONAL PROPOSAL AND DID NOT REFER TO THE MFN ISSUE AT ALL. THIS IS NOT TRUE. THIS MISUNDERSTANDING MIGHT HAVE BEEN ARISEN BECAUSE THE MEDIA WAS SELECTIVE IN ITS REPORTING OF THE GOVERNOR’S REMARKS. THE GOVERNOR’S PUBLIC COMMENTS IN THE U.S. ARE ON THE PUBLIC RECORD. RUT THE HONG KONG GOVERNMENT IS OF COURSE NOT IN A POSITION TO CONTROL WHICH OF HIS REMARKS ARE REPORTED BY THE MEDIA AND WHICH ARE NOT. THE GOVERNOR WENT TO WASHINGTON FOR THE STATED PURPOSE OF LOBBYING FOR THE UNCONDITIONAL RENEWAL OF MFN. THIS PURPOSE WAS FULLY AND ENTHUSIASTICALLY CARRIED OUT BY THE GOVERNOR. AND THAT TOO WAS ON THE PUBLIC RECORD. AS 1 HAVE EARLIER REMINDED HONOURABLE MEMBERS THE GOVERNOR WILL COME TO THIS CHAMBER TOMORROW TO SPEAK ABOUT HIS VISIT AND HONOURABLE MEMBERS WILL HAVE A CHANCE TO ASK QUESTIONS OF THE GOVERNOR PERSONALLY.

/SOME HONOURABLE .......

WEDNESDAY, MAY 12, 1993

4

SOME HONOURABLE MEMBERS HAVE COMMENTED ON THE LIKELY OUTCOME OF THIS YEAR’S MFN DEBATE IN THE U.S. THE SITUATION IS STILL A FLUID ONE. U.S. ASSISTANT SECRETARY OF STATE MR WINSTON LORD IS IN BEIJING RIGHT NOW FOR DISCUSSIONS WITH THE CHINESE AUTHORITIES, THE OUTCOME OF WHICH WILL CLEARLY HAVE A BEARING ON THE MFN ISSUE. THE DEMOCRATIC LEADERSHIP IN CONGRESS WOULD LIKE TO WORK WITH A DEMOCRATIC PRESIDENT AND LET HIM TAKE THE LEAD ON THE ISSUE. THERE ARE MANY IN CONGRESS WHO ARE PRESSING FOR CONDITIONAL RENEWAL. HOWEVER, AND THIS MAY COME AS A SURPRISE TO SOME HONOURABLE MEMBERS, THERE ARE ALSO A NOT INSIGNIFICANT NUMBER OF DEMOCRATIC SENATORS AND CONGRESSMEN WHO ARE ARGUING THE OPPOSITE CASE. THEY INCLUDE THE 14 DEMOCRATIC MEMBERS OF THE WAYS AND MEANS COMMITTEE OF THE HOUSE OF REPRESENTATIVES WHO RECENTLY SIGNED A LETTER ON MFN TO THE WHITE HOUSE WHICH STATED : "IT IS OUR FIRM BELIEF THAT IT IS IN THE BEST INTEREST OF THE UNITED STATES TO RENEW CHINA’S MFN STATUS UNCONDITIONALLY.” THERE IS ALSO INTENSE PRESSURE FOR UNCONDITIONAL RENEWAL FROM THE U.S. BUSINESS COMMUNITY. ALTHOUGH PRESIDENT CLINTON’S INCLINATIONS ARE CLEAR, HE HAS APPARENTLY NOT YET MADE UP HIS MIND. WITH THREE WEEKS TO GO BEFORE THE DEADLINE, IT STANDS TO REASON THAT HE WILL NOT MAKE A FINAL DECISION UNTIL HE HAS RECEIVED MR LORD’S REPORT ON THE OUTCOME OF HIS TALKS IN BEIJING. AND EVEN THEN, IT IS LIKELY FOR OBVIOUS REASONS, THE PRESIDENT WOULD NOT ANNOUNCE HIS DECISION UNTIL JUST BEFORE THE DEADLINE.

THE UNITED KINGDOM GOVERNMENT IS FULLY AWARE OF THE IMPORTANCE TO HONG KONG OF THE UNCONDITIONAL RENEWAL OF CHINA’S MFN STATUS. WHILE HONG KONG POSSESSES FULL AUTONOMY IN THE CONDUCT OF ITS EXTERNAL COMMERCIAL RELATIONS, THE UK GOVERNMENT HAS ALL ALONG BEEN VERY SUPPORTIVE OF HONG KONG’S STANCE AND HAS IN RECENT MONTHS EXPRESSED ITS SUPPORT TO THE U.S. GOVERNMENT AT VARIOUS LEVELS, INCLUDING THE HIGHEST LEVEL. THAT IS AS ONE HONOURABLE MEMBER HAS POINTED OUT BETWEEN THE PRIME MINISTER AND THE PRESIDENT. OUR ECONOMIC AND TRADE OFFICE AND THE BRITISH EMBASSY IN WASHINGTON HAVE ESTABLISHED A CLOSE WORKING RELATIONSHIP WITH EACH OTHER ON THIS VERY IMPORTANT ISSUE.

IN CONCLUDING MY COMMENTS ON THE MOTION, WHICH THE OFFICIAL MEMBERS SUPPORT, I WOULD LIKE TO STRESS THAT HONOURABLE MEMBERS MAY REST ASSURED THAT THERE WILL BE NO LET-UP TN THE GOVERNMENT’S EFFORTS TO LOBBY FOR UNCONDITIONAL RENEWAL OF MFN. IF THE MOTION IS CARRIED, WE WILL OF COURSE CONVEY IT TO THE UK GOVERNMENT AND HAVE NO DOUBT THAT THE UK GOVERNMENT WILL CONTINUE TO COMMUNICATE ITS SUPPORT OF HONG KONG’S POSITION TO THE U.S. GOVERNMENT AS NECESSARY.

THANK YOU.

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/5 .........

WEDNESDAY, MAY 12, 1993

- 5

SEM ON COLLECTIVE BARGAINING

******

FOLLOWING IS THE SPEECH BY THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, IN THE LEGISLATIVE COUNCIL ADJOURNMENT DEBATE ON COLLECTIVE BARGAINING:

MR PRESIDENT,

THIS DEBATE RAISES IMPORTANT ISSUES RELATED TO THE MECHANISM FOR CONDUCTING RELATIONS BETWEEN EMPLOYERS AND EMPLOYEES. IN TERMS OF THE QUALITY OF THOSE RELATIONS, HONG KONG, I AM PLEASED TO SAY, HAS ONE OF THE BEST RECORDS IN THE WORLD. THIS IS A SITUATION WHICH I AM SURE WE WILL ALL WANT TO SEE CONTINUE AND, INDEED, IMPROVE FURTHER. THIS IS THE SPIRIT IN WHICH 1 SHOULD LIKE TO DISCUSS THE SUBJECT.

COLLECTIVE BARGAINING HAS BEEN ESTABLISHED TN MANY COUNTRIES AS A LEGITIMATE AND STABLE FRAMEWORK FOR JOINT LABOUR-MANAGEMENT NEGOTIATION ON CONDITIONS OF EMPLOYMENT AND FOR RESOLVING CONFLICTING INTERESTS IN EMPLOYMENT RELATIONS. THE AVOWED MERITS OF COLLECTIVE BARGAINING ARE THAT IT PROVIDES A CHANNEL FOR WORKERS’ PARTICIPATION IN THE DECISION-MAKING PROCESS AND AN OPPORTUNITY FOR ENHANCING THE UNDERSTANDING OF THE PARTIES REGARDING EACH OTHER’S POSITION, OBJECTIVES AND PROBLEMS. ANOTHER SIGNIFICANT STRENGTH UNDERLYING COLLECTIVE BARGAINING IS ITS ABILITY TO ELICIT THE WORKERS’ CONSENT TO WORK UNDER THE TERMS OF AN AGREEMENT WHICH EMERGES FROM THE BARGAINING PROCESS, RESULTING IN STABLE EMPLOYMENT RELATIONS.

FORMAL AND INSTITUTIONALIZED COLLECTIVE BARGAINING EXISTS IN MANY COUNTRIES, ESPECIALLY THOSE WHERE EMPLOYERS AND EMPLOYEES HAVE BEEN ABLE TO ESTABLISH REPRESENTATIVE AND SELF-GOVERNING INSTITUTIONS FOR THE PURPOSE OF PROTECTING AND ADVANCING THEIR RESPECTIVE RIGHTS. IT IS INDEED A PREREQUISITE FOR THE SUCCESSFUL OPERATION OF COLLECTIVE BARGAINING THAT THOSE WHO PARTICIPATE IN THE PROCESS DO REPRESENT THE MAJORITY OF THE EMPLOYERS AND EMPLOYEES CONCERNED, AND THAT THE RESULTANT AGREEMENT IS BINDING ON ALL OF THEM. THUS, COLLECTIVE BARGAINING TENDS TO WORK EFFECTIVELY MAINLY IN AN ENVIRONMENT WHERE A SMALL NUMBER OF BUSINESSES EMPLOY LARGE NUMBERS OF PEOPLE, WHERE THE MAJORITY OF THE EMPLOYEES ARE REPRESENTED BY TRADE UNIONS AND WHERE BOTH SIDES CONSIDER IT MUTUALLY ADVANTAGEOUS TO AVOID THE TROUBLE AND EXPENSE OF NEGOTIATING AT THE LEVEL OF INDIVIDUAL ENTERPRISES.

/SUCH AN .......

WEDNESDAY, MAY 12, 1993

6

SUCH AN ENVIRONMENT CLEARLY DOES NOT EXIST IN HONG KONG, WHERE OVER 90% OF THE BUSINESS AND INDUSTRIAL ESTABLISHMENTS EMPLOY LESS THAN 20 EMPLOYEES. IN SUCH CIRCUMSTANCES, COLLECTIVE BARGAINING IS UNLIKELY TO BE THE MOST EFFECTIVE MEANS FOR THE WORKERS AND THEIR EMPLOYERS TO NEGOTIATE THEIR TERMS OF EMPLOYMENT. IT WOULD IN ANY CASE SEEM UNNECESSARY TO INTRODUCE COLLECTIVE BARGAINING IN AN ENTERPRISE WHERE PRACTICALITY EVERY WORKER IS INDIVIDUALLY ABLE TO NEGOTIATE DIRECT WITH THE EMPLOYER IN RESPECT OF HIS OR HER TERMS AND CONDITIONS. IF THE BARGAINING PROCESS IS TO BE CONDUCTED BEYOND THE ENTERPRISE LEVEL, PROBLEMS REGARD TNG THE RECOGNITION OF WORKERS’ ORGANIZATIONS OR TRADE UNIONS WOULD ARISE. THIS IS PARTICULARLY SO GIVEN THE RELATIVELY LOW RATE OF UNION PARTICIPATION IN HONG KONG. AS AT THE END OF 1992, ONLY 21 PER CENT OF THE WORKFORCE BELONGED TO TRADE UNIONS. ANY AGREEMENT REACHED THROUGH COLLECTIVE BARGAINING IN SUCH CIRCUMSTANCES WOULD BENEFIT ONLY A SMALL PROPORTION OF THE WORKFORCE IN THE PARTICULAR TRADE OR INDUSTRY IN QUESTION. ON THE OTHER HAND, SERIOUS PROBLEMS WOULD ARISE IF SUCH AGREEMENTS WERE TO BE EXTENDED, THROUGH LEGAL PROVISIONS, TO THOSE WHOSE VIEWS ARE NOT REPRESENTED BY TRADE UNIONS.

THUS, INSTEAD OF ADOPTING COLLECTIVE BARGAINING ON A FORMAL AND INSTITUTIONALIZED BASIS, THE HONG KONG GOVERNMENT HAS ADOPTED THE ALTERNATIVE APPROACH OF PROMOTING VOLUNTARY CONCILIATION OF DISPUTES AND THE ESTABLISHMENT OF JOINT CONSULTATIVE MACHINERY AT THE ENTERPRISE LEVEL.

WE FIRMLY BELIEVE THAT THIS APPROACH HAS ACHIEVED THE DESIRED RESULTS. IN LARGE ENTERPRISES SUCH AS PUBLIC UTILITY COMPANIES, MACHINERIES FOR JOINT CONSULTATION OFTEN EXIST WHEREBY ELECTED EMPLOYEE REPRESENTATIVES MEET REGULARLY WITH THE MANAGEMENT TO DISCUSS VARIOUS MATTERS RELATING TO EMPLOYMENT CONDITIONS, WELFARE AND WORK SAFETY.

THERE IS ALSO A WELL-ESTABLISHED AND ELABORATE STAFF CONSULTATIVE MACHINERY TN THE CIVIL SERVICE. OUR EXPERIENCE HAS GENERALLY PROVED THAT JOINT CONSULTATION IS AN EFFECTIVE MACHINERY FOR VOLUNTARY LABOUR-MANAGEMENT DIALOGUE AND NEGOTIATION AT THE PLANT LEVEL.

SEVERAL MEMBERS HAVE SUGGESTED THAT WE SHOULD INTRODUCE LEGISLATION TO GIVE EFFECT TO THE CONCEPT AND PRACTICE OF COLLECTIVE BARGAINING. I SUBMIT THAT LEGISLATION IS NEITHER A PREREQUISITE FOR THE SUCCESSFUL OPERATION OF COLLECTIVE BARGAINING NOR A REQUIREMENT OF INTERNATIONAL LABOUR CONVENTION NO. 9R CONCERNING THE APPLICATION OF THE PRINCIPLES OF THE RIGHT TO ORGANISE AND TO BARGAIN COLLECTIVELY.

ARTICLE 4 OF THE CONVENTION STATES THAT -

’’MEASURES APPROPRIATE TO NATIONAL CONDITIONS SHALL BE TAKEN, WHERE NECESSARY, TO ENCOURAGE AND PROMOTE THE FULL DEVELOPMENT AND UTILIZATION OF MACHINERY FOR VOLUNTARY NEGOTIATION BETWEEN EMPLOYERS OR EMPLOYERS’ ORGANIZATIONS AND WORKERS’ ORGANIZATIONS, WITH A VIEW TO THE REGULATION OF TERMS AND CONDITIONS OF EMPLOYMENT BY MEANS OF COLLECTIVE AGREEMENTS.”

/THIS ARTICLE .......

WEDNESDAY, MAY 12, 1993

THIS ARTICLE RECOGNISES THAT THERE CAN BE WIDE VARIATIONS IN THE CIRCUMSTANCES OF DIFFERENT COUNTRIES AND TERRITORIES AND THAT THERE CAN BE DIFFERENT APPROACHES TO THE NEGOTIATION AND REGULATION OF TERMS AND CONDITIONS OF EMPLOYMENT. WHILE LEGISLATION IS NO DOUBT ONE WAY OF PROMOTING COLLECTIVE BARGAINING, OTHER MEASURES APPROPRIATE TO LOCAL CONDITIONS CAN ALSO FULFIL THE SAME OBJECTIVE. AND THE APPROACH ADOPTED BY THE HONG KONG GOVERNMENT IS ENTIRELY CONSISTENT WITH OUR OBLIGATIONS UNDER THE CONVENTION.

MR LAU CHIN-SHEK HAS ALSO TOUCHED ON THE QUESTION OF THE PROTECTION OF EMPLOYEES INVOLVED IN TRADE UNION ACTIVITIES. THIS QUESTION IS ALSO COVERED BY INTERNATIONAL LABOUR CONVENTION NO. 98. PART IVA OF THE HONG KONG EMPLOYMENT ORDINANCE PROVIDES PROTECTION AGAINST ANTI-UNION DISCRIMINATION IN EMPLOYMENT, IN A MANNER WHICH IS CONSISTENT WITH THE PROVISIONS OF CONVENTION NO. 98. NONETHELESS, WE ARE TAKING A FURTHER LOOK AT THIS QUESTION, AND QUITE A FEW OTHERS, IN THE CONTEXT OF THE REVIEW WHICH I AM UNDERTAKING TO SEE WHAT LESSONS CAN BE LEARNT FROM THE CATHAY PACIFIC DISPUTE WHICH OCCURRED EARLIER THIS YEAR.

I CONCLUDE BY GOING BACK TO WHERE I STARTED. HONG KONG HAS ONE OF THE BEST RECORDS IN THE WORLD IN THE FIELD OF EMPLOYMENT RELATIONS. OUR APPROACH AND OUR PRACTICES ARE THEREFORE WELL TRIED AND WELL PROVEN. WHILE OUR MINDS SHOULD CERTAINLY NOT BE CLOSED TO ALTERNATIVE APPROACHES, I DO SUGGEST THAT WE SHOULD BE EXTREMELY CAREFUL IN CONSIDERING THEIR ADOPTION, SO AS TO ENSURE THAT ANY CHANGES WE MAKE WILL TRULY BE FOR THE BETTER.

THANK YOU, MR PRESIDENT.

------0-------

BILL ON NOISE CONTROL * * * * «

A BILL THAT SEEKS TO MAKE HONG KONG A LESS NOISY CITY IS INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MOVING THE SECOND READING OF THE NOISE CONTROL (AMENDMENT) BILL 1993, THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, SAID THE CONSTRUCTION ACTIVITY IN OR NEAR BUILT-UP AREAS WAS OFTEN A CONSIDERABLE NUISANCE TO NEARBY RESIDENTS.

DURING THE PAST THREE YEARS, THERE HAVE BEEN AN AVERAGE OF 1,200 ACTIVE CONSTRUCTION SITES IN THE TERRITORY AT ANY ONE TIME.

THE BILL PROVIDES THE BANNING OF PARTICULARLY NOISY CONSTRUCTION ACTIVITIES DURING THE RESTRICTED HOURS IN DESIGNATED AREAS WHICH ARE ESSENTIALLY EITHER POPULATED OR PARTICULARLY SENS ITIV E .

THESE ACTIVITIES INCLUDED THE ERECTION AND DISMANTLING OF FORMWORK OR SCAFFOLDING; LOADING, UNLOADING OR HANDLING OF RUBBLE STEEL BARS, WOOD OR SCAFFOLDING MATERIAL; AND HAMMERING.

/THE ISSUE ........

WEDNESDAY, MAY 12, 199-3

8

THE ISSUE OF PERMITS FOR THE USE OF CERTAIN POWERED MECHNICAL EQUIPMENT TN DESIGNATED AREAS WILL BE MORE RESTRICTIVE.

ACTIVITIES WHICH WILL COME UNDER TIGHTER CONTROL INCLUDE THE OPERATION OF DUMP TRUCKS, VIBRATORY POKERS, CONCRETE MIXER LORRIES, BULLDOZERS AND HAND-HELD PERCUSSIVE BREAKERS.

UNDER THE NEW SYSTEM, A PERMIT WILL NOT BE ISSUED FOR WORK DURING THE RESTRICTED HOURS UNLESS IT IS FOR ESSENTIAL PURPOSES OR HAS IMPORTANT IMPLICATIONS FOR THE COMMUNITY, SUCH AS EMERGENCY WORK ON UTILITY OR TRANSPORT SYSTEMS.

"THE GENERAL EFFECT OF THIS WILL BE TO BAN VIRTUALLY ALL NON-ESSENTIAL NOISY CONSTRUCTION ACTIVITY IN THE BUILT-UP AREAS DURING THE NIGHT AND HOLIDAYS, THEREBY PROVIDING MUCH-NEEDED RELIEF TO MANY RESIDENTS WHQ WOULD OTHERWISE CONTINUE TO SUFFER FROM NOISY CONSTRUCTION ACTIVITIES,” MR EASON SAID.

THE BILL WILL EMPOWER THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS TO ESTABLISH THE DESIGNATED AREAS, TO PRESCRIBE THE EXACT TYPES OF CONSTRUCTION ACTIVITY THAT REQUIRE A PERMIT, AND TO ISSUE TECHNICAL MEMORANDA FOR DESIGNATED AREAS.

MR EASON SAID THE PROPOSED LEGISLATION HAS THE SUPPORT OF THE ENVIRONMENTAL POLLUTION ADVISORY COMMITTEE AND THE CONSTRUCTION INDUSTRY HAS ALSO BEEN CONSULTED.

DEBATE ON THE BILL WAS ADJOURNED.

--------0 - - - -

PROPOSAL TO ADJOURN COURT CASES IN HEAVY RAINSTORMS *****

A BILL THAT SEEKS TO PROVIDE FOR THE ADJOURNMENT OF JUDICIAL PROCEEDINGS DURING A HEAVY RAINSTORM WAS INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MOVING THE SECOND READING OF THE JUDICIAL PROCEEDINGS (ADJOURNMENT DURING GALE WARNINGS) (AMENDMENT) BILL 1993, THE CHIEF SECRETARY, THE HON SIR DAVID FORD, SAID THE JUDICIARY WOULD FACE LOGISTICAL PROBLEMS IN TRANSFERRING PRISONERS OR PERSONS UNDER DETENTION FROM REMOTE LOCATIONS TO COURTS DURING A HEAVY RAINSTORM.

"IT IS THEREFORE CONSIDERED THAT JUDICIAL PROCEEDINGS SHOULD BE ADJOURNED DURING A ’RED’ OR A ’BLACK’ SIGNAL, AS IN THE EVENT OF A TROPICAL CYCLONE SIGNAL NO. 8, 9 OR 10," HE EXPLAINED.

THE ’RED’ AND ’BLACK’ RAINSTORM WARNINGS ARE PUBLIC WARNING SIGNALS OPERATED BY THE ROYAL OBSERVATORY SINCE LAST SUMMER.

WHEN THE ’RED’ WARNING IS ISSUED, THE PUBLIC ARE INFORMED THAI-HEAVY RAIN HAS CAUSED OR COULD CAUSE SERIOUS FLOODING AND TRAFFIC CONGESTION.

/IN THE ........

WEDNESDAY, MAY 12, 1993

9

IN THE EVENT OF A ’BLACK’ WARNING, THE PUBLIC ARE ADVISED TO STAY HOME OR TO TAKE SHELTER IN A SAFE PLACE, AS THE POOR WEATHER HAS CAUSED SERIOUS FLOODING.

DEBATE ON THE BILL WAS ADJOURNED.

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BUILDINGS (AMENDMENT) BILL

******

A BILL THAT SEEKS TO BETTER DEFINE THE POWERS OF THE BUILDING AUTHORITY AND STREAMLINE EXISTING PROCEDURES IS INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MOVING THE SECOND READING OF THE BUILDINGS (AMENDMENT) BILL 1993, THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, SAID THE BILL PROPOSED TO TRANSFER THE REGULATION-MAKING POWER FOR TECHNICAL AND PROCEDURAL MATTERS FROM THE GOVERNOR IN COUNCIL TO THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS.

IN VIEW OF THE INCREASINGLY COMPLEX NATURE OF BUILDING PROJECTS AND THE INCREASED CASELOAD DUE TO STEPPED-UP PROSECUTION, MORE TIME IS GENERALLY REQUIRED FOR THE INVESTIGATION OF POSSIBLE OFFENCES UNDER THE BUILDINGS ORDINANCE.

THE TIME LIMIT FOR COMMENCING PROSECUTION IS PROPOSED TO BE EXTENDED FROM SIX MONTHS TO 12 MONTHS.

THE BILL ALSO SEEKS TO DELETE PRESCRIBED FORMS IN THE BUILDINGS ORDINANCE OF WHICH MOST ARE ADMINISTRATIVE IN NATURE AND IMPOSE ADDITIONAL GEOTECHNICAL CONTROL ON BUILDING WORKS IN AN AREA IN MA ON SHAN.

THE BILL ALSO PROPOSES TO LOCALISE THE QUALIFICATION REQUIREMENTS FOR PROFESSIONALS TO MEET HONG KONG’S OBLIGATION IN THE CURRENT URUGUAY ROUND OF MULTILATERAL NEGOTIATIONS ON INTERNATIONAL TRADE IN SERVICES OF THE GENERAL AGREEMENT ON TARIFFS AND TRADE.

DEBATE ON THE BILL WAS ADJOURNED.

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/10.........

WEDNESDAY, MAY 12, 1993

CONTRACTING OUT OF PARKING METER MANAGEMENT

******

TWO BILLS THAT SEEK TO PROVIDE FOR THE CONTRACTING OUT OF THE PARKING METER MANAGEMENT WERE INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MOVING THE SECOND READING OF THE ROAD TRAFFIC (AMENDMENT) BILL 1993 AND THE FIXED PENALTY (TRAFFIC CONTRAVENTIONS) (AMENDMENT) BILL 1993, THE SECRETARY FOR TRANSPORT, MR MICHAEL LEUNG, SAID CONTRACTING OUT THE MANAGEMENT OF PARKING METERS TO THE PRIVATE SECTOR WOULD IMPROVE EFFICIENCY AND BRING ABOUT BETTER STANDARDS OF SERVICE TO THE PUBLIC.

HE SAID GOVERNMENT WOULD RETAIN CONTROL OVER THE APPROVAL OF METER TYPES, CHARGES, THE REMOVAL OF METERS, THEIR LOCATIONS AND FUTURE EXPANSION.

"THE POLICE WILL CONTINUE TO TAKE ENFORCEMENT ACTION AGAINST PARKING OFFENCES AS AT PRESENT," HE SAID.

THE ROAD TRAFFIC (AMENDMENT) BILL 1993 EMPOWERS THE PRIVATE CONTRACTOR TO MANAGE AND MAINTAIN PARKING METERS.

THE FIXED PENALTY (TRAFFIC CONTRAVENTIONS) (AMENDMENT) BILL 1993 ALLOWS THE PRIVATE CONTRACTOR TO SUSPEND THE USE OF PARKING SPACES, FOR OPERATIONAL REASONS.

AT PRESENT, THE GOVERNMENT OWNS AND OPERATES ABOUT 13,000 PARKING METERS.

DEBATES ON THE BILLS WERE ADJOURNED.

DEBT RECOVERING PROCEDURES EFFECTIVE *******

THE GOVERNMENT IS SATISFIED THAT THE PROCEDURES FOR SEEKING LEGAL RECOVERY OF DEBTS, AND THE POWERS OF THE COURT IN SUCH CASES, ARE EFFECTIVE IN ENABLING PLAINTIFFS TO RECOVER DEBTS, THE SECRETAR FOR SECURITY, MR ALISTAIR ASPREY, SAID.

"THE ADMINISTRATION HAS NOT, THEREFORE, GIVEN ANY CONSIDERATION TO SIMPLIFYING THESE LEGAL PROCEDURES," HE SAID.

MR ASPREY WAS REPLYING TO A QUESTION BY THE HON JAMES TO IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

/”WE ARE

WEDNESDAY, MAY 12, 1993

- 11 -

’’WE ARE HOWEVER CONCERNED ABOUT ALLEGATIONS OE DEBT COLLECTION COMPANIES RESORTING TO ILLEGAL. MEANS TO RECOVER DEBTS, ALTHOUGH IT IS NOT CLEAR WHETHER THE REASON MONEY LENDERS EMPLOY DEBT COLLECTING COMPANIES IS BECAUSE THEY ARE DISSATISFIED WITH THE LEGAL PROCEDURES INVOLVED IN THE RECOVERY OF DEBTS.

"WE ARE NOW EXAMINING THE NEED FOR SOME FORM OF REGULATION OF DEBT COLLECTING COMPANIES," HE SAID.

THE EXISTING LEGAL PROCEDURES FOR RECOVERY OF DEBTS ARE CONTAINED IN VARIOUS ORDINANCES: THE SMALL CLAIMS TRIBUNAL ORDINANCE FOR CLAIMS BELOW $15,000, THE DISTRICT COURT ORDINANCE FOR OTHER CLAIMS BELOW $120,000 AND THE SUPREME COURT ORDINANCE FOR ANY OTHER CLAIMS.

-----0------

LEGCO TOLD OF ELECTIONS TALKS

*****

THE AIM OF THE BRITISH SIDE IN THE PEKING TALKS IS TO ACHIEVE AN UNDERSTANDING WITH THE CHINESE SIDE ON THE ARRANGEMENTS FOR THE 1994/95 ELECTIONS WHICH ARE OPEN, FAIR AND ACCEPTABLE TO THE PEOPLE OF HONG KONG.

THIS WAS STATED BY THE SECRETARY FOR CONSTITUTIONAL AFFAIRS, MR MICHAEL SZE, WHILE REPLYING TO A QUESTION BY REV THE HON FUNG CHI-WOOD IN THE LEGISLATIVE COUNCIL.

"IF AN UNDERSTANDING IS REACHED WITH THE CHINESE SIDE, WE WILL RECOMMEND IT TO THIS COUNCIL.

"THERE IS NO QUESTION OF SACRIFICING THE INTEREST OF HONG KONG," HE SAID.

ON APRIL 13 THIS YEAR, THE CHINESE AND BRITISH SIDES AGREED THAT THE GOVERNMENT REPRESENTATIVES OF THE TWO COUNTRIES WOULD HOLD TALKS ON THE ARRANGEMENTS FOR THE 1994/95 ELECTIONS IN HONG KONG IN ACCORDANCE WITH THE SINO-BRITISH JOINT DECLARATION, THE PRINCIPLE OF CONVERGENCE WITH THE BASIC LAW AND THE RELEVANT AGREEMENTS AND UNDERSTANDINGS REACHED BETWEEN CHINA AND BRITAIN.

TWO ROUNDS OF TALKS HAVE SINCE BEEN HELI) IN PEKING; THE FIRST ON APRIL 22-24, AND THE SECOND ON APRIL 28-29.

MR SZE SAID THE TWO GOVERNMENT REPRESENTATIVES HAD AGREED TO HOLD A THIRD ROUND OF TALKS IN PEKING ON MAY 21-23.

"AS AGREED WITH THE CHINESE GOVERNMENT, THE CONTENT OF THESE DISCUSSIONS ARE CONFIDENTIAL. THEIR SCOPE IS DEFINED IN THE ANNOUNCEMENT OF APRIL 13.

"THERE ARE NO PRE-SET DETAILED AGENDA FOR EACH ROUND OF MEETING," HE SAID.

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/12 ........

WEDNESDAY, MAY 12, 1993

- 12 -

$2M ON CANCER PREVENTION EDUCATION * * * * *

THE DEPARTMENT OF HEALTH EXPECTS TO SPEND ABOUT $2 MILLION IN THE CURRENT FINANCIAL YEAR ON CANCER PREVENTION EDUCATION WITH THE FOCUS ON LUNG AND LIVER CANCERS, THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, SAID TODAY (WEDNESDAY).

THIS FIGURE DOES NOT TAKE INTO ACCOUNT THE ADVICE AND COUNSELLING PROVIDED TO THE PUBLIC ON A DAY-TO-DAY BASIS BY HEALTHCARE PROFESSIONALS IN GOVERNMENT CLINICS AND THE LIKE.

NOR DOES IT INCLUDE EXPEND(TURE INCURRED BY OTHER GOVERNMENT DEPARTMENTS OR AGENCIES.

SPEAKING IN REPLY TO A QUESTION BY DR THE HON HUANG CHEN-HA IN THE LEGISLATIVE COUNCIL, MRS WONG SAID ANTI-CANCER EDUCATION PROGRAMMES WERE CONDUCTED BY THE DEPARTMENT OF HEALTH IN COLLABORATION WITH OTHER DEPARTMENTS, PROFESSIONAL BODIES AND VOLUNTARY AGENCIES.

THE DEPARTMENT’S CENTRAL HEALTH EDUCATION UNIT, IN PARTICULAR, PROMOTES AND FACILITATES COMMUNITY EFFORTS IN ANTI-CANCER EDUCATION THROUGH THE PROVISION OF A WHOLE RANGE OF ADVICE AND AUDIO-VISUAL RESOURCE MATERIALS TO SCHOOLS AND VOLUNTARY AGENCIES.

IN ADDITION, THE OCCUPATIONAL HEALTH DIVISION OF THE LABOUR DEPARTMENT PROVIDES PROFESSIONAL ADVICE AND EDUCATION TO WORKERS EXPOSED TO OCCUPATIONAL HAZARDS WHILE THE COUNCIL ON SMOKING AND HEALTH (COSH) RUNS HEALTH EDUCATION PROGRAMMES HIGHLIGHTING THE DANGERS OF CIGARETTE SMOKING.

"THESE EDUCATIONAL PROGRAMMES INCLUDE EXHIBITIONS, SEMINARS, PUBLICATIONS AND TRAINING FOR FACILITATORS AND ARE TARGETED AT THE GENERAL PUBLIC, AT YOUTH AND AT GROUPS KNOWN TO BE PARTICULAR AT RISK," MRS WONG SAID.

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GOVERNMENT CONCERNED ABOUT LANDSLIDES ******

THE GOVERNMENT HAS ALL ALONG BEEN CONCERNED ABOUT LANDSLIDES AND IN PARTICULAR THE ACCIDENTS INVOLVING SQUATTERS ON HILLSIDES, THE SECRETARY FOR WORKS, MR JAMES BLAKE, SAID TODAY (WEDNESDAY).

REPLYING TO A QUESTION BY DR THE HON LEONG CHE-HUNG IN THE LEGISLATIVE COUNCIL, MR BLAKE SAID SINCE JULY 1992, THE GEOTECHNICAL ENGINEERING OFFICE HAD BEEN RE-INSPECT I NG ABOUT 70 SQUATTER VILLAGES IN THE NEW TERRITORIES. THE STUDY OF AREAS NOT PREVIOUSLY INSPECTED WOULD START IN JULY.

AT THE END OF MARCH, 35 VI LI.AGES HAD BEEN RE-INSPECTED AND AROUND 4,500 HUTS HAD BEEN RECOMMENDED FOR CLEARANCE, HE SAID, ADDING THAT THE HOUSING DEPARTMENT WAS DEVELOPING A PROGRAMME FOR CLEARANCE.

/MR BLAKE .......

WEDNESDAY, MAY 12, 1993

13 -

MR BLAKE SAID GOVERNMENT SLOPES AND RETAINING WALLS FOUND TO BE UNSATISFACTORY WERE UPGRADED UNDER THE LANDSLIP PREVENTIVE MEASURES (LPM) PROGRAMME. THOSE ON PRIVATE LAND MUST BE UPGRADED BY THE PRIVATE OWNERS.

DURING THE 1992/93 FINANCIAL YEAR, STATUTORY ORDERS WERE SERVED ON PRIVATE LOT OWNERS IN 31 CASES.

THE GOVERNMENT HAD COMPLETED UPGRADING WORKS ON 43 GOVERNMENT SLOPES AND RETAINING WALLS WHILE WORKS COMMENCED ON 61 OTHERS.

THE EXPENDITURE UNDER THE LPM PROGRAMMES DURING THE LAST FINANCIAL YEAR AMOUNTED TO ABOUT $73 MILLION FOR SLOPE WORKS.

"IN THIS FINANCIAL YEAR, WORK WILL BE IN PROGRESS ON 67 SLOPES AND RETAINING WALLS UNDER THE LPM PROGRAMME.

"IN ADDITION, A GREAT DEAL OF SLOPE WORK, AT A COST OF SEVERAL HUNDRED MILLION DOLLARS PER YEAR, IS CARRIED OUT IN BOTH THE PUBLIC AND PRIVATE SECTORS IN ASSOCIATION WITH NEW PROJECTS," MR BLAKE SAID.

THE GOVERNMENT IS CURRENTLY UNDERTAKING A PUBLICITY CAMPAIGN TO ENCOURAGE THOSE RESPONSIBLE FOR SLOPE MAINTENANCE TO CARRY OUT THE NECESSARY ROUTINE INSPECTIONS AND MINOR REPAIR WORKS SO AS TO PREVENT LANDSLIPS, HE ADDED.

--------o-----------

SCHOOLS TO DECIDE ON INSTRUCTION MEDIUM BY 1994/95

******

THE GOVERNMENT IS WORKING, ON THE RECOMMENDATION OF THE EDUCATION COMMISSION, TO PROVIDE A FRAMEWORK WHEREBY SCHOOLS WILL DECIDE WHETHER TO BECOME ENGLISH-MEDIUM, CHINESE-MEDIUM OR TO OPERATE BOTH CHINESE AND ENGLISH CLASSES, STARTING WITH SECONDARY ONE FROM THE 1994/95 SCHOOL YEAR.

THE RECENT DELAY IN INTRODUCING THE TARGET AND TARGET-RELATED ASSESSMENT (TTRA) SCHEME WILL NOT AFFECT THIS TIME-TABLE.

THIS WAS STATED BY THE SECRETARY FOR. EDUCATION AND MANPOWER, MR JOHN CHAN, WHEN REPLYING TO A QUESTION BY THE HON TIK CHI-YUEN IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR CHAN EXPLAINED THAT ALTHOUGH THE INTRODUCTION OF TTRA WOULI HAVE PROVIDED USEFUL INFORMATION ON THE LANGUAGE ABILITIES OF THE INDIVIDUAL CHILD AND THE OVERALL STUDENT INTAKE SO THAT PARENTS AND SCHOOLS COULD CHOOSE AN APPROPRIATE MEDIUM RATIONALLY, IT REPRESENTED ONLY ONE OF SEVERAL SOURCES OF SUCH INFORMATION.

"INDEED, EDUCATION COMMISSION REPORT NO. 4 (ECR4) RECOGNISED FROM THE OUTSET THAT TTRA WOULD NOT BE READY FOR USE WHEN SCHOOLS WERE FIRST SCHEDULED TO MAKE THE CHOICE AND THAT, INITIALLY, THE RESULTS OF THE SECURE HONG KONG ATTAINMENT TEST (HKAT) WOULD PROVIDE SCHOOLS AND PARENTS WITH THE NECESSARY OBJECTIVE GUIDANCE," HE NOTED.

/'" Al.

WEDNESDAY, MAY 12, 1993

- 14 -

"ECR4 ALSO STRESSED THAT, EVEN AFTER THE INTRODUCTION OF THE SECURE HKAT AND TTRA, THE ALLOCATION OF SECONDARY SCHOOL PLACES WOULD STILL BE BASED ON THE PRESENT SYSTEM WHICH, IN TURN, IS BASED ON INTERNAL ASSESSMENTS COVERING THE WHOLE PRIMARY CURRICULUM SCALED BY THE ACADEMIC APTITUDE TEST.

"IN THE LIGHT OF THIS BACKGROUND, THE GOVERNMENT SEES NO NEED TO REVISE THE TIME-TABLE*FOR SCHOOLS TO DECIDE ON AN APPROPRIATE MEDIUM OF INSTRUCTION, E^EN IF WE HAVE DECIDED TO DEFER THE INTRODUCTION OF TTRA."

MR CHAN ALSO DISMISSED THE SUGGESTION THAT THE POLICY ON THE CHOICE OF LANGUAGE OF INSTRUCTION IN SCHOOLS WOULD AGGRAVATE THE TREND IN PLACING THE IMPORTANCE OF THE ENGLISH LANGUAGE ABOVE THAT OF CHINESE.

HE SAID THE POLICY RECOGNISED THAT STUDENTS COULD LEARN BETTER IN THEIR MOTHER TONGUE AND THEREFORE SOUGHT TO ENCOURAGE AND BRING ABOUT MORE LEARNING IN CHINESE.

"AND IT CHALLENGES EDUCATORS AND PARENTS ALIKE TO ABANDON THE POPULAR BUT MISTAKEN BELIEF THAT OPERATING ENGLISH MEDIUM SCHOOLS OR SENDING THEIR CHILDREN TO SUCH SCHOOLS IS NECESSARILY THE RIGHT THING TO DO.

"BUT IT ALSO SEEKS TO GIVE THE OPPORTUNITY TO THOSE WHO HAVE THE PROVEN ABILITY TO LEARN EFFECTIVELY IN ENGLISH TO DO SO," MR CHAN ADDED.

TURNING TO THE RECOGNITION OF THE CHINESE LANGUAGE IN THE COMMUNITY, MR CHAN SAID PUBLIC EXAMINATIONS COULD NOW BE TAKEN IN EITHER CHINESE OR ENGLISH EXCEPT IN THE LANGUAGE SUBJECTS THEMSELVES.

PROFICIENCY IN CHINESE IS ALSO AN ENTRY REQUIREMENT FOR MOST CIVIL SERVICE POSTS WHILE A PASS IN CHINESE AND ENGLISH IS REQUIRED FOR ADMISSION TO ALL TERTIARY INSTITUTIONS.

IN ADDITION, MR CHAN SAID, SPECIAL COURSES AND MEASURES WOULD BE INTRODUCED THIS YEAR TO HELP CANDIDATES WHO HAD STUDIED THROUGH THE CHINESE MEDIUM TO SATISFY THE USE OF ENGLISH REQUIREMENT FOR ADMISSION TO TERTIARY INSTITUTIONS.

-----0------

OVER 2,000 ILLEGAL IMMIGRANTS CAUGHT AT WORKPLACE

*****

THE SECRETARY FOR SECURITY, MR ALISTAIR ASPREY, TODAY (WEDNESDAY) SAID 2,291 ILLEGAL IMMIGRANTS FROM CHINA WERE ARRESTED AT PLACES OF WORK IN THE YEAR ENDING LAST MONTH.

THE FIGURE WAS GIVEN WHEN HE REPLIED TO A QUESTION BY THE HON ALLEN LEE IN THE LEGISLATIVE COUNCIL.

- 0 -

WEDNESDAY, MAY 12, 1993

15 EMPLOYMENT VISAS FOR OVERSEAS WORKERS ******

THE NUMBER OF PERSONS ALLOWED ENTRY INTO HONG KONG TO TAKE UP EMPLOYMENT IN THE PAST THREE YEARS TOTALLED 48,762 IN 1990, 44,351 IN 1991 AND 61,851 IN 1992, THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, INFORMED THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

IN A WRITTEN REPLY TO A QUESTION BY THE HON LAU CHIN-SHEK, MR CHAN SAID THE NUMBERS WERE CLASSIFIED UNDER SEVERAL CATEGORIES.

UNDER THE GENERAL LABOUR IMPORTATION SCHEME, 12,843 PERSONS WERE GRANTED EMPLOYMENT VISAS IN 1990 AND 11,227 IN 1992. NO QUOTA WAS ANNOUNCED DURING 1991.

AS FOR THE SPECIAL IMPORTATION OF LABOUR SCHEME FOR THE NEW AIRPORT PROJECTS, 34 EMPLOYMENT VISAS WERE ACTUALLY ISSUED TN 1991 AND 352 IN 1992.

APART FROM THE ABOVE TWO CATEGORIES, 11,859 PERSONS WITH SPECIAL SKILL FROM OVERSEAS HAD BEEN ISSUED WORK PERMITS IN 1990. THE CORRESPONDING FIGURES FOR 1991 AND 1992 WERE 13,073 AND 12,941 RESPECTIVELY.

MR CHAN ALSO NOTED THAT 2,746 PERSONS WERE ALLOWED ENTRY FROM OVERSEAS TO UNDERTAKE TRAINING IN HONG KONG IN 1991 AND THAT FOR 1992 WAS 4,342.

OF THE REMAINING EMPLOYMENT VISAS ISSUED, THE MAJORITY WAS GRANTED TO DOMESTIC HELPERS - 24,060 TN 1990, 28,198 IN 1991 AND 32,989 IN 1992.

----o--------

LOCAL RECRUITMENT OF NURSES SATISFACTORY ******

BOTH THE HOSPITAL AUTHORITY AND THE DEPARTMENT OF HEALTH ARE SATISFIED WITH THE OUTCOME OF THEIR LOCAL RECRUITMENT DRIVES FOR NURSES, THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, INFORMED THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

IN A WRITTEN REPLY TO A QUESTION BY THE HON TAM YIU-CHUNG, MRS WONG SAID OTHER THAN THE 150 OVERSEAS NURSES APPROVED BY THE PUBLIC SERVICE COMMISSION IN OCTOBER 1990, NO OVERSEAS RECRUITMENT EXERCISE WAS BEING CONSIDERED FOR THE TIME BEING.

SHE RECALLED THAT THE APPROVAL WAS AN INTERIM MEASURE AT THAT TIME TO ALLEVIATE THE PREVAILING SHORTAGE OF NURSES.

’’THE GOVERNMENT’S APPROACH TOWARDS THE RECRUITMENT OF OVERSEAS NURSES IS DEVELOPED IN LINE WITH ITS OVERALL RECRUITMENT POLICY,” SHE SAID, ADDING THAT CONSIDERATION WOULD NORMALLY NOT BE GIVEN TO OVERSEAS RECRUITMENT UNLESS THERE WAS DIFFICULTY IN LOCAL RECRUITMENT.

/ASKED ABOUT .......

WEDNESDAY, MAY 12, 1993

- 16 -

ASKED ABOUT THE CRITERIA IN ACCREDITING THE QUALIFICATIONS OF OVERSEAS NURSES, THE SECRETARY SAID ALL NURSES, IRRESPECTIVE OF THE COUNTRY IN WHICH THEY OBTAINED THEIR TRAINING, MUST APPLY FOR REGISTRATION WITH THE NURSING BOARD BEFORE THEY WERE ALLOWED TO PRACTISE IN HONG KONG.

"ALL APPLICATIONS ARE ASSESSED BY THE NURSING BOARD HAVING REGARD TO THE THEORETICAL AND PRACTICAL TRAINING OF INDIVIDUAL APPLICANTS, AS WELL AS THE FACILITIES AVAILABLE AT THE INSTITUTION PROVIDING THEIR PROFESSIONAL EDUCATION," SHE SAID.

"APPLICANTS MAY ALSO BE REQUIRED TO PROVE THEIR COMPETENCY IN NURSING BY UNDERGOING EXAMINATION CONDUCTED BY THE NURSING BOARD, AND TO MAKE UP THEIR CLINICAL DEFICIENCIES IN RECOGNISED HOSPITALS FOR SPECIFIED PERIODS," SHE ADDED.

THE SAME CRITERIA ARE APPLIED IN DETERMINING THE DUTIES AND SALARY SCALE OF LOCAL AND OVERSEAS NURSES.

"ALLOCATION OF DUTIES IS BASED ON RELEVANT EXPERIENCE IN THE PARTICULAR SPECIALTY WHILE THE SALARY SCALE IS DETERMINED WITH RECOGNITION TO PREVIOUS POST-QUALIFICATION EXPERIENCE," SHE SAID.

-----0------

YOUTH ADVISED TO STAY AWAY FROM DRUGS *****

VARIOUS EDUCATION AND PUBLICITY PROGRAMMES ARE IN PLACE TO HELP YOUNG PEOPLE STAY AWAY FROM HARMFUL DRUGS AND SUBSTANCES, THE SECRETARY FOR SECURITY, MR ALISTAIR ASPREY, TOLD THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

IN A WRITTEN REPLY TO A QUESTION BY THE HON FREDERICK FUNG, HE SAID A NEW SERIES OF ANNOUNCEMENTS IN THE PUBLIC INTEREST, POSTERS AND LEAFLETS WOULD BE RELEASED IN THE SUMMER FOR TELEVISION AND RADIO BROADCAST.

DRUG EDUCATION TALKS, WHICH HAVE BEEN CONDUCTED AT SECONDARY SCHOOLS ON A REGULAR BASTS SINCE 1984, WILL BE EXTENDED TO PRIMARY 6 STUDENTS FROM SEPTEMBER.

"WE ALSO PLAN TO ORGANISE DRUG EDUCATION WORKSHOPS AND SEMINARS FOR SECONDARY SCHOOL TEACHERS, SOCIAL WORKERS, AND FINAL-YEAR STUDENTS IN COLLEGES OF EDUCATION ON A REGULAR BASIS.

"THESE WORKSHOPS WILL BETTER EQUIP THESE FRONT-LINE WORKERS TO GUIDE AND HELP YOUNG PEOPLE UNDER THEIR CHARGE," MR ASPREY SAID.

AN AUTOMATED DRUG ABUSE TELEPHONE ENQUIRY SERVICE HAS BEEN INTRODUCED SINCE FEBRUARY TO PROVIDE INFORMATION ON THE HARMFUL EFFECTS OF 12 COMMON DRUGS AND SUBSTANCES OF ABUSE.

/"WE HOPE ........

WEDNESDAY, MAY 12, 1993

17 -

"WE HOPE THAT THIS TELEPHONE HOTLINE WILL ENCOURAGE CALLERS TO STAY AWAY FROM DRUGS BECAUSE IT WILL REFER THEM TO COUNSELLING AND TREATMENT SERVICE AS APPROPRIATE," HE SAID.

IN RESPONSE TO A CHANGE IN THE PATTERN OF DRUG ABUSE, AND ON THE ADVICE OF THE ACTION COMMITTEE AGAINST NARCOTICS (ACAN), A PROFESSIONAL COUNSELLING CENTRE FOR PSYCHOTROPIC SUBSTANCE ABUSERS, MORE COMMONLY KNOWN AS PS 33, WAS SET UP INITIALLY WITH GRANTS FROM THE LOTTERIES FUND IN 1988.

SUBVENTION HAS BEEN PROVIDED BY THE GOVERNMENT SINCE 1993, MR ASPREY SAID.

ITS OPERATION IS CLOSELY MONITORED BY A WORKING GROUP ESTABLISHED BY THE ACAN SUB-COMMITTEE ON TREATMENT AND REHABILITATION; ON WHICH THE AGENCY IS REPRESENTED.

THE WORKING GROUP ADVISES ON THE DIRECTION OF THE PROVISION OF SERVICES AND RESOURCE NEEDS AS WELL AS HELPS IN ENSURING THE PROVISION OF ADEQUATE AND EFFECTIVE SERVICES.

CONTROL ON LIFTING APPLIANCES TO BE STREAMLINED

THE GOVERNMENT IS DRAWING UP LEGISLATIVE AMENDMENTS TO BRING THE CONTROL ON ALL LIFTING APPLIANCES UNDER ONE LAW, THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, SAID TODAY (WEDNESDAY).

AT PRESENT, THE OPERATION AND USE OF LIFTING APPLIANCES ARE CONTROLLED UNDER THE FACTORIES AND INDUSTRIAL UNDERTAKINGS (LIFTING APPLIANCES AND LIFTING GEAR) REGULATIONS IN RESPECT OF INDUSTRIAL UNDERTAKINGS AND THE CONSTRUCTION SITES (SAFETY) REGULATIONS IN RESPECT OF CONSTRUCTION SITES.

"LEGISLATIVE AMENDMENTS ARE BEING DRAWN UP TO STREAMLINE THE SYSTEM BY BRINGING THE CONTROL OF ALL LIFTING APPLIANCES UNDER THE FORMER REGULATIONS," MR (’HAN SAID IN A WRITTEN REPLY TO A QUESTION BY DR THE HON SAMUEL WONG PING-WAI.

"THE AMENDMENTS WILL ALSO PROVIDE A MORE PRECISE LEGAL DEFINITION OF ’COMPETENT’ AS WELL AS CLEARLY SPECIFY THE QUALIFICATIONS OF A ’COMPETENT EXAMINER’ AND HIS DUTY TO ISSUE CERTIFICATES OF EXAMINATION.

"IN ADDITION, THE REGULATIONS WILL BE AMENDED TO SPECIFY THAT A CRANE OPERATOR MUST HOLD A VALID CERTIFICATE ISSUED BY THE CONSTRUCTION INDUSTRY TRAINING AUTHORITY OR ANY OTHER CERTIFICATE RECOGNISED BY THE COMMISSIONER FOR LABOUR."

MR CHAN EXPLAINED THAT A CRANE OPERATOR WITH A RECOGNISED CERTIFICATE AND THE RELEVANT TRAINING AND EXPERIENCE WOULD BE CONSIDERED A "COMPETENT PERSON" TO CONDUCT THE WEEKLY INSPECTIONS OF THE CRANES OR OTHER LIFTING APPLIANCES.

/CONTRACTORS USUALLY .......

WEDNESDAY, MAY 12, 1993

- 18 -

CONTRACTORS USUALLY ENGAGE ENGINEERING AND SURVEYING FIRMS FOR THE PURPOSE OF APPOINTING COMPETENT EXAMINERS TO CARRY OUT THE TESTING AND EXAMINATION OF LIFTING APPLIANCES.

IN ADDITION, THE LABOUR DEPARTMENT PLAYS AN ENFORCEMENT AND SUPERVISORY ROLE TO ENSURE THAT CONTRACTORS, COMPETENT EXAMINERS AND COMPETENT PERSONS CARRY OUT THEIR LEGAL OBLIGATIONS PROPERLY.

MR CHAN NOTED THAT UNDER THE LAW, A COMPETENT EXAMINER OR COMPETENT PERSON MUST DELIVER THE REPORT OF A TEST OR EXAMINATION TO THE CONTRACTOR AND SEND A COPY OF THE REPORT TO THE COMMISSIONER FOR LABOUR SHOULD HE DISCOVER THAT THE APPLIANCE CANNOT BE USED SAFELY UNLESS REPAIRS ARE MADE.

’’THE COMPETENT EXAMINER/PERSON WHO FAILS TO DELIVER THE RELEVANT REPORT WITHIN A REASONABLE TIME TO THE CONTRACTOR COMMITS AN OFFENCE AND IS LIABLE ON CONVICTION TO A MAXIMUM FINE OF $10,000,’’ MR CHAN SAID.

’’SHOULD HE DELIVER A FALSE REPORT TO THE CONTRACTOR, A MAXIMUM FINE OF $50,000 AND IMPRISONMENT FOR 12 MONTHS MAY BE IMPOSED UPON CONVICTION. ’’

THE SECRETARY ALSO SPOKE OF THE STATUTORY OBLIGATIONS OF THE APPOINTING CONSTRUCTION COMPANY WHICH INCLUDE:

* HAVING A CRANE INSPECTED WEEKLY BY A COMPETENT PERSON;

* HAVING A CRANE TESTED BY A COMPETENT EXAMINER AFTER EACH ERECTION OR ADJUSTMENT INVOLVING THE ANCHORAGE OF THE CRANE;

* HAVING A CRANE THOROUGHLY EXAMINED BY A COMPETENT EXAMINER IN EVERY 14 MONTHS OR WHEN IT HAS BEEN ALTERED OR REPAIRED SUBSTANTIALLY, WHICHEVER IS EARLIER;

* HAVING A CRANE TESTED AND THOROUGHLY EXAMINED BY A COMPETENT EXAMINER IN EVERY FOUR YEARS OR WHEN IT HAS BEEN ALTERED OR REPAIRED SUBSTANTIALLY, WHICHEVER IS EARLIER; AND

* OBTAINING THE RELEVANT SAFETY REPORTS COMPLETED BY A COMPETENT EXAMINER OR COMPETENT PERSON IN RESPECT OF THE ABOVE TESTS, EXAMINATIONS AND INSPECTIONS.

’’THE CONTRACTOR WHO FAILS TO FULFIL THE ABOVE LEGAL RESPONSIBILITIES WILL BE LIABLE ON CONVICTION TO A MAXIMUM PENALTY OF $50,000,” MR CHAN ADDED.

-----0------

/19 ........

WEDNESDAY, MAY 12, 1993

- 19 -

STUDY ON OPEN STORAGE USES

******

THE PLANNING DEPARTMENT IS COMMISSIONING A PLANNING STUDY ON OVERALL DEMAND OF OPEN STORAGE USES AND THEIR SITE AND LOCATIONAL REQUIREMENTS.

THIS WAS STATED BY THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, IN A WRITTEN REPLY TO A QUESTION BY THE HON MRS SELINA CHOW IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

ON THE GOVERNMENT’S STRATEGY TO CONTAIN AND REDUCE THE PROBLEMS CAUSED BY THE USE OR ABUSE OF AGRICULTURAL LAND FOR THE STORAGE OF CONTAINERS AND SCRAPPED VEHICLES, MR EASON SAID THE DEVELOPMENT PERMISSION AREA (DPA) PLANS PROVIDED A BASIS FOR THE CONTROL OF LANDUSE IN THE NEW TERRITORIES.

SINCE THE ENACTMENT OF THE TOWN PLANNING (AMENDMENT) ORDINANCE IN 1991, 31 DPA’S HAVE BEEN PUBLISHED.

"PERMISSION FROM THE TOWN PLANNING BOARD IS NOW REQUIRED FOR NEW DEVELOPMENT INSIDE AREAS COVERED BY DPA"S BUT NOT ZONED FOR THE PURPOSES PLANNED, AND UNAUTHORISED DEVELOPMENT IS SUBJECT TO ENFORCEMENT ACTION," MR EASON SAID.

FURTHER PROGRESS CAN BE EXPECTED AS THE DPA PLANS ARE CONVERTED INTO OUTLINE ZONING PLANS IN THE NEAR FUTURE.

REGARDING THE NON-CONFORMING USES WHICH EXISTED BEFORE THE GAZETTING OF THE DPA PLANS, MR EASON SAID AMORTISATION AS PROPOSED IN THE CONSULTATIVE DOCUMENT ON THE COMPREHENSIVE REVIEW OF THE TOWN PLANNING ORDINANCE AND OTHER PROPOSALS SUCH AS UPZONING MIGHT HELP PROVIDE SOLUTIONS TO THE PROBLEM IN THE LONGER TERM.

-----0------

"FAST TRACK" PROCEDURE USED BY LAW REFORM COMMISSION

*****

THE LAW REFORM COMMISSION HAI) COMPLETED TWO REFERENCES BY THE "FAST TRACK" PROCEDURE, WHICH DID NOT INVOLVE THE ASSISTANCE OF A SUBCOMMITTEE, IN AN AVERAGE OF 29 MONTHS, THE ACTING ATTORNEY GENERAL, THE HON JOHN WOOD, SAID.

IN A WRITTEN REPLY TO A QUESTION FROM THE HON EMILY LAU IN THE LEGISLATIVE COUNCIL, MR WOOD SAID ONE REFERENCE WAS CURRENTLY BEING CONSIDERED UNDER THE "FAST TRACK" PROCEDURE, WHILE TERMS OF REFERENCE HAD BEEN SIGNED FOR A FURTHER REFERENCE WHICH WOULD BE DEALT WITH IN THE SAME WAY.

HE SAID SUBJECTS FOR REVIEW BY THE COMMISSION WERE CHOSEN BY THE ATTORNEY GENERAL OR THE CHIEF JUSTICE.

/'THERE ARE ........

WEDNESDAY, MAY 12, 1993

- 20 -

"THERE ARE NO SET CRITERIA WHICH ARE TO BE FOLLOWED WHEN THE CHOICE OF TOPICS IS MADE.

"THE CHIEF JUSTICE AND THE ATTORNEY GENERAL USE THEIR JUDGMENT TO DECIDE WHICH SUBJECTS ARE MOST DESERVING OF REVIEW," HE SAID.

ONCE TOPICS HAD BEEN FORMALLY REFERRED TO THE COMMISSION, MR WOOD SAID, THEY WERE GENERALLY DEALT WITH IN THE ORDER IN WHICH THEY WERE REFERRED, AND AS STAFF RESOURCES BECAME AVAILABLE ON COMPLETION OF EARLIER REFERENCES.

"THERE ARE SEVEN TOPICS CURRENTLY BEFORE THE COMMISSION, EITHER UNDER DISCUSSION IN A SUB-COMMITTEE OR THE COMMISSION ITSELF, OR BEING WORKED ON BY THE SECRETARIAT.

"TERMS OF REFERENCE HAVE BEEN SIGNED IN RELATION TO TWO FURTHER TOPICS AND THE SECRETARIAT WILL BEGIN WORK ON THESE IN DUE COURSE," HE SAID.

--------0-----------

MOTOR VEHICLE

INSURANCE FOR HANDICAPPED DRIVERS

******

THERE SHOULD BE NO DIFFICULTY FOR HANDICAPPED DRIVERS IN OBTAINING MOTOR VEHICLE INSURANCE ON EITHER EQUAL OR MORE FAVOURABLE TERMS.

THIS WAS STATED BY THE SECRETARY FOR TRANSPORT, MR MICHAEL LEUNG, IN A WRITTEN REPLY TO A QUESTION BY DR THE HON CONRAD LAM, IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR LEUNG SAID A RECENT SURVEY BY THE GENERAL INSURANCE COUNCIL HAD REVEALED THAT AT LEAST 21 OF THE 66 AUTHORISED INSURERS PROVIDING MOTOR VEHICLE INSURANCE IN HONG KONG PROVIDED INSURANCE COVER FOR HANDICAPPED DRIVERS.

THIS COVER IS OFFERED EITHER WITHOUT IMPOSING A DISABILITY LOADING, OR ON MORE ADVANTAGEOUS TERMS THAN WOULD BE OFFERED TO OTHER DRIVERS.

"FINANCIAL ASSISTANCE SHOULD NOT THEREFORE BE REQUIRED TO MEET THE COST OF THE INSURANCE.

"THE GENERAL INSURANCE COUNCIL OF HONG KONG IS ALSO WILLING TO PROVIDE HANDICAPPED DRIVERS WITH FURTHER INFORMATION ON THE RANGE OF MOTOR VEHICLE INSURANCE SERVICES AVAILABLE TO THEM,” HE SAID.

MR LEUNG EXPLAINED THAT THE GOVERNMENT’S ROLE IN THE SUPERVISION OF INSURANCE COMPANIES WAS TO ENSURE THAT THE COMPANIES WERE MANAGED BY FIT AND PROPER PERSONS AND WERE ABLE TO MEET THEIR OBLIGATIONS IN FULL.

/"THE AUTHORITY .......

WEDNESDAY, MAY 12, 1993

"THE AUTHORITY IS SPECIFICALLY DEBARRED FROM INTERFERING WITH AN INSURER’S PRICING POLICY, ON THE PRINCIPLE THAT COMMERCIAL DECISIONS ARE BEST DETERMINED BY MARKET FORCES," HE SAID.

OF THE TOTAL 15,322 TRAFFIC ACCIDENTS RECORDED IN 1992, THERE WERE ONLY 13 CASES INVOLVING HANDICAPPED DRIVERS.

DIVIDEND PAYMENT HAS NO IMPACT ON KCRC FARE * * * * * *

THE SECRETARY FOR THE TREASURY, MR DONALD TSANG, TODAY (WEDNESDAY) SAID THE DISTRIBUTION OF DIVIDENDS TO THE GOVERNMENT OVER THE LAST THREE YEARS HAD HAD NO IMPACT ON KOWLOON-CANTON RAILWAY CORPORATION’S (KCRC) DEVELOPMENT PROGRAMME AND FARE LEVELS.

DURING THE LAST THREE YEARS, AFTER THE PAYMENT OF DIVIDENDS TO THE GOVERNMENT OF $415 MILLION, AND TRANSFERS OF $813 MILLION TO ITS DEVELOPMENT RESERVE (WHICH NOW STANDS AT $1,233 MILLION) THE CORPORATION’S RETAINED PROFITS HAVE INCREASED BY $371 MILLION.

AND FARES HAVE NOT NEEDED TO BE INCREASED OVER THE LEVEL OF INFLATION, MR TSANG TOLD LEGISLATIVE COUNCILLORS IN A WRITTEN REPLY TO A QUESTION BY THE HON LAU CHIN-SHEK.

THE PAYMENT OF ANY DIVIDENDS IS CONSIDERED ON A YEAR BY YEAR

BASIS.

’’THE INTERESTS OF THE PUBLIC AT LARGE AND THOSE OF TRAVELLING PUBLIC WHO MAKE REGULAR USE OF THE KCR IN PARTICULAR REIGN PARAMOUNT.

’’DUE ACCOUNT IS TAKEN OF BOTH FARE LEVELS AND FUTURE INVESTMENT REQUIREMENTS AND THUS THE LEVELS AND QUALITY OF SERVICE TO THE CORPORATION’S EXISTING AND POTENTIAL CUSTOMERS,” MR TSANG SAID.

THE $415 MILLION IN DIVIDENDS PAID IN THE LAST THREE YEARS REPRESENTS THE ONLY RETURN TO THE PUBLIC ON THEIR SUBSTANTIAL INVESTMENT IN THE CORPORATION SINCE 1983.

NO DIVIDEND WAS SOUGHT IN THE YEARS 1983/1989.

THE COST OF NET ASSETS VESTED IN THE KCRC BY THE GOVERNMENT REPRESENTS THE INITIAL CAPITAL OF THE CORPORATION - $2,117 MILLION.

IN RECOGNITION OF THIS INVESTMENT, THE KCRC ORDINANCE PROVIDES THAT THE FINANCIAL SECRETARY MAY, AFTER CONSULTATION WITH THE CORPORATION, GIVE THE CORPORATION DIRECTIONS REQUIRING IT TO PAY THE WHOLE OR PART OF THE EXCESS TO THE GOVERNMENT.

/THE DIVIDENDS

WEDNESDAY, MAY 12, 1993

- 22 -

THE DIVIDENDS PAID TO DATE ARE:

1990 1991 1992

DIVIDENDS $125M $140M $150M

% ON TURNOVER 7.9% 7.6% 7.0%

% ON NET PROFIT 20.0% 31.0% 28.4%

------0--------

NO PLAN TO REVISE POLICY ON * * * *

POLITICAL ADVERTISEMENTS ♦ *

NO POLITICAL GROUPS HAVE BEEN ALLOWED TO USE RADIO ADVERTISEMENTS FOR PUBLICITY PURPOSES SINCE THE ESTABLISHMENT OF THE BROADCASTING AUTHORITY IN 1987, THE SECRETARY FOR RECREATION AND CULTURE, MR JAMES SO, TOLD THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

IN A WRITTEN REPLY TO A QUESTION BY DR THE HON CONRAD LAM KUI-SHING, MR SO SAID THERE WAS NO STATUTORY DEFINITION OF THE TERM "POLITICAL ADVERTISEMENT".

HOWEVER, HE SAID IN CONSIDERING WHETHER AN ADVERTISEMENT WAS POLITICAL TN NATURE, THE AUTHORITY WOULD NORMALLY HAVE REGARD TO WHETHER THE PROPOSED ADVERTISEMENT CONTAINED MATERIAL:

* INDUCING THE PUBLIC TO VOTE FOR A PARTICULAR POLITICAL GROUPING OR AN INDIVIDUAL IN AN ELECTION;

* SEEKING TO PROMOTE THE INTERESTS OF ANY POLITICAL GROUPING WHETHER OR NOT IN CONNECTION WITH AN ELECTION; OR

* COMMENTING ON OR ADVOCATING CHANGE IN THE ACTIONS OR POLICIES OF THE HONG KONG GOVERNMENT OR ANY OTHER

TERRITORY.

"THE NEED TO OBTAIN PRIOR APPROVAL FOR PARTICULAR KINDS OF ADVERTISEMENT IS NOT IN ITSELF INCONSISTENT WITH ARTICLE 16 OF THE BILLS OF RIGHT ORDINANCE, SO THE GOVERNMENT HAS NO PLAN TO REVISE THIS REQUIREMENT ON THESE GROUNDS,” MR SO SAID.

--------0

123 ........

WEDNESDAY, MAY 12, 1993

- 23

SCHOOLS ENCOURAGED 1’0 TEACH PUTONGHUA ******

IT IS THE GOVERNMENT’S POLICY TO ENCOURAGE SCHOOLS TO TEACH PUTONGHUA AND TO TRAIN TEACHERS FOR THIS PURPOSE, THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, SAID.

AT PRESENT, PUTONGHUA IS TAUGHT AS AN ELECTIVE SUBJECT IN 375 PRIMARY SCHOOLS AND 154 SECONDARY SCHOOLS WHILE ANOTHER 93 SCHOOLS PROMOTE THE LEARNING OF PUTONGHUA THROUGH EXTRA-CURRICULAR ACTIVITIES.

TRAINING WAS ALSO PROVIDED FOR OVER 1,000 TEACHERS IN THE 1991/ 92 SCHOOL YEAR, MR CHAN SAID IN A WRITTEN REPLY TO A QUESTION BY THE HON GILBERT LEUNG KAM-HO TN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

THE SECRETARY NOTED THAT THE SI NO-BRITISH JOINT DECLARATION AND THE BASIC LAW PROVIDED THAT THE FUTURE HONG KONG SPECIAL ADMINISTRATIVE REGION SHOULD MAINTAIN THE EDUCATIONAL SYSTEM PREVIOUSLY PRACTISED IN HONG KONG.

"THE GOVERNMENT BELIEVES THAT THE PRESENT POLICY OF ENCOURAGING AND FACILITATING THE LEARNING OF PUTONGHUA IS APPROPRIATE FOR HONG KONG’S NEEDS.

"IT WILL CONTINUE TO MONITOR THE SITUATION TO ENSURE THAT, AS FAR AS POSSIBLE, RESOURCES ARE PROVIDED TO MATCH CHANGES IN DEMAND," MR CHAN ADDED.

0

MOBILE PHONE MARKET HAS DISCIPLINE

******

THE HIGHLY COMPETITIVE NATURE OF HONG KONG’S MOBILE TELEPHONE MARKET HAS IMPOSED A MARKET DISCIPLINE ON OPERATORS, THE SECRETARY FOR ECONOMIC' SERVICES, MR GORDON SIU, SAID TODAY (WEDNESDAY).

THE OPERATORS HAVE, ON THEIR OWN INITIATIVE, IMPOSED LIMITS ON THE NUMBER OF SUBSCRIBERS IN ORDER TO MAINTAIN A GOOD QUALITY SERVICE.

MR SIU WAS GIVING A WRITTEN REPL'S TO A QUESTION BY THE HON LAU WONG-FAT IN THE LEGISLATIVE COUNCIL.

HE POINTED OUT THAT THE LICENCES ISSUED TO OPERATORS OF PUBLIC MOBILE RADIOTELEPHONE SERVICES (PMRS) DID NOT CONTAIN SPECIFIC CONDITIONS RESTRICTING THE MAXIMUM NUMBER OF SUBSCRIBERS TO A PARTICULAR SERVICE OR THE MAXIMUM NUMBER OF MOBILE TELEPHONES THAT MIGHT BE SOLD.

"THIS IS TO ALLOW LICENSEES FLEXIBILITY TO INTRODUCE NEW TECHNOLOGIES OR TO EXPAND THEIR NETWORK CAPACITIES AS AND WHEN THESE BECOME AVAILABLE," MR SIU EXPLAINED.

/’’FOR EXAMPLE, .......

WEDNESDAY, MAY 12, 1993

- 24 -

’’FOR EXAMPLE, ADVANCES IN DIGITAL CELLULAR TECHNOLOGY ARE LIKELY TO YIELD LARGE INCREASES IN NETWORK CAPACITY OVER THE NEXT FEW YEARS."

REGARDING THE COVERAGE AREA OF THE SERVICE, MR SIU SAID GIVEN THE COMPETITIVE NATURE OF THE BUSINESS, OPERATORS THEMSELVES HAD A SIGNIFICANT INCENTIVE TO IMPROVE COVERAGE TN ORDER TO MAINTAIN AND EXPAND THEIR SUBSCRIBER BASE.

UNDER THE PMRS LICENCE, OPERATORS HAVE AN OBLIGATION TO PROVIDE SERVICE COVERAGE COMMENSURATE WITH THAT SET OUT IN THE ORIGINAL APPLICATION FOR A LICENCE, WHICH WOULD GENERALLY COVER MOST PARTS OF THE TERRITORY.

HOWEVER, DUE TO THE RUGGED TOPOGRAPHY OF HONG KONG, IT WOULD NOT BE FOR THEM TO GUARANTEE 100 PER CENT COVERAGE OF THE TERRITORY, MR SIU SAID.

AT PRESENT THERE IS NO REQUIREMENT ON LICENSEES TO IDENTIFY TO CUSTOMERS THE SPECIFIC AREAS COVERED BY THEIR SERVICE.

ALL LICENSEES PROVIDE EXTENSIVE COVERAGE EXCLUDING ONLY A FEW "BLACK SPOTS", WHERE BUILDINGS OR HILLS BLOCK RADIO WAVES AND THE VERY REMOTE AREAS.

"THE TELECOMMUNI CAT IONS AUTHORI TY W1LL NONETHELESS DISCUSS WITH THE PMRS LICENSEES THE NEED TO GIVE MORE INFORMATION TO CUSTOMERS ON LOCATIONS WHERE SERVICE COVERAGE IS NOT PROVIDED,” HE SAID.

-----0------

METAL INDUSTRY WELL-EQU IPPED TO MEET DEMANDS ******

THE LOCAL METAL INDUSTRY HAS THE TECHNOLOGY AND TRAINED MANPOWER TO RESPOND TO MARKET DEMANDS FOR PRECISION PRODUCTS, THE SECRETARY FOR TRADE AND INDUSTRY, MR T H CHAU, SAID TODAY (WEDNESDAY).

IN A WRITTEN REPLY TO A QUESTION BY DR THE HON HUANG CHEN-YA IN THE LEGISLATIVE COUNCIL, MR CHAU SAID THE HONG KONG PRODUCTIVITY COUNCIL WAS DOING MUCH TO DEVELOP PRECISION MANUFACTURI NG TECHNOLOGY TO MEET THE NEEDS OF THE INDUSTRY.

HE EXPLAINED THAT ITS WORKSHOP AND VARIOUS LABORATORIES WERE EQUIPPED WITH COMPUTER-AIDED DESIGN AND MANUFACTURING SYSTEMS, HIGH PRECISION COMPUTER NUMERICALLY CONTROLLED MACHI I NE TOOLS AND ADVANCED SHEET METAL PROCESSING EQUIPMENT.

"THESE ENABLE IT TO PROVIDE CONSULTANCY AND TRAINING SERVICES IN DESIGN AND MANUFACTURI NG OF PRECISION METAL TOOLINGS AND PARTS.

"THESE SERVICES ARE WELL ADVERTISED TO LOCAL MANUFACTURERS SO THAT THEY CAN ACQUIRE UP-TO-DATE KNOW-HOW IN PRECISION METALS PROCESSING," MR CHAU SAID.

/HE ALSO .......

WEDNESDAY, MAY 12, 1993

25

HE ALSO SAID THE VOCATIONAL TRAINING COUNCIL HAD ENHANCED ITS TRAINING FACILITIES IN RESPECT OF PRECISION TOOLING AND MANUFACTURING OF PRECISION MECHANICAL PARTS.

"ITS PRECISION TOOLING TRAINING CENTRE, TOGETHER WITH ITS PRECISION SHEET METAL PROCESSING TRAINING UNIT, ARE EQUIPPED WITH SOPHISTICATED MACHINING AND METAL STAMPING EQUIPMENT TO PROVIDE PRACTICAL TRAINING."

THUS THE INDUSTRY HAS AN ADEQUATE SUPPLY OF COMPETENT AND SKILLED WORKERS IN PRECISION METAL FABRICATION, MR CHAU ADDED.

---0-------

POST OFFICE COMMITTED TO PRODUCTIVITY IMPROVEMENT PROGRAMME * * * * *

THE POST OFFICE IS COMMITTED TO A CONTINUING PROGRAMME OF PRODUCTIVITY IMPROVEMENT THROUGH MANAGEMENT EFFORTS, POSTAL MECHANISATION AND COUNTER AUTOMATION.

THIS WAS STATED BY THE SECRETARY FOR ECONOMIC SERVICES, MR GORDON SIU, IN A WRITTEN REPLY TO A QUESTION BY THE HON LI WAH-MING IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

OVER THE PERIOD 1983/84 TO 1991/92, POST OFFICE PRODUCTIVITY IN TERMS OF EVALUATED TRAFFIC ITEMS PER STAFF HOUR HAS INCREASED BY 31.8 PER CENT FROM 84.5 TO 111.4 ITEMS.

DURING THE SAME PERIOD, THE VOLUME OF POSTAL TRAFFIC INCREASED BY 92.4 PER CENT FROM 496 MILLION TO 954.46 MILLION ITEMS.

MR SIU SAID THE EFFICIENCY STANDARDS AND PRODUCTIVITY INDICES FOR INDIVIDUAL OFFICES AND THE ENTIRE POSTAL SYSTEM HAD BEEN SET AND WERE MONITORED REGULARLY BY SENIOR MANAGEMENT.

TO IMPROVE EFFICIENCY FURTHER, HE SAID THE POST OFFICE WOULD CONTINUE TO MECHANISE AND AUTOMATE ITS OPERATIONS, FOR EXAMPLE THROUGH:

* INSTALLATION OF MECHANISED LETTER SORTING SYSTEMS IN SHA TIN AND TUEN MUN;

* COMPUTERISATION OF SPEEDPOST OPERATIONS;

* REPLACEMENT OF MECHANICAL STAMP VENDING MACHINES WITH ELECTRONICALLY OPERATED VERSIONS WHICH CAN ACCEPT ALL COINS, ISSUE A VARIETY OF STAMPS AND GIVE CHANGE;

* THE USE OF ELECTRONIC LETTER SCALES AT POST OFFICES TO REDUCE COUNTER TRANSACTION TIME; AND

* DEVELOPMENT OF A PROTOTYPE AUTOMAILER TO PROVIDE ’SELF SERVICE’ FACILITIES AT POST OFFICE COUNTERS.

THE SECRETARY ALSO SAID THE TARGET RATE OF RETURN WAS CURRENTLY UNDER REVIEW AS PART OF A WIDER EXERCISE OF REVIEWING PUBLIC UTILITY RATES OF RETURN.

------0-------

/26 .....

WEDNESDAY, MAY 12, 1993

- 26 -

MFN MOTION PASSED IN LEGCO *****

A MOTION URGING THE UNCONDITIONAL RENEWAL OF THE MOST-FAVOUREDNATION STATUS FOR CHINA WAS PASSED BY THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY) AFTER A THREE-HOUR DEBATE.

THIRTY MEMBERS SPOKE IN THE DEBATE PROPOSED BY THE HON ALLEN LEE. THE SECRETARY FOR TRADE AND INDUSTRY, MR T H CHAU, SPOKE ON BEHALF OF THE GOVERNMENT.

MOREOVER, 12 MEMBERS SPOKE IN THE ADJOURNMENT DEBATE RAISED BY THE HON LAU CHIN-SHEK ON COLLECTIVE BARGAINING. THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, WINDED UP THE DEBATE.

THE EIGHT BILLS SEEKING TO IMPLEMENT THE REVENUE-RELATED PROPOSALS IN THE BUDGET WERE PASSED WITHOUT AMENDMENTS.

THEY WERE INLAND REVENUE (AMENDMENT) BILL 1993, ESTATE DUTY (AMENDMENT) BILL 1993, ENTERTAINMENTS TAX (REPEAL) BILL 1993, STAMP DUTY (AMENDMENT) BILL 1993, DUTIABLE COMMODITIES (AMENDMENT) BILL 1993, MOTOR VEHICLES (FIRST REGISTRATION TAX) (AMENDMENT) BILL 1993, ROAD TRAFFIC (MISCELLANEOUS AMENDMENTS) BILL 1993 AND CROSS-HARBOUR TUNNEL (PASSAGE TAX) (AMENDMENT) BILL 1993.

FIVE OTHER BILLS WERE INTRODUCED FOR FIRST AND SECOND READINGS. DEBATES ON THEM WERE ADJOURNED.

THE BILLS WERE JUDICIAL PROCEEDINGS (ADJOURNMENT DURING GALE WARNINGS) (AMENDMENT) BILL 1993, ROAD TRAFFIC (AMENDMENT) BILL 1993, FIXED PENALTY (TRAFFIC CONTRAVENTIONS) (AMENDMENT) BILL 1993, BUILDINGS (AMENDMENT) BILL 1993 AND NOISE CONTROL (AMENDMENT) BILL 1993.

- - 0 -

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

THURSDAY, MAY 13, 1993

CONTENTS PAGE NO.

GOVERNOR IN LEGCO ................................................ j

BUSY AFTERNOON FOR I,ADY THATCHER ............................... 14

1993/94 LAND SALES PROGRAMME .................................... 15

INITIAL FINDINGS OF 92/93 PAY TREND SURVEY ...................... 16

POLICE ADVICE ON PETITION OUTSIDE GOVT HOUSE .................... 16

EXTERNAL TRADE STATISTICS FOR MARCH ............................. 17

BUSINESS SURVEY RESULTS FOR FIRST QUARTER RELEASED .............. 26

SPLIT OF POLICE REGIONS SIGNIFICANT FOR SERVTCF IMPROVEMENT . 29

MORE PUBLIC EDUCATION NEEDED TO HELP DISABLED ................... 30

ADVICE FOR VISITORS TO CAMBODIA ................................. 30

SPECIAL INSPECTIONS OF PLASTIC FACTORIES START .................. 31

EXHIBITION ON EMPLOYMENT LAW TN TAT PO .......................... 32

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARK!I OPERATIONS

32

THURSDAY, MAY 13, 1993

1 -

GOVERNOR IN LEGCO * * * * *

FOLLOWING IS A TRANSCRIPT OF THE GOVERNOR’S QUESTION AND ANSWER SESSION IN THE LEGISLATIVE COUNCIL TODAY (THURSDAY):

GOVERNOR: MR PRESIDENT, 1 AM GRATEFUL FOR THIS OPPORTUNITY TO BRIEF HONOURABLE MEMBERS ON MY VISIT TO THE UNITED STATES LAST WEEK, MY FIRST AS GOVERNOR OF HONG KONG. LIKE PREVIOUS GOVERNORS, I CONSIDER IT AN ESSENTIAL PART OF MY JOB TO DEFEND HONG KONG’S VITAL INTERESTS WHENEVER AND WHEREVER THEY ARE THREATENED.

THE DEBATE NOW UNDER WAY IN THE UNITED STATES ABOUT CHINA’S MFN TRADING STATUS IS OF CRITICAL IMPORTANCE TO US IN HONG KONG. ANYTHING WHICH MIGHT DAMAGE THE RELATIONSHIP BETWEEN OUR TWO MOST IMPORTANT TRADING PARTNERS CLEARLY PUTS AT RISK HONG KONG’S VITAL INTERESTS.

IT IS WORTH REMINDING OURSELVES HOW IMPORTANT OUR RELATIONSHIP IS WITH THE UNITED STATES. THE UNITED STATES IS OUR SECOND MOST IMPORTANT TRADING PARTNER AFTER CHINA. IT IS OUR LARGEST MARKET FOR DOMESTIC EXPORTS. IT IS OUR SECOND LARGEST MARKET FOR RE-EXPORTS. IT IS A HUGELY IMPORTANT SOURCE OF DIRECT INVESTMENT AND OF TOURIST REVENUE. THE TOTAL VALUE OF OUR TRADE WITH THE UNITED STATES LAST YEAR WAS HK$285 BILLION. THERE ARE 15 U.S. BANKS AND 21 INSURANCE COMPANIES OPERATING HERE. 127 FACTORIES ARE WHOLLY OR PARTLY US-OWNED AND THEY PROVIDE EMPLOYMENT FOR 23,400 PEOPLE. SOME 900 UNITED STATES FIRMS CARRY OUT BUSINESS IN HONG KONG. SO THE ECONOMIC LINKS ARE CLOSE. I WOULD LIKE TO SEE THEM DEVELOP FURTHER. BESIDES STRESSING THE IMPORTANCE OF MFN RENEWAL DURING MY VISIT, I SOUGHT TO UNDERLINE THE IMPORTANCE OF THIS RELATIONSHIP TO AS WIDE AN AUDIENCE AS POSSIBLE.

I AM VERY GRATEFUL FOR THE WARM RECEPTION I RECEIVED IN THE UNITED STATES. I FOUND A DEEP RESERVOIR OF GOODWILL AND RESPECT FOR HONG KONG, AND I THINK IT IS THIS GOODWILL THAT HELPS TO EXPLAIN WHY SO MANY PEOPLE SET ASIDE TIME TO LISTEN TO WHAT I HAD TO SAY ON BEHALF OF HONG KONG. I HAD MEETINGS WITH PRESIDENT CLINTON AND VICE PRESIDENT GORE; WITH ACTING SECRETARY OF STATE WHARTON AND WINSTON LORD THE ASSISTANT SECRETARY OF STATE RESPONSIBLE FOR THIS PART OF ASIA AND THE PACIFIC; WITH TREASURY SECRETARY BENTSEN; AND WITH ROBERT RUBIN, THE ASSISTANT TO THE PRESIDENT FOR ECONOMIC POLICY.

IN THE CONGRESS I HAD DISCUSSIONS WITH SENATORS BAUCUS, BRADLEY, MCCONNELL AND MITCHELL AND REPRESENTATIVES FOLEY, HAMILTON, PELOSI, PORTER AND ROSTENKOWSKI, AND I MET BOTH THE ASIAN AND PACIFIC AFFAIRS SUB-COMMITTEE OF Till-: FOREIGN AFFAIRS COMMITTEE, CHAIRED BY REPRESENTATIVE ACKERMAN, AND SENATOR ROBB’S EAST ASIAN AND PACIFIC AFFAIRS SUB-COMMITTEE OF THE SENATE FOREIGN RELATIONS COMMITTEE. IN ADDITION, 1 GAVE SPEECHES TO THE NATIONAL PRESS CLUB IN WASHINGTON, THE NATIONAL COMMITTEE ON US-CHINA RELATIONS AND THE HONG KONG ASSOCIATION IN NEW YORK, AND TO A NUMBER OF OTHER AUDIENCES. ON ALL OF THESE OCCASIONS I ARGUED WI TH ALL THE FORCE AT MY COMMAND IN DEFENCE OF FREE TRADE AND THE RENEWAL OF MFN STATUS FOR CHINA.

/MY VISIT .......

THURSDAY, MAY 13, 1993

2

MY VISIT WAS WELL TIMED, THE NEW ADMINISTRATION AND CONGRESS ARE MOVING TOWARDS A DECISION ON THE MFN ISSUE. I EXPLAINED THE IMPLICATIONS OF THE DECISION FOR HONG KONG. I MADE IT CLEAR THAT NONRENEWAL OR HEAVILY QUALIFIED RENEWAL WOULD HAVE A SERIOUS IMPACT ON JOBS AND INCOMES HERE. WE ESTIMATE THAT 70,000 JOBS MIGHT BE LOST IN HONG KONG AND THAT OUR GROWTH RATE WOULD BE HALVED IF CHINA WERE TO BE DENIED MFN STATUS BY THE UNITED STATES. I AM CONVINCED THAT HONG KONG’S POSITION IS NOW WELL UNDERSTOOD IN WASHINGTON AND THAT OUR CONCERNS WILL BE A MAJOR FACTOR TO BE TAKEN INTO ACCOUNT WHEN THE FINAL DECISION IS MADE.

HAVING SAID THAT, I HAVE TO REPORT TO HONOURABLE MEMBERS THAT I FOUND WIDESPREAD CONCERN IN THE UNITED STATES ABOUT HUMAN RIGHTS, ABOUT MARKET ACCESS AND ABOUT ARMS PROLIFERATION. WE SHOULD NOT UNDERESTIMATE THE STRENGTH OF UNITED STATES CONCERNS ON THESE MATTERS. I ARGUED THAT IT WOULD BE A MISTAKE TO LINK TRADE AND POLITICS. AS HONOURABLE MEMBERS WILL KNOW, MR WINSTON LORD HAS HAD AN IMPORTANT ROUND OF MEETINGS IN PEKING THIS WEEK. WE MUST ALL HOPE THAT THESE DISCUSSIONS HAVE BEEN SUCCESSFUL.

YESTERDAYt MEMBERS PASSED A MOTION CALLING ON THE BRITISH GOVERNMENT TO LOBBY THE UNITED STATES GOVERNMENT FOR RENEWAL OF MFN STATUS FOR CHINA. WE WILL OF COURSE PASS ON MEMBERS’ VIEWS TO LONDON. I WOULD LIKE TO MAKE IT CLEAR TO YOU THAT THE BRITISH GOVERNMENT HAS ALREADY BEEN ACTIVE ON THIS ISSUE ON HONG KONG’S BEHALF AND WILL CONTINUE TO BE SO. I RECEIVED THE FULL SUPPORT AND THE ENCOURAGEMENT OF THE BRITISH AMBASSADOR IN WASHINGTON AND HIS STAFF IN MY OWN LOBBYING EFFORTS LAST WEEK. HER MAJESTY’S GOVERNMENT WILL GO ON PRESSING OUR CASE BUT I BELIEVE THAT ALL OF US MUST GO ON ARGUING FOR UNCONDITIONAL MFN RENEWAL AND EXPLAINING THE IMPACT HERE IF MFN IS NOT RENEWED OR IF IT IS QUALIFIED. I AM GRATEFUL FOR THOSE BUSINESS MISSIONS WHICH HAVE CARRIED THIS MESSAGE FROM HONG KONG TO THE UNITED STATES AND PARTICULARLY TO THE AMERICAN CHAMBER OF COMMERCE IN HONG KONG FOR THEIR TIRELESS AND EFFECTIVE WORK.

ONE PARTICULAR POINT WHICH I STRESSED DURING MY VISIT WAS THAT IT WOULD NOT BE AT ALL HELPFUL TO HONG KONG IF THE RESOLUTION OF THE CURRENT DISCUSSIONS WITH CHINA ON CONSTITUTIONAL MATTERS WAS IN SOME WAY ATTACHED AS A CONDITION OF MFN RENEWAL. I AM GLAD TO SAY THAT THIS POINT WAS ACCEPTED IN PARTICULAR BY REPRESENTATIVE PELOSI, THE AUTHOR OF THE DRAFT HOUSE BILL PROPOSING THE CONDITIONING OF MFN. AS A RESULT OF OUR REPRESENTATIONS, SHE HAS ANNOUNCED THAT SHE WILL DELETE ANY REFERENCE TO THE OUTCOME OF HONG KONG’S CONSTITUTIONAL DEBATE FROM HER DRAFT LEGISLATION.

I SHOULD ADD THAT THERE WAS A GOOD DEAL OF INTEREST IN THIS CONSTITUTIONAL DEBATE ON THE PART OF NEARLY EVERYONE I MET. MANY QUESTIONED ME CLOSELY ABOUT IT. GIVEN THE NUMBER OF AMERICANS LIVING IN HONG KONG AND THE SIZE OF U.S. INVESTMENTS AND BUSINESS OPERATIONS HERE, IT IS UNDERSTANDABLE THAT THEY SHOULD MAINTAIN AN INTEREST IN ANY MATTERS AFFECTING HONG KONG’S FUTURE PROSPERITY AND STABILITY. IT WAS FULLY RECOGNISED AND HELPFULLY STATED BY THE PRESIDENT HIMSELF THAT THE RESOLUTION OF THESE CONSTITUTIONAL ISSUES WAS A MATTER FOR THE CURRENT AND FUTURE SOVEREIGN POWERS. BUT MANY PEOPLE EXPRESSED THEIR FIRM AND SINCERE HOPE, FOR WHICH I WAS MOST GRATEFUL, THAT THE PRESENT SERIES OF TALKS BETWEEN BRITAIN AND CHINA WOULD END SUCCESSFULLY. THAT IS, I AM SURE, AN ASPIRATION SHARED BY US ALL.

/PRESIDENT: ........

THURSDAY, MAY 13, 1993

3

PRESIDENT: IT’S AGREED THE QUESTION TIME THIS AFTERNOON WILL BE DEVOTED TO THE GOVERNOR’S VISIT TO THE UNITED STATES AND TRADE MATTERS. MEMBER MAY NOW PUT QUESTIONS ’1'0 THE GOVERNOR. A MEMBER MAY ASK A SUPPLEMENTARY QUESTION FOR THE PURPOSE OF ELUCIDATION, BUT THE SUPPLEMENTARY SHOULD BE A SHORT, SINGLE QUESTION. SHOW OF HANDS PLEASE.

DR HUANG CHEN-YA: GOVERNOR, THERE IS WIDESPREAD AMERICAN (ONCERN ABOUT HUMAN RIGHTS, ARMS PROLIFERATION AND TRADE ACCESS. WOULD YOU OR THE BRITISH EMBASSY BE INFORMING THE CHINESE GOVERNMENT OF THIS OBSERVATION SO THAT THE CHINESE GOVERNMENT TAKES APPROPRIATE INITIATIVES TO DEAL WITH THE CONDITIONS THAT MIGHT BE APPLIED SO THAT CHINA WILL IN FACT MAINTAIN ITS MFN STATUS.

GOVERNOR: I DOUBT WHETHER THERE IS ANY NEED FOR EITHER THE EMBASSY OR ME TO CONVEY THOSE THOUGHTS TO THE GOVERNMENT OF SINCE MR LORD HAS PRESUMABLY BEEN CONVEYING THOSE CONCERNS THIS WEEK. I AM SURE THAT THEY ARE PRETTY WELL KNOWN BOTH CHINESE EMBASSY IN WASHINGTON AND TO THE CHINESE MINISTRY OF AFFAIRS AND TO OTHER SENIOR CHINESE OFFICIALS.

BRITISH

THE PRU HIMSELF

TO THE FOREIGN

I OBVIOUSLY ARGUED WHEN I WAS IN WASHINGTON AND NEW YORK THAT IF THERE WERE PARTICULAR CONCERNS ON THE PARI’ OF THE ADMINISTRATION AND ON THE PART OF THEIR CONGRESS IONAL LEADERS ON THOSE MATTERS, THEY SHOULD BE PURSUED IN WAYS THAT WERE APPROPRIATE RATHER THAN THROUGH CREATING TRADE PROBLEMS AND I) I EFI CULT I FS BETWEEN (’HINA AND THE UNITED STATES. THERE ARE PARTICULAR CHANNELS IN MY .JUDGEMENT IN WHICH IF THE UNITED STATES IS CONCERNED ABOUT THOSE MATTERS, THEY CAN PURSUE THEM AS OTHER COUNTRIES HAVE DONE ON APPROPRIATE OCCASIONS. THAT WAS A POINT THAT I PUT LAST WEEK AND IT’S POINT THAT I WILL CONTINUE TO PUT.

MR LAU WONG-FAT (THROUGH INTERPRETER): GOVERNOR, SHOULD THERE BE A TRADE WAR BETWEEN CHINA AND THE U.S., HONG KONG’S ECONOMY WILL DEFINITELY BE AFFECTED. SO MY QUESTION IS: AT THIS POINT IN TIME HAVE WE GOT CONTINGENT MEASURES IN ORDER TO HELP HONG KONG PEOPLE OVERCOME THE CRISIS THAT MIGHT ARISE. lb SO, COULD THIS COUNCIL BE INFORMED OF THE MEASURES. IF NOT, COULD EXPLANATION BE GIVEN WHY THE GOVERNMENT IS NOT MAKING SUCH PREPARATION.

GOVERNOR: I’VE GOT NO DOUBT AT ALL THAT WERE THERE TO BE NO RENEWAL OF MFN OR WERE MFN RENEWAL TO BE HEAVILY CONDITIONED SO AS TO MAKE A REAL IMPACT ON TRADE BETWEEN C|| I NA AND THE UNITED STATES, THERE WOULD BE AN IMPACT ON THE HONG KONG ECONOMY. IT SEEMS TO ME IMPOSSIBLE TO DESIGN, FOR INSTANCE, HEAVY CONDITIONS ON MFN YND WITHOUT RUNNING THAT SEVERE RISK. I AM ALSO, I HAVE TO SAY, A LITTLE SCEPTICAL ABOUT PRECISE ECONOMIC MODELLING OF WHAT THOSE EEFECIS WOULD BE AND I DON’T MEAN TO BE DISRESPECTFUL TO ECONOMISTS IN SAYING THAT. BUT HONG KONG HAS, OVER THE YEARS AND DECADES, SHOWN ITSELF MUCH MORE FLEXIBLE IN ADJUSTING TO CHANGING ECONOMIC CIRCUMSTANCES THAN MOST OTHER ECONOMIES AND WE’VE DONE THAT IN A NUMBER OF WAYS OVER THE YEARS.

/I DON’T .......

THURSDAY, MAY 13, 1993

4

I DON’T THEREFORE BELIEVE THAT IT’S POSSIBLE BEFORE WE KNOW PRECISELY WHAT THE OUTCOME OF PRESENT DELIBERATIONS IS GOING TO BE TO DESIGN EXACT MEASURES WHICH WE COULD PUT IN PLACE TN ORDER TO HELP SUSTAIN OUR ECONOMIC PERFORMANCE IN CIRCUMSTANCES OF TRADE FRICTION. BUT OBVIOUSLY WERE THOSE CIRCUMSTANCES TO ARISE WE WOULD NEED TO LOOK AT WAYS IN WHICH WE COULD GIVE GREATER ASSISTANCE TO OUR BUSINESS AND INDUSTRIAL SECTOR, FOR EXAMPLE, THROUGH THE HELP THAT WE PROVIDE TO RE-TRAINING, BUT I DARE SAY IN OTHER WAYS AS WELL. BUT I DON’T THINK IT’S POSSIBLE FOR US TO HAVE IN THE WINGS, AS IT WERE, TO WHEEL ON TO STAGE AT SOME APPROPRIATE MOMENT, SHOULD THAT UNFORTUNATE CIRCUMSTANCE ARISE, A PERFECTLY DESIGNED SET OF MEASURES TO SUSTAIN OUR ECONOMY IN THOSE DIFFICULT CIRCUMSTANCES.

MRS PEGGY LAM (THROUGH INTERPRETER): MR GOVERNOR, ACTUALLY MR LAU HAS REALLY ASKED SOME OF MY QUESTION. JUST NOW YOU MENTIONED THAT PROBABLY 70,000 JOBS COULD BE LOST. I’D LIKE TO KNOW WHICH SECTORS DO THESE 70,000 JOBS BELONG AND HOW DO YOU PLAN TO HELP THOSE PEOPLE WHO ARE DISPLACED BECAUSE OF THIS?

GOVERNOR: I DON’T WANT TO REPEAT TOO MUCH OF WHAT I HAVE JUST SAID. I DON’T THINK THAT PRECISION IN THESE MATTERS IN TALKING ABOUT ECONOMIC IMPACT IS POSSIBLE. WHAT THE ECONOMIC MODELLING HAS DONE IS TO GIVE US A BROAD ASSESSMENT OF THE GRAVITY OF THE SITUATION THAT WE WOULD FACE. CLEARLY JOBS WOULD BE LOST PRINCIPALLY IN THOSE SECTORS WHICH DEPEND ON EXPORT OR RE-EXPORT AND THE WHOLE COUNCIL WILL KNOW SOME OF THE SECTORS I AM TALKING ABOUT. FOR EXAMPLE TEXTILES, FOR EXAMPLE MANUFACTURE OF WATCHES, FOR EXAMPLE TOYS - IF THOSE WERE SECTORS THAT WERE HIT. BUT IT IS QUITE DIFFICULT TO KNOW HOW OR WHETHER THEY WOULD BE. LET ME GIVE THE HONOURABLE LADY AN EXAMPLE.

IF CONDITIONALITY WAS TO LEAD IN A YEAR’S TIME TO THE TRIGGERING OF TRADE RESTRICTIONS BV THE UNITED STATES AND IF THOSE RESTRICTIONS WERE MODELLED ON THE PROVISIONS OF THE PELOSI AND MITCHELL BILLS, THEN THE UNITED STATES TREASURY OR THOSE WHO WORK FOR IT - AND I THINK THERE WOULD HAVE TO BE MANY MORE OF THEM - WOULD HAVE TO MAKE A DECISION ABOUT WHICH CHINESE PRODUCTS WERE FROM THE PUBLIC, THE STATE SECTOR, AND WHICH WERE FROM THE PRIVATE SECTOR. THE COUNCIL WILL KNOW THAT THERE IS AN EXTREMELY DIFFICULT DISTINCTION TO MAKE. THERE ARE SECTORS OF ECONOMIC DEVELOPMENT IN CHINA WHICH REMAIN IN THE STATE SECTOR, FOR EXAMPLE ENERGY AND STEEL MANUFACTURE. DOES THAT MEAN THAT PRODUCTS WHICH REQUIRE A LARGE ENERGY INPUT OR PRODUCTS WHICH ARE MADE OF STEEL ARE PUBLIC SECTOR PRODUCTS OR PRIVATE SECTOR PRODUCTS. WHAT IS A BICYLCE MADE WITH STEEL BUT PROBABLY MANUFACTURED IN THE PRIVATE SECTOR? WHAT IS SILK? IS SILK PUBLIC SECTOR OR IS IT PRIVATE SECTOR? I THINK THAT MAKING THESE DISTINCTIONS MAY WELL LEAD TO A JOB CREATION PROGRAMME FOR THE CIVIL SERVICE. I CERTAINLY THINK IT WOULD BE VERY DIFFICULT, HOWEVER WELL-MEANING THEY ARE, TO POLICE DISTINCTIONS LIKE THAT. SO WITH THAT DEGREE OF UNCERTAINTY IT’S QUITE DIFFICULT FOR US TO BE PRECISE ABOUT WHERE THE BIGGEST EFFECTS ON OUR OWN ECONOMY WOULD BE, BUT THAT THERE WOULD BE CONSIDERABLE EFFECTS I HAVE NO DOUBT.

/REV FUNG ........

THURSDAY, MAY 13, 1993

5

REV FUNG CHI-WOOD(THROUGH INTERPRETER): MR GOVERNOR, MY QUESTION ACTUALLY IS RELATED TO THE ANSWER GIVEN JUST NOW. THE US ADMINISTRATION MIGHT ADD CONDITIONS TO THE RENEWAL OF MFN, PROBABLY TARGETING ONLY AGAINST STATE ENTERPRISES. ACCORDING TO STATISTICS, SHOULD MFN BE NOT RENEWED THEN HONG KONG WILL LOSE THREE PER CENT IN ITS GDP. HAS THE GOVERNMENT WORKED OUT THE STATISTICS FOR PARTIAL NON-RENEWAL, THAT IS ONLY TARGETED AGAINST STATE ENTERPRISES, AND ARE THERE ANY CONTINGENCY MEASURES TO DEAL WITH THOSE?

GOVERNOR: I THINK THIS IS THE FIRST OPPORTUNITY I HAVE HAD TO CONGRATULATE THE HONOURABLE MEMBER, WHICH I DO WITH GREAT ENTHUSIASM AND I HOPE THAT HE IS AS HAPPY AS ALL THE OTHER MARRIED MEMBERS OF THE COUNCIL.

REV FUNG CHI-WOOD: THANK YOU.

GOVERNOR: I HOPE THAT HASN’T GIVEN JOURNALISTS TOO CONSIDERABLE A FIELD DAY.

IT IS OBVIOUSLY THE CASE THAT MORE PARTIAL MEASURES LEAD TO A LESS CONSIDERABLE IMPACT ON OUR ECONOMY AND IF I MAY MAKE THE POINT, ON THE ECONOMIES OF THE UNITED STATES AND CHINA AS WELL. IT IS NOT FOR ME TO MAKE A PITCH ON BEHALF OF THE AMERICAN ECONOMY OR ON BEHALF OF THE ECONOMY OF CHINA BUT THEY WILL OBVIOUSLY BE THE PRINCIPAL ECONOMIES AFFECTED. BUT I DON’T THINK THAT ONE CAN MAKE ACCURATE ASSESSMENTS OF GRADATIONS OF MEASURE BY THE US ADMINISTRATION. I DON’T THINK THAT SORT OF PRECISE CALIBRATION IS POSSIBLE, THOUGH IT MIGHT PROVIDE MORE OR LESS USEFUL EMPLOYMENT FOR ECONOMISTS.

BUT I REPEAT THE POINT THAT ANY SUBSTANTIAL CONDITIONALITY OR CERTAINLY NON-RENEWAL OF MFN IN A YEAR’S TIME, IN CIRCUMSTANCES IN WHICH CHINA HAI) NOT MET CONDITIONS LAID DOWN BY THE UNITED STATES OR IN CIRCUMSTANCES IN WHICH CHINA HAD REACTED AGAINST THE WHOLE CONCEPT OF CONDITIONALITY, THE SORT OF CONSEQUENCES OF EITHER OF THOSE DEVELOPMENTS WOULD HAVE SOME EFFECT ON OUR ECONOMY AND WE DON’T WANT TO HAVE TO FACE THOSE SORT OF PROBLEMS. NOR DOES THE REGION, IN MY JUDGMENT.

WHEN ONE LOOKS AROUND THE WORLD, WHEN ONE LOOKS AT THE SITUATION IN EUROPE AND THE FIRST SIGNS OF RATHER LIMITED RECOVERY IN NORTH AMERICA, IT IS PERFECTLY PLAIN THAT THE WORLD NEEDS THE ECONOMY IN ASIA TO KEEP ON GROWING IN ORDER TO SUSTAIN ECONOMIC DEVELOPMENT ELSEWHERE. SO I AM NOT IN FAVOUR OF ANYTHING WHICH INTERFERES WITH THE DYNAMO OF GROWTH IN THIS PART OF THE WORLD. I THINK THAT IS BAD, NOT ONLY FOR THIS PART OF THE WORLD BUT BAI) FOR EVERYWHERE ELSE TOO.

MR ALLEN LEE: GOVERNOR, WE KNOW HONG KONG WILL BE A CASUALTY OF TRADE HOSTILITY BETWEEN CHINA AND AMERICA. ONE OF THE BEST ASSURANCES FOR US WOULD BE FOR (’HINA TO REJOIN THE GATT. DID THE CLINTON ADMINISTRATION INDICATE TO YOU WHETHER IT NOW SUPPORTS CHINA’S BID TO BECOME A MEMBER OF THE GATT?

/GOVERNOR: .......

THURSDAY, MAY 13, 1993

6

GOVERNOR: NO, THEY DIDN'T, BUT THEY KNOW OUR POSITION ON BOTH CHINA'S APPLICATION AND ON TAIWAN’S APPLICATION AS WELL, AND THEY KNOW THE POSITION OE THE UNITED KINGDOM. I THINK THAT MAJOR TRADING PARTNERS, MAJOR TRADING NATIONS, SHOULD BE MEMBERS OF THAT CLUB AND THAT IS A POINT OF VIEW WE HAVE PUT, I THINK FAIRLY FORCEFULLY, IN WASHINGTON AND ELSEWHERE.

IF I MAY BUILD ON THE HONOURABLE MEMBER’S QUESTION BECAUSE I KNOW IT IS ALSO A POINT THAT HE IS CONCERNED ABOUT, WE ALSO OF COURSE EXPRESSED OUR CONCERN THAT THERE SHOULD BE AN EARLY CONCLUSION OF THE GATT URUGUAY ROUND. IT IS VERY IMPORTANT FOR US THAT THE WORLD AGREES NEW RULES WHICH MEAN MORE FREE TRADE AND WE ARE THE BEST POSSIBLE EXPONENT OF THAT CASE. I DOUBT WHETHER THERE IS ANY OTHER COMMUNITY WHICH HAS BEEN SO COMMITTED TO THE PRINCIPLES OF FREE TRADE AS WE HAVE BEEN AND I THINK THOSE PRINCIPLES OFFER MORE HOPE TO HUMANITY THAN MOST OTHER LIKELY ECONOMIC DEVELOPMENTS.

A POINT I MADE AGAIN AND AGAIN IN THE UNITED STATES AND A POINT I MADE IN A SPEECH WHEN I VISITED EUROPE LAST MONTH, IS THAT FREE TRADE IS, IN MY JUDGMENT, LIKE RIDING A BICYCLE. WHEN YOU’RE RIDING A BICYCLE ONCE YOU STOP TURNING THE PEDALS YOU FALL OFF. WITH FREE TRADE, ONCE YOU MOVE AWAY FROM THE PRINCIPLES OF FREE TRADE THERE IS A TERRIBLE DANGER OF FALLING INTO PROTECTIONIST PUDDLES. UNLESS YOU ARE COMMITTED TO THE PRINCIPLES, YOU ARE ALL TOO LIKELY TO COURT PROTECTIONISM. AND PROTECTIONISM, AS SURE AS NIGHT FOLLOWS DAY, MEANS HIGHER PRICES FOR CONSUMERS, LOWER JOBS AND LESS ECONOMIC GROWTH.

MR ALBERT CHAN(THROUGH INTERPRETER): MR GOVERNOR, REGARDING YOUR VISIT TO THE STATES, YOU WERE WARMLY WELCOMED BY TOP LEADERS IN THE STATES AND YET WHAT YOU SAID AND WHAT YOU DID IN THE STATES WAS ALSO CRITICISED BY STUDENTS OVERSEAS, IN THE STATES THAT IS, AND THEY SAY THAT YOU DO NOT REALLY PAY ENOUGH ATTENTION TO HUMAN RIGHTS, AND THE CHINESE GOVERNMENT HAS ALSO CRITICISED YOU FOR INTERNATIONALISING THE HONG KONG ISSUE. AND SO TO YOU, MR GOVERNOR, THIS TIME WHAT IS YOUR CONTRIBUTION TOWARDS THE RENEWAL OF MEN AND HAVE YOU RECEIVED COMMITMENT FROM THE UNITED STATES THAT HONG KONG’S ECONOMY WILL NOT BE AFFECTED BY ANY CHANGES IN US-CHINA TRADE RELATIONSHIPS?

GOVERNOR: LET ME DEAL WITH THOSE QUESTIONS IN ORDER: HUMAN RIGHTS, INTERNATIONALISING - WHICH HAS TURNED INTO A CURIOUS MORTAL SIN - AND MFN AND THE IMPACT THAT I MIGHT HAVE HAD ON THE DEBATE IN WASHINGTON.

/NO COMMUNITY .......

THURSDAY, MAY 13, 1993

7

NO COMMUNITY IS GOING TO BE MORE CONCERNED ABOUT HUMAN RIGHTS AND THE PRESERVATION OF HUMAN RIGHTS AND THE PRESERVATION OF THE RULE OF LAW THAN THIS ONE AND I DON’T THINK WE NEED REMINDING OF THE IMPORTANCE OF HUMAN RIGHTS. BUT I THINK THAT MANY MEMBERS OF THIS COMMUNITY SHARE MY VIEW THAT THE USE OF TRADE WEAPONS IS NOT THE RIGHT WAY TO PROMOTE AND PROTECT HUMAN RIGHTS. A NUMBER OF OTHER COMMUNITIES, I THINK, TAKE THE SAME VIEW. THEY HAVE ESTABLISHED A DIALOGUE ON HUMAN RIGHTS WITH THE PRC, FOR EXAMPLE THAT IS WHAT HAS BEEN DONE BY AUSTRALIA, IT’S WHAT’S BEEN DONE BY FRANCE, IT’S WHAT’S BEEN DONE BY THE UNITED KINGDOM. I THINK, MYSELF, THAT DIALOGUE RATHER THAN USING A DOUBLE-EDGED TRADE WEAPON IS THE RIGHT WAY TO PROCEED. BECAUSE I SAY THAT AND BECAUSE I THINK THAT DOESN’T MEAN THAT 1 HAVE ANY LESS REGARD FOR HUMAN RIGHTS THAN SOME OF THOSE STUDENTS TO WHOM THE HONOURABLE MEMBER REFERRED, BUT I TAKE A DIFFERENT VIEW ABOUT THE BEST WAY OF ARGUING FOR HUMAN RIGHTS.

LET ME ADD ONE OTHER POINT. I THINK IT WAS JEFFERSON WHO REFERRED - I THINK IT IS CARVED ON HIS MONUMENT -JEFFERSON WHO REFERRED TO THE CONSEQUENCES OF HUMAN DEVELOPMENT FOR POLITICAL STRUCTURES. I DON’T DOUBT AT ALL THAT ECONOMIC GROWTH AND FREE TRADE AND MORE OPEN ECONOMIES IMPROVE THE QUALITY OF LIVING OF INDIVIDUALS DEFINED IN THE BROADEST WAY AND THAT IS WHY I AM IN FAVOUR OF PROMOTING ECONOMIC GROWTH AND FREE TRADE RATHER THAN LIMITING THEM.

SECONDLY, 1NTERNATIONALISATION. I

THINK THAT IT WOULD BE ASTONISHING IF THE GOVERNOR OR CHIEF EXECUTIVE OF THE TENTH LARGEST TRADING COMMUNITY IN THE WORLD DIDN’T WISH TO VISIT FROM TIME TO TIME THE MAIN TRADING PARTNERS OF THAT ENORMOUSLY IMPORTANT TRADING COMMUNITY. 1 SHALL CONTINUE TO DO THAT, I SHALL CONTINUE TO ARGUE THE CASE FOR HONG KONG IN OTHER COUNTRIES AND I PLACE THIS BET NOW WITH COMPLETE CONFIDENCE, THE CHIEF EXECUTIVE OF THE SAR WILL TN DUE COURSE DO EXACTLY THE SAME IF SHE OR HE IS DOING

‘ OR HIS JOB PROPERLY. THAT is PART OF MY RESPONSIBILITY AND I SHALL CONTINUE TO GARRY IT OUT. I THOUGHT THAT THERE WAS A MARKED DIFFERENCE BETWEEN SOME OF THE RATHER ROUTINE PROPAGANDA ATTACKS ON MY VISIT AND THE SENSIBLE AND ACCURATE REMARKS MADE BY VICE PREMIER ZHU RONGJI WHO SAID I HAD BEEN LOBBYING ON MFN IN WASHINGTON IN HONG KONG’S INTEREST, A REMARK WHICH IS ACCURATE AND PRECISE.

SILVER-TONGUED

MAJORITY OF

CONDITIONALITY

THIRDLY, I WOULD, I GUESS, NEED ALL THE ELOQUENCE OF THE HONOURABLE MEMBER TO PERSUADE THAT THE UNITED STATES CONGRESS WHICH BELIEVES IN TO COME TO SOME OTHER CONCLUSION. BUT WHATEVER I MAY

HAVE FAILED TO DO OR WHOEVER I MAY HAVE FAILED TO CONVINCE, I AM PRETTY CERTAIN THAT I WAS ABLE LAST WEEK TO ENSURE THAT THE IMPACT ON

HONG KONG OF NON-RKNEWAL OF MFN OR HEAVY CONDITIONALITY ON MFN WILL BE A CONSIDERABLE FACTOR WHEN THE US ADMINISTRATION AND CONGRESSIONAL

LEADERS MAKE UP THEIR MINDS ON THE WAY FORWARD. AND I NOTE THAT AFTER MV VISIT, SOME OF THOSE I SPOKE TO, INCLUDING FOR EXAMPLE REPRESENTATIVE PELOSI, MADE THAT POINT VERY OPENLY. I DO THINK THAT WE HAVE HAD SOME SUCCESS IN ENSURING THAT OUR POSITION IS ON THE AGENDA, BUT T CANNOT, HAND-ON-HEART, TELL THE HONOURABLE MEMBER THAT I WAS ABLE TO CONVINCE ALL THOSE AMERICAN CONGRESSMEN AND SENATORS WHO ARE WORRIED ABOUT WEAPONS PROLIFERATION AND HUMAN RIGHTS AND ACCESS TO CHINA’S MARKET THAT THEY SHOULD PURSUE THOSE INTERESTS IN OTHER WAYS THAN THROUGH THE MFN CHANNEL.

/MR CHIM .......

THURSDAY, MAY 13, 1993

8 -

MR CH1M PUI-CHUNG (THROUGH INTERPRETER) : MR GOVERNOR, AT PRESENT HONG KONG CITIZENS ARE MOST CONCERNED ABOUT TWO THINGS. FIRST, THE SINO-BRITISH TALKS AND ITS OUTCOME IN THE 1993/94 ELECTORAL ARRANGEMENTS. THE SECOND THING THEY ARE MOST CONCERNED ABOUT IS THE RENEWAL OF MFN STATUS FOR CHINA BY U.S. SO YOU MADE A TRIP TO U.S. AND YOU COVERED THESE TWO QUESTIONS. REGARDING THE RENEWAL OF MFN, NO RESOLUTION OR NO SOLUTION IS IN SIGHT AND FOR THE OTHER QUESTION YOU CONVEYED THE MESSAGE TO UNITED STATES ABOUT THE SINO-BRITISH TALKS. SO WOULD IT AFFECT THE OUTCOME OF THE SINO-BRITISH TALKS? WOULD IT BE IN THE WAY OF THE SINO-BRITISH TALKS? OF COURSE, YOU SAID THAT IT WOULD NOT HAPPEN BUT IT REALLY PUTS PSYCHOLOGICALLY PRESSURE ON HONG KONG AND IT REALLY INCREASES OUR WORRIES AND SO AS THE GOVERNOR OF HONG KONG DO YOU BELIEVE IT IS BETTER TO MAKE HONG KONG PEOPLE WORRIED OR DO YOU THINK YOU SHOULD CONVEY HOPE TO HONG KONG PEOPLE THAT THERE IS A GOOD CHANCE OF SMOOTH TRANSITION?

GOVERNOR:

DON’T THINK THAT ANSWERING QUESTIONS ON THE

DISAGREEMENT THAT WE’VE HAD ABOUT POLITICAL DEVELOPMENT IN THE UNITED STATES OR HERE INCREASES PEOPLE'S WORRIES. I THINK THAT TO ADDRESS

THE ISSUES THAT PEOPLE TALK ABOUT IN THEIR OWN HOMES

TELEVISION SET EVERY EVENING IS TO CONFRONT REALITY, NOT

AROUND THE

TO PROVOKE

ANXIETY.

I EXPRESSED TO UNITED STATES OFFICIALS MY SINCERE HOPE THAT THE TALKS WHICH HAVE BEGUN, OF WHICH THERE HAVE BEEN TWO ROUNDS SO FAR WITH THE THIRD ROUND COMMENCING NEXT WEEK, WOULD RESOLVE THE DISAGREEMENTS THAT WE’VE HAD ABOUT POLITICAL DEVELOPMENT AND DO SO AS RAPIDLY AS IS REASONABLY POSSIBLE BECAUSE I DON’T I'll INK THAT PEOPLE WANT THE ISSUE TO BE HANGING ABOUT INDEFINITELY THOUGH IT’S DIFFICULT TO TACKLE IT SUCCESSFULLY, WE ALL WISH THE NEGOTIATORS THE BEST OF GOOD FORTUNE. I EXPRESSED MY ENTHUSIASM FOR A SATISFACTORY OUTCOME. I DO SO AGAIN TODAY AND I AM SURE THAT IS ONE OF THE MANY ISSUES ON WHICH THE HONOURABLE GENTLEMAN AND 1 FIND OURSELVES IN WHOLEHEARTED AGREEMENT.

MS CHRISTINE LOH: GOVERNOR, IT’S OBVIOUSLY BEEN VERY USEFUL FOR YOU TO GO AND EXPLAIN HONG KONG’S CAUSE TO THE UNITED STATES, BUT SINCE THE ISSUE HAS REALLY TO DO WITH SI NO-AMER I CAN RELATIONS, WHAT DO YOU THINK COULD BE DONE AS FAR AS CHINA IS CONCERNED?

GOVERNOR: I THINK IT’S FOR UNITED STATES OFFICIALS PRINCIPALLY TO EXPRESS TO CHINESE OFFICIALS THE CONCERNS WHICH ARE - ENCOURAGING IS PERHAPS THE WRONG VERB - PROMPTING A NEW ADMINISTRATION TOWARDS A CHANGE OF POLICY ON MFN. BUT I’M ALSO SURE THAT, FOR EXAMPLE, THOSE WHO HAVE BEEN CHOSEN TO ADVISE THE HONG KONG MACAU OFFICE ON HONG KONG AFFAIRS WILL THEMSELVES WANT AT SUITABLE MOMENTS TO EXPRESS TO CHINESE OFFICIALS THEIR WORRIES ABOUT THE IMPACT OF NON-RESOLUTION OF THESE ARGUMENTS BETWEEN CHINA AND UNITED STATES ON HONG KONG. I AM SURE THAT THOSE ADVISERS WILL EXPRESS THEIR VIEWS ON THOSE MATTERS AND THEIR HOPE THAT WORRIES ABOUT ISSUES LIKE WEAPONS PROLIFERATION AND HUMAN RIGHTS CAN BE CONSTRUCTIVELY DEALT WI TU AND THAT SEEMS TO ME TO BE AN IMPORTANT MESSAGE FOR ADVISERS TO TAKE AND I AM SURE THAT DISCHARGING THEIR RESPONSIBI 1.1TIES THEY WILL DO PRECISELY THAT.

/MRS SELINA .......

THURSDAY, MAY 13, 1993

- 9

MRS SELINA CHOW (THROUGH INTERPRETER): MR PRESIDENT, MR GOVERNOR, IN HONG KONG WE HEARD SOME REPORTS SAYING THAT WHEN THE GOVERNOR WAS IN THE UNITED STATES DURING THE COURSE OF LAST WEEK IT CAUSED A LOT OF - MEDIA MEMBERS WERE VERY MUCH INTERESTED IN YOUR ACTIVITY AND THAT’S WHY A LOT OF HONG KONG REPORTERS FOLLOWED YOU AROUND IN THE STATES AND WE HEARD SOME REPORTS SAYING THAT THERE WAS SOME UNFAIR TREATMENT FOR HONG KONG REPORTERS AND THEY HAVE INDEED LODGED A FORMAL COMPLAINT AND SO I WOULD LIKE TO ASK YOU THIS, MR GOVERNOR. HOW DO YOU VIEW THIS COMPLAINT FROM THE REPORTERS OF HONG KONG AND WHAT WOULD YOU DO TO PREVENT SIMILAR PROBLEMS FROM RECURRING BECAUSE, AS FAR AS I UNDERSTAND, THIS IS NOT THE FIRST TIME SUCH COMPLAINTS HAVE BEEN MADE.

GOVERNOR: THERE WAS ONE COMPLAINT BY ONE JOURNALIST FROM A COMMERCIAL RADIO STATION. THE COMPLAINT WAS WHOLLY UNFOUNDED AND IT HAS BEEN REJECTED WITH CONSIDERABLE FORCE BY THE ADMINISTRATION. THE PARTICULAR INCIDENT WAS ONE WHICH WAS WITNESSED BY MANY HONG KONG JOURNALISTS AND I DOUBT WHETHER THEY WOULD DISAGREE FROM THE ARGUMENTS THAT WE HAVE PUT FORWARD.

MR MARTIN BARROW: GOVERNOR, DURING YOUR VISIT WERE YOU ABLE TO RAISE THE NORMALISATION OF THE US/VIETNAM RELATIONS WHICH COULD BE SO HELPFUL TO HONG KONG IN RESOLVING THE ISSUE OF VIETNAMESE MIGRANTS STRANDED HERE?

GOVERNOR: I DTD RAISE THAT ISSUE WITH THE ADMINISTRATION. IT’S AN ISSUE ABOUT WHICH I KNOW THIS COMMUNITY FEELS STRONGLY AND I THINK WE FEEL STRONGLY FOR TWO REASONS. FIRST OF ALL, BECAUSE OF OUR BELIEF THAT NORMALISATION OF RELATIONS, THE UNBLOCKING FOR EXAMPLE OF DEVELOPMENT BANK ASSISTANCE AND LOANS, WOULD MAKE - WOULD HELP THE VIETNAMESE ECONOMY AND MIGHT ENCOURAGE THOSE WHO ARE IN CAMPS IN HONG KONG TO RETURN TO VIETNAM. 1 DOUBT WHETHER ANY FAMILIES IN THE CHARGE OF THE UNHCR ANYWHERE IN THE WORLD ARE BEING OFFERED MORE GENEROUS TERMS OF RESETTLEMENT, ARE BEING OFFERED MORE ASSISTANCE TO RETURN HOME. MORE MAY BE ENCOURAGED TO RETURN HOME IF THE VIETNAMESE ECONOMY WAS LOOKING IN BETTER SHAPE, THOUGH I HAVE TO SAY THAT FROM ALL I HEAR, IT IS IMPROVING RAPIDLY.

SECONDLY, OBVIOUSLY NORMALISATION OF TRADE BETWEEN THE UNITED STATES AND VIETNAM WOULD HELP TO ADD ANOTHER ECONOMIC DYNAMO TO THIS REGION, GOOD FOR THE REGION AND GOOD FOR THE WORLD.

MRS MIRIAM LAU: GOVERNOR, IN YOUR MAIN ADDRESS YOU HAVE TOLD US THAT YOU TOLD THE US GOVERNMENT OFFICIALS THAT HEAVILY QUALIFIED RENEWAL OF CHINA’S MFN STATUS WOULD BE DETRIMENTAL TO HONG KONG. I BELIEVE THAT THE WORDS HEAVILY QUALIFIED OR SIMILAR WORDS SUCH AS HEAVILY CONDITIONED OR HEAVILY CONDITIONALITY - THOSE WORDS HAVE BEEN CAREFULLY CHOSEN AND YOU HAVE REPEATED THEM TIME AND TIME AGAIN DURING YOUR MAIN ADDRESS AND AS WELL AS IN ANSWER TO MEMBERS TODAY. ARE YOU NOT SUGGESTING BY USING THOSE WORDS THAI' SOME KIND OF QUALIFICATION, SOME KIND OF' CONDITION WOULD BE ACCEPTABLE. IF THAT IS SO, THEN ARE YOU NOT SENDING THE WRONG MESSAGE TO THE US GOVERNMENT OFFICIALS SINCE, I AM SURE YOU ARE AWARE, THAT THIS COUNCIL HAS TIME AND TIME AGAIN CALLED FOR UNCONDITIONED RENEWAL OF MFN STATUS?

/GOVERNOR: ........

THURSDAY, MAY 13, 1993

- 10 -

GOVERNOR: WELL, I ACTUALLY REFERRED TN MY STATEMENT TODAY TO THE CASE FOR UNCONDITIONAL MFN RENEWAL AND I SAID THAT WAS A CASE THAT HER MAJESTY’S GOVERNMENT HAD PUT AND THAT I HAD PUT AND THAT WAS THE CASE THAT I PUT TO PRESIDENT CLINTON. IT WAS THE CASE THAT I PUT TO OTHER MEMBERS OF THE ADMINISTRATION AND IF I WAS TO SAY THAT THE ONLY CASE I HAD PUT WAS FOR UNCONDITIONAL MFN RENEWAL, THE HONOURABLE MEMBER MIGHT SAY TO ME THAT I WAS PERHAPS BEING A LITTLE UNREALISTIC SINCE IT DID NOT LOOK TO THE OUTSIDE OBSERVER AS THOUGH UNCONDITIONAL RENEWAL WAS LIKELY THIS YEAR.

SO I HAVE ALWAYS ADDED THE ARGUMENT AGAINST HEAVILY QUALIFIED MFN RENEWAL, BUT I WANT TO MAKE IT CLEAR TO THE HONOURABLE LADY, AS I SAID IN MY STATEMENT, THAT I ARGUED THE CASE FOR UNCONDITIONAL MFN RENEWAL. I DID THAT WHEN I SPOKE AT THE AMERICAN CHAMBER OF COMMERCE A COUPLE OF WEEKS BEFORE MY VISIT TO WASHINGTON AND I MADE THAT CASE AGAIN IN WASHINGTON AND NEW YORK.

THE PRESIDENT:

FOLLOW THROUGH.

MRS MIRIAM LAU: PERHAPS THE GOVERNOR CAN CLARIFY EXACTLY WHAT HE MEANS BY HEAVILY QUALIFIED.

GOVERNOR: WELL, FIRST OF ALL, I TAKE IT THAT THE HONOURABLE LADY IS ACCEPTING THAT I SAID IN MY STATEMENT THAT I HAD ARGUED, WE HAD ARGUED, FOR UNCONDITIONAL MFN RENEWAL. THAT’S POINT ONE. RIGHT?

MRS MIRIAM LAU: NOTWITHSTANDING THAT GOVERNOR YOU HAVE REPEATEDLY USED THE WORD HEAVILY QUALIFIED, WHICH GIVES ME A GREAT DEAL OF CONCERN.

GOVERNOR: WELL, I’VE USED THAT PHRASE BECAUSE IT LOOKS AS THOUGH THE UNITED STATES ADMINISTRATION IS GOING TO CHANGE U.S. POLICY AND IS GOING TO INTRODUCE CONDITIONS, AND HEAVILY CONDITIONAL RENEWAL WOULD BE THE SORT OF RENEWAL SO HUNG ABOUT WITH CONDITIONS AS TO HAVE A SERIOUS IMPACT ON CHINA/US TRADE AND THEREFORE AN IMPACT ON US. BUT IN ORDER TO SATISFY THE HONOURABLE LADY BEYOND ANY DOUBT WHATSOEVER, I REPEAT ONCE AGAIN THAT I HAVE ARGUED THE CASE IN PUBLIC AND IN PRIVATE FOR UNCONDITIONAL MFN RENEWAL. FULL STOP, PERIOD, END OF SENTENCE, END OF PARAGRAPH.

MS ANNA WU: GOVERNOR, I WONDER IF ON YOUR TRIP TO THE UNITED STATES, HAVE YOU SUGGESTED TO ANY OF THOSE THAT YOU MET TO COME TO THIS PART OF THE WORLD AND TO ADDRESS THE LEGISLATIVE COUNCILLORS COLLECTIVELY? IF NOT, WOULD YOU HF WILLING TO DO SO IN THE IMMEDIATE FUTURE?

GOVERNOR: THAT ISN’T AN INVITATION THAT 1 HAVE MADE ON THE LEGISLATIVE COUNCIL’S BEHALF TO ANY OF THE LEADERS THAT I HAVE MET ON ANY OF MY TRIPS. I THINK I WOULD WANT TO HAVE THE ADVICE AND GUIDANCE OF THE LEGISLATIVE COUNCIL BEFORE I OFFERED SUCH AN INVITATION ON ITS BEHALF. 1 THINK THAT IT MAY BE A SHADE CONTROVERSIAL WERE I TO EXTEND AN INVITATION TO A PARTY WITHOUT FIRST OF ALL ENQUIRING OF THE HOST WHETHER THE HOST ACTUALLY WANTED TO HAVE GUESTS THAT EVENING AND FOOT THE BILL. SO IF THIS COUNCIL IN DUE COURSE WISHES TO BE ADDRESSED BY SOME OF THOSE WHO I HAVE MET, I WILL LOOK FORWARD TO HEARING FROM THE COUNCIL. I AM SURE IN DUE COURSE THAT IT WILL BE, AS AN IMPORTANT ASSEMBLY.

/MS ANNA .......

THURSDAY, MAY 13, 1993

- 11 -

MS ANNA WU: COULD I JUST ASK ONE FOLLOW UP? HAS ANYBODY THAT YOU MET GIVEN YOU ANY INDICATION OF INTEREST TO SPEAK TO THE LEGISLATIVE COUNCILLORS COLLECTIVELY?

GOVERNOR: I MUST BE CAREFUL HOW I REPLY TO THAT BECAUSE I DON’T WANT TO SOUND AS THOUGH THOSE I HAVE SPOKEN TO HAVE IN ANY WAY BEEN CARELESS OF THE INTERESTS OF THE COUNCIL OR HAVE INSULTED THE COUNCIL. I THINK I CAN HONESTLY SAY THAT I HAVE MET A NUMBER OF LEADERS IN COUNTRIES AROUND THE WORLD WHO HAVE EXPRESSED AN INTEREST IN VISITING HONG KONG, SPEAKING TO POLITICAL LEADERS IN HONG KONG, LIKE THE MEMBERS OF THIS COUNCIL, BUT I HAVE NOT YET HAD A SPECIFIC REQUEST FROM THE LEADER OF ANOTHER COMMUNITY TO COME AND ADDRESS THIS COUNCIL AS A BODY. IF I GET SUCH A REQUEST I WILL OF COURSE PUT IT TO HONOURABLE MEMBERS.

AND IF I MAY SAY SO, I WHOLLY TAKE THE HONOURABLE LADY’S POINT THAT IT IS IMPORTANT THAT THIS COUNC1L ESTABLISHES RELATIONS OUTSIDE HONG KONG AND I AM SURE THAT IT WILL DO OVER THE MANY GENERATIONS OF FRUITFUL DEBATE AND ACTIVITY WHICH LIE AHEAD OF IT.

MRS ELSIE TU: MR PRESIDENT, MAY I ASK THE GOVERNOR THROUGH YOU A QUESTION RELATED TO THE ONE ASKED BY MRS MIRIAM LAU. LIKE MRS LAU, I AM ALSO CONCERNED ABOUT YOUR CONTINUED USE OF "QUALIFIED CONDITIONAL" OR "CONDITIONAL MFN" AND SO ON, WHATEVER TERM WAS USED TODAY. DID THE GOVERNOR AT ANY TIME, DURING SPEECHES OR CONVERSATIONS WITH AMERICAN SENATORS OR WHATEVER, USE ANY TERM EXCEPT "UNCONDITIONAL RENEWAL" BECAUSE THIS IS THE TERM WE HAVE BEEN USING IN LEGCO AND WE HAVE ALWAYS HAD SOLID SUPPORT AND I PRESUME YOU WERE REPRESENTING HONG KONG?

GOVERNOR: OF COURSE, I ARGUED THE CASE AND I REPEAT WHAT I SAID EARLIER, FOR UNCONDITIONAL MFN RENEWAL. I ALSO SAID, AND I AM SURE THAT THE HONOURABLE LADY WOULD AGREE WITH ME ON THIS, THAT WERE THERE TO BE CIRCUMSTANCES, WHICH I WOULD BE AGAINST -REPEAT, WHICH I WOULD BE AGAINST - IN WHICH THERE WAS CONDITIONAL MFN RENEWAL, THAT I VERY MUCH HOPED THAT HONG KONG’S POSITION WOULD FIRST OF ALL BE TAKEN INTO ACCOUNT AND SECONDLY, WOULD NOT BECOME ONE OF THE CONDITIONS. THAT SEEMS TO ME TO BE A POINT WHICH THE HONOURABLE LADY WOULD HERSELF APPROVE OF. I DON’T IMAGINE THAT WHEN I WAS TALKING TO REPRESENTATIVE PELOSI FOR EXAMPLE, THAT THE HONOURABLE LADY WOULD HAVE HAD MUCH TO DISAGREE WITH ME ABOUT.

MRS ELSIE TU: MR PRESIDENT, COULD I JUST HAVE CLARIFICATION ON WHETHER THE GOVERNOR AT ANY TIME USED THAT KIND OF QUALIFICATION WHICH HE USED THIS AFTERNOON, WHILE HE WAS TALKING TO AMERICANS?

GOVERNOR: I HAVE JUST ANSWERED THE HONOURABLE LADY AND I HAVE ANSWERED HER VERY PRECISELY. I ARGUED THE CASE IN PUBLIC AND IN PRIVATE FOR UNCONDITIONAL MFN RENEWAL. I ALSO SAID THAT WERE THE UNITED STATES TO INTRODUCE CONDITIONS, THOSE CONDITIONS SHOULD TAKE ACCOUNT OF THE IMPACT ON HONG KONG AND THAT THOSE CONDITIONS SHOULD NOT REFER TO HONG KONG. EXAMPLE: THE MITCHELL-PELOSI BILL WHICH IS AT PRESENT THE ONLY EXISTING STATEMENT OF A POLICY ON CONDITIONALITY, REFERS TO OUR OWN POLITICAL DEVELOPMENT IN THE CONDITIONS, AND I SAID TO REPRESENTATIVE PELOSI THAT THAT WAS EXTREMELY UNHELPFUL AND SHOULD BE DROPPED FROM THE BILL. I WOULD BE SURPRISED IF THE HONOURABLE LADY THOUGHT THAT WAS THE WRONG THING FOR ME TO DO.

/MR SIMON .......

THURSDAY, MAY 13, 1993

- 12

MR SIMON IP: GOVERNOR, YOU OF COURSE KNOW THAT THERE WAS A DEBATE IN THIS COUNCIL YESTERDAY ON THE QUESTION OF UNCONDITIONAL RENEWAL OF MFN. MANY OPINIONS WERE EXPRESSED YESTERDAY, ALL OF WHICH WERE VERY VALID AND RESPECTABLE BUT THEY WERE DIFFERENT. SO, CLEARLY A MESSAGE WILL BE SENT TO OUR FRIENDS IN THE U.S. AND TO CHINA AND THEY MAY RECEIVE MIXED MESSAGES IN RELATION TO THAT DEBATE. WHAT DO YOU INTEND TO DO ABOUT IT, IF ANYTHING?

GOVERNOR: WELL, I CAN’T OBLITERATE ONE OF THE CONSEQUENCES OF A PLURAL SOCIETY, NAMELY THAT PEOPLE, EVEN LEGISLATORS, DISAGREE FROM TIME TO TIME. AS 1 UNDERSTAND IT - BUT I MUST BE CAREFUL NOT TO ATTEMPT TO INTERPRET THE CONTROVERSIES THAT OCCASIONALLY MAKE THIS AN EVEN LIVELIER AND FRIENDLIER AND MORE AMICABLE PLACE TO LIVE THAN IT OTHERWISE WOULD BE - AS I UNDERSTAND IT, THE MAIN DISAGREEMENT WAS ABOUT THE EXTENT TO WHICH THE ISSUE OF HUMAN RIGHTS SHOULD FEATURE IN ANY DISCUSSION OF TRADE MATTERS. PERHAPS I AM TELEGRAMING WHAT WAS AT THE HEART OF THE ARGUMENT, IF SO I APOLOGISE TO HONOURABLE MEMBERS BUT THAT IS WHAT IT SEEMED TO A HUMBLE READER.

IT IS NOT VERY SURPRISING THAT THERE SHOULD BE DIFFERENCES ABOUT THAT; I THINK THERE ARE PROBABLY DIFFERENCES IN THE COMMUNITY. BUT I THINK WHERE THE COMMUNITY AND WHERE THIS LEGISLATIVE COUNCIL IS WHOLLY AT ONE IS IN ITS BELIEF THAT TRADE SHOULD NOT BE POLITICISED, THAT ECONOMICS AND POLITICS SHOULD BE KEPT APART. THERE MAY BE SOME HONOURABLE MEMBERS WHO THINK THAT IT WOULD BE EASIER TO PUT THAT ARGUMENT IF IT WAS ALWAYS APPARENT THAT THE PRC WISHED TO KEEP ECONOMICS AND TRADE ON THE ONE HAND AND POLITICS ON THE OTHER APART, BUT I THINK THAT MOST OF US BELIEVE THAT IS THE CASE, JUST AS MOST OF US BELIEVE THAT IMPROVED HUMAN RIGHTS EVERYWHERE ARE IMPORTANT.

DR K C LAM: MR PRESIDENT, IN ORDER TO ALLOW THIS COUNCIL TO GAUGE FOR ITSELF THE MISSIONS ACCOMPLISHED IN THE GOVERNOR’S RECENT VISIT TO THE UNITED STATES, WOULD THE GOVERNOR GIVE US AN IDEA ROUGHLY OF WHAT PROPORTION OF THE PERSONALITIES HE CALLED ON THERE WAS REALLY POLITICIANS AND JOURNALISTS? WHAT PROPORTION WAS REALLY ECONOMIC PERSONALITIES AND WHETHER OVERALL THE QUESTIONS HE DREW WERE MORE COMMONLY ON POLITICS OR ON TRADE?

GOVERNOR: I FIND IT DIFFICULT TO UNDERSTAND THE DISTINCTION THE HONOURABLE GENTLEMAN IS MAKING. DOES HE REGARD THE PRESIDENT OF THE UNITED STATES AS A POLITICIAN IN THE ONE CATEGORY OR SOMEBODY WHO CAN AFFECT THE OUTCOME OF THE AMER I ('AN ECONOMY ON THE OTHER. I WOULD HAVE THOUGHT THAT THE PRESIDENT OF THE UNITED STATES PUT HIMSELF IN BOTH CATEGORIES. TO LOOK AT THINGS THE OTHER WAY ROUND, THE TREASURY SECRETARY AND THE PRESIDENT’S CHIEF ECONOMIC ADVISER WEAR ECONOMIC HATS BUT ALSO HAVE POLITICAL INTERESTS AS WELL, INDEED THE TREASURY SECRETARY WAS UNTIL RECENTLY A MOST DISTINGUISHED SENATOR AND CHAIRMAN OF THE FINANCE COMMITTEE. SO I DON’T THINK IT IS POSSIBLE TO MAKE THE SORT OF HARD AND FAST DISTINCTION THAT THE HONOURABLE MEMBER HIMSELF MAKES. BUT THE MAJORITY OF MY CONVERSATIONS AND THE MAJORITY OF MY SPEECHES FEATURED SOLELY ON - OR FOCUSSED SOLELY ON TRADE AND ECONOMIC MATTERS.

/DR PHILIP .......

THURSDAY, MAY 13, 1993

- 13 -

DR PHILIP WONG: THANK YOU PRESIDENT. GOVERNOR, I WONDER WHETHER YOU CAN TELL THIS COUNCIL THAT IN YOUR MIND, WITH REFERENCE TO THE RENEWAL OF MFN, IF THERE IS ANY CONDITIONS WHICH IS NOT LIKELY TO HURT HONG KONG AT ALL?

GOVERNOR: I IMAGINE YOU COULD ATTACH CONDITIONS TO MFN RENEWAL WHICH WERE SO GENERAL OR SO RHETORICAL THAT THEY WOULD BE UNLIKELY TO HAVE ANY ECONOMIC EFFECT. THERE MIGHT THEN BE AN ARGUMENT ABOUT WHETHER THERE WAS ANY POINT IN ATTACHING THEM AT ALL BUT THERE ARE OF COURSE GRADATIONS OF CONDITION. EQUALLY THERE ARE GRADATIONS OF PRC REACTION TO ANY SET OF CONDITIONS. IT’S NOT FOR ME TO SPECULATE ABOUT HOW CHINESE OFFICIALS WOULD REACT TO PARTICULAR SORTS OF CONDITION BUT OBVIOUSLY THAT., WOULD HAVE SOME EFFECT AS WELL. SO I THINK THE ANSWER TO THE HONOURABLE GENTLEMAN’S QUESTION IS THAT THERE PROBABLY ARE SORTS OF CONDITION WHICH WOULDN’T HAVE ANY EFFECT RUT BEST OF ALL IS TO HAVE NO CONDITIONS AT ALL.

I THINK THAT IT’S WORTH REMEMBERING THAT THE TERM MOST FAVOURED NATION IS A SLIGHT MISNOMER. WHAT MOST FAVOURED NATION STATUS MEANS IS A NORMAL TRADING RELATIONSHIP. IT DOESN’T SOMEHOW PUT A NATION WHICH ENJOYS THAT STATUS TN A SPECIAL CATEGORY EXCEPT THAT HAVING A NORMAL TRADING RELATIONSHIP MAY BE REGARDED BY SOME IN AN INCREASINGLY PROTECTIONIST WORLD AS SPECIAL. BUT 1 THINK THAT IT MAY BE THE CASE THAT IN CONVEYING THE ARGUMENT FOR MFN RENEWAL TO AMERICAN PUBLIC OPINION, THE WORDS MOST FAVOURED NATION DO MAKE IT MORE DIFFICULT FOR THOSE WHO, LIKE ME, ADVOCATE FREE TRADE.

MS EMILY LAU: THANK YOU MR PRESIDENT. I WANT TO ASK THE GOVERNOR THAT IN HIS MEETING WITH PRESIDENT CLINTON, APART FROM TALKING ABOUT TRADE, WAS THERE ANYTHING ELSE HE TOLD THE AMERICAN PRESIDENT THAT AMERICA COULD DO TO HELP HONG KONG IN THIS VERY DIFFICULT TRANSITION PERIOD. FOR EXAMPLE PASSPORTS, AN AREA WHICH BRITAIN IS SO RELUCTANT TO HELP.

GOVERNOR: I DIDN’T TALK ABOUT PASSPORTS TO PRESIDENT CLINTON AND I WILL PASS BYbTHE ADDENDUM TO THE HONOURABLE LADY’S QUESTION IN ORDER TO ENSURE THAT THIS SESSION ENDS AS HARMONIOUSLY AS POSSIBLE. I WAS ASKED BY THE PRESIDENT ABOUT POLITICAL DEVELOPMENTS IN HONG KONG JUST AS HE HAD BEEN ASKED ABOUT HIS VIEWS ON THEM BY JOURNALISTS WHO CAME IN TO TAKE OUR PHOTOGRAPH AT THE BEGINNING OF OUR DISCUSSION AND I ANSWERED IN TERMS WHICH WOULD BE FAMILIAR TO THE LEGISLATIVE COUNCIL. EQUALLY AS THE HONOURABLE LADY WILL KNOW, THE PRESIDENT HIMSELF MADE IT PLAIN THAT WHILE HE WAS INTERESTED IN THE SUCCESSFUL OUTCOME FOR HONG KONG, HE RECOGNISED THAT THE MATTERS UNDER DISCUSSION WERE FOR THE PRESENT AND FUTURE SOVEREIGN POWERS.

MS EMILY LAU: MR PRESIDENT, JUST A SHORT FOLLOW UP. WHAT I WANT TO ASK THE GOVERNOR IS, APART FROM TRADE, WHAT OTHER AREAS CAN AMERICA ASSIST HONG KONG, SO MAY BE - YOU MENTIONED POLITICAL REFORMS, MAY BE THAT’S AN AREA YOU THINK AMERICA CAN ASSIST. MAY BE THERE ARK OTHER THINGS THAT AMERICA CAN DO FOR US. I JUST ASKED WHETHER YOU TOOK THE OPPORTUNITY TO PUT IT TO THE PRESIDENT AND SAY, MAY BE, APART FROM TRADE, CAN YOU DO THIS TO HELP HONG KONG AS WELL.

/GOVERNOR: .......

THURSDAY, MAY 13, 1993

- 14 -

GOVERNOR: I DON’T THINK THAT I WOULD DISAGREE WITH THE PRESIDENT

IN HIS ANALYSIS OF THE POLITICAL REFORM ISSUE. THAT IS, THAT A SUCCESSFUL RESOLUTION OF OUR DISAGREEMENT WITH CHINA IS A MATTER FOR BRITAIN AND CHINA IN WHICH OTHERS DON’T HAVE A ROLE. BUT THERE WERE OTHER MATTERS THAT I RAISED WITH THE PRESIDENT AND HIS ADMINISTRATION. ONE OF THEM I’VE REFERRED TO ALREADY IN MY REMARKS TO THE HONOURABLE MEMBER, THAT IS, THE NORMALISATION OF RELATIONS BETWEEN VIETNAM AND THE UNITED STATES. THAT IS CLEARLY AN ISSUE WHERE, GIVEN ACTION BY THE UNITED STATES, IS IN THE INTERESTS OF HONG KONG. I THINK OVERALL THAT THE MOST IMPORTANT ASPECT OF OUR RELATIONSHIP TODAY AND IN THE FUTURE WITH THE UNITED STATES IS OUR ECONOMIC AND TRADING RELATIONSHIP THOUGH THAT OF COURSE HAS HUMAN AND SOCIAL CONNOTATIONS. I SAID BEFORE I LEFT HONG KONG, AND 1 SAID WHEN I WAS IN THE UNITED STATES, THAT IN MY JUDGMENT THE MOST IMPORTANT GUARANTEE OF HONG KONG’S FUTURE PROSPERITY AND STABILITY AND WAY OF LIFE WAS A GOOD AND CONSTRUCTIVE RELATIONSHIP BETWEEN CHINA AND THE UNITED STATES. AND THAT IS A MORE BROAD POINT THAN THE HONOURABLE LADY MENTIONED BUT IT’S ONE I FEEL EXTREMELY STRONGLY.

PRESIDENT: IN ACCORDANCE WITH STANDING ORDERS I NOW ADJOURN

THIS SITTING UNTIL WEDNESDAY, 19TH MAY, 1993.

--------0------------

BUSY AFTERNOON FOR LADY THATCHER * * * ♦ ♦

FORMER BRITISH PRIME MINISTER LADY THATCHER STARTED HER FIRST DAY’S OFFICIAL VISIT PROGRAMME IN HONG KONG THIS (THURSDAY) AFTERNOON BY VISITING THE ST JAMES’ SETTLEMENT IN WAN CHAI.

ACCOMPANIED BY THE VICE-CHAIRMAN OF ST JAMES’ SETTLEMENT, MR IAN MACCALLUM, AND HIS DIRECTOR, MR MICHAEL LAJ, LADY THATCHER TOURED THE SHELTERED WORKSHOP FOR THE MENTALLY HANDICAPPED ON THE SIXTH FLOOR OF THE BUILDING WHERE SHE SAW 140 MENTALLY HANDICAPPED WORKERS ACTIVELY ENGAGE IN SIMPLE PACKING AND LABELLING WORK.

SHE ALSO VISITED THE DAY CARE CENTRE FOR THE ELDERLY ON THE SECOND FLOOR TO SEE HOW ELDERLY PEOPLE IN THE CENTRE SPEND THEIR PASTIME IN A LEISURELY MANNER.

LADY THATCHER THEN PROCEEDED TO VISIT THE NEW AIRPORT PROJECTS CO-ORDINATION OFFICE (NAPCO) AT SHUI ON CENTRE WHERE SHE WAS BRIEFED ON THE AIRPORT CORE PROGRAMME BY THE NAPCO DIRECTOR, MR BILLY LAM, AND THE CHIEF EXECUTIVE OFFICER OF THE PROVISIONAL AIRPORT AUTHORITY (PAA), DR HENRY TOWNSEND.

THE BRIEFING WAS FOLLOWED BY A VISIT TO THE NEW AIRPORT SITE AT CHEK LAP KOK, ACCOMPANIED BY PAA SENIOR STAFF.

LADY THATCHER CONCLUDED THE AFTERNOON’S OFFICIAL PROGRAMME BY VISITING THE NEW ROYAL NAVY BASE ON STONECUTTER’S ISLAND AND MEETING PERSONNEL OF THE ROYAL NAVY, INCLUDING LOCALLY EMPLOYED ONES, THERE.

EARLIER TODAY, SHE HAD A MEETING WITH MR ZHOU NAN, DIRECTOR OF THE HONG KONG BRANCH OF THE NEW CHINA NEWS AGENCY.

0

THURSDAY, MAY 13, 1993

15

1993/94 LANI) SALES PROGRAMME *****

THE GOVERNMENT’S LAND SALES PROGRAMME FOR 1993/94 WILL CONSIST OF 24.93 HECTARES OF LAND INVOLVING 34 SITES, ACCORDING TO THE PRINCIPAL GOVERNMENT LAND AGENT, MR BOB POPE.

ANNOUNCING THE DETAILS OF THE PROGRAMME, MR POPE SAID THE LAND WOULD INCLUDE 18.3 HECTARES FOR COMMERCIAL, COMMERCIAL/RESIDENTIAL AND RESIDENTIAL USES WHICH COULD PRODUCE SOME 11,500 FLATS, AND 3.91 HECTARES FOR INDUSTRIAL USE.

A LARGE SITE OF 1.57 HECTARES WOULD BE OFFERED FOR SALE UNDER THE PRIVATE SECTOR PARTICIPATION SCHEME AND IT WOULD PRODUCE A TOTAL OF 1,450 FLATS FOR THE HOME OWNERSHIP SCHEME.

HE SAID THE ADMINISTRATION WAS CONSCIOUS OF THE CURRENT DEMAND IN THE PROPERTY MARKET AND WAS KEEN TO ENSURE THAT SUFFICIENT NUMBER OF FLATS WOULD BE PRODUCED FROM GOVERNMENT LAND SALES TO KEEP PROPERTY PRICES STABLE.

HE NOTED THAT THE LARGEST SITE IN THE LAND SALE PROGRAMME IS A 4.25-HECTARE LOT TN LUNG PING ROAD, TAI WOH PING WHICH HAD BEEN EARMARKED FOR RESIDENTIAL PURPOSE.

HE ALSO POINTED OUT THAT A CONSIDERABLE NUMBER OF FLATS ARE ESTIMATED TO BE PRODUCED FROM DEVELOPMENTS ARISING FROM LAND EXCHANGES AND LEASE MODIFICATIONS BEING PROCESSED THIS YEAR WITH AN ESTIMATED REVENUE OF $9,875 BILLION.

THE LAND SALES PROGRAMME WILL INCLUDE THREE GOVERNMENT OFFICE BUILDING SITES WITH A TOTAL AREA OF 1.58 HECTARES IN FARM ROAD, TO KWA WAN, KING’S ROAD, NORTH POINT AND TONG YAN STREET, KWUN TONG.

IT WILL ALSO INCLUDE SIX SITES FOR LETTER A/B TENDER AMOUNTING TO 55,312 SQUARE METRES AND THIS WOULD RESULT IN THE SURRENDER OF 1,488,432 SQUARE FEET OF OUTSTANDING LETTER-B.

UPON COMPLETION OF THESE TENDERS, MR POPE SAID, THE AMOUNT OF LETTER-B OUTSTANDING WOULD BE NEARLY EXHAUSTED.

HE SAID THE TOTAL REVENUE FROM LAND SALES WAS ESTIMATED TO BE $9,345 MILLION AS COMPARED TO THE ACTUAL REVENUE OF $11,511 MILLION FROM LAST YEAR’S LAND SALES.

-----0------

/16.........

THURSDAY, MAY 13, 1993

16

INITIAL FINDINGS OF 92/93 PAY TREND SURVEY

*****

THE PAY SURVEY AND RESEARCH UNIT HAS COMPLETED THE PAY TREND SURVEY FOR 1992/93 WHICH MEASURES PAY TRENDS IN A SELECTED GROUP OF COMPANIES DURING THE PERIOD APRIL 2, 1992 TO APRIL 1, 1993.

THE INITIAL FINDINGS OF THE SURVEY INDICATE THAT THE FOLLOWING AVERAGE PAY INCREASES HAVE BEEN AWARDED BY THE SURVEYED COMPANIES:

11.77 PER CENT FOR EMPLOYEES EARNING LESS THAN $9,305 PER MONTH;

11.90 PER CENT FOR EMPLOYEES EARNING BETWEEN $9,305 AND $28,530 PER MONTH;

11.32 PER CENT FOR EMPLOYEES EARNING BETWEEN $28,531 AND $57,475 PER MONTH.

A SPOKESMAN FOR THE PAY SURVEY AND RESEARCH UNIT EMPHASISED THAT THESE INITIAL FINDINGS WERE SUBJECT TO VALIDATION BY THE PAY TREND SURVEY COMMITTEE.

THE COMMITTEE, CHAIRED BY A MEMBER OF THE STANDING COMMISSION ON CIVIL SERVICE SALARIES AND CONDITIONS OF SERVICE, MR ANDREW K W SO, WILL MEET SHORTLY TO EXAMINE AND VALIDATE THE SURVEY RESULTS.

--------0------------

POLICE ADVICE ON PETITION OUTSIDE GOVT HOUSE

*****

IN RESPONSE TO PRESS ENQUIRIES CONCERNING THE 23 PERSONS WHO WERE ARRESTED OUTSIDE THE GOVERNMENT HOUSE ON MARCH 25, A POLICE SPOKESMAN SAID,:

"IN THE LATE AFTERNOON OF MARCH 25, 1993, OVER A HUNDRED

DEMONSTRATORS PROTESTING AGAINST THE HOUSING AUTHORITY’S ’’DOUBLE RENT POLICY. A TOTAL OF 23 (SEVEN MALES AND 16 FEMALES) WERE ARRESTED AND REMOVED FROM THE CENTRE OF THE VEHICULAR CARRIAGEWAY OF UPPER ALBERT ROAD ADJACENT TO THE MAIN ENTRANCE OF GOVERNMENT HOUSE.

PRIOR TO THE ARRESTS THEY WERE ADVISED ON NUMEROUS OCCASIONS THAT THEIR PROCESSION WAS UNLICENSED AND FOR REASONS OF PUBLIC SAFETY THEY SHOULD PRESENT THEIR PETITION AT THE EAST GATE OF GOVERNMENT HOUSE. THE ADVICE WAS IGNORED AND AFTER FIVE FORMAL WARNINGS THEY WERE ARRESTED AND RELEASED ON BAIL PENDING REVIEW OF THE CASE BY THE ATTORNEY GENERAL’S CHAMBERS.

THE ATTORNEY GENERAL’S CHAMBERS HAS DECIDED NOT TO PROSECUTE.

/THE POLICE .......

THURSDAY, MAY 13, 1993

17 -

THE POLICE WILL ISSUE A WARNING LETTER TO THE ARRES 1’ExJ PERSONS ADVISING THEM THAT THEIR ACTIONS WERE UNLAWFUL AND CAUSED AN ILLEGAL OBSTRUCTION TO A MAJOR PUBLIC ROAD. THE ARRESTED PERSONS WERE RELEASED FROM BAIL UNCONDITIONALLY THIS EVENING.

THE PUBLIC ARE AGAIN ADVISED THAT , ON PUBLIC SAFETY GROUNDS, THE MAIN ENTRANCE OF GOVERNMENT HOUSE IS NOT SUITABLE FOR THE PURPOSE OF PROTEST, DEMONSTRATION OR THE HANDING IN OF PETITIONS.

ANY FURTHER DEMONSTRATION SIMILAR TO THAT OF THE MARCH 25, 1993 WILL NOT BE TOLERATED AND THE LAW WILL BE STRICTLY ENFORCED.”

-----0------

EXTERNAL TRADE STATISTICS FOR MARCH

*****

THE CENSUS AND STATISTICS DEPARTMENT TODAY (THURSDAY) RELEASED DETAILED STATISTICS ON EXTERNAL TRADE WITH BREAKDOWN BY COUNTRY AND COMMODITY FOR MARCH THIS YEAR.

COMPARING EXPORTS TO CHINA, INCREASES OF 16%,

MARCH 1993 WITH MARCH 1992, THE VALUE OF DOMESTIC SINGAPORE, MALAYSIA, AND THE UNITED KINGDOM RECORDED 15%, 12% AND 5.0% RESPECTIVELY.

OVER THE SAME PERIOD, DECREASES WERE RECORDED IN THE VALUE OF DOMESTIC EXPORTS TO OTHER MAJOR DESTINATIONS: TAIWAN (-21%), JAPAN (-14%), CANADA (-10%), GERMANY (-4.6%), THE UNITED STATES (-3.0%) AND THE NETHERLANDS (-1.8%).

FOR ALL DESTINATIONS TAKEN TOGETHER, THE VALUE OF DOMESTIC EXPORTS FOR MARCH 1993 INCREASED BY 1.7% OVER MARCH 1992 TO $17,343 MILLION.

COMPARING THE FIRST QUARTER OF THIS YEAR WITH THE SAME PERIOD LAST YEAR, THE VALUE OF DOMESTIC EXPORTS TO MALAYSIA, SINGAPORE AND CHINA INCREASED BY 24%, 22% AND 18% RESPECTIVELY.

HOWEVER, DECREASES WERE RECORDED IN THE VALUE OF DOMESTIC EXPORTS TO OTHER MAJOR DESTINATIONS: GERMANY (-14%), CANADA (-14%), THE UNITED KINGDOM (-12%), JAPAN (-10%), THE NETHERLANDS (-9.1%) AND THE UNITED STATES (-6.0%).

FOR ALL DESTINATIONS TAKEN TOGETHER, THE VALUE OF DOMESTIC EXPORTS FOR THE FIRST QUARTER OF 1993 WAS $18,709 MILLION, ABOUT THE SAME AS IN THE SAME PERIOD IN 1992.

COMPARING THE FIRST QUARTER OF 1993 WITH THE SAME PERIOD IN 1992, INCREASES IN THE VALUE OF DOMESTIC EXPORTS WERE REGISTERED FOR ELECTRICAL MACHINERY, APPARATUS AND APPLIANCES, AND ELECTRICAL PARTS THEREOF (BY $1,176 MILLION OR 29%); TELECOMMUNICATIONS AND SOUND RECORDING AND REPRODUCING APPARATUS AND EQUIPMENT (BY $486 MILLION OR 18%); TEXTILES (BY $424 MILLION OR 13%); AND OFFICE MACHINES AND AUTOMATIC DATA PROCESSING MACHINES (BY $161 MILLION OR 3.6%).

/OVER THE .......

THURSDAY, MAY 13, 1993

- 18 -

OVER THE SAME PERIOD, DECREASES IN THE VALUE OF DOMESTIC EXPORTS WERE RECORDED FOR CLOTHING (BY $1,645 MILLION OR 11%); MISCELLANEOUS MANUFACTURED ARTICLES CONSISTING OF MAINLY JEWELLERY, GOLDSMITHS’ AND SILVERSMITHS’ WARES (RY $796 MILLION OR 15%); AND PHOTOGRAPHIC APPARATUS, EQUIPMENT AND SUPPLIES, OPTICAL GOODS, WATCHES AND CLOCKS (BY $411 MILLION OR 10%).

THE VALUE OF IMPORTS IN MARCH 1993 WAS $86,855 MILLION, AN INCREASE OF 18% OVER THAT IN MARCH 1992.

COMPARING MARCH 1993 WITH MARCH 1992, INCREASES WERE RECORDED IN THE VALUE OF IMPORTS FROM ALL THE MAJOR SUPPLIERS: SINGAPORE (+40%), MALAYSIA (+36%), GERMANY (+29%), THE UNITED STATES (+23%), JAPAN (+22%), CHINA (+19%), THE UNITED KINGDOM (+17%), THE REPUBLIC OF KOREA (+10%), TAIWAN (+9.0%) AND ITALY (+6.4%).

COMPARING THE FI RSI’ QUARTER OF 1993 WITH THE SAME PERIOD IN 1992, THE VALUE OF IMPORTS FROM ALL THE MAJOR SUPPLIERS INCREASED: MALAYSIA (+33%), SINGAPORE (+31%), GERMANY (+28%), THE UNITED STATES (+26%), JAPAN (+18%), TAIWAN (+16%), ITALY (+16%), CHINA (+15%), THE REPUBLIC OF KOREA (+14%) AND THE UNITED KINGDOM (+12%).

THE VALUE OF IMPORTS IN THE FIRST QUARTER OF 1993 WAS $233,054 MILLION, AN INCREASE OF 18% OVER THE SAME PERIOD IN 1992.

COMPARING THE FIRST QUARTER OF 1993 WITH THE SAME PERIOD IN 1992, INCREASES WERE RECORDED IN THE VALUE OF IMPORTS OF ALL MAJOR COMMODITY DIVISIONS.

MORE NOTABLE INCREASES WERE REGISTERED FOR ROAD VEHICLES (BY $6,461 MILLION OR 100%); ELECTRICAL MACHINERY, APPARATUS AND APPLIANCES, AND ELECTRICAL PARTS THEREOF (BY $5,723 MILLION OR 31%); TELECOMMUNICATIONS AND SOUND RECORDING AND REPRODUCING APPARATUS AND EQUIPMENT (BY $2,609 MILLION OR 17%); FOOTWEAR (BY $2,344 MILLION OR 35%); CLOTHING (BY $2,044 MILLION OR 12%); AND TEXTILES (BY $1,824 MILLION OR 9.1%).

THE VALUE OF RE-EXPORTS IN MARCH 1993, AT $63,469 MILLION, RECORDED A SUBSTANTIAL INCREASE OF 24% OVER MARCH 1992.

COMPARING MARCH 1993 WITH MARCH 1992, THE VALUE OF RE-EXPORTS TO CHINA, GERMANY, THE UNITED KINGDOM, SINGAPORE, THE UNITED STATES, FRANCE, CANADA AND JAPAN INCREASED SUBSTANTIALLY, BY 37%, 36%, 32%,

28%, 23%, 21%, 19% AND 16% RESPECTIVELY.

HOWEVER, THE VALUE OF RE-EXPOR'I’S TO TAIWAN DECREASED BY 37%.

THE VALUE OF RE-EXPORTS IN THE FIRST QUARTER OF 1993 WAS $174,198 MILLION, AN INCREASE OF 25% OVER THE SAME PERIOD IN 1992.

COMPARING THE FIRST QUARTER OF 1993 WITH THE SAME PERIOD IN 1992, INCREASES WERE RECORDED IN THE VALUE OF RE-EXPORTS TO MOST OF THE MAJOR DESTINATIONS: CHINA (+42%), SINGAPORE (+31%), THE UNITED KINGDOM (+30%), GERMANY (+21%), THE UNITED STATES (+19%), FRANCE (+18%), JAPAN (+15%), CANADA (+12%) AND THE REPUBLIC OF KOREA (+4.4%).

HOWEVER, THE VALUE OF RE-EXPORTS TO TAIWAN DECREASED BY 16%.

/COMPARING THE .......

THURSDAY, MAY 13, 1993

- 19 -

COMPARING THE FIRST QUARTER OF 1993 WITH THE SAME PERIOD IN 1992, INCREASES WERE RECORDED IN THE VALUE OF RE-EXPORTS OF ALL MAJOR COMMODITY DIVISIONS.

MORE NOTABLE INCREASES WERE REGISTERED FOR ROAD VEHICLES (BY $4,971 MILLION OR 174%); ELECTRICAL MACHINERY, APPARATUS AND APPLIANCES, AND ELECTRICAL PARTS THEREOF (BY $3,758 MILLION OR 36%); TELECOMMUNICATIONS AND SOUND RECORDING AND REPRODUCING APPARATUS AND EQUIPMENT (BY $3,243 MILLION OR 31%); FOOTWEAR (BY $2,969 MILLION OR 40%); MISCELLANEOUS MANUFACTURED ARTICLES CONSISTING OF MAINLY BABY CARRIAGES, TOYS, GAMES AND SPORTING GOODS (BY $2,293 MILLION OR 13%); TEXTILES (BY $2,273 MILLION OR 18%); AND CLOTHING (BY $2,184 MILLION OR 13%).

ALL THE TRADE STATISTICS DESCRIBED HERE ARE MEASURED AT CURRENT PRICES AND NO ACCOUNT HAS BEEN TAKEN OF THE CHANGES IN PRICES BETWEEN THE PERIODS OF COMPARISON.

A SEPARATE ANALYSIS OF THE VOLUME AND PRICE MOVEMENTS OF EXTERNAL TRADE FOR MARCH 1993 WILL BE RELEASED IN EARLY JUNE.

DETAILED TRADE STATISTICS ANALYSED BY COMMODITY AND BY COUNTRY ARE PUBLISHED IN TRADE STATISTICS REPORTS.

THE MARCH 1993 ISSUE OF THE ’’HONG KONG EXTERNAL TRADE” WITH DETAILED ANALYSES ON THE PERFORMANCE OF HONG KONG’S EXTERNAL TRADE IN MARCH 1993 WILL BE ON SALE AT $68.50 A COPY AROUND MAY 21.

THE REPORT CAN BE BOUGHT AT THE GOVERNMENT PUBLICATIONS CENTRE ON THE GROUND FLOOR, GENERAL POST OFFICE BUILDING, CONNAUGHT PLACE, CENTRAL, OR AT THE PUBLICATIONS SALES COUNTER OF THE CENSUS AND STATISTICS DEPARTMENT ON THE 19TH FLOOR, WANCHAI TOWER, 12 HARBOUR ROAD, WAN CHAI.

ENQUIRIES REGARDING REGULAR SUBSCRIPTION TO THE REPORT MAY BE DIRECTED TO THE INFORMATION SERVICES DEPARTMENT AT FRENCH MISSION BUILDING, 1 BATTERY PATH, HONG KONG (TEL 842 8802) AND ENQUIRIES ON TRADE STATISTICS TO THE CENSUS AND STATISTICS DEPARTMENT (TEL 582 4915 ) .

NOTE TO EDITORS:

THE CHANGES IN THE VALUE OF DOMESTIC EXPORTS TO THE 10 MAJOR DESTINATIONS ARE SHOWN IN TABLE 1.

TABLE 2 SHOWS THE CHANGES IN THE VALUE OF DOMESTIC EXPORTS OF THE 10 MAJOR COMMODITY DIVISIONS.

THE CHANGES IN THE VALUE OF IMPORTS FROM THE 10 MAJOR SUPPLIERS ARE SHOWN IN TABLE 3.

TABLE 4 SHOWS THE CHANGES IN THE VALUE OF IMPORTS OF THE 10 MAJOR COMMODITY DIVISIONS.

THE CHANGES IN THE VALUE OF HONG KONG’S RE-EXPORTS TO THE 10 MAJOR DESTINATIONS ARE SHOWN IN TABLE 5.

TABLE 6 SHOWS THE CHANGES IN THE VALUE OF RE-EXPORTS OF THE 10 MAJOR COMMODITY DIVISIONS.

/TABLE 1

THURSDAY, MAY 13, 1993

- 20 -

TABLE 1 : DOMESTIC EXPORTS TO THE TEN MAJOR DESTINATIONS

DESTINATION MAR 1993 (HKD Mn ) MAR 93 OVER MAR 92 (% CHANGE) JAN-MAR 1993 (HKD Mn ) JAN-MAR 93 OVER JAN-MAR 92 (% CHANGE)

CHINA 5,393 + 15.8 14,005 + 17.7

UNITED STATES 3,962 - 3.0 11,603 - 6.0

GERMANY 958 - 4.6 2,941 - 14.1

SINGAPORE 973 + 14.6 2,685 + 21.7

JAPAN 930 - 13.9 2,467 - 9.7

UNITED KINGDOM 866 + 5.0 2,346 - 11.5

TAIWAN 510 - 20.9 1,433 + 0.1

NETHERLANDS 350 - 1.8 1,093 - 9.1

CANADA 298 - 10.4 1,038 - 13.6

MALAYSIA 252 + 12.3 677 + 23.6

/TABLE 2 : .......

THURSDAY, MAY 13, 1993

- 21 -

TABLE 2 : DOMESTIC EXPORTS OE THE TEN MAJOR COMMODITY DIVISIONS

COMMODITY DIVISION MAR 1993 (HKD Mn ) MAR 93 OVER MAR 92 (% CHANGE) JAN-MAR 1993 (HKD Mn ) JAN-MAR 93 OVER JAN-MAR 92 (% CHANGE)

ARTICLES OF APPAREL AND CLOTHING ACCESSORIES 4,182 - 0.7 13,583 - 10.8

ELECTRICAL MACHINERY, APPARATUS AND APPLIANCES, AND ELECTRICAL PARTS THEREOF 1,899 + 23.1 5,189 + 29.3

OFFICE MACHINES AND AUTOMATIC DATA PROCESSING MACHINES 1,694 - 8.9 4,595 + 3.6

MISCELLANEOUS MANUFACTURED ARTICLES (MAINLY JEWELLERY, GOLDSMITHS’ AND SILVERSMITHS’ WARES) 1,738 - 11.1 4,349 - 15.5

TEXTILE YARN, FABRICS, MADE-UP ARTICLES AND RELATED PRODUCTS 1,443 + 8.5 3,729 + 12.8

PHOTOGRAPHIC APPARATUS, EQUIPMENT AND SUPPLIES, OPTICAL GOODS, WATCHES AND CLOCKS 1,310 - 10.3 3,719 - 10.0

TELECOMMUNICATIONS AND SOUND RECORDING AND REPRODUCING APPARATUS AND EQUIPMENT 1,224 + 21.4 3,151 + 18.3

MANUFACTURES OF METALS 401 + 1.8 1,083 - 4.7

PLASTICS IN PRIMARY FORMS 317 + 3.0 807 + 3.5

MACHINERY SPECIALIZED FOR PARTICULAR INDUSTRIES 292 .+ 13.1 778 + 10.6

/TABLE 3 : ........

THURSDAY, MAY 13, 1993

- 22 -

TABLE 3 : IMPORTS FROM THE TEN MAJOR SUPPLIERS

SUPPLIER MAR 1993 (HKD Mn ) MAR 93 OVER MAR 92 (X CHANGE) JAN-MAR 1993 (HKD Mn ) JAN-MAR 93 OVER JAN-MAR 92 (% CHANGE)

CHINA 31,028 + 18.6 82,853 + 14.6

JAPAN 15,763 + 22.0 40,877 + 18.3

TAIWAN 7,847 + 9.0 20,724 + 15.8

UNITED STATES 6,227 + 23.3 17,586 + 26.0

REPUBLIC OF KOREA 4,126 + 10.5 10,793 + 14.4

SINGAPORE 3,812 + 40.1 10,162 + 30.9

GERMANY 2,188 + 28.9 5,858 + 27.5

UNITED KINGDOM 1,771 + 17.1 4,869 + 11.5

ITALY 1,383 + 6.4 3,627 + 15.6

MALAYSIA 1,323 + 36.4 3,402 ♦ 32.6

/TABLE 4 : .......

THURSDAY, MAY 13, 1993

- 23

TABLE 4 : IMPORTS OF THE TEN MAJOR COMMODITY DIVISIONS

COMMODITY DIVISION MAR 1993 (HKD Mn ) MAR 93 OVER MAR 92 (X CHANGE) JAN-MAR 1993 (HKD Mn ) JAN-MAR 93 OVER JAN-MAR 92 (% CHANGE)

ELECTRICAL MACHINERY, APPARATUS AND APPLIANCES, AND ELECTRICAL PARTS THEREOF 8,850 + 26.8 24,364 + 30.7

TEXTILE YARN, FABRICS, MADE-UP ARTICLES AND RELATED PRODUCTS 8,955 + 1.8 21,791 + 9.1

ARTICLES OF APPAREL AND CLOTHING ACCESSORIES 6,814 + 20.4 18,603 + 12.3

TELECOMMUNICATIONS AND SOUND RECORDING AND REPRODUCING APPARATUS AND EQUIPMENT 7,042 + 24.7 18,178 + 16.8

MISCELLANEOUS MANUFACTURED ARTICLES (MAINLY BABY CARRIAGES, TOYS, GAMES AND SPORTING GOODS) 5,719 + 12.5 15,645 + 9.0

ROAD VEHICLES 5,386 +148.9 12,897 +100.4

PHOTOGRAPHIC APPARATUS, EQUIPMENT AND SUPPLIES, OPTICAL GOODS, WATCHES AND CLOCKS 3,857 + 11.4 10,392 + 5.1

FOOTWEAR 3,010 + 22.3 9,133 + 34.5

OFFICE MACHINES AND AUTOMATIC DATA PROCESSING MACHINES 3, 180 + 16.0 8,356 + 17.1

GENERAL INDUSTRIAL MACHINERY AND EQUIPMENT, AND MACHINE PARTS 3,070 + 29. 1 7,753 + 36.0

/TABLE 5 : .......

THURSDAY, MAY 13, 1993

- 24 -

TABLE 5 : RE-EXPORTS TO THE TEN MAJOR DESTINATIONS

DESTINATION MAR 1993 (HKD Mn ) MAR 93 OVER MAR 92 (% CHANGE) JAN-MAR 1993 (HKD Mn ) JAN-MAR 93 OVER JAN-MAR 92 (% CHANGE)

CHINA 21,849 + 36.7 58,260 + 41.8

UNITED STATES 12,136 + 22.7 34,006 + 19.4

JAPAN 3,363 + 16.4 9,202 + 15.4

GERMANY 3,070 + 36.2 8,928 + 20.9

TAIWAN 1 ,858 - 37.3 5,301 - 15.5

UNITED KINGDOM 1,582 + 32.5 4,630 + 30.0

SINGAPORE 1,523 + 28.1 3,989 + 30.5

REPUBLIC OF KOREA 1,258 + 0.5 3,347 + 4.4

FRANCE 1,053 + 20.8 2,932 + 17.6

CANADA 884 + 19.1 2,677 + 11.7

/TABLE 6 : .......

THURSDAY, MAY 13, 1993

- 25

TABLE 6 : RE-EXPORTS OE THE TEN MAJOR COMMODITY DIVISIONS

COMMODITY DIVISION • MAR 1993 (HKD Mn ) MAR 93 OVER MAR 92 (X CHANGE) JAN-MAR 1993 (HKD Mn ) JAN-MAR 93 OVER JAN-MAR 92 (X CHANGE)

MISCELLANEOUS MANUFACTURED ARTICLES (MAINLY BABY CARRIAGES, TOYS, GAMES AND SPORTING GOODS) 7,333 ♦ 12.7 20,199 + 12.8

ARTICLES OF APPAREL AND CLOTHING

ACCESSORIES 6,408 + 27.8 18,928 + 13.0

TEXTILE YARN, FABRICS, MADE-UP

ARTICLES AND RELATED PRODUCTS 5,929 + 8.9 14,890 + 18.0

ELECTRICAL MACHINERY, APPARATUS AND APPLIANCES, AND ELECTRICAL PARTS THEREOF 5,334 ♦ 29.4 14,247 + 35.8

TELECOMMUNICATIONS AND SOUND RECORDING AND REPRODUCING APPARATUS AND EQUIPMENT 5,258 + 38.6 13,709 + 31.0

FOOTWEAR 3,321 + 33.5 10,480 + 39.5

ROAD VEHICLES 2,948 +211.7 7,831 +173.9

PHOTOGRAPHIC APPARATUS, EQUIPMENT AND SUPPLIES, OPTICAL GOODS, WATCHES AND CLOCKS 2,778 + 36.6 7,394 + 17.7

OFFICE MACHINES AND AUTOMATIC DATA

PROCESSING MACHINES 2,237 + 28.9 6,358 + 38.5

TRAVEL GOODS, HANDBAGS AND SIMILAR

CONTAINERS 2,118 + 21.5 5,667 + 9.3

/26 ........

THURSDAY, MAY 13, 1993

- 26 -

BUSINESS SURVEY RESULTS FOR FIRST QUARTER RELEASED

♦ * * * t *

FIRMS FROM THE TRADES OF REAL ESTATE DEVELOPMENT AND RELATED SERVICES EXPERIENCED A BETTER THAN EXPECTED GENERAL BUSINESS SITUATION IN THE FIRST QUARTER OF THIS YEAR. THIS WAS DUE TO A MORE ACTIVE PROPERTY MARKET IN THE QUARTER.

LOOKING AHEAD, THE FIRMS GENERALLY EXPECT THAT THE SITUATION IN THE FIRST QUARTER WILL CONTINUE IN THE FOLLOWING QUARTER.

MANUFACTURERS GENERALLY REPORTED THAT THE GENERAL BUSINESS SITUATION AND CAPACITY UTILISATION IN THE FIRST QUARTER DETERIORATED AS COMPARED WITH THE PRECEDING QUARTER.

THIS WAS, HOWEVER, LARGELY SEASONAL AS THE FIRST QUARTER IS USUALLY A QUIET SEASON FOR MANUFACTURING ACTIVITIES DUE TO THE LUNAR NEW YEAR HOLIDAYS.

LOOKING AHEAD, MANUFACTURERS EXPECT A SEASONAL IMPROVEMENT IN BOTH ASPECTS IN THE SECOND QUARTER.

THESE ARE SOME OF THE MAJOR RESULTS OF THE QUARTERLY BUSINESS SURVEY RELEASED TODAY (THURSDAY) BY THE CENSUS AND STATISTICS DEPARTMENT.

PRICE COMPETITION FROM BOTH LOCAL AND OVERSEAS COMPETITORS REMAINED THE BUSINESS PROBLEM MOST CITED BY THE MANUFACTURERS AND WILL CONTINUE TO WORRY THEM IN THE FOLLOWING QUARTER.

FURTHERMORE, THE PROBLEM OF HIGH WAGE RATES WAS ALSO WIDELY REPORTED.

FOR INDIVIDUAL MANUFACTURING INDUSTRIES, THE WEARING APPAREL INDUSTRY EXPERIENCED SEASONAL DETERIORATION IN BOTH THE GENERAL BUSINESS SITUATION AND CAPACITY UTILISATION DURING THE FIRST QUARTER.

ALSO THE PRESSURES OF KEEN PRICE COMPETITION AND HIGH LABOUR TURNOVER INTENSIFIED IN THE QUARTER.

LOOKING AHEAD, MANUFACTURERS GENERALLY EXPECT A SEASONAL IMPROVEMENT IN THE BUSINESS SITUATION IN THE FOLLOWING QUARTER.

MANUFACTURERS FROM THE TEXTILES INDUSTRY REPORTED THAT THE GENERAL BUSINESS SITUATION AND CAPACITY UTILISATION ALSO DETERIORATED IN THE QUARTER. THEY WERE TROUBLED BY INSUFFICIENT BUSINESS ORDERS AND KEEN PRICE COMPETITION.

BOTH THE GENERAL BUSINESS SITUATION AND CAPACITY UTILISATION OF THE ELECTRONICS INDUSTRY CONTINUED TO IMPROVE IN THE QUARTER, IN LINE WITH EARLIER EXPECTATION.

PRICE COMPETITION REMAINED KEEN IN THE QUARTER, PARTICULARLY THOSE FROM OVERSEAS COMPETITORS. SHORTAGE OF SKILLED LABOUR ALSO INTENSIFIED A LITTLE IN THE QUARTER.

/THE GENERAL .......

THURSDAY, MAY 13, 1993

- 27 -

THE GENERAL BUSINESS SITUATION OE THE PRINTING INDUSTRY SHOWED LITTLE CHANGE IN THE QUARTER AS THE MAJORITY OF FIRMS EXPERIENCED THE SAME SITUATION AS IN THE PREVIOUS QUARTER.

DESPITE THE KEEN COMPETITION BOTH LOCALLY YND FROM OVERSEAS, MANUFACTURERS IN THE INDUSTRY EXPECT THAT THE GENERAL BUSINESS SITUATION WILL IMPROVE AGAIN IN THE FOLLOWING QUARTER.

THE GENERAL BUSINESS SITUATION OF THE PLASTICS INDUSTRY IN THE FIRST QUARTER THIS YEAR REMAINED THE SAME AS IN THE PRECEDING QUARTER WHILE CAPACITY UTILISATION DECREASED.

LOOKING AHEAD, MANUFACTURERS EXPECT IMPROVEMENTS IN BOTH RESPECTS IN THE FOLLOWING QUARTER. KEEN PRICE COMPETITION AND HIGH WAGE RATES CONTINUED TO BOTHER THE INDUSTRY.

MANUFACTURERS FROM THE FABRICATED METAL PRODUCTS INDUSTRY EXPERIENCED A WORSE THAN EXPECTED GENERAL BUSINESS SITUATION IN THE FIRST QUARTER THIS YEAR. BUSINESS PROBLEMS LIKE KEEN PRICE COMPETITION, HIGH WAGE RATES AND SHORTAGE OF STAFF INTENSIFIED IN THE QUARTER.

NONETHELESS, MANUFACTURERS GENERALLY EXPECT A SEASONAL IMPROVEMENT IN THE BUSINESS SITUATION IN THE FOLLOWING QUARTER.

ALTHOUGH THE FIRST QUARTER IS NORMALLY A QUIET SEASON FOR THE ELECTRICAL MACHINERY AND APPLIANCE INDUSTRY, MANUFACTURERS REPORTED THAT THE GENERAL BUSINESS SITUATION IN THE FIRST QUARTER THIS YEAR MANAGED TO REMAIN SIMILAR AS IN THE PRECEDING QUARTER. LOOKING AHEAD, THE GENERAL BUSINESS SITUATION WILL CONTINUE TO IMPROVE.

RESTAURANT OPERATORS REPORTED THAT THE GENERAL BUSINESS SITUATION IN THE FIRST QUARTER REMAINED BROADLY THE SAME AS IN THE PREVIOUS QUARTER.

LOOKING AHEAD, THE MAJORITY OF RESTAURANT OPERATORS EXPECT THAT THE SITUATION WILL DETERIORATE IN THE FOLLOWING QUARTER WHEN A LOW SEASON OF BUSINESS SETS IN.

THE MAJORITY OF HOTEL OPERATORS REPORTED DETERIORATION IN THE GENERAL BUSINESS SITUATION IN THE FIRST QUARTER. THIS WAS, HOWEVER, LARGELY SEASONAL AS THE FIRST QUARTER IS NORMALLY A LOW SEASON FOR HOTEL BUSINESS.

LOOKING AHEAD, HOTEL OPERATORS GENERALLY EXPECT AN IMPROVED SITUATION AS BUSINESS STARTS TO PICK UP AGAIN IN THE SECOND QUARTER.

AS REGARDS THE WHOLESALE, RETAIL AND IMPORT/EXPORT TRADES, THE GENERAL BUSINESS SITUATION IN THE FIRST QUARTER REMAINED BROADLY THE SAME AS IN THE PREVIOUS QUARTER. MEANWHILE, KEEN PRICE COMPETITION CONTINUED TO BE THE BUSINESS PROBLEM MOST CITED IN THE TRADES.

FOR THE BANKING INDUSTRY, THERE WAS A BETTER THAN EXPECTED GENERAL BUSINESS SITUATION IN THE FIRST QUARTER.

NOTWITHSTANDING THIS FAVOURABLE SITUATION, THE BANKS REPORTED THAT THE PROBLEMS OF STAFF SHORTAGE AND STAFF TURNOVER INTENSIFIED A LOT IN THE QUARTER.

/NONETHELESS, THE ........

THURSDAY, MAY 13, 1993

- 28 -

NONETHELESS, THE BANKS GENERALLY EXPECT THAT THE GENERAL BUSINESS SITUATION WILL IMPROVE FURTHER TN THE SECOND QUARTER.

IN THE CONSTRUCTION SECTOR, THE GENERAL BUSINESS SITUATION AND CAPACITY UTILISATION DETERIORATED IN THE FIRST QUARTER DUE TO THE LUNAR NEW YEAR HOLIDAYS.

MEANWHILE, KEEN PRICE COMPETITION AMONG LOCAL FIRMS REMAINED THE PROBLEM MOST FREQUENTLY QUOTED TN THE SECTOR. IN ADDITION, INSUFFICIENT BUSINESS AND HIGH WAGE RATES WERE OTHER MAJOR PROBLEMS ENCOUNTERED.

ABOUT 500 FIRMS FROM VARIOUS INDUSTRIES AND TRADES, FORMING A CROSS-SECTION OF THE BUSINESS COMMUNITY, PARTICIPATED IN THE SURVEY. THEY WERE ASKED ABOUT THEIR BUSINESS EXPERIENCES AND EXPECTATIONS AS WELL AS THE BUSINESS PROBLEMS THEY FACED.

THE RESULTS OF THE QUARTERLY BUSINESS SURVEY, OBTAINED WITH A MINIMUM TIME LAG, ARE INTENDED TO PROVIDE A SOURCE OF REFERENCE FOR MAKING A QUICK ASSESSMENT OF THE CURRENT ECONOMIC SITUATION OF HONG KONG FROM A SHORT-TERM PERSPECTIVE.

IN THE SURVEY, PARTICIPATING FIRMS WERE ASKED TO INDICATE WHETHER, IN THEIR OPINION, THE GENERAL BUSINESS SITUATION AND THE LEVEL OF CAPACITY UTILISATION HAD ‘IMPROVED’, ’REMAINED THE SAME’ OR ’DETERIORATED’ IN THE FIRST QUARTER OF 1993 AS COMPARED WITH THE PRECEDING QUARTER.

THEY WERE ALSO ASKED TO INDICATE WHETHER THE SITUATION IS EXPECTED TO ’IMPROVE’, ’REMAIN THE SAME’ OR ’DETERIORATE’ IN THE SECOND QUARTER OF 1993.

THE OPINIONS OF RESPONDENTS WERE THEN ANALYSED AND THE SUMMARY FINDINGS PUBLISHED IN THE "REPORT ON QUARTERLY BUSINESS SURVEY, FIRST QUARTER 1993".

MOREOVER, THE SURVEY REPORT CONTAINS A SECTION ON THE BUSINESS PROBLEMS EXPERIENCED AND EXPECTED BY FIRMS IN THE DIFFERENT ECONOMIC SECTORS.

THE DEPARTMENT REMARKED THAT, IN A SURVEY OF THIS NATURE, THE RESULTS SHOULD BE INTERPRETED WITH CAUTION AS IT IS DIFFICULT TO ESTABLISH PRECISELY THE EXTENT TO WHICH RESPONDENTS’ RECOLLECTION OF THE PAST AND PERCEPTION OF THE FUTURE ACCORDS WITH THE UNDERLYING TRENDS.

MEMBERS OF THE PUBLIC MAY BUY THE SURVEY REPORT FROM THE GOVERNMENT PUBLICATIONS CENTRE, GROUND FLOOR, GENERAL POST OFFICE BUILDING, CONNAUGHT PLACE, OR FROM THE PUBLICATIONS SALES COUNTER OF THE CENSUS AND STATISTICS DEPARTMENT, 19TH FLOOR, WANCHAI TOWER, 12 HARBOUR ROAD, WAN CHAI, AT $12.5 A COPY.

FURTHER DETAILS OF THE QUARTERLY BUSINESS SURVEY MAY BE OBTAINED FROM THE INDUSTRIAL RESEARCH SECTION OF THE CENSUS AND STATISTICS DEPARTMENT ON TEL 839 3223.

------0-------

/29 ........

THURSDAY, MAY 13, 1993

- 29 -

SPLIT OF POLICE REGIONS SIGNIFICANT FOR SERVICE IMPROVEMENT

******

THE DEPUTY COMMISSIONER OF POLICE (MANAGEMENT), MR KEITH LOMAS,SAID TODAY (THURSDAY) THAT THE SPLIT OF THE POLICE’S NEW TERRITORIES (N.T.) INTO SOUTH AND NORTH POLICE REGIONS WAS A SIGNIFICANT STEP IN IMPROVING POLICING SERVICES TO THE PEOPLE OF THE N.T.

ADDRESSING AT THE OPENING CEREMONY OF THE NEW N.T. SOUTH REGIONAL POLICE HEADQUARTERS AND MA ON SHAN DIVISIONAL POLICE STATION, MR LOMAS SAID, " THE MAIN EFFECT OF THIS SPLIT OF THE N.T. IS THAT WE NOW HAVE TWO FAR MORE MANAGEABLE REGIONS IN COMMAND TERMS."

"THIS WILL FACILITATE IMPROVEMENTS IN THE PLANNING, AND EXECUTION, OF OUR STRATEGIES AND TACTICS TO COMBAT AND REDUCE CRIME."

HE SAID THE NORTH REGION COVERED TUEN MUN, YUEN LONG, THE BORDER AND TAI PO AND THE SOUTH REGION EMBRACED TSUEN WAN, KWAI CHUNG AND SHATIN AND WOULD, IN DUE COURSE, ALSO ASSUME RESPONSIBILITY FOR THE POLICING OF LANTAU ISLAND, INCLUDING THE NEW AIRPORT AT CHEK LAP KOK.

"I AM, PERSONALLY, PARTICULARLY SATISFIED WITH THIS MOVE AND AM CONFIDENT THAT THE TWO NEW REGIONAL COMMANDERS ARE SIGNIFICANTLY BETTER PLACED THAN BEFORE, NOTABLY WITH REGARD TO ORGANISATION AND FACILITIES, TO DEAL EFFECTIVELY WITH THOSE IN OUR MIDST WHO CHOOSE TO BREAK THE LAW," MR LOMAS ADDED.

THE NEW 16-STOREY POLICE COMPLEX, WHICH HOUSES BOTH THE N.T. SOUTH REGIONAL HEADQUARTERS AND MA ON SHAN DIVISIONAL POLICE STATION, IS EQUIPPED WITH SOPHISTICATED COMMUNICATION SYSTEMS, AN INCIDENT COMMAND CENTRE, A NEW ONE-WAY IDENTIFICATION PARADE ROOM, MODERN OFFICE ACCOMMODATION, COMPREHENSIVE CATERING FACILITIES FOR STAFF AND A FITNESS TRAINING ROOM.

MR LOMAS SAID ALL OF THESE WERE ESSENTIAL FOR A MODERN, EFFECTIVE AND, ABOVE ALL, MOTIVATED POLICE FORCE.

HE ALSO EMPHASISED THAT THE PUBLIC HAD NOT BEEN NEGLECTED EITHER.

"SPECIFICALLY," MR LOMAS SAID, "THE REPORT ROOM HERE AT MA ON SHAN POLICE STATION HAS BEEN DESIGNED, ON THE ONE HAND, TO PROVIDE FOR A PLEASANT AND MORE ENCOURAGING ENVIRONMENT, WHILST, ON THE OTHER, GIVE MEMBERS OF THE PUBLIC GREATER PRIVACY WHEN MAKING THEIR REPORTS."

THERE ARE ALSO

WILL PROVIDE A QUIETER

A NUMBER OF DEDICATED AND BETTER ATMOSPHERE.

INTERVIEW ROOMS WHICH

"THIS NEW POLICE FACILITY IS A FURTHER ELEMENT IN THE PROGRAMME TO PROVIDE AN EVER BETTER AND ACCESSIBLE SERVICE TO THE NEW TERRITORIES PUBLIC THAT WE, THE POLICE ARE ENDEAVOURING TO SERVE," MR LOMAS CONCLUDED.

-----0------

/30

THURSDAY, MAY 13, 1993

- 30 -

MORE PUBLIC EDUCATION NEEDED TO HELP DISABLED * * * * *

SUSTAINED PUBLIC EDUCATION WILL BRING A BETTER UNDERSTANDING OF DISABLED PERSONS, MRS PATTEN SAID TODAY (THURSDAY) AT THE OPENING CEREMONY OF THE NEW PREMISES OF THE YUEN LONG MORNINGLIGHT SCHOOL.

SHE SAID THE GOVERNMENT HAD ANNOUNCED THAT IT WOULD STEP UP ITS PUBLICITY EFFORT IN 1993/94 AND BEYOND.

"BUT GOVERNMENT EFFORTS ALONE ARE NOT ENOUGH.

"EVERYONE IN THE COMMUNITY SHOULD PLAY AN ACTIVE PART IN SPREADING THE MESSAGE ABOUT UNDERSTANDING AND ACCEPTING DISABLED PERSONS," SHE SAID.

MRS PATTEN STRESSED THAT THE SUCCESSFUL INTEGRATION OF THE MENTALLY HANDICAPPED INTO SOCIETY HINGED NOT ONLY ON THEIR ABILITY TO COPE IN THE COMMUNITY, BUT ALSO ON PUBLIC ATTITUDES TOWARDS THEM.

"IT IS UNFORTUNATE THAT THERE IS STILL RESISTANCE IN SOME QUARTERS TO INTEGRATING MENTALLY HANDICAPPED PERSONS INTO THE COMMUNITY.

"THIS OFTEN ARISES FROM INADEQUATE UNDERSTANDING OR PREJUDICE CAUSED BY IGNORANCE," MRS PATTEN SAID.

SHE SAID THE MOST EFFECTIVE ANSWER TO DISPELLING SUCH MISCONCEPTIONS WAS FURTHER PUBLIC EDUCATION, AND MORE PUBLICITY ABOUT THE GOOD WORK OF PEOPLE WHO SERVED THE DISABLED.

IMPRESSED BY THE NEW SCHOOL BUILDING AT FAIRVIEW PARK, MRS PATTEN SAID IT MARKED THE CULMINATION OF YEARS OF HARD WORK BY THE STAFF OF THE HONG KONG ASSOCIATION FOR THE MENTALLY HANDICAPPED.

THE SCHOOL, STARTED WITH ONLY 40 PLACES FOR MENTALLY HANDICAPPED CHILDREN, HAS BEEN SERVING THE YUEN LONG AND NEARBY DISTRICTS SINCE 1981.

THE NEW SCHOOL BUILDING, WHICH OFFERS BRAND-NEW AND BETTER FACILITIES, BRINGS 20 EXTRA SCHOOL PLACES TO CATER FOR THE GROWING DEMAND IN THE AREA.

--------0 - -

ADVICE FOR VISITORS TO CAMBODIA ******

ON THE ADVICE OF THE BRITISH MISSION IN PHNOM PENH, THE DIRECTOR OF IMMIGRATION TODAY (THURSDAY) ADVISED BRITISH NATIONALS AND HONG KONG RESIDENTS WHO WOULD BE TRAVELLING TO CAMBODIA THAT THERE HAD BEEN VIOLENT INCIDENTS THROUGHOUT CAMBODIA IN THE PRESENT UNSETTLED POLITICAL SITUATION, "THERE IS NO THREAT TO BRITISH NATIONALS AND HONG KONG RESIDENTS BUT CARE SHOULD BE EXERCISED," HE SAID.

/BRITISH NATIONALS

THURSDAY, MAY 13, 1993

- 31 -

BRITISH NATIONALS AND HONG KONG RESIDENTS ARE ADVISED NOT TO VISIT THE ANGKOR TEMPLE COMPLEX.

VISITORS SHOULD CONTACT THE BRITISH MISSION IN PHNOM PENH, AT HOUSE 29, STREET 75, TEL 855-23-27124 BOTH ON ARRIVAL IN THE COUNTRY AND LATER IF THEY PLAN TO TRAVEL OUTS I DE THE CAPITAL.

--------0-----------

SPECIAL INSPECTIONS

OF PLASTIC FACTORIES START

******

THE LABOUR DEPARTMENT HAS STARTED A TERRITORY-WIDE SPECIAL INSPECTION OPERATION ON PLASTIC FACTORIES IN THE WAKE Ob HEAVY CASUALTIES IN A RECENT FIRE AT A PLASTIC TOY FACTORY IN BANGKOK, THAILAND.

THE DEPUTY CHIEF FACTORY INSPECTOR, MR KAN HON-SANG, SAID TODAY (THURSDAY) THAT THE SPECIAL OPERATION WILL LAST UNTIL THE END OF THE MONTH.

’’DURING THE OPERATION, FACTORY INSPECTORS WILL FOCUS ON PLASTIC FACTORIES, INCLUDING THOSE MAKING TOYS, WITH UNSATISFACTORY SAFETY PERFORMANCE RECORDS, PROBLEMATIC PLANTS OR WITH HIGH-RISK WORK PROCESSES,” HE SAID.

’’EMPLOYERS AND EMPLOYEES WILL BE ADVISED OF THEIR RESPONSIBILITIES IN COMPLYING WITH THE SAFETY REQUIREMENTS UNDER THE LAW, ESPECIALLY THOSE RELATING TO FIRE HAZARDS,” MR KAN SAID.

HE POINTED OUT THAT VIOLATIONS OF THE SAFETY REGULATIONS RELATING TO FIRE HAZARDS INCLUDE OBSTRUCTIONS TO PASSAGEWAYS, LOCKED EXIT DOORS, NEGLIGENCE IN THE HANDLING OF INFLAMMABLE SUBSTANCES AND IMPROPER USE OF ELECTRICITY.

IN ADDITION, FACTORY INSPECTORS WILL PAY SPECIAL ATTENTION TO VIOLATIONS OF OTHER FIRE SAFETY PROVISIONS SUCH AS EXCESSIVE STORAGE OF DANGEROUS GOODS.

DURING THE OPERATION, THEY WILL STRENGTHEN LIAISON WITH THE FIRE SERVICES DEPARTMENT.

MR KAN SAID FACTORY INSPECTORS ARE DETERMINED TO TAKE PROSECUTION ACTION AGAINST THOSE WHO REPEATEDLY IGNORED THE REQUIRED SAFETY MEASURES OR HAVE NOT TAKEN ADEQUATE SAFETY MEASURES TO PREVENT FIRE HAZARDS.

HE ALSO CALLED ON PROPRIETORS AND EMPLOYEES TO TAKE ALL NECESSARY PRECAUTIONS RELATING '1'0 GE NERAL FIRE SAFETY IN FACTORIES.

’’NEGLIGENCE MAY CAUSE SERIOUS CONSEQUENCES," MR KAN ADDED.

--------0 -

/32 ........

THURSDAY, MAY 13, 1993

- 32

EXHIBITION ON EMPLOYMENT LAW IN TAI PO

*******

THE LABOUR DEPARTMENT WILL HOLD A THREE-DAY EXHIBITION IN TAI PO FROM TOMORROW (FRIDAY) UNTIL SUNDAY (MAY 16) TO PUBLICISE VARIOUS PROVISIONS OF THE EMPLOYMENT ORDINANCE.

ORGANISED BY THE LABOUR RELATIONS PROMOTION UNIT, THE EXHIBITION WILL, IN SIMPLE LANGUAGE AND VIVID ILLUSTRATIONS, HELP EMPLOYERS AND EMPLOYEES UNDERSTAND THEIR RIGHTS AND OBLIGATIONS UNDER THE ORDINANCE.

ON DISPLAY WILL INCLUDE INFORMATION ON PAID ANNUAL LEAVE, LONG SERVICE AND SEVERANCE PAYMENTS, MATERNITY PROTECTION AND ENTITLEMENT UPON TERMINATION OF EMPLOYMENT.

LABOUR OFFICERS WILL BE ON HAND TO ANSWER ENQUIRIES AND TO DISTRIBUTE PAMPHLETS.

A QUIZ WILL ALSO BE HELD ON THE SPOT DAILY TO AROUSE PUBLIC INTEREST IN THE SUBJECT.

THE EXHIBITION WILL BE OPEN FROM 2 PM TO 6 PM TOMORROW ON THE FIRST FLOOR, UPTOWN PLAZA, TAI PO, AND BETWEEN 10 AM AND 6 PM OVER THE WEEKEND.

--------0-----------

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ***** $ MILLION

OPENING BALANCE IN THE ACCOUNT 1,550

REVERSAL OF LAF + 600

BALANCE AFTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -700

CLOSING BALANCE IN THE ACCOUNT 1,450

LAF RATE 2.00 BID/4.00 OFFER TW1 112.4 *+0.l* 13.5.93

/HONG KONG .......

THURSDAY, MAY 13, 1993

33

HONG KONG GOVERNMENT EXCHANGE FUND

EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.83 PCT 12 MONTHS 2405 5.50 102.38 3. 12

1 MONTH 2.84 PCT 15 MONTHS 2408 4.375 101.39 3.27

3 MONTHS 2.85 PCT 18 MONTHS 2411 4.625 101.79 3.43

6 MONTHS 2.94 PCT 21 MONTHS 2502 4.75 101.92 3.64

12 MONTHS 3.07 PCT

TOTAL TURNOVER OF BILLS AND BONDS - 9,484 MN

CLOSED 13 MAY 1993

-----0------

Received by PRO on 1 9

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

FRIDAY, MAY 14, 1993

CONTENTS

PAGE NO,

THE GOVERNOR AND L.ADY THATCHER SPEAKING TO THE MEDIA AT THE GRAND PLAZA HOTEL ............................................. 1

GOVERNOR AND LADY THATCHER TOUR EASTERN DISTRICT ................ 2

HONG KONG - ONE OF THE BEST POLICED PLACES ...................... 3

UN SANCTIONS AGAINST SERBIA AND MONTENEGRO ...................... 4

MAXIMUM COMPENSATION FOR WORK INJURIES RAISED ................... 5

EASY TRAVEL SCHEME (ETS) TO BENEFIT JUVENILE RESIDENTS AND HOLDERS OF *** IDENTIFY CARDS ................................. 6

SIGNIFICANT CHANGES FOR FIRE SERVICES ........................... 7

FC APPROVES $100 MILLION TO SUPPORT ELTTE ATHLETE TRAINING 8

ASSESSMENT OF LAND REQUIREMENTS AND SUPPLY DISCUSSED ............ 8

AUTOMATIC TOLL COLLECTION AT TUNNELS ........................... 10

$30 MILLION GRANT TO NEW PERFORMING ART GROUPS WELCOMED .... 11

HK TO PARTICIPATE TN TNT'L EXHIBITIONS ......................... 12

/WORKS FOR .......

WORKS FOR DRAINAGE CHANNELS AUTHORISED

12

TTRA COMMITTEE MEMBERS APPOINTED ............................... 14

ROAD IMPROVEMENT FOR A TUEN MUN VILLAGE PROPOSED ............... 15

SPORTS BODIES TO MERGE FOR THE BETTER .......................... 16

NEW SPORTS ROAD TN HAPPY VALLEY ................................ 17

ACCESS ROAD TO WONG CHUK HANG ESTATE ........................... 18

FLOOD PREVENTION DRAINS FOR KAM TIN ............................ 18

LAND RESUMED FOR WATER WORKS ................................... 19

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS

19

FRIDAY, MAY 14, 1993

1

THE GOVERNOR AND LADY THATCHER SPEAKING T<) THE MEDIA AT THE GRAND PLAZA HOTEL ♦ * * * *

GOVERNOR: AS YOU KNOW, I SPEND ONE AFTERNOON EVERY WEEK VISITING A DISTRICT BOARD BUT IT WAS A PARTICULAR PLEASURE TODAY VISITING THE EASTERN DISTRICT BOARD TO BE ACCOMPANIED BY LADY THATCHER. LADY THATCHER WAS ONE OF THE PRINCIPAL ARCHITECTS, AS YOU ALL KNOW, OF THE JOINT DECLARATION WHICH GUARANTEES HONG KONG'S WAY OF LIFE, FREEDOM, PROSPERITY, STABILITY, INTO THE FUTURE, SO IT IS ALWAYS A GREAT PLEASURE WHEN SHE VISITS HONG KONG AND WE WILL LOOK FORWARD TO SEEING HER MANY TIMES TN THE FUTURE.

I ENJOYED BEING ABLE TO GO ROUND THE EASTERN DISTRICT WITH HER TODAY, I ENJOYED BEING ABLE TO SEE ALL THAT THE DISTRICT BOARD IS DOING TO TACKLE SOME OF THE ENVIRONMENTAL AND TRAFFIC PROBLEMS WHICH CONFRONT THEM AND EVEN THOUGH I WON’T BE ACCOMPANIED ON ALL MY FUTURE DISTRICT VISITS BY AS ILLUSTRIOUS A GUEST, I LOOK FORWARD TO CONTINUING THIS PATTERN OF GETTING OUT INTO HONG KONG INTO THE COMMUNITY AS FREQUENTLY AS POSSIBLE.

LADY THATCHER: LADIES AND GENTLEMEN, I HAVE BEEN VERY HAPPY TO ACCOMPANY THE GOVERNOR ROUND A WONDERFUL TOUR OF EASTERN DISTRICT WHERE WE’VE HAD A TERRIFIC WELCOME AND SMILING FACES ON ALL SIDES. I THINK THE POINT THAT IMPRESSED ME ABOVE ALL IS THE GREAT ESTEEM AND AFFECTION IN WHICH THE GOVERNOR IS HELD BY THE PEOPLE OF HONG KONG AND THE RAPPORT HE HAS ALREADY DEVELOPED W[TH THEM AND THE WAY IN WHICH THEY TRUST HIM. THAT IS A GREAT, TREMENDOUS ACHIEVEMENT FOR HIM AND I WAS VERY HAPPY TO BE WITH HIM AND WITNESS IT FOR MYSELF.

I THINK IN HONG KONG WE HAVE BUILT UP SOMETHING OF GREAT VALUE TO THE WORLD AS A WHOLE, WI TH SOUND BRITISH ADMINISTRATION, THE GREAT BRITISH RULE OF LAW AND JUSTICE INDEPENDENTLY ADMINISTERED, AND \ FREE ENTERPRISE SOCIETY AND EXERCISE OF FREEDOM UNDER THE RULE OF LAW. ALL THAT, WITH THE CHINESE CHARACTER, HAVE BUILT UP WHAT HAS BECOME HONG KONG AND ONE OF THE MOST PROSPEROUS SOCIETIES IN THE PACIFIC. I HOPE AND BELIEVE THAT OTHERS WILL FOLLOW OUR EXAMPLE AND UNDERSTAND THAT FREEDOM UNDER A RULE OF LAW IS THE WAY AHEAD FOR BOTH THE DIGNITY AND THE PROSPERITY OF PEOPLES.

NOW, 1 THINK THAT IS ALL I HAVE TO SAY ON THIS OCCASION. I SHALL COME TO HONG KONG, I HOPE, MAN\ TIMES BEFORE 1997 AND I SHALL HOPE TO BE HERE ON THE CRUCIAL DAY IN 1997, SO I SHALL BE ABOUT, I HOPE, WITH THE GOVERNOR QUITE A BIT.

QUESTION: THE GOVERNOR HAS BEEN CAMPAIGNING VERY HARD ALONGSIDE YOU TODAY, DO YOU SEE HIM AS AN EVENTUAL PRIME MINISTER OF THE UNITED KINGDOM?

/LADY THATCHER .......

FRIDAY, MAY 14, 1993

2

LADY THATCHER: HE WILL BE IN HONG KONG FOR .SEVERAL YEARS YET AND THAT IS A GREAT PRIVILEGE AND A GREAT HONOUR, AND TO BRING TO THE CONCLUSION THIS GREAT PERIOD OF HONG KONG HISTORY AND SEE IT'CAREFULLY INTO THE NEXT PERIOD WILL BE A FANTASTIC ACHIEVEMENT WHICH CAN ONLY BE DONE BY A PERSON OF GREAT TALENT, ABILITY AND POLITICAL SKILL. HE’S TERRIFIC. HAVE YOU GOT THE MESSAGE?

QUESTION: MR PATTEN, YOUR PROPOSALS ARE WELL PRAISED BY LADY THATCHER TN THE INTERVIEW TO OUR DAILY NEWS TODAY. LADY THATCHER, DO YOU THINK THAT THE PATTEN PROPOSALS SHOULD BE THE BASIS OF THE STARTING POINT OF TALKS IN THE THIRD ROUND OF TALKS FOR CONSULTATION?

GOVERNOR: WELL, I THINK AS YOU KNOW, THAT THE PROPOSALS WHICH I ANNOUNCED TO THE LEGISLATIVE COUNCIL LAST OCTOBER HAVE BEEN WIDELY DISCUSSED TN THE LEGISLATIVE COUNCIL AND ON A COUPLE OF OCCASIONS ENDORSED; THEY HAVE BEEN WIDELY DISCUSSED IN THE COMMUNITY; SO INEVITABLY THEY ARE PART OF OUR THINKING AS WE TAKE PART IN THESE TALKS. A NUMBER OF OTHER PROPOSALS HAVE BEEN PUT FORWARD ELSEWHERE IN THE COMMUNITY AND WE WILL LOOK FORWARD, I HOPE, DURING THE TALKS TO HEARING SOME PROPOSALS FROM OUR CHINESE COLLEAGUES AS WELL.

QUESTION: LADY THATCHER, HAVE YOU BREN INVITED TO BEIJING BY MR ZHOU NAN AND IF SO, ARE YOU GOING TO ACCEPT? AND WOULD YOU CONSIDER PERHAPS HELPING TO SORT OUT SOME OF THE PROBLEMS?

LADY THATCHER: WE GAVE A SMALL PRESS CONFERENCE AFTER MY VIST TO MR ZHOU NAN WHOM I HAVE KNOWN FOR A LONG TIME BECAUSE WE WERE BOTH INVOLVED IN THE JOINT DECLARATION. WHAT WE SAID THEN REPRESENTED OUR VIEWS. I HAVE NOT BEEN INVITED SPECIFICALLY TO BEIJING BUT I UNDERSTAND THAT A VISIT WOULD BE WELCOMED THERE WHEN I AM ABLE TO MAKE ONE.

GOVERNOR:

THANK YOU ALL VERY MUCH INDEED.

-----0-------

GOVERNOR AND LADY THATCHER TOUR EASTERN DISTRICT

*****

THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, AND THE VISITING BARONESS THATCHER OF KESTEVEN, TOURED EASTERN DISTRICT THIS (FRIDAY) AFTERNOON.

THEIR FIRST STOP WAS A KINDERGARTEN IN II I NG FAT STREET WHERE THEY WATCHED CHILDREN Al’ PLAY. THE SCHOOL ADOPTS AN ACTIVITY APPROACH THAT ENCOURAGES PUPILS TO LEARN THROUGH GAMES.

LATER THEY WENT '1’0 CITYPLAZA IN TAI KOO SHING BY MASS TRANSIT RAILWAY, AND TOURED A DEPARTMENT STORE.

CITYPLAZA IS THE LARGEST COMMERCIAL AND ENTERTAINMENT COMPLEX ON HONG KONG ISLAND.

AT TIN HAU TEMPLE IN SHAU KEI WAN MAIN STREET EAST. THEY CHATTED WITH LOCAL FISHERMEN.

/THE TEMPLE .......

FRIDAY, MAY 14, 1993

3

THE TEMPLE, BUILT IN 1873, IS A SYMBOL SHOWING THE TRADITION OF RELIANCE OF LOCAL COMMUNITY ON FISHING AND ON SEA TRADE.

AFTER A TRAM TOUR IN SAI WAN HO, THE PARTY MOVED ON TO KORNHILL WHERE MR PATTEN AND LADY THATCHER PLANTED AN ORCHID TREE IN HONG ON STREET AS A TOKEN TO PROMOTE THE GREENING CAMPAIGN.

BEFORE ENDING THE TOUR, THEY MET WITH DISTRICT BOARD MEMBERS AND OTHER LOCAL PERSONALITIES OVER A TEA RECEPTION.

THE GOVERNOR AND LADY THATCHER WERE ACCOMPANIED ON THE TOUR BY THE REGIONAL SECRETARY FOR HONG KONG AND KOWLOON, MISS CHRISTINE CHOW AND EASTERN DISTRICT OFFICER, MR STEVE BARCLAY.

HONG KONG - ONE OF THE BEST POLICED PLACES ♦ ♦ ♦ » *

HONG KONG CAN BE PROUD THAT IT IS ONE OF THE BEST POLICED PLACES IN THE WORLD, THE GOVERNOR, THE RI’ HON CHRISTOPHER PATTEN, SAID TONIGHT (FRIDAY).

ITS CRIME RATES ARE DROPPING AND ARE LOWER EVEN THAN CITIES SUCH AS SINGAPORE AND TOKYO WHICH ARE KNOWN FOR THEIR SAFETY.

SPEAKING AT THE PASSING OUT PARADE OF ’’WHISKY” COMPANY OF POLICE TACTICAL UNIT (PTU), MR PATTEN SAID HONG KONG PEOPLE KNEW THAT THEY COULD RELY UPON THE POLICE FORCE TO KEEP THEIR HOMES, STREETS AND BUSINESSES SAFE.

HE SAID THE REPUTATION OF THE POLICE FOR HIGH STANDARDS, PROFESSIONALISM AND COMMITMENT HAD ALREADY REACHED HIM BEFORE HE CAME TO HONG KONG LAST SUMMER.

HE SAID THE OFFICERS IN PTU. APART FROM CARRYING CONSTABULARY DUTIES, HAVE RESPONSIBLE FOR MANNING THE BORDERS AND FOR TACKLING HEAD-ON THREAT TO ITS INTERNAL SECURITY.

THEY WERE HIGHLY TRAINED AND HIGHLY MOTIVATED TO CARRY OUT THESE UNIQUE AND CRUCIAL TASKS, HE SAID.

HE CONGRATULATED THE OFFICERS IN THE "WHISKY” COMPANY FOR COMPLETING THE 12-WEEK HARD AND INTENSIVE TRAINING.

THE GOVERNOR ALSO PRAISED THEM FOR DOING AN OUTSTANDING JOB DURING THE TRAINING PERIOD AND WISHED THEM EVERY SUCCESS IN THE FUTURE.

THE ’’WHISKY" COMPANY, MADE Up OF 170 OFFICERS DRAWN FROM KOWLOON WEST REGION, WILL TAKE OVER THE MANNING OF MAN KAM TO BORDER SECTOR FOLLOWING THE COMPLETION OF THE IRA INI NG PROGRAMME TODAY.

AFTER THE FIELD PATROL DETACHMENT DUTIES THE COMPANY WILL MOVE TO KOWLOON WEST ON REGIONAL ATTACHMENT.

- 0----------

/4 .........


FRIDAY, MAY 14, 1993

UN SANCTIONS AGAINST SERBIA AND MONTENEGRO *****

ON APRIL 17 THE UNITED NATIONS SECURITY COUNCIL ADOPTED RESOLUTION 820 IMPOSING FURTHER TIGHTENED SANCTIONS AGAINST SERBIA AND MONTENEGRO.

CERTAIN PROVISIONS OF THE RESOLUTION HAVE BEEN EXTENDED TO| HONG KONG BY A UNITED KINGDOM ORDER IN COUNCIL TO COME INTO FORCE ON MAY 14.

THE ORDER PROVIDES FOR THE IMPOUNDING OF SHIPS, GOODS VEHICLES AND AIRCRAFT WHICH ARE MAJORITY OWNED OR EFFECTIVELY CONTROLLED BY PERSONS CONNECTED WITH SERBIA AND MONTENEGRO OR WHICH ARE DETERMINED TO HAVE BEEN OPERATED OR USED IN VIOLATION OF RELEVANT SECURITY COUNCIL RESOLUTIONS, AND FOR THE FORFEITURE OF ANY SUCH SHIPS, VEHICLES, AIRCRAFT OR THEIR CARGO WHERE THEY HAVE BEEN DETERMINED TO BE IN VIOLATION OF THOSE RESOLUTIONS.

THE ORDER RESTRICTS THE PROVISION OF SERVICES FOR THE PURPOSES OF ANY BUSINESS CARRIED ON IN SERBIA OR MONTENEGRO.

IT ALSO PROHIBITS THE ENTRY INTO THE TERRITORIAL SEA OF MONTENEGRO OF COMMERCIAL SHIPS WHICH ARE REGISTERED IN HONG KONG AND CERTAIN OTHER COMMERCIAL SHIPS.

THE GOVERNMENT WILL TAKE ALL NECESSARY MEASURES TO IMPLEMENT FULLY OUR OBLIGATIONS UNDER THE ORDER IN COUNCIL.

ENQUIRIES ON THE SUBJECT SHOULD BE DIRECTED TOWARDS RESPECTIVE GOVERNMENT DEPARTMENTS AS FOLLOWS:

GENERAL & PRESS ENQUIRIES: DUTY OFFICER,

GOVERNMENT INFORMATION SERVICES (TEL No 842 8747)

FLIGHTS & AVIATION RELATED MATTERS AIR SERVICES DIVISION,

CIVIL AVIATION DEPARTMENT (TEL NO 867 4210/11)

MARINE MATTERS:

MARINE DEPARTMENT (TEL NO 852 4408)

FINANCIAL-RELATED MATTERS

FINANCIAL SERVICES BRANCH (TEL NO 527 3974)

TRADE-RELATED MATTERS

TRADE DEPARTMENT (TEL NO 398 5554)

- 0 -

FRIDAY, MAY 14, 1993

5

MAXIMUM COMPENSATION FOR WORK INJURIES RAISED *******

THE LABOUR DEPARTMENT HAS PROPOSED TO RAISE THE MAXIMUM LEVEL OF COMPENSATION FOR INJURIES RESULTING FROM EMPLOYMENT-RELATED ACCIDENTS IN ORDER TO INCREASE THE COMPENSATION PAYMENT TO INJURED EMPLOYEES.

THE PROPOSAL, WHICH IS INCLUDED IN THE EMPLOYEES’ COMPENSATION (AMENDMENT) BILL 1993 GAZETTED TODAY (FRIDAY), HAS BEEN ENDORSED BY THE GOVERNOR IN COUNCIL.

THE ASSISTANT COMMISSIONER FOR LABOUR, MRS ANGELA HO, SAID UNDER THE EXISTING EMPLOYEES’ COMPENSATION ORDINANCE (ECO), COMPENSATION FOR PERMANENT TOTAL INCAPACITY OR DEATH VARIES WITH THE AGE AND THE MONTHLY EARNINGS OF THE EMPLOYEES CONCERNED.

"THE AMOUNT OF COMPENSATION PAYABLE IS SUBJECT TO A STATUTORY MAXIMUM, WHICH IS $620,000 AND $540,000 FOR PERMANENT TOTAL INCAPACITY AND DEATH RESPECTIVELY," MRS HO SAID.

"FOLLOWING A RESEARCH ON INJURY CASES INVOLVING PERMANENT INCAPACITY, IT WAS FOUND THAT THE COMPENSATION ENTITLEMENT OF ABOUT 47 PER CENT OF CASES HAD BEEN SUPPRESSED AS A RESULT OF THE APPLICATION OF THE STATUTORY MAXIMUM TO THE COMPUTATION OF COMPENSATION PAYABLE.

"THIS WAS PARTICULARLY SERIOUS FOR THE YOUNGER EMPLOYEES BECAUSE OF THE AGE FACTOR," SHE ADDED.

IN ORDER TO IMPROVE THE COMPENSATION PAYMENT To INJURED EMPLOYEES AND RETAIN THE SPIRIT OF LIMITING EMPLOYERS’ LIABILITY IN A NO-FAULT COMPENSATION SYSTEM, THE LABOUR DEPARTMENT HAS PROPOSED TO INTRODUCE A RATE OF MONTHLY EARNINGS, PROPOSED TO BE SET AT A CEILING OF $15,000, FOR THE PURPOSE OF CALCULATING COMPENSATION.

"UNDER THIS PROPOSAL, THE MAXIMUM LEVEL OF COMPENSATION WOULD BE $1.44 MILLION FOR PERMANENT TOTAL INCAPACITY AND $1.26 MILLION FOR DEATH," MRS HO SAID.

"THE CEILING OF $15,000 IS TN LINE WITH THAT USED FOR CALCULATING SEVERANCE PAYMENT AND LONG SERVICE PAYMENT UNDER THE EMPLOYMENT ORDINANCE," SHE ADDED.

IN ORDER TO ALLOW SUFFICIENT LEAD TIME FOR THE INSURANCE INDUSTRY TO NEGOTIATE RE-INSURANCE CONTRACTS WITH RE-INSURERS DUE TO THE POTENTIALLY HIGHER PAY-OUT COMPENSATION RATES, IT IS PROPOSED TO CHANGE THE LEVEL OF COMPENSATION FROM JANUARY 1, 1994, IF THE BILL IS PASSED INTO LAW IN THE CURRENT LEGISLATIVE COUNCIL SESSION, MRS HO NOTED.

SHE POINTED OUT THAT THE BILL ALSO INCLUDE AMENDMENTS TO THE CLAIM PROCEDURES AND THE ASSESSMENT OF PERMANENT INCAPACITY.

AT PRESENT, AN INJURED EMPLOYEE OR DEPENDANTS OF A DECEASED EMPLOYEE ARE ALLOWED TO CLAIM COMPENSATION DIRECTLY AGAINST THE EMPLOYER’S INSURER.

/HOWEVER, THE ........

FRIDAY, MAY 14, 1993

6

HOWEVER, THE EXISTING PROVISIONS ARE NOT CLEAR AS TO WHETHER OR NOT AN INJURED EMPLOYEE COULD TAKE PROCEEDINGS AGAINST THE INSURER WITHOUT FIRST SUING HIS EMPLOYER.

"IT IS PROPOSED THAT THE ECO BE AMENDED SO THAT AN EMPLOYEE WOULD BE ABLE TO LEAPFROG HIS EMPLOYER TO SUE THE INSURER DIRECT UNDER CERTAIN CIRCUMSTANCES," MRS HO SAID.

"THE AMENDMENT WILL ALSO ENABLE AN EMPLOYEE WHO WISHES TO TAKE PROCEEDINGS AGAINST THE INSURER TO OBTAIN FROM HIS EMPLOYER INFORMATION RELATING TO THE NAMES OF THE INSURER AND THE INSURED EMPLOYER, THE POLICY NUMBER AND THE EFFECTIVE PERIOD OF INSURANCE.

"IN ADDITION, PROPOSALS WERE ALSO MADE IN THE AMENDMENT BILL TO IMPROVE PART IV OF THE ECO BY CLARIFYING AN INSURER’S LIABILITY UNDER A POLICY OF INSURANCE ISSUED," SHE ADDED.

REGARDING THE ASSESSMENT OF PERMANENT INCAPACITY, MRS HO SAID THE FIRST SCHEDULE OF THE ECO WILL BE IMPROVED TO BRING IT IN LINE WITH THE STANDARD ADOPTED IN THE NEIGHBOURING COUNTRIES.

"THESE IMPROVEMENTS INCLUDE ADJUSTING THE PERCENTAGE OF LOSS OF EARNING CAPACITY SPECIFIED FOR SOME INJURIES, EXPANDING THE SCOPE OF THE SCHEDULE TO COVER MORE INJURIES," MRS HO SAID.

"IN ADDITION, A HIGHER PERCENTAGE OF LOSS OF EARNING CAPACITY WILL BE PROVIDED FOR INJURI TO THE PREFERRED HAND AND THE LOSS OF TWO OR MORE FINGERS," SHE ADDED.

IN RELATION TO THE DELEGATION OF AUTHORITY, MRS HO NOTED THAT THE AMENDMENT BILL PROPOSED THAT THE COMMISSIONER FOR LABOUR, INSTEAD OF THE GOVERNOR IN COUNCIL, SHOULD BE ALLOWED TO AMEND THE SECOND SCHEDULE ON OCCUPATIONAL DISEASES AND MAKE REGULATIONS RELATING TO SUBMISSION OF FORMS AND OTHER OPERATIONAL MATTERS WHICH ARE TECHNICAL IN NATURE.

- - 0 - -

EASY TRAVEL SCHEME (ETS) TO BENEFIT JUVENILE RESIDENTS AND HOLDERS OF *** IDENTITY CARDS ******

THE IMMIGRATION DEPARTMENT TODAY (FRIDAY) ANNOUNCED THAT THE EASY TRAVEL SCHEME (ETS) WILL BE EXTENDED TO BENEFIT CHILDREN OF THE AGE OF II TO 17 HOLDING HONG KONG PERMANENT IDENTITY CARDS (PICS) OR HONG KONG IDENTITY CARDS (l('S) WITH THE * OR R SYMBOL.

ADULTS HOLDING ICS Willi THE ♦** SYMBOL WILL ALSO BE PROVIDED FURTHER FACILITIES UNDER THE ETS.

"WITH EFFECT FROM JUNE 1, 199.3, THESE CATEGORIES OF JUVENILE RESIDENTS CAN SIMPLY USE THEIR IDENTITY CARDS WITHOUT PRODUCING THEIR RE-ENTRY PERMITS OR TRAVEL DOCUMENTS AT HONG KONG IMMIGRATION CONTROL POINTS FOR JOURNEYS TO AND FROM ALL PLACES INCLUDING CHINA AND MACAU," A SPOKESMAN FOR THE DEPARTMENT SAID.

/HE ADDED

FRIDAY, MAY 14, 1993

1

HE ADDED THAT HOLDERS OF ADULT ICS WITH THE *** SYMBOL WHO NOW ENJOY THE ETS FOR TRAVEL TO AND FROM CHINA AND MACAU WITHOUT USING THE RE-ENTRY PERMITS ARE, FROM THE SAME DATE, ALSO EXEMPTED FROM PRODUCING THEIR TRAVEL DOCUMENTS AT HONG KONG IMMIGRATION CONTROL POINTS FOR TRAVEL TO AND FROM OTHER PLACES.

UNDER THE EXISTING ARRANGEMENT, THOSE WHO HOLD PICS OR ICS WITH THE R SYMBOL WHO ARE AGED 18 OR OVER CAN TRAVEL TO AND FROM ALL PLACES WITHOUT PRODUCING THEIR TRAVEL DOCUMENTS AT HONG KONG IMMIGRATION CONTROL POINTS.

THE SPOKESMAN ALSO EXPLAINED THAT TRAVELLERS (BOTH ADULTS AND CHILDREN) USING THEIR HONG KONG IDENTITY CARDS AT HONG KONG IMMIGRATION CONTROL POINTS ARE NOT REQUIRED TO FILL IN ARRIVAL/DEPARTURE ('ARDS.

IN ADDITION, MINORS BELOW THE AGE OF 11 TRAVELLING BY SEA OR LAND ON HONG KONG PASSPORTS, CERTIFICATES OF IDENTITY OR RE-ENTRY PERMITS ARE ALSO NOT REQUIRED TO COMPLETE ARRIVAL/DEPARTURE CARDS BUT THIS PROCEDURE DOES NOT APPLY TO THESE MINORS WHO TRAVEL THROUGH THE AIRPORT.

’’TRAVELLERS NOT REQUIRED TO PRODUCE THEIR TRAVEL DOCUMENTS AT HONG KONG IMMIGRATION CONTROL POINTS SHOULD CONTINUE TO ENSURE THAT THEY HAVE THE PROPER AND VALID DOCUMENTS FOR THEIR DESTINATIONS.” THE SPOKESMAN SAID.

- - 0 - -

SIGNIFICANT CHANGES FOR FIRE SERVICES *****

THE YEAR 1993 HAS SPECIAL SIGNIFICANCE FOR THE FIRE SERVICES FOR IT MARKS ITS 125TH ANNIVERSARY, THE DEPUTY DIRECTOR OF FIRE SERVICES, MR PETER CHEUNG, SAID TODAY (FRIDAY).

SPEAKING AT THE PASSING-OUT PARADE OF SOME 50 GRADUATED STATION OFFICERS AND FIREMEN AT THE FIRE SERVICES TRAINING SCHOOL, MR CHEUNG SAID THE SERVICES HAD UNDERGONE SIGNIFICANT CHANGES FROM ITS BEGINNING IN 1868.

’’THE DEPARTMENT NOW HAS AN ESTABLISHMENT OF OVER 8,000 STAFF, A FLEET OF 258 FIRE APPLIANCES AND SEVEN FIRE BOATS EQUIPPED WITH MODERN AND SOPHISTICATED FIRE-FIGHTING AND RESCUE EQUIPMENT TO SERVE THE COMMUNITY,” HE SAID.

HE TOLD THE GRADUATES TO KEEP ABREAST WITH THE LATEST TECHNOLOGY IN Fl RI' FIGHTING AND FIRE PROTECTION SO AS TO SERVE THE COMMUNITY WELL AND TO UPHOLD THE HIGH STANDARDS OF THE DEPARTMENT.

BEING A MEMBER OF THE SERVICES FOR OVER 30 YEARS, MR CHEUNG SAID HE WAS PROUD TO HAVE BEEN ABLE TO SERVE THE COMMUNITY IN THIS VERY ESSENTIAL SERVICE.

/HE WELCOMED

8

FRIDAY, MAY 14, 1993

HE WELCOMED NEW MEMBERS TO THIS "ELITE BRIGADE" TO SHARE THE RESPONSIBILITY IN MAINTAINING THE STABILITY AND PROSPERITY OF HONG KONG AS WELL AS MAKING IT AN EVEN BETTER AND SAFER PLACE FOR ALL IN FUTURE.

THE OFFICERS AND MEN HAVE SUCCESSFULLY COMPLETED A 26-WEEK TRAINING AND WILL BE POSTED TO VARIOUS FIRE STATIONS NEXT WEEK.

------0-------

FC APPROVES $100 MILLION TO SUPPORT ELITE ATHLETE TRAINING ******

THE FINANCE COMMITTEE OF THE LEGISLATIVE COUNCIL TODAY (FRIDAY) APPROVED A ONE-OFF ALLOCATION OF $100 MILLION TO THE HONG KONG SPORTS DEVELOPMENT BOARD FOR A FOUR-YEAR PROGRAMME TO TRAIN ELITE ATHLETES FOR INTERNATIONAL SPORTING COMPETITIONS AND TO DEVELOP SPORTS SCIENCE AND SPORTS MEDICINE.

THE CHAIRMAN OF THE HONG KONG SPORTS DEVELOPMENT BOARD, MR DAVID GLEDHILL, WARMLY WELCOMED THE ALLOCATION.

"THE PROVISION OF THIS MONEY IS A CLEAR INDICATION OF THE GOVERNMENT’S COMMITMENT TO PROMOTING SPORTS IN HONG KONG AND IMPROVING. HONG KONG’S SPORTING IMAGE INTERNATIONALLY," MR GLEDHILL SAID.

DURING RECENT YEARS, THE STANDARD OF PERFORMANCE OF HONG KONG’S SPORTSMEN AND SPORTSWOMEN IN THE REGIONAL AND INTERNATIONAL SPORTING ARENA HAS IMPROVED TREMENDOUSLY.

THE ALLOCATION WILL ENABLE HONG KONG TO CAPITALISE ON THE MOMENTUM SO FAR GAINED IN THE AREAS OF ELITE ATHLETE TRAINING, WHICH WILL BE CRUCIAL TO THE DEVELOPMENT OF LOCAL ATHLETES PREPARING FOR INTERNATIONAL SPORTING EVENTS IN THE YEARS AHEAD, INCLUDING THE COMMONWEALTH GAMES AND THE ASIAN GAMES IN 1994, THE EAST ASIAN GAMES IN 1995 AND THE OLYMPIC GAMES IN 1996.

A SPOKESMAN FOR THE RECREATION AND CULTURE BRANCH SAID: "THE MONEY WILL BE USED TO IMPROVE SPORTS SCHOLARSHIP PROGRAMMES, COACHING, FACILITIES FOR TRAINING, OVERSEAS AND LOCAL TRAINING OPPORTUNITIES, AND SUPPORT SERVICES SUCH AS SPORTS SCIENCE AND SPORTS MEDICINE.

"SPORTS WITH GENUINE MEDAL CHANCES WILL ALSO BE GIVEN ADDITIONAL FUNDING SUPPORT."

------0--------

ASSESSMENT OF LAND REQUIREMENTS AND SUPPLY DISCUSSED » * * * *

THE LAND AND BUILDING ADVISORY COMMITTEE (LBAC) HAS DISCUSSED THE ASSESSMENT OF LAND REQUIREMENTS AND LAND SUPPLY FOR 1992/93 -

2001/2002.

THE ANNUAL ASSESSMENT, MADE BY THE PLANNING DEPARTMENT, AIMS TO IDENTIFY ANY SHORTFALL OR SURPLUS OF LAND FOR PARTICULAR LAND USES OVER THE NEXT 10 YEARS.

/RESULTS OF .......

FRIDAY, MAY 14, 1993

9

RESULTS OF THE ASSESSMENT WILL BE USED AS REFERENCE FOR LAND RESERVATION AND LAND PRODUCTION.

THE STATISTICS IN THE ASSESSMENT ARE INDICATIVE ONLY AND ARE MEANT TO BE USED WITH CAUTION AND FOR BROADBRUSH PLANNING PURPOSES ONLY.

MEMBERS OF THE LBAC WERE INFORMED THAT THERE WOULD BE SURPLUS IN THE LAND SUPPLY FOR OFFICE, INDUSTRIAL, GOVERNMENT, INSTITUTION AND COMMUNITY AND OPEN SPACE USES THROUGHOUT THE STUDY PERIOD. SOME OF THE SURPLUS FOR INDUSTRIAL LAND COULD BE REZONED FOR OTHER USES.

THE ASSESSMENT SHOWED A SHORTFALL OF LAND FOR PUBLIC HOUSING. THE COMMITTEE WAS INFORMED THAT ACTIVE CONSIDERATION WAS BEING GIVEN TO RELEASING SOME OF THE SURPLUS IN OTHER LAND USE CATEGORIES TO ADDRESS THIS SHORTFALL.

A WORKING GROUP UNDER THE CHAIRMANSHIP OF PLANNING HAS BEEN FORMED TO IDENTIFY SUITABLE SITES PURPOSES.

FOR PRIVATE HOUSING, A CUMULATIVE SURPLUS IS COMMITTED PROJECTS ARE INCLUDED IN THE LAND SUPPLY.

THE DIRECTOR OF

FOR PUBLIC HOUSING

EXPECTED WHEN NON-

MEMBERS NOTED THAT THE PROJECTED LAND REQUIREMENTS AND LAND SUPPLY IN THE ASSESSMENT WERE BASED ON A NUMBER OF ASSUMPTIONS CONCERNING MARKET CONDITIONS AND THE STATE OF THE ECONOMY WHICH ARE SUBJECT TO CHANGES.

AT THE MEETING, MEMBERS ALSO NOTED THAT THE PROPOSAL TO REORGANISE THE BUILDINGS AND LANDS DEPARTMENT INTO TWO SEPARATE DEPARTMENTS IN SUMMER 1993.

THE NEW BUILDINGS DEPARTMENT WILL TAKE OVER THE EXISTING FUNCTIONS OF THE BUILDINGS ORDINANCE OFFICE (BOO) AND GREATER EMPHASIS WILL BE PLACED ON TACKLING THE SAFETY AND MAINTENANCE PROBLEMS OF PRIVATE BUILDINGS.

THE NEW LANDS DEPARTMENT WILL BE RESPONSIBLE FOR LAND ADMINISTRATION, LAND SURVEY AND MAPPING, AND GOVERNMENT CONVEYANCING FUNCTIONS CURRENTLY HANDLED BY THE LANDS ADMINISTRATION OFFICE, THE SURVEY AND MAPPING OFFICE AND THE LEGAL ADVISORY AND CONVEYANCING OFFICE OF THE BLD.

MEMBERS ALSO CONSIDERED THE PROPOSALS OF THE SEWAGE TUNNEL (STATUTORY EASEMENTS) BILL WHICH WAS INTRODUCED TO THE LEGISLATIVE COUNCIL LAST MONTH TO FACILITATE EASEMENT OF LAND BENEATH GROUND LEVEL FOR THE CONSTRUCTION OF SEWAGE TUNNELS IN THE PROCESS OF IMPLEMENTING THE SEWAGE STRATEGY.

- - 0 - -

/10 ........

FRIDAY, MAY 14, 1993

- 10 -

AUTOMATIC TOLL COLLECTION AT TUNNELS

***»»»

THE GOVERNMENT IS PROPOSING AMENDMENTS TO LEGISLATION TO ENABLE AUTOMATIC TOLL COLLECTION SYSTEMS BE INSTALLED AT GOVERNMENT ROAD TUNNELS AND AT THE CROSS HARBOUR TUNNEL, THE EASTER HARBOUR CROSSING AND THE TATE’S CAIRN TUNNEL.

A GOVERNMENT SPOKESMAN TODAY (FRIDAY) SAID THE AUTOTOLL WILL INCREASE EFFICIENCY IN TUNNEL OPERATION AND REDUCE OPERATING COSTS. IT WILL ENABLE A MOTORIST WHO HAS SUBSCRIBED TO THE SYSTEM TO DRIVE THROUGH AN AUTOTOLL LANE WITHOUT STOPPING FOR PAYMENT OF TOLL.

THE DECISION TO PROVIDE/OR INTRODUCTION OF AUTOTOLL AS A PERMANENT FEATURE WAS MADE FOLLOWING THE SUCCESS OF A TRIAL SCHEME AT THE ABERDEEN TUNNEL LAST YEAR.

STATUTORY PROVISIONS FOR THE INSTALLATION OF AUTOTOLL SYSTEM AT GOVERNMENT TUNNELS ARE CONTAINED IN THE ROAD TUNNELS (GOVERNMENT) (AMENDMENT) BILL 1993 GAZETTED TODAY.

THE BILL ALSO PROVIDES FOR THE PRODUCTION OF CERTIFICATES OF THE TESTING OF AUTOTOLL EQUIPMENT AND CERTIFICATES OF PHOTOGRAPHS FOR USE AS EVIDENCE IN LEGAL PROCEEDINGS AGAINST MOTORISTS WHO EVADE TOLL PAYMENT.

THE CROSS HARBOUR TUNNEL (PASSAGE TAX) (AMENDMENT) NO. 2 BILL 1993 GAZETTED TODAY ENABLES PASSAGE TAX TO BE COLLECTED BY MEANS OF AUTOTOLL.

ALSO GAZETTED IS THE CROSS HARBOUR TUNNEL (AMENDMENT) BILL 1993 WHICH EMPOWERS THE CROSS HARBOUR TUNNEL COMPANY TO COLLECT TOLLS AND PASSAGE TAX BY AUTOTOLL AND TO ALLOW FOR THE PRODUCTION OF THE CERTIFICATES DESCRIBED ABOVE AS EVIDENCE.

THE BILL ALSO RAISES THE MAXIMUM PENALTY FOR CONTRAVENING CROSS-HARBOUR TUNNEL BY-LAWS FROM $1,000 TO $2,000, BRINGING IT IN LINE WITH CORRESPONDING PENALTIES IN THE EASTERN HARBOUR CROSSING ORDINANCE AND TATE’S CAIRN TUNNEL ORDINANCE.

THE EASTERN HARBOUR CROSSING (AMENDMENT) BILL 1993 AND THE TATE’S CAIRN TUNNEL (AMENDMENT) BILL 1993 EMPOWER THE RESPECTIVE TUNNEL COMPANIES TO MAKE BY-LAWS ALLOWING FOR THE INTRODUCTION OF AUTOTOLL.

THE FIVE BILLS WILL BE INTRODUCED INTO THE LEGISLATIVE COUNCIL ON MAY 26, 1993.

THE ROAD TUNNELS (GOVERNMENT) (AMENDMENT)(NO. 2) REGULATION 1993 WILL BE MADE TO PROVIDE FOR THE DETAILS OF AUTOTOLL. IT ALSO EMPOWERS THE COMMISSIONER FOR TRANSPORT TO APPROVE AUTOTOLL SYSTEMS AND TO DESIGNATE AUTOTOLL BOOTHS.

-----0 - -

/II ........

FRIDAY, MAY 14, 1993

11

$30 MILLION GRANT TO NEW PERFORMING ART GROUPS WELCOMED ♦ ♦ ♦ ♦ ♦

THE SECRETARY FOR RECREATION AND CULTURE, MR JAMES SO, TODAY (FRIDAY) SAID HE WAS VERY GLAD THAT THE FINANCE COMMITTEE OF THE LEGISLATIVE COUNCIL HAD APPROVED THE GOVERNMENT’S PROPOSAL TO INJECT A ONE-OFF GRANT OF $30 MILLION INTO THE SIR DAVID TRENCH FUND FOR RECREATION.

THE GRANT WOULD BE USED TO ENHANCE THE DEVELOPMENT OF THE ARTS, IN PARTICULAR NEW PERFORMING ARTS GROUPS, IN HONG KONG, MR SO ADDED.

THE GRANT WILL BE ADMINISTERED AS AN INDEPENDENT FUND, TO BE NAMED "ARTS DEVELOPMENT FUND" (ADF), UNDER THE AEGIS OF THE SIR DAVID TRENCH FUND.

IT WILL BE DISBURSED ON THE ADVICE OF THE COUNCIL FOR tIe PERFORMING ARTS (CFPA).

BOTH THE INCOME FROM THE FUND AND THE CAPITAL SUM COULD BE USED TO SUPPORT ARTS DEVELOPMENT, PROVIDED WORTHY AND DESERVING PROJECTS ARE RECOMMENDED BY CFPA, MR SO SAID.

MEANWHILE, THE ('HAIRMAN OF CFPA, PROFESSOR WANG GUNGWU, SAID: "I AM MOST PLEASED THAT NEW FUNDS ARE NOW MADE AVAILABLE TO FURTHER ENHANCE THE DEVELOPMENT OF THE ARTS. I AND MY COLLEAGUES IN THE COUNCIL ARE HAPPY TO INVITE GRANT APPLICATIONS FOR PROJECTS TO BE SUPPORTED WITH THE NEW MONEY."

AS THE ADF IS INTENDED TO HELP NEW AND DEVELOPING ARTS GROUPS, ESTABLISHED PROFESSIONAL PERFORMING GROUPS INCLUDING THE GENERAL SUPPORT GRANT RECIPIENTS OF CFPA WILL NOT BE ELIGIBLE TO APPLY.

THE CFPA’S ESTABLISHED PROCEDURES GOVERNING THE PROCESSING OF PROJECT GRANT APPLICATIONS WILL BE APPLIED IN DEALING WITH APPLICATIONS FROM ELIGIBLE PERFORMING GROUPS.

THESE PROCEDURES, INCLUDING ASSESSMENT CRITERIA AND CONDITIONS OF GRANT, ARE LAID DOWN IN THE "NOTES TO APPLICANT" FOR CFPA’S GRANT APPLICATION SCHEME.

ALL ELIGIBLE APPLICATIONS WILL BE SUBMITTED FOR CONSIDERATION BY THE RELEVANT CFPA DISCIPLINE COMMITTEES.

SHOULD THE APPLICAT IONS BE FOUND TO BE WORTHY OF SUPPORT, THE RELEVANT COMMITTEES WILL RECOMMEND THAT THE COUNCIL SHOULD ADVISE THE SECRETARY FOR RECREATION AND CULTURE FOR DISBURSEMENT OF FUNDS.

APPLICATIONS WILL BE ACCEPTED THROUGHOUT THE YEAR.

GRANT APPLICATION FORMS ARE AVAILABLE AT THE CFPA SECRETARIAT AT 40TH FLOOR, REVENUE TOWER, 5 GLOUCESTER ROAD, WAN CHAI, HONG KONG.

EUQUIR1ES CAN BE MADE ON TEL 594 5600.

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/12 ........

FRIDAY, MAY 14, 1993 - 12 -

HK TO PARTICIPATE IN INT’L EXHIBITIONS * * * * *

THE POSTMASTER GENERAL, MR M PAGLIARI, TODAY (FRIDAY) ANNOUNCED THAT THE HONG KONG POST OFFICE WILL PARTICIPATE IN THE SIXTH ASIAN INTERNATIONAL PHILATELIC EXHIBITION " INDOPEX ’93’' TO BE HELD IN SURABAYA, INDONESIA FROM MAY 29 TO JUNE 4 THI.S YEAR.

TO MARK HONG KONG POST OFFICE’S PARTICIPATION, A SPECIALLY DESIGNED SOUVENIR COVER WILL BE ISSUED. THE COVER, AT $1 EACH, WILL BE PUT ON SALE AT ALL POST OFFICES EXCEPT THE AIRPORT POST OFFICE AS FROM MAY 17.

A HAND-BACK SERVICE WILL BE PROVIDED ON MAY 29 AT ALL POST OFFICES EXCEPT THE AIRPORT POST OFFICE FOR OFFICIAL COVERS OR PRIVATELY-MADE COVERS BEARING AN INDICATION OF THE EVENT.

A SPECIAL DATESTAMP WILL BE INTRODUCED FOR THE HAND-BACK SERVICE AND A CACHET WILL ALSO BE INTRODUCED FOR GENERAL PURPOSES.

MEANWHILE, MR PAGLIARI, ANNOUNCED THAT THE FIRST-EVER REGIONAL STAMP EXHIBITION IN HONG KONG WILL BE HELD FROM FEBRUARY 18 TO 21, 1994 AT THE HONG KONG CONVENTION AND EXHIBITION CENTRE.

TO COMMEMORATE THIS SIGNIFICANT EVENT IN THE PHILATELIC HISTORY OF HONG KONG, A $10 DEFINITIVE STAMP SHEETLET (NO. 6) WILL BE ISSUED AND PUT ON SALE ON MAY 29 AT ALL POST OFFICES EXCEPT THE AIRPORT POST OFFICE.

A RESTRICTION OF 10 SHEETLETS PER CUSTOMER WILL BE IMPOSED ON THE FIRST DAY OF ISSUE.

A HAND-BACK SERVICE WILL BE PROVIDED FOR COVERS AFFIXED WITH THIS STAMP SHEETLET ON MAY 29 AT ALL POST OFFICES EXCEPT THE AIRPORT POST OFFICE.

ALTERNATIVELY, THE SOUVENIR COVER TO COMMEMORATE THE HONG KONG POST OFFICE’S PARTICIPATION TN INDOPEX ’93 WHICH WILL BE ON SALE AS FROM MAY 17 MAY ALSO BE USED TO AFFIX THIS STAMP SHEETLET.

MR PAGLIARI SAID: "THIS $10 STAMP SHEETLET, PORTRAYING HONG KING’S SPECTACULAR WATERFRONT SKYLINE FROM SHEUNG WAN TO CAUSEWAY BAY, IS VERY ATTRACTIVE IN DESIGN AND SHOULD BE POPULAR AMONG STAMP COLLECTORS."

-----0-------

WORKS FOR DRAINAGE CHANNELS AUTHORISED

*****

THE GOVERNOR IN COUNCIL HAS GIVEN AUTHORISATION FOR THE GOVERNMENT TO CONSTRUCT A FLOODWAY AND CONCRETE NULLAH WITHIN AN AREA OF ABOUT 20.6 HECTARES OF FORESHORE AND SEABED AT THE SHAN PUI RIVER IN NORTH WEST NEW TERRITORIES.

THE NOTICE FOR THE AUTHORISATION FOR THE WORKS OF THE MAIN DRAINAGE CHANNELS FOR YUEN LONG AND KAM TIN STAGE ONE PHASE ONE PROJECT WAS GAZETTED TODAY (FRIDAY).

/THE PROJECT........

FRIDAY, MAY 14, 1993

13

THE PROJECT AIMS TO ALLEVIATE FLOODING IN THE LOW-LYING KAM TIN AND YUEN LONG AREAS.

IN THE PAST, THE FISH PONDS IN KAM TIN AND YUEN LONG HAD MITIGATED THE RISK OF FLOODING. IN RECENT YEARS, MANY FISH PONDS HAVE BEEN FILLED TO PROVIDE LAND FOR DEVELOPMENT AND FLOODING HAS INCREASED IN BOTH FREQUENCY AND SEVERITY.

IN REACHING ITS DECISION, THE EXECUTIVE COUNCIL HAS TAKEN INTO ACCOUNT ALL RELEVANT FACTORS, PARTICULARLY, THE IMPACT ON THE LOCAL ENVIRONMENT AND ECOLOGY.

THE PROJECT WILL STRICTLY FOLLOW THE GUIDELINES AND STANDARDS LAID DOWN IN VARIOUS ENVIRONMENTAL ASSESSMENT STUDIES.

FOR EXAMPLE, MONITORING STATIONS WILL BE SET UP AND MANGROVES WILL BE PRESERVED OR REPLANTED.

NO WORK WILL BE CARRIED OUT IN CERTAIN AREAS DURING WINTER WHEN MIGRATING BIRDS ARE FEEDING IN THE AREA.

MEANWHILE, THE GOVERNOR HAS GIVEN AUTHORISATION FOR RE-CONSTRUCTING A FERRY PIER WITHIN AN AREA OF ABOUT 7,000 SQUARE METRES OF FORESHORE AND SEABED AT TSI NG LUNG TAU, TSUEN WAN.

THE PIER, MEASURING ABOUT 95 METRES LONG, WILL BE LOCATED TO THE IMMEDIATE WEST OF THE EXISTING ONE WHICH IS IN A DILAPIDATED CONDITION.

WORKS ARE SCHEDULED TO START IN ABOUT AUGUST FOR COMPLETION IN NOVEMBER. THE EXISTING PIER WILL BE DEMOLISHED WHEN THE NEW ONE IS COMPLETED.

THE EXTENT OF THE AREAS AFFECTED BY THE ABOVE PROJECTS WERE DESCRIBED IN NOTICES OF AUTHORISATION PUBLISHED IN THE GOVERNMENT GAZETTE TODAY.

ANY PERSON WHO CONSIDERS THAT HIS INTEREST, RIGHT OR EASEMENT IN OR OVER THE FORESHORE AND SEABED INVOLVED WILL BE AFFECTED BY THE PROJECTS MAY SEND TO THE DIRECTOR OF BUILDINGS AND LANDS A WRITTEN CLAIM FOR COMPENSATION ON OR BEFORE MAY 14, 1994.

THE NOTICES AND THE RELATED PLANS FOR THE PROJECTS ARE AVAILABLE AT THE BUILDINGS AND LANDS DEPARTMENT SURVEY AND MAPPING OFFICE, 14TH FLOOR, MURRAY BUILDING, GARDEN ROAD AND AT THE RESPECTIVE DISTRICT OFFICE IN YUEN LONG AND TSUEN WAN.

THE PLANS FOR THE WORKS CAN BE PURCHASED FROM THE SURVEY AND MAPPING OFFICE OF THE BUILDINGS AND LANDS DEPARTMENT.

---------0 - -

/14 ........

FRIDAY, MAY 14, 1993

14

TTRA COMMITTEE MEMBERS APPOINTED * * * * *

THE DIRECTOR OE EDUCATION, MR DOMINIC S W WONG, TODAY (FRIDAY) ANNOUNCED THE APPOINTMENTS TO THE ADVISORY COMMITTEE ON IMPLEMENTATION OF TARGETS AND TARGET-RELATED ASSESSMENT (TTRA) SCHEME.

APART FROM THREE EDUCATION DEPARTMENT REPRESENTATIVES, THE ADVISORY COMMITTEE COMPRISES SCHOOL PRINCIPALS, TEACHERS, TEACHER EDUCATORS, PARENTS AND OTHER COMMUNITY FIGURES.

THE ADVISORY COMMITTEE WILL BE CHAIRED BY MR ANDREW SO KWOK-WING WHO IS CURRENTLY THE CHAIRMAN OF THE CURRICULUM DEVELOPMENT COUNCIL AND MEMBER OF THE BOARD OF EDUCATION.

THE ADVISORY COMMITTEE IS EXPECTED TO SUBMIT A REPORT TO THE DIRECTOR OF EDUCATION WITHIN SIX MONTHS ON MEASURES TO OVERCOME PROBLEMS IDENTIFIED IN THE OVERALL REVIEW OF THE TTRA SCHEME, ON ACTION TO IMPROVE ITS FRAMEWORK, AND ON A REALISTIC IMPLEMENTATION PLAN.

OTHER MEMBERS OF THE ADVISORY COMMITTEE ARE:

VICE-CHAIRMAN

* MR WONG SIK-WAH, SENIOR ASSISTANT DIRECTOR OF EDUCATION (DEVELOPMENT);

PRINCIPALS

* MR FUNG KWONG-CHUNG, HEADMASTER, PO YAN PRIMARY AM SCHOOL;

* SISTER CHOW YIN-HAR, HEADMISTRESS, PRECIOUS BLOOD PRIMARY AM SCHOOL (WAH FU ESTATE);

* MRS EUNICE WONG LAM YUEN-CHING, PRINCIPAL, ST CLARE’S GIRLS’ SCHOOL;

* MR LEUNG SAU-CHI, PRINCIPAL, (’HEUNG CHUK SHAN COLLEGE;

TEACHERS

* MR SHUM YIU-KWONG, FDBWA CHOW CHIN YAU AM SCHOOL;

» MS CAROL NG KA-YEE, TTRA RESOURCE DEVELOPMENT TEAM;

* MR IP KIN-YUEN, KO LUI SECONDARY SCHOOL;

MS PAULINE CHOW LO-SAI, WELLINGTON COLLEGE, KOWLOON;

TEACHER EDUCATORS

* DR AMY TSUI BIK-MAY, LECTURER, DEPARTMENT OF CURRICULUM STUDIES, THE UNIVERSITY OF HONG KONG;

* DR WONG HIN-WAH, LECTURER, DEPARTMENT OF CURRICULUM AND INSTRUCTION, FACULTY OF EDUCATION, THE CHINESE UNIVERSITY OF HONG KONG;

/* MR CHIU ......

FRIDAY, MAY 14, 1993

15

* MR CHIU CHI-SHING, SENIOR LECTURER, SIR ROBERT BLACK COLLEGE OF EDUCATION;

PARENTS

MR YAU CHUNG-WAN, CHAIRMAN, PTA, BAPTIST LUI MING CHOI PRIMARY SCHOOL;

* MRS LEUNG LEUNG KAM-CHI, CHAIRMAN, PTA, BELIL1OS PUBLIC SCHOOL;

OTHERS

* MR MICHAEL TIEN PUK-SUN, MANAGING DIRECTOR, G2000 (APPAREL) LTD;

* MR LAWRENCE LO KONG-KAI, ASSISTANT TO THE EPISCOPAL DELEGATE FOR EDUCATION, CATHOLIC EDUCATION OFFICE;

EDUCATION DEPARTMENT

* DR PANG KING-CHEE, CHIEF EXECUTIVE, CURRICULUM DEVELOPMENT INSTITUTE, EDUCATION DEPARTMENT; AND

DR JOHN CLARK, ASSISTANT DIRECTOR OF EDUCATION (INSTITUTE OF LANGUAGE IN EDUCATION).

’’TAKING INTO ACCOUNT PUBLIC OPINION, I HAVE DECIDED THAT THE CHAIRMAN SHOULD BE A NON-GOVERNMENT PERSON AND THAT THE COMPOSITION OF THE ADVISORY COMMITTEE SHOULD BE WIDELY REPRESENTATIVE,” MR WONG SAID.

"I BELIEVE THAT THE ANNOUNCED MEMBERSHIP WILL HAVE THIS EFFECT.”

TTRA IS A MAJOR AND LONG-TERM CURRICULUM REFORM REQUIRING SUBSTANTIAL CHANGES AND THE COMMITMENT AND CO-OPERATION OF ALL PARTIES CONCERNED.

1 AM GLAD THAT THERE HAS BEEN WIDE SUPPORT FOR THE CONCEPT AND THE SPIRIT OF TTRA. I LOOK FORWARD TO RECEIVING THE ADVICE OF THE ADVISORY COMMITTEE ON THE WAY AHEAD.”

------0-------

ROAD IMPROVEMENT FOR A TUEN MUN VILLAGE PROPOSED

*****

THE TERRITORY DEVELOPMENT DEPARTMENT HAS PROPOSED TO IMPROVE THE EXISTING ACCESS ROAD TO TSZ TIN VILLAGE, TUEN MUN.

THE WORK IS ONE OF THE PROPOSED ITEMS UNDER THE URBAN FRINGE IMPROVEMENT PROJECT, CONSISTING OF RE-CONSTRUCTING, WIDENING AND REALIGNING THE EXISTING TSZ TIN ROAD; CONSTRUCTING A FOOTPATH ALONGSIDE THE ROAD; CONSTRUCT 1 NG A TURNING CIRCLE AT THE END OF THE ROAD; AND OTHER ANCILLARY WORKS.

/DETAILS OF .......

FRIDAY, MAY 14, 1993

16

DETAILS OF THE PROPOSAL WERE GAZETTED TODAY (FRIDAY).

A NOTICE, IN BOTH ENGLISH AND CHINESE, CAN BE SEEN ON NOTICE BOARDS POSTED NEAR THE SITE OF THE PROPOSED WORKS.

A COPY OF THE PLAN SHOWING THE AREA AND THE ROAD TO BE AFFECTED CAN BE SEEN AT:

* CENTRAL AND WESTERN DISTRICT OFFICE, PUBLIC ENQUIRY SERVICE CENTRE, GROUND FLOOR, HARBOUR BUILDING, 38 PIER ROAD, CENTRAL, HONG KONG;

* DISTRICT LANDS OFFICE, TUEN MUN, SIXTH FLOOR, TUEN MUN GOVERNMENT OFFICES, 1 TUEN HI ROAD, TUEN MUN, NEW TERRITORIES AND;

* TUEN MUN DISTRICT OFFICE, SECOND FLOOR, TUEN MUN GOVERNMENT OFFICES, 1 TUEN HI ROAD, TURN MUN, NEW TERRITORIES.

ANY PERSON WISHING TO OBJECT TO THE PROPOSAL SHOULD SEND HIS OBJECTION IN WRITING TO THE SECRETARY FOR TRANSPORT, SECOND FLOOR, CENTRAL GOVERNMENT OFFICES, EAST WING, LOWER ALBERT ROAD, HONG KONG BEFORE JULY 13, 1993, DESCRIBING HIS INTEREST AND THE MANNER IN WHICH HE ALLEGES HE WILL BE AFFECTED.

------0--------

SPORTS BODIES TO MERGE FOR THE BETTER ******

THE GOVERNMENT PROPOSES TO MERGE THE HONG KONG SPORTS DEVELOPMENT BOARD (SDB) AND THE HONG KONG SPORTS INSTITUTE (HKSI) IN AN EFFORT TO STREAMLINE THE OPERATIONS OF THE TWO ORGANISATIONS.

THE PROPOSAL IS CONTAINED IN THE HONG KONG SPORTS DEVELOPMENT BOARD (AMENDMENT) BILL 1993 WHICH WAS GAZETTED TODAY (FRIDAY).

AT PRESENT, THE EXISTENCE OF THE SDB AND THE HKSI AS TWO DISTINCT STATUTORY BODIES RESPONSIBLE FOR THE DEVELOPMENT AND PROMOTION OF SPORTS IN HONG KONG HAS CREATED PROBLEMS OF OPERATION AND CO-ORDINATION.

’’THE PROPOSED INTEGRATION WILL FOCUS THE SDB AS THE SINGLE OVERALL GOVERNING BODY FOR SPORT,” A SPOKESMAN FOR THE RECREATION AND CULTURE BRANCH SAID.

’’THERE WILL BE A CENTRALISED APPROACH TO FINANCE AND ADMINISTRATION AND CLEAR LINES OF REPORTING AND ACCOUNTABILITY, THUS REMOVING OVERLAPPING AREAS AND ACHIEVING BETTER VALUE-FOR-MONEY IN TERMS OF UTILISATION OF FUNDS AVAILABLE FOR SPORTS,” HE ADDED.

AFTER THE MERGER, THE HKSI WILL BE ADMINISTERED BY A MANAGEMENT COMMITTEE WHICH WILL BE DIRECTLY RESPONSIBLE TO, AND LARGELY DRAWN FROM, THE SDB.

THE INSTITUTE WILL, HOWEVER, RETAIN A SEPARATE IMAGE AND IDENTITY.

/THE SPOKESMAN .......

FRIDAY, MAY 14, 1993

17

THE SPOKESMAN SAID WHILE THE DETERMINATION OK TARGET SPORTS WOULD REST WITH THE SDB, THE SPORTS SCHOLARSHIP PROGRAMMES AND SPORTS AID PROGRAMMES WOULD BE CONSOLIDATED AND ADMINISTERED BY THE HKSI.

THIS WILL MAXIMISE THE USE OF RESOURCES IN ELITE SPORTS TRAINING, HE ADDED.

THE PROPOSAL HAS BEEN DISCUSSED WITH AND ENDORSED BY BOTH THE SDB AND THE HKSI BOARD.

THE SPOKESMAN ALSO NOTED THAT THE MERGER WOULD NOT REDUCE THE ROLE PLAYED BY THE AMATEUR SPORTS FEDERATION & OLYMPIC COMMITTEE AND THE NATIONAL SPORTS ASSOCIATIONS AS THE REPRESENTATIVES OF HONG KONG SPORTS ABROAD. •

THE HONG KONG SPORTS DEVELOPMENT BOARD (AMENDMENT) BILL 1993 WILL BE INTRODUCED INTO THE LEGISLATIVE COUNCIL ON MAY 26. ----------------------------------0-------

NEW SPORTS ROAD IN HAPPY VALLEY ******

THE GOVERNMENT PROPOSES TO BUILD A NEW SPORTS ROAD TO REPLACE THE EXISTING ONE WHICH WILL BE CLOSED PERMANENTLY TO FACILITATE THE EXTENSION OF THE HAPPY VALLEY RACECOURSE.

THE NEW SPORTS ROAD, TO BE BUILT NORTH OF THE EXISTING ONE, WILL HAVE A TWO-LANE CARRIAGEWAY FOR EASTBOUND TRAFFIC, FOOTPATHS AND A PEDESTRIAN SUBWAY CROSSING AT ITS WESTERN END.

ASSOCIATED ROAD WORKS WILL ALSO BE CARRIED OUT TO IMPROVE TRAFFIC FLOW IN THE HAPPY VALLEY AREA.

IMPROVEMENT WORKS INCLUDE WIDENING OF THE DOWN RAMP OF CANAL ROAD FLYOVER OUTSIDE TIMES SQUARE, ADDITION OF A U-TURN . UNDER CANAL ROAD FLYOVER AND WIDENING OF THE RIGHT-TURN APPROACH FOR WESTBOUND TRAFFIC ON LEIGHTON ROAD.

WORKS ARE EXPE('TEI) TO BEGIN NEXT MONTH FOR. COMPLETION IN ABOUT JULY 1994. THE EXISTING SPORTS ROAD WILL NOT BE CLOSED UNTIL THE NEW SPORTS ROAD IS OPEN.

MOST OF THE TREES TO BE AFFECTED BY THE WORKS WILL BE PRESERVED BY A SPECIAL PROGRAMME TO TRANSPLANT THEM. THESE INCLUDE TWO OLD BANYAN TREES ALONG SPORTS ROAD. BUT, A STUDY BY BOTANICAL EXPERTS INDICATED THAT A THIRD BANYAN TREE, WHICH WAS DAMAGED BY A STORM, CANNOT SURVIVE A 'ERANSPLANT.

THE PROPOSED ROAD WORKS HAVE BEEN AUTHORISED BY THE GOVERNOR IN COUNCIL AND A NOTICE TO THIS EFFECT MADE UNDER THE ROADS (WORKS, USE AND COMPENSATION) ORDINANCE, WAS GAZETTED TODAY (FRIDAY).

/18........

FRIDAY, MAY 14, 1993

18

ACCESS ROAD TO WONG CHUK

HANG ESTATE

* * * * *

THE HIGHWAYS DEPARTMENT IS INVITING TENDERS FOR THE CONSTRUCTION OF AN ACCESS ROAD TO WONG CHUK HANG ESTATE AND ASSOCIATED WORKS.

A SPOKESMAN FOR THE DEPARTMENT TODAY (FRIDAY) SAID WORKS COMPRISED THE CONSTRUCTION OF A NEW ACCESS ROAD LINKING HEUNG YIP ROAD WITH POLICE SCHOOL ROAD; AND THE WIDENING OF A SECTION OF NAM LONG SHAN ROAD AT SOUTH OF HEUNG YIP ROAD AND A SECTION OF HEUNG YIP ROAD NEAR ABERDEEN SPORTS GROUND.

THE SECTION OF NAM LONG SHAN ROAD FROM WONG CHUK HANG ROAD TO POLICE SCHOOL ROAD, POLICE SCHOOL ROAD, AND HEUNG YIP ROAD BETWEEN YIP FAT STREET AND OCEAN PARK ROAD WILL BE RECONSTRUCTED.

IN ADDITION, THE EXISTING STORM WATER DRAINS ALONG THE SECTIONS OF THE ROADS WILL ALSO BE UPGRADED.

CONSTRUCTION WORKS ARE EXPECTED TO START IN AUGUST AND WILL TAKE ABOUT 20 MONTHS TO COMPLETE. THE NEW ACCESS ROAD IS EXPECTED TO BE OPEN TO TRAFFIC IN NOVEMBER 1994.

DETAILS OF THE TENDER INVITATION WAS GAZETTED TODAY.

TENDERS MUST BE CLEARLY MARKED AND ADDRESSED TO THE CHAIRMAN, CENTRAL TENDER BOARD, AND PUT IN THE GOVERNMENT SECRETARIAT TENDER BOX IN THE LIFT LOBBY ON THE LOWER GROUND FLOOR OF THE CENTRAL GOVERNMENT OFFICES (EAST WING), LOWER \LBERT ROAD, HONG KONG BEFORE NOON ON JUNE 4 (FRIDAY). LATE TENDERS WILL NOT BE ACCEPTED.

-----0------

FLOOD-PREVENTION DRAINS FOR KAM TIN

*****

THE GOVERNMENT WILL CONSTRUCT A CONCRETE NULLAH TO ALLEVIATE THE RISK OF FLOODING IN KAM TIN AREA IN YUEN LONG.

THE NULLAH WILL BE CONSTRUCTED WITHIN AN AREA OF ABOUT 3.86 HECTARES OF FORESHORE AND SEABED AT THE KAM TIN RIVER.

THE WORKS FORM PART OF THE PROJECT OF THE NORTH WEST NEW TERRITORIES MAIN DRAINAGE CHANNELS FOR YUEN LONG AND KAM TIN.

THE EXTENT OF THE AREA AFFECTED BY THE WORKS IS DESCRIBED IN A NOTICE GAZETTED TODAY (FRIDAY).

ANY PERSON WHO CONSIDERS THAT HE HAS AN INTEREST, RIGHT OR EASEMENT IN OR OVER THE FORESHORE AND SEABED INVOLVED MAY SEND A WRITTEN OBJECTION TO THE DIRECTOR OF BUILDINGS AND LANDS BY JULY 14.

THE NOTICE, TOGETHER WITH THE RELATED PLAN, CAN BE SEEN ON NOTICE BOARDS POSTED NEAR THE WORKS SITE.

/THE PLAN .......

FRIDAY, MAY 14, 1993

19

THE PLAN IS ALSO AVAILABLE AT THE BUILDINGS AND LANDS DEPARTMENT SURVEY AND MAPPING OFFICE, 14TH FLOOR, MURRAY BUILDING, GARDEN ROAD; AND YUEN LONG DISTRICT OFFICE, GROUND FLOOR, YUEN LONG DISTRICT BRANCH OFFICES BUILDING, 269 CASTLE PEAK ROAD, YUEN LONG.

THE PLAN CAN BE BOUGHT AT THE BUILDINGS

AND LANDS DEPARTMENT

SURVEY AND MAPPING OFFICE.

-----0-------

LAND RESUMED FOR WATER WORKS

*****

THE GOVERNMENT IS TO RESUME SOME PRIVATE AGRICULTURAL LOTS IN YAU KOM TAU, TSUEN WAN, FOR THE CONSTRUCTION OF ADDITIONAL WATER STORAGE AND TRANSFER FACILITIES IN THE AREA.

THE LAND, COMPRISING THREE LOTS AND PORTIONS OF TWO OTHER LOTS, HAS A TOTAL AREA OF ABOUT 5,885.41 SQUARE METRES. IT WILL BE REVERTED TO THE GOVERNMENT THREE MONTHS AFTER THE RESUMPTION NOTICE GAZETTED TODAY (FRIDAY).

WORKS ARE PROGRAMMED TO START IN JULY AND BE COMPLETED IN OCTOBER 1995.

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS

* * * * *

$ MILLION

OPENING BALANCE IN THE ACCOUNT 1,450

REVERSAL OF LAF +700

BALANCE AFTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY +490

CLOSING BALANCE IN THE ACCOUNT 2,640

LAF RATE 2.00 BID/4.00 OFFER TWI 112.3 »-0.1* 14.5.93

/HONG KONG .......

FRIDAY, MAY 14, 1993

- 20 -

HONG KONG GOVERNMENT EXCHANGE EUNI)

EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 3.00 PCT 12 MONTHS 2405 5.50 102.28 3.20

1 MONTH 2.97 PCT 15 MONTHS 2408 4 . 375 101.27 3.36

3 MONTHS 2.93 PCT 18 MONTHS 241 1 4.625 101.66 3.51

6 MONTHS 3.03 PCT 21 MONTHS 2502 4.75 101.81 3.70

12 MONTHS 3.19 PCT

TOTAL TURNOVER OF BILLS AND BONDS - 9.174MN

CLOSED 14 MAY 1993

---------0-----------

Received by RRO on ' __________

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

SATURDAY, MAY 15, 1993

CONTENTS PAGE NO.

NEW STUDY GROUP TO REVTEW NURSING ISSUE ........................ 1

WORK STARTS ON CHEUNG CHING TUNNEL ............................. 2

GREEN PAPER ON EQUAL OPPORTUNITIES FOR WOMEN AND MEN ........... 3

LANDSCAPE WORKS FOR NT CIRCULAR ROAD ........................... 4

ORDINANCE EMPOWERS FLAT OWNERS TO MANAGE BUILDINGS ............. 5

ANTI-DRUG BADGE DESIGN COMPETITION LAUNCHED .................... 6

50 LUCKY CAR MARKS SOLD IN AUCTION ............................. 7

CSI EXHIBITION CENTRE OPENS .................................... 8

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPFRATTONS ..

8

SATURDAY, MAY 15, 1993

NEW STUDY GROUP TO REVIEW NURSING ISSUE ******

THE GOVERNMENT WILL SHORTLY SET UP AN INTER-DEPARTMENTAL STUDY GROUP TO REVIEW THE OVERALL NURSING ISSUE, THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, SAID TODAY (SATURDAY).

THE REVIEW WILL BE BASED ON INPUT FROM THE HOSPITAL AUTHORITY, THE DEPARTMENT OF HEALTH AND THE HEALTH AND MED I ('AL DEVELOPMENT ADVISORY COMMITTER.

’’THE STUDY GROUP WILL EXAMINE THE CAREER STRUCTURE OF NURSES, EDUCATION AND TRAINING POLICY, AS WELL AS THE NEED TO REDEFINE THE ROLE OF NURSES AND REALIGN NURSING DUTIES,” THE SECRETARY SAID.

MRS WONG WAS SPEAKING AT THE OPENING CEREMONY OF THE INTERNATIONAL NURSES’ DAY CONFERENCE WHICH FOCUSES ON THE DELICATE RELATIONSHIP BETWEEN "QUALITY, COSTS AND NURSING”.

SPEAKING ON THIS THEME, SHE SAID NURSING STAFF HAD A KEY ROLE TO PLAY IN ENHANCING THE QUALITY OF PATIENT CARE IN A COST-EFFECTIVE MANNER.

CONSTANT ESCALATION OF MED I ('AL COSTS AND RISING CONSUMER EXPECTATIONS ALSO POINT TO THE NEED FOR COST CONTAINMENT IN HEALTH CARE SERVICES, AND A CLOSE INTERFACE BETWEEN USERS AND PROVIDERS OF SERVICE TO OPTIMISE THE USE OF AVAILABLE AND LIMITED RESOURCES.

MRS WONG SAID: "IN THIS REGARD, I WOULD LIKE TO ECHO THE STATEMENT MADE BY THE WORLD HEALTH ORGANISATION IN 1982 THAT NURSING, AMONG ALL HEALTH CARE PROFESSIONS, HAS THE GREATEST POTENTIAL FOR ENSURING COST-EFFECTIVENESS.

"NURSES ARE REPRESENTED IN EVFRA FORM OF HEALTH CARE SERVICES AND ARE IN DIRECT CONTACT WITH PATIENTS.

"THEY ARE THEREFORE IN THE BEST POSITION TO EVALUATE THE QUALITY AND OUTCOME OF SERVICES RENDERED."

MRS WONG POINTED OUT THAT THE HOSPITAL AUTHORITY, RECOGNISING THE VALUABLE CONTRIBUTIONS WHICH NURSES MADE IN THE CONTEXT OF QUALITY ASSURANCE AND COST CONTAINMENT, HAD SET UP A STEERING COMMITTEE IN MAY LAST YEAR TO PROVIDE GUIDANCE AND SUPPORT FOR QUALITY ASSURANCE ACTIVITIES.

SINCE AUGUST LAST YEAR, 1,960 NURSES HAVE PARTICIPATED IN TRAINING COURSES TO PREPARE THEMSELVES FOR THEIR NEW ROLE AS COORDINATORS AND FACILITATORS 'I’O HELP ACHIEVE HIGH QUALITY PATIENT CARE WITH OPTIMAL EFFICIENCY.

IN ADDITION, 18 INSTITUTIONS HAVE ALREADY IMPLEMENTED THEIR OWN QUALITY ASSURANCE PROGRAMMES.

MRS WONG ALSO SAID HONG KONG’S HEALTH ('ARE SYSTEM NEEDED REFORMS TO MEET CHALLENGES SUCH AS RAPID ADVANCES IN MEDICAL TECHNOLOGY, EMERGENCE OF NEW TREATMENT MODALITIES, GREATER PUBLIC AWARENESS, AN AGEING POPULATION, DEVELOPMENTS ON AMBULATORY CARE AND INTERFACE WITH PRIMARY CARE.

/SHE BELIEVED .......

SATURDAY, MAY 15, 1993

- 2 -

SHE BELIEVED THE SETTING UP OF THE HOSPITAL AUTHORITY HAD PROVIDED "A SOLID FOUNDATION FOR BETTER SERVICE INTEGRATION AND GREATER RESPONSIVENESS TO PATIENT NEEDS.”

THROUGH THE HEALTH DEPARTMENT’S WORK, PRIMARY HEALTH CARE DEVELOPMENTS ARE ALSO POISED '1’0 SHARPEN FOCUS ON THE NEED TO STRIKE A BALANCE BETWEEN PREVENTIVE AND CURATIVE SERVICES.

MRS WONG ALSO TOLD THE CONFERENCE THAT A CONSULTATION DOCUMENT WOULD SOON BE PUBLISHED TO SEEK PUBLIC COMMENTS ON POSSIBLE WAYS TO RESTRUCTURE THE HEALTH CARE SYSTEM.

’’ALL IN ALL, THIS IS AN ERA OF NEW INITIATIVES FOR THE MEDICAL AND HEAL SECTOR AS A WHOLE, AND FOR OUR NURSES IN PARTICULAR,” SHE SAID.

---------0-----------

WORK STARTS ON CHEUNG CHING TUNNEL *****

WORK ON THE ROUTE 3 SECTION OF THE AIRPORT CORE PROGRAMME (ACP) HAS ADVANCED TO A FURTHER STAGE FOLLOWING THE FIRST BLAST FOR THE CHEUNG CHING TUNNEL ON TSING Y1 ISLAND TODAY (SATURDAY).

THE ROUTE 3 PROJECT WILL PROVIDE A NEW HIGH CAPACITY ROUTE LINKING NORTH LANTAU AND THE NEW AIRPORT AT CHEK LAP KOK TO WEST KOWLOON.

THE TSING YI SECTION OF THE DUAL THREE-LANE HIGHWAY WILL RUN FROM THE TSING MA BRIDGE TO RAMBLER CHANNEL, ABOUT HALF OF IT THROUGH THE CHEUNG CHING TUNNEL IN THE CENTRE OF THE ISLAND.

THE 1.6 KILOMETRE TUNNEL WILL BE EXCAVATED USING THE DRILL AND BLAST METHOD.

THE WORK IS BEING CARRIED OUT BY DRAGAGES ET TRAVAUX PUBLICS WHICH IS HIGHLY EXPERIENCED IN BLASTING AND TUNNELLING WORK AND HAVE BEEN INVOLVED IN THE CONSTRUCTION OF SEVERAL OF HONG KONG’S ROAD TUNNELS AND SECTIONS OF THE MASS TRANSIT RAILWAY (MTR).

THE TUNNEL WILL RUN UNDER THE HILL ON WHICH CHEUNG CHING ESTATE STANDS AND TODAY’S BLASTING OPERATION WAS WATCHED BY RESIDENTS OF THE ESTATE AND REPRESENTATIVES OF THE LOCAL DISTRICT BOARD AND MUTUAL AID COMMITTEE.

THEY WERE GIVEN A BRIEFING BY ENGINEERS ON THE WORK INVOLVED AND THE MEASURES BEING TAKEN TO MINIMISE ANY DISTURBANCE TO RESIDENTS. AFTER THE BLAST, THEY WERE INVITED TO INSPECT THE RESULT AT ONE OF THE VIBRATION MON I TOI? I NG STATIONS AROUND THE SITE.

A SPOKESMAN FOR THE NEW AIRPORT PROJECTS CO-ORDINATION OFFICE (NAPCO) SAID THE OPERATION WENT SMOOTHLY AND THE VIBRATION WAS MINIMAL.

/’•CAREFUL PLANNING..........

SATURDAY, MAY 15, 1993

- 3 -

’’CAREFUL PLANNING HAS GONE INTO THIS CONTRACT TO AVOID THE ACTIVITIES OF RESIDENTS AND FACTORY OPERATORS BEING AFFECTED BY THE CONSTRUCTION WORK,” THE SPOKESMAN SAID.

A NUMBER OF PRECAUTIONARY MEASURES WERE TAKEN BEFORE THE WORK STARTED AND STRINGENT SAFETY AND MONITORING PROCEDURES WILL BE OBSERVED FOR THE DURATION OF THE CONTRACT.

’’BLASTING FOR THE TUNNEL WILL BE DONE UNDERGROUND AT A DISTANCE EXCEEDING 38 METRES FROM THE NEAREST BUILDING, WHICH IS DEEPER THAN FOR MOST OF THE BLASTING DONE FOR THE MTR, " THE SPOKESMAN POINTED OUT.

"WITH ALL THE MEASURES TAKEN, THE TUNNELLING WORKS WILL NOT POSE ANY SAFETY PROBLEMS FOR RESIDENTS OR BUILDINGS," HE SAID.

-----0------

GREEN PAPER ON EQUAL OPPORTUNITIES FOR WOMEN AND MEN

*****

IN THE LIGHT OF THE CONCERNS OVER THE STATUS OF WOMEN IN HONG KONG, THE GOVERNMENT IS DEVELOPING A GREEN PAPER ON EQUAL OPPORTUNITIES FOR WOMEN AND MEN, THE REGIONAL SECRETARY FOR THE NEW TERRITORIES, MR ALBERT C C LAM, SAID TODAY (SATURDAY).

SPEAKING AT THE GENDER ROLE WORKSHOP ON WOMEN AND COMMUNITY PARTICIPATION AT THE CHINESE UNIVERSITY OF HONG KONG, MR LAM STRESSED THAT MEASURES TO ELIMINATE SEX DISCRIMINATION WOULD ONLY BE EFFECTIVE WHEN THERE WAS A CONSENSUS IN THE COMMUNITY ON THE APPROACH TO TACKLE THE PROBLEM.

THE CITY AND NEW TERRITORIES ADMINISTRATION, HE SAID, HAS BEEN TASKED TO ASSEMBLE MATERIALS FOR THE PRODUCTION OF A GREEN PAPER ON THIS ISSUE AND THE DOCUMENT WOULD BE PUBLISHED FOR PUBLIC CONSULTATION LATER THIS YEAR.

"I EXPECT THE GREEN PAPER WOULD EXAMINE, AMONG OTHER THINGS, THE FUNDAMENTAL QUESTIONS AS TO WHETHER 'I HERE \RE EQUAL OPPORTUNITIES FOR WOMEN AND MEN IN HONG KONG, AND WHETHER THERE IS ANN ARFA FOR IMPROVEMENT, AND IF SO, WHAT CAN BF DONE.”

EARLIER, MR. LAM NOTED THAT WITH THE CHANGING DEMOGRAPHIC, ECONOMIC AND SOCIAL TRENDS IN HONG KONG, THE ROLF OF WOMEN IN THE TERRITORY’S DYNAMIC' SOCIETY HAD UNDERGONE FUNDAMENTAL (RANGES IN PAST DECADES.

"THE SUSTAINED YEARS OF OUR ECONOMIC GROWTH HAS GENERATED AN INCREASE IN THE DEMAND FOR LABOUR, AND MORE WOMEN HAVE BEEN DRAWN INTO THE LABOUR MARKET.

"IMPROVED SOCIAL WELFARE INCLUDING (HILI) ( ARE FACILITIES HAVE ENABLED WOMEN TO JOIN THE WORKFORCI AND To PLAN A MORE ACTIVE ROLE IN SOCIETY," HE SAID.

/THE NINE .......

SATURDAY, MAY 15, 1993

4

THE NINE YEARS OF COMPULSORY EDUCATION, HE ADDED, HAD ALSO PROVIDED AN OPPORTUNITY FOR ALL MEMBERS OF SOCIETY, INCLUDING WOMEN, TO OBTAIN THE NECESSARY KNOWLEDGE AND SKILLS TO PREPARE THEM FOR WORK.

ADDITIONALLY, WOMEN IN TERTIARY EDUCATION WAS NOW THE NORM RATHER THAN THE EXCEPTION IT USED TO BE 30 YEARS AGO AND ALL THESE FACTORS, HE STRESSED, CONTRIBUTE TO THE RISING STATUS OF WOMEN.

AND AS WOMEN NOW COMPRISE NEARLY HALF THE POPULATION, REPRESENTING ONE OF HONG KONG’S IMPORTANT RESOURCES, MR LAM SAID THEIR TALENTS AND CREATIVITY WERE PERTINENT TO IMPROVING THE QUALITY OF COMMUNITY LIFE.

WOMEN’S PARTICIPATION IN COMMUNITY ACTIVITIES SHOULD THEREFORE BE ENCOURAGED, HE ADDED.

IN THIS CONNECTION, MR LAM SAID HE WAS CONFIDENT THAT TODAY’S WORKSHOP WOULD COME UP WITH USEFUL RECOMMENDATIONS ON HOW TO FURTHER ENHANCE WOMEN’S ROLE IN SUCH ACTIVITIES.

--------0------------

LANDSCAPE WORKS FOR NT CIRCULAR ROAD

*****

THE HIGHWAYS DEPARTMENT IS INVITING TENDERS FOR THE SOFT LANDSCAPE WORKS FOR THE SECTION OF THE NEW TERRITORIES CIRCULAR ROAD FROM AU TAU TO MAI PO.

THE SECTION OF THE NEW TERR I TOR IES CIRCULAR ROAD FROM AU TAU TO FAN KAM ROAD HAS BEEN OPENED TO TRAFFIC IN MID-JANUARY THIS YEAR.

SUBSTANTIAL LANDSCAPE WORKS WILL BE CARRIED OUT OVER THE ENTIRE LENGTH OF THE ROAD TO KEEP ITS RURAL SETTING.

WORKS UNDER THIS CONTRACT INCLUDE

ALONG BOTH SIDES OF THE ROAD AS WELL AS

PLANTING TREES AND SHRUBS TN THE INTERCHANGE AREAS.

WORKS ARE EXPECTED TO START IN JULY THIS YEAR AND WILL TAKE ABOUT TWO YEARS TO COMPLETE.

DETAILS OF THE TENDER INVITATION HAS BEEN PUBLISHED IN THE LATEST ISSUE OF THE GAZETTE.

FORMS OF TENDER AND FURTHER PARTICULARS MAY BE OBTAINED FROM BINNIE CONSULTANTS LIMITED, 11TH FLOOR, NEW TOWN TOWER, PAK HON TING STREET, SHA TIN. ENQUIRIES CAN BE MADE ON TEL GO I 1000.

TENDERS MUST BE CLEARLY MARKED, AND ADDRESSED TO THE CHAIRMAN, PUBLIC WORKS TENDER BOARD, AND PUT IN THE PURI IC WORKS TENDER BOX AT THE LIFT LOBBY ON 3'IT II FLOOR, QUFENSWAY GOVERNMENT OFFICES, 66 QUEENSWAY, HONG KONG BEFORE NOON ON JUNE I (ER I I) XV). I. \TE TENDERS WILL NOT BE ACCEPTED.

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/5 ........

SATURDAY, MAY 15, 1993

- 5 -

ORDINANCE EMPOWERS FLAT OWNERS TO MANAGE BUILDINGS

*****

THE NEW BUILDING MANAGEMENT ORDINANCE GIVES POSITIVE RECOGNITION TO THE OWNERS’ RIGHT TO FORM CORPORATIONS FOR THE MANAGEMENT OF THEIR BUILDINGS.

THIS WAS STATED BY THE REGIONAL SECRETARY FOR HONG KONG AND KOWLOON, MISS CHRISTINE CHOW, AT A PUBLIC SEMINAR TODAY (SATURDAY).

SHE SAID THE TITLE OF THE MULTI-STOREY BUILDINGS (OWNERS INCORPORATION) ORDINANCE HAD NOW BEEN CHANGED TO THE BUILDING MANAGEMENT ORDINANCE, SO AS TO I ND I (’ATE MORE PRECISELY THE PURPOSE AND APPLICATION OF THE ORDINANCE.

MISS CHOW SAID THE NEW ORDINANCE CONFERRED ON FLAT OWNERS THE RIGHT TO INCORPORATE AND TO CONDUCT BUSINESS.

IT ALSO SETS OUT IN DETAIL THE CIRCUMSTANCES UNDER WHICH THE MANAGER’S APPOINTMENT MAY BE TERMINATED.

TO TIGHTEN SUPERVISION OF MANAGEMENT COMMITTEES, MISS CHOW NOTED THAT IMPORTANT AMENDMENTS WERE MADE TO PROVISIONS ON THE FORMATION AND OPERATION OF MANAGEMENT COMMITTEES AS WELL AS THE PROCEDURES OF MEETING OF OWNERS’ CORPORATIONS.

’’THE MINIMUM NUMBER OF MANAGEMENT COMMITTEE MEMBERS HAS BEEN RAISED FROM THE RANGE OF THREE TO NOT LESS THAN FIVE PERSONS TO THAT OF THREE TO NOT LESS THAN NINE PERSONS, DEPENDING ON THE NUMBER OF FLATS IN A BUILDING, TO ALLOW FOR GREATER PARTICIPATION AND REPRESENTATION OF OWNERS,” SHE SAID.

IN ADDITION, THE FREQUENCY Ob MANAGEMENT COMMITTEES HAS BEEN INCREASED FROM AT LEAST ONCE EVERY SIX MONTHS TO AT LEAST ONCE EVERY THREE MONTHS.

MISS CHOW ADDED THAT THE ORDINANCE ALSO PROVIDED FOR CERTIFIED MINUTES TO BE DRAWN UP FOR ALL MEETINGS AND DISPLAYED IN A PROMINENT PLACE IN THE BUILDING WITHIN 28 DAYS OF THE DAY OF A MEETING.

ON THE FINANCIAL MANAGEMENT AND CONTROL OF THE BUILDING, THE ORDINANCE CLEARLY SPECIFIES MANDATORY TERMS ON BUILDING MANAGERS TO ENSURE PROPER USE OF RESOURCES.

TURNING TO DISPUTES OVER BUILDING MANAGEMENT A PROVISION HAD BEEN INCLUDED FOR AN EXTENSION OF OF THE EXISTING LANDS TRIBUNAL 1'0 HANDLE MATTERS BETWEEN OWNERS1 CORPORATIONS AND MANAGERS, USE INTERPRETATION AND APPLICATION OF DEEDS OF MUTUAL BUILDING MANAGEMENT ORDINANCE.

MISS CHOW SAID

Till- JURISDICTION

SUCH AS DISPUTES OE COMMON PARTS, COVENANT AND THE

/"AS THE........

SATURDAY, MAY 15, 1993

- 6 -

"AS THE JUDICIARY NEEDS ADDITIONAL MANPOWER AND RESOURCES TO COPE WITH THIS ADDITIONAL WORK, IT IS HOPEI) THAT THE EXPANSION OF THE TERMS OF REFERENCE OF THE LANDS TRIBUNAL TO COVER THE NEW RESPONSIBILITIES CAN FORMALLY TAKE EFFECT IN NEXT APRIL," SHE CONCLUDED.

THE SEMINAR, JOINTLY ORGANISED BY THE CITY AND NEW TERRITORIES ADMINISTRATION AND THE HOUSING AUTHORITY, WAS ATTENDED BY MORE THAN 300 MEMBERS FROM OWNERS CORPORATIONS, MUTUAL AID COMMITTEES, OWNERS COMMITTEES, BUILDING MANAGEMENT PROFESSIONALS AND FLAT OWNERS.

---------------------0------- ANTI-DRUG BADGE DESIGN COMPETITION LAUNCHED *****

THE ACTION COMMITTEE AGAINST NARCOTICS (ACAN) IS ORGANISING AN 'ANTI-DRUG BADGE DESIGN COMPETITION'.

SPONSORED BY THE ROTARY CLUB OF ADMIRALTY, THE COMPETITION IS OPEN TO MEMBERS OF THE PUBLIC, REGARDLESS OF AGE, SEX AND OCCUPATION.

"IT IS HOPED THAT THE ANTI-DRUG BADGE WILL REMIND THE YOUNGSTERS OF THE DANGERS OF DRUG ABUSE, AND ENCOURAGE THEM TO TAKE UP HEALTHY PURSUITS AND SAY 'NO' TO DRUGS." A SPOKESMAN FOR THE NARCOTICS DIVISION SAID TODAY (SATURDAY).

"THE WINNING DESIGN, IF ADOPTED, WILL BE USED TO PRODUCE A CIRCULAR BADGE FOR WIDE I) I STR I BUI'I ON TO THE YOUNGSTERS," THE SPOKESMAN ADDED.

THE THEME OF THE ANT I-DRUG BADGE MAY EITHER ADVISE YOUNGSTERS NOT TO ABUSE DRUGS OR REMIND YOUNGSTERS OF THE IMPORTANCE OF A POSITIVE ATTITUDE TOWARDS LIFE.

ALL ENTRIES MUST BE THE PARTICIPANT’S OWN DESIGN AND SHOULD NOT BE AN IMITATION OF ANY REGISTERED DESIGN. THE STANDARD OF ADJUDICATION DEPENDS ON THE MEANING, CREATIVITY AND VISUAL AESTHETICS OF THE ENTRY.

IN ADDITION TO A TROPHY, THE CHAMPION, FIRST AND SECOND RUNNERS-UP OF THE COMPETITION WILL EACH BE AWARDED CASH PRIZE OF $10,000, $5,000 AND $3,000 RESPECTIVELY. THERE WERE ALSO 10 OUTSTANDING AWARDS WITH A $300 BOOK COUPON FOR EACH.

ALL ENTRIES MUST BE DELIVERED BY HAND OR BY MAIL TO THE NARCOTICS DIVISION ON 23RD FLOOR, HIGH BLOCK, QUEENSWAY GOVERNMENT OFFICES, HONG KONG, NOT LATER THAN JUNE 5.

TO OBTAIN ENTRY’ FORMS, PLEASE CALL Till' NARCOTICS DIVISION ON TEL 867 2761.

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/7........

SATURDAY, MAY 15, 1993

50 LUCKY CAR MARKS SOLD IN AUCTION *****

FIFTY VEHICLE REG1STRATION.MARKS WERE SOLD IN AN AUCTION THIS (SATURDAY) MORNING FOR A TOTAL OF $1,813,000 WHICH GOES TO THE GOVERNMENT LOTTERIES FUND FOR CHARITY AFTER DEDUCTION OF EXPENSES.

THE AUCTION, HELD AT THE RECITAL HALL OF THE CITY HALL, SAW THE REGISTRATION MARK AJ8 FETCH THE HIGHEST PRICE OF $220,000.

ANOTHER REGISTRATION MARK FC 168 WAS SOLD AT THE SECOND HIGHEST PRICE OF $170,000 WHILE THE LOWEST PRICE WAS $1,000 EACH FOR FEI 161, FD9369, FE1969, FD3498 AND FD7160.

FOLLOWING ARE THE RESULTS OF THE AUCTION:

$ $ $ $

FD6668 19,000 FD668 112,000 FE983 18,000 FD2229 5,000

FAI 128 24,000 FEI .39 16,000 F 1)3 200 6,000 FD2448 2,000

♦FK1881 16,000 ♦ FL2 100,000 *FK28 100,000 *A.J8 220,000

FD816 4,000 FD948 5,000 FD883 35,000 FE227 5,000

AC135J 4,000 BE 150 11,000 FA326 12,000 FD6609 WITHDRAWN

FE235 2,000 FD899 17,000 AC 139 34,000 AW1230 9,000

FD833 26,000 FB2328 15,000 FD3228 53,000 FC8826 3,000

♦ AJ38 120,000 *DD5 140,000 »FK3 110,000 ♦ DL7 130,000

FD268 17,000 FBI 1 18 40,000 FC 168 170,000 FD1239 2,000

FE9788 12,000 FD6663 20,000 F 1)8082 4,000 FE1161 1,000

FD9369 1,000 FE1969 1,000 *54 7 90,000 FD8256 WITHDRAWN

AP8363 11,000 FD8341 WITHDRAWN BB8586 11,000 ♦FJ2222 55,000

FD3498 1 ,000 FD7160 1 ,000

* SPECIAL VEHICLE REGISTRATION MARK (NOT TRANSFERABLE)

SUCCESSFUL BIDDERS WERE REQUIRED TO PAY BY CHEQUE IMMEDIATELY AFTER THE BIDDING.

THE VEHICLE REG I STRA'T I ON MARKS AUCTIONED WILL BE ASSIGNED ONLY TO VEHICLES REGISTERED IN THE NAME OF THE SUCCESSFUL BIDDERS WITHIN 12 MONTHS OF THE AUCTION.

TODAY’S SALE, THE 193RD ORGANISED BY THE TRANSPORT DEPARTMENT SINCE MAY 1973, BROUGHT THE TOTAL AMOUNT OF MONEY REALISED SO FAR TO $193,112,905.

THERE WERE NO BIDDERS FOR FD6609, FD8256 AND FD8341. THE THREE MARKS WILL BE ASSIGNED TO THEIR ORIGINAL APPLICANTS.

- - 0 - -

/8

SATURDAY, MAY 15, 1993

8

CSI EXHIBITION CENTRE OPENS *****

AN EXHIBITION CENTRE FOR THE DISPLAY OF PRODUCTS OF THE CORRECTIONAL SERVICES INDUSTRIES ((SI) WAS OFFICIALLY OPENED TODAY (SATURDAY) BY THE COMMISSIONER OF CORRECTIONAL SERVICES, MR ERIC MCCOSH.

WITH AN AREA OF ABOUT 150 SQUARE METRES, THE EXHIBITION CENTRE IS LOCATED ON THE FIRST FLOOR OF MAX SHARE CENTRE, 367-373 KING’S ROAD, NORTH POINT, ON HONG KONG ISLAND.

ON DISPLAY ARE VARIOUS TYPES OF PRODUCTS OF CSI. THESE INCLUDE GOVERNMENT FURNITURES, GARMENTS, SHOES AND LEATHER, METALWORK, PRECASTED CONCRETE ITEMS, FIBRE GLASS WARE, TRAFFIC SIGNS AND PRINTING MATERIALS.

A SPOKESMAN FOR THE CORRECTIONAL SERVICES DEPARTMENT SAID THE PURPOSE OF THE CENTRE WAS TO PROMOTE CORRECTIONAL SERVICES INDUSTRIES’ IMAGE AND TO ENHANCE PUBLIC UNDERSTANDING OF CSI.

"THE CENTRE IS ALSO AN IDEAL PLACE FOR US TO MEET OUR CLIENTS WITH ALL ITEMS ON DISPLAY BEFORE THEY PLACE ORDERS," HE SAID.

THE CLIENTS ARE USUALLY GOVERNMENT DEPARTMENTS, HOWEVER ORDERS FROM THE PRIVATE AND PUBLIC SECTORS ARE ALSO WELCOME.

”CSI HAS, IN THE PAST ONE TO TWO YEARS, ALSO DEVELOPED A NUMBER OF NEW ITEMS FOR THE PUBLIC SECTOR," HE SAID.

"IT IS OUR HOPE THAT BY MAKING GOOD USE OF THE LABOUR FORCE IN THE PENAL INSTITUTIONS, WE CAN MAKE CONTRIBUTION TO THE SOCIETY AND SAVE GOVERNMENT EXPENSES BY PROVIDING GOODS THAT ARE CHEAPER AND AS GOOD AS THOSE OBTAINABLE FROM OUTSIDE CONTRACTORS," THE SPOKESMAN ADDED.

---------0-----------

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS *****

$ MILLION

OPENING BALANCE IN THE ACCOUNT 2,640

REVERSAL OF LAF -400

BALANCE AFTER REVERSAL OF LAF 2,240

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -810

CLOSING BALANCE IN THE ACCOUNT 1,430

LAF RATE 2.00 BTD/4.00 OFFER TWI 112.2 *-0.1* 15.5.93

---------0-----------

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

SUNDAY, MAY 16, 1993

CONTENTS PAGE NO.

OPERATION ROLLING STONE TO WEED OUT ILLEGAL STRUCTURES ......... 1

HEP B VACCINATION PROGRAMME TO EXTEND TILL END OF YEAR ......... 2

STAMPS MARK 40TH ANNIVERSARY OF QUEEN'S CORONATION ............. 3

SAMPLE STATUTORY DECLARATION FORM FOR NT VILLAGERS ............. 4

FUNG HON CHU TRUST FUND TO HELP PROMOTE GIFTFD EDUCATION .... 4

ART CONTEST ON INT’L FAMILY YEAR ............................... 5

CALL FOR VOLUNTEERS TO HELP PROBATIONERS ....................... 6

MAY DEADLINE FOR FLAG DAY APPLICATIONS ......................... 7

LANDSCAPE WORKS FOR TONG YAN SAN TSUEN ROAD .................... 8

SUNDAY, MAY 16, 1993

1

OPERATION ROLLING STONE TO WEED OUT ILLEGAL STRUCTURES

*****

THE BUILDINGS ORDINANCE OFFICE (BOO) OF THE BUILDINGS AND LANDS DEPARTMENT HAS LAUNCHED A NEW OPERATION THIS MONTH AGAINST ILLEGAL STRUCTURES PROJECTING FROM BUILDING WALLS.

THE OPERATION, CODED-NAMED ROLLING STONE, IS BOO’S LATEST ENDEAVOUR IN ITS CAMPAIGN '1’0 WEED OUT DANGEROUS APPENDAGES FOR THE SAFETY OF THE RESIDENTS AND PASSERS-BY.

IT CAME SHORTLY AFTER THE SUCCESSFUL CONCLUSION OF OPERATION CATHERINE WHI EL, A TWO-YEAR EXERCISE DURING WHICH ADVISORY LETTERS WERE SENT TO PROPERTY OWNERS OF THF TARGETTED BUILDINGS, REQUESTING THEM TO REMOVE THEIR ILLEGAL STRUCTURES VOLUNTARILY.

THE EXERCISE HAD RESULTED IN THE DEMOLITION OF 18,444 UNAUTHORISED STRUCTURES FROM 11,079 FLATS IN 52 TARGETTED BUILDINGS.

ONLY 3,011 REMOVAL ORDERS HAD TO BE ISSUED TO THOSE WHO IGNORED THE ADVISORY LEITERS.

THE NEW OPERATION HAS Pl (’KEI) THE BO FUNG GARDENS, A THREE-TOWER BLOCK GARDEN ESTATE AT 1090-1094 KING’S ROAD, QUARRY BAY, AS ITS FIRST TARGET BECAUSE THE BUILDING HAS SOME 840-PLUS UNAUTHORISED BUILDING WORKS (UBW) PROJECTING FROM THE BUILDINGS’ EXTERNAL WALLS.

THE UBW, SUCH AS METAL CAGES, CANOPIES, METAL RACKS, SOLID EXTENSIONS, STRUCTURES ON APPROVED CANOPIES AND SHOP-FRONT EXTENSIONS, ARE ALL POTENTIALLY DANGEROUS AND EN\IRONMENTALLY AND AESTHETICALLY UNDESIRABLE.

A BOO SPOKESMAN SAID THE ADV I SOR.Y-LETTER-APPROACH , WHICH HAD ACHIEVED A 55 PER CENT VOLUNTARY COMPLIANCE RATE DURING OPERATION CATHERINE WHEEL, HAD BEEN ADOPTED FOR THE NEW OPERATION.

’’ADVISORY LETTERS HAVE ALREADY BEEN SENT TO OWNERS AND OCCUPIERS OF BO FUNG GARDENS REQUESTING THEM TO TAKE STEPS TO REMOVE THE UNAUTHORISED BUILDING WORKS THEMSELVES.

’’TALKS AND MEETINGS WILL ALSO BE HELD WITH OWNERS CORPORATIONS AND MUTUAL AID COMMITTEES OF THE BUILDINGS TO SEEK THEIR CO-OPERATION AND INVOLVEMENT IN MOBILISING THE OWNERS AND RESIDENTS TO REMOVE THE PROJECTING UBWS VOLUNTARILY,” HE SAID.

FOR THOSE WHO DO NOT RESPOND TO THE ADVISORY LETTERS, THE SPOKESMAN SAID, REMOVAL ORDERS WILL BE ISSUED.

’’FOR NON-COMPLIANCE, PROSECUTION ACTION WILL BE TAKEN AND THE UBWS WILL BE REMOVED BY GOVERNMENT CONTRACTORS IF NE( ESSARY,” HE WARNED.

THE OPERATIONS ON BO FUNG GARDENS WILL BE DIVIDED INTO THREE PHASES. ACTION ON BLOCKS A AND B ARE EXPECTED TO BE COMPLETED BY THE END OF THIS YEAR AND BLOCK C EARLY NEXT YEAR.

"WITH THE CO-OPERATION OF ALL THE OWNERS AND OCCUPIERS, WE HOPE THE WHOLE OPERATION ON THESE BUILDINGS CAN BE COMPLETED AT AN EARLIER DATE," THE SPOKESMAN SAID.

/2 ........

SUNDAY, MAY 16, 1993

- 2 -

HEP B VACCINATION PROGRAMME TO EXTEND TIM ENI) Ob YEAR *****

THE DEPARTMENT OF HEALTH TODAY (SUNDAY) CALLED ON PARENTS WITH CHILDREN BORN BETWEEN 1986 AND 1988 AND HAVE NOT BEEN VACCINATED AGAINST HEPATITIS B TO TAKE THEM FOR VACCINATION BEFORE THE END OF THE YEAR.

VACCINATION AGAINST THE DISEASE IS FREE AT THE DEPARTMENT’S

MATERNAL AND CHILI) HEALTH CENTRES UNDER A PREVENTIVE PROGRAMME INTRODUCED IN JULY LAST YEAR AND SCHEDULED FOR ONE YEAR, A SPOKESMAN

FOR THE DEPARTMENT SAID.

"THE PROGRAMME HAS NOW BEEN EXTENDED TILL THE END OF THE YEAR TO ALLOW PARENTS WHO HAVE NOT YET RESPONDED TO TAKE ACT ION AND NOT TO BE MISSED OUT," HE ADDED.

THE SPOKESMAN POINTED OUT THAT PRE-SCHOOI CHILDREN WERE PARTICULARLY PRONE TO HEPATITIS B VIRUS INFECTION BECAUSE THEY WERE VERY ACTIVE AND MIGHT INJURE THEMSELVES EASILY THROUGH ACTIVITIES AND ACCIDENTS.

"HEPATITIS B VIRUS CAN GAIN ACCESS TO THEIR BODIES THROUGH EVEN MINOR WOUNDS.

"INFECTION BY HEPATITIS B V I RI S MAY RESULT IN DEVELOPING CHRONIC LIVER DISEASES SUCH AS CIRRHOSIS AND LIVER CANCER,” HE SAID.

TO ACHIEVE MAXIMUM PROTECTION, EACH CHILD SHOULD RECEIVE A FULL COURSE OF THREE DOSES -- THE FIRST TWO DOSES AT AN INTERVAL OF ONE MONTH WHILE THE SECOND AND THE THRU) DOSE AT AN INTERVAL OF TWO TO FOUR MONTHS.

PARENTS ARE ADVISED TO BRING THEIR CHILDREN, TOGETHER WITH IMMUNISATION CARDS, BACK TO THEIR RESPECTIVE MATERNAL AND CHILD HEALTH CENTRES AS SOON AS POSSIBLE FOR VAC( I NAT I ON.

ENQUIRIES CAN BE MADE ON THE TELEPHONE HOTLINE "838 7428” DURING OFFICE HOURS.

THE GOVERNMENT INTRODUCED \ VACCINATION PROGRAMME AGAINST THE DISEASE IN 1984 FOR BABIES BORN IO CARRIER MOTHERS AND HEALTH CARE WORKERS.

IT WAS EXPANDED IN NOVEMBER 1988 TO (OVER ALI NEWBORNS.

IN JULY LAST YEAR, THI PROGRAMME WAS FURTHER EXPANDED To COVER PRE-SCHOOL CHILDREN BORN BETWEEN 1986 AND 1988 WITHIN A SCHEDULED PERIOD OF ONE YEAR.

/3.........

SUNDAY, MAY 16, 1993

- 3 -

STAMPS MARK 4 0TH ANNIVERSARY 01* QUEEN’S CORONATION

******

THE POSTMASTER GENERAL, MR M PAGLIARI, ANNOUNCED TODAY (SUNDAY) THAT A SET OE SPECIAL STAMPS WILL HE ISSUED ON JUNE 2 TO COMMEMORATE THE 40TH ANNIVERSARY OE THE CORONATION OE THE QUEEN.

THERE WILL BE FOUR DENOMINATIONS: 80-CENT, S I . «(), $2.30 AND $5.

THE STAMPS WERE DESIGNED MR COLIN TILLYER AND PRINTED BY LEIGH-MARDON PTY LIMITED OE AUSTRALIA.

THEY WILL BE PUT UP FOR ADVANCE INFORMATION OE THE PUBLIC AT THE GENERAL POST OFFICE, TSIM SHA TSI I POST OFFICE AND SHA TIN CENTRAL POST OFFICE FROM MAY 20.

A SET OF POSTCARDS SHOWING CHANGES TO THE VICTORIA HARBOUR WATERFRONT SINCE THE QUEEN’S CORONATION IN 1953 WILL BE ISSUED IN CONJUNCTION WITH THE STAMPS.

THEY ARE AVAILABLE AT $5 A SET FROM MAY 20 AT ALL POST OFFICES EXCEPT THE AIRPORT POST OFFICE.

OFFICIAL FIRST DAY COVERS WILL BE ON SALE AT ALL POST OFFICES, EXCEPT THE AIRPORT POST OFFICE, FROM MAY 20 AT $1 EACH.

ADVANCE ORDERS FOR SERVICED FIRST DAY COVERS WILL BE ACCEPTED FROM MAY 20 TO 25. THE MINIMUM NUMBER OF COVERS PER ORDER IS FIVE.

ON THE FIRST DAV OF ISSUE, EACH CUSTOMER ON THE QUEUE IS ENTITLED TO TWO SHEETS OF STAMPS (100 PIECES) OF EACH DENOMINATION.

NO RESTRICTION HOWEVER WILL BE IMPOSED ON THE SALE OF POSTCARDS.

FOR THE CONVENIENCE OF CUSTOMERS, FIRST DAY COVERS PRE-AFFIXED WITH A SET OF STAMPS ANT) CYNCELLFI) WI I'll THE FIRST DAY OF ISSUE POSTMARK WILL BE AVAILABLE AT $12.90 EACH AT THE SIX PHILATELIC OFFICES:

BEACONSFIELD HOUSE POST Ol i ICI-GENERAL POST OFFICE GRANVILLE ROAD POST OFFICE PEAK POST OFFICE SHA TIN CENTRAL POST OFFICE TSIM SHA TSUI POST OFFICE

A HAND-BACK SERVICE WILL BE GIVEN TO ALL OFFICIAL AND PRIVATELY MADE COVERS BEARING THE "FIRST DAY" INDICATION ON JUNE 2 AT ALL POST OFFICES EXCEPT THE AIRPORT POST OFFICE.

A SPECIAL DATESTAMP WILL BE INTRODUCED FOR THE PURPOSE.

/4 ........

SUNDAY, MAY 16, 1993

4

SAMPLE STATUTORY DECLARATION EORM EOR NT VILLAGERS

*****

THE BUILDINGS AND LANDS DEPARTMENT HAS DESIGNED A SAMPLE STATUTORY DECLARATION EORM EOR NEW TERRITORIES VILLAGERS WHO NEED TO MAKE STATUTORY DECLARATIONS TO SUPPORT THEIR CLAIM TO LAND TITLE IN LEASED LAND AFFECTED BY LAND RESUMPTIONS.

ANNOUNCING THIS TODAY (SUNDAY), A SPOKESMAN FOR THE DEPARTMENT THANKED THE HEUNG YEE KUK FOR ITS CONTRIBUTION TO THE DRAFTING OF THE SAMPLE FORM.

THE SAMPLE FORM IS NOW AVAILABLE FOR REFERENCE AT ALL DISTRICT LANDS OFFICES IN THE NEW TERRITORIES AND AT THE NEW AIRPORT (NEW TERRITORIES) OFFICE IN THE TSUEN WAN GOVERNMENT OFFICES.

SAMPLE FORMS FOR OTHER SIMILAR STATUTORY DECLARATIONS MADE BY VILLAGERS IN THE PAST ARE ALSO AVAILABLE AT THESE OFFICES.

THEY ARE ALSO AVAILABLE FOR REFERENCE AT ALL RURAL COMMITTEES IN THE NEW TERRITORIES.

THE SPOKESMAN POINTED OUT THAT VILLAGERS MAKING STATUTORY DECLARATIONS RELATING TO LAND RESUMPTION MATTERS IN THE NEW TERRITORIES MIGHT REFER TO THE INFORMATION CONTAINED IN THESE SAMPLE FORMS BEFORE FILLING IN THE STANDARD DECLARATION FORM.

THE INFORMATION COULD BE AMENDED BY V I LI AGERS TO SUIT THEIR PARTICULAR CASES.

VILLAGERS WISHING TO MAKE STATUTORY DECLARATIONS MIGHT APPROACH THE DISTRICT LANDS OFFICE OF THEIR DISTRICT OR THE NEW AIRPORT (NEW TERRITORIES) OFFICE TO MAKE THE NECESSARY ARRANGEMENTS, THE SPOKESMAN ADDED.

_ _ 0----------

FUNG HON CHU TRUST FUND TO HELP PROMOTE GIFTED EDUCATION

*****

AN $8 MILLION DONATION TO SET Up A FUNG HON-CHU EDUCATION TRUST FUND WILL BE USED MAINLY TO SET I P A RESOURCE CENTRE FOR THE EDUCATION OF ACADEMICALLY GIFTED CHILDREN.

THE DIRECTOR OF EDUCATION, MR DOMINIC S W WONG, AND HIS PREDECESSOR, MR LI YUET-TING, ACCEPTED THE DONATION FROM EN'I'REPRENEUR AND FORMER LEGISLATIVE COUNCIL AND URBAN COUNCIL MEMBER, MR FUNG HON-CHU, AT THE LATTER’S RESIDENCE.

MR FUNG IS THE CHAIRMAN EMERITUS OF THE LI * FUNG GROUP OF COMPANIES, ONE OF THE OLDEST CHINESE FIRMS IN HONG KONG.

/MR LI ........

SUNDAY, MAY 16, 1993

5

MR LI IS A MEMBER OF THE BOARD OF TRUSTEES OF THE TRUST FUND. OTHER TRUSTEES ARE MRS JULIA SHEN FUNG; MR WAN HING-YUEN, PRINCIPAL OF THE COTTON SPINNERS ASSOCIATION PREVOCAT1ONAL SCHOOL, AND MRS GRACE YUNG, ASSISTANT DIRECTOR OF EDUCATION (SERVICES).

MR WONG THANKED MR FUNG FOR HIS GENEROUS DONATION WHICH WOULD GREATLY HELP THE EDUCATION DEPARTMENT IN FULLY IMPLEMENTING THE RECOMMENDATIONS LN THE EDUCATION COMMISSION’S REPORT NO. 4 ON THE EDUCATION OF GIFTED CHILDREN.

THE EDUCATION DEPARTMENT WOULD ESTABLISH A RESOURCE CENTRE AS A BASE FOR A TEAM OF PROFESSIONAL OFFICERS TO DEVELOP AND DISSEMINATE CURRICULUM MATERIALS AND TO PROVIDE ADDITIONAL HELP TO TEACHERS TEACHING GIFTED CHILDREN IN THEIR SCHOOLS.

TEACHERS AT THE CENTRE WOULD BE ABLE '1’0 SELECT OR PRODUCE THEIR OWN TEACHING MATERIALS, MEET OTHER TEACHERS OF GIFTED CHILDREN AND SHARE PROFESS TONAL EXPERIENCE. PARENTS OF GIFTED CHILDREN WOULD ALSO BE GIVEN ADVICE ON HOW BEST TO SUPPORT THEM AT HOME.

THE CENTRE WOULD ALSO PROVIDE A VENUE FOR SEMINARS AND WORKSHOPS FOR THE GIFTED CHILDREN THEMSELVES, AT WHICH THEY COULD MEET THEIR PEERS AS WELL AS SPECIALISTS FROM VARIOUS FIELDS.

IN ADDITION, DURING LONG SCHOOL HOLIDAYS, THE CENTRE WOULD BE ARRANGING ENRICHMENT PROGRAMMES FOR THE CHILDREN TO FURTHER DEVELOP THEIR POTENTIAL. THEY COULD ALSO PURSUE EXTENDED STUDIES WHICH COULD NOT BE FITTED INTO THEIR OWN SCHOOL-BASED PROGRAMMES.

THE PROPOSED CENTRE WOULD BE NAMED THE FUNG HON CHU GIFTED CHILDREN EDUCATION RESOURCE CENTRE.

---------0-----------

ART CONTEST ON INT’L FAMILY YEAR ♦ ♦ ♦ * ♦

STUDENTS ARE INVITED TO COMPETE IN AN INTERNATIONAL ART CONTEST TO MARK THE 1994 INTERNATIONAL YEAR OF THE FAMILY.

THE COMPETITION IS ORGANISED BY THE: INTERNATIONAL MUSEUM OF CHILDREN’S ART, OSLO, NORWAY.

AN EDUCATION DEPARTMENT SPOKESMAN SAID TODAY (SUNDAY) THAT ALL ENTRIES WOULD BE KEPT AS PART OF THE COLLECTION OF THE INTERNATIONAL MUSEUM OF CHILDREN’S ART AND WOULD RF USED FOR THEMATIC EXHIBITIONS, PUBLICATIONS AND RESEARCH.

’’PRIZE-WINNING WORKS WILL BE EXHIBITED IN OSLO, PARIS, NEW YORK, VIENNA AND OTHER CITIES AROUND I’HE WORLD, SPECIAL DIPLOMAS AND PRIZES WILL ALSO BE AWARDED,” HE SAID.

THE SPOKESMAN URGED STUDENTS TO PARTICIPATE ACTIVELY IN THIS INTERNATIONAL COMPETITION.

/CLOSING DATE .......

SUNDAY, MAY 16, 1993

6

CLOSING DATE FOR SUBMISSION IS JULY 9. SELECTED ENTRIES SENT TO THE INTERNATIONAL MUSEUM OF CHILDREN'S ART FOR THE COMPETITION WILL NOT BE RETURNED.

DETAILS OF ENTRY ARE:

(1) THEMES : "FAMILY LIFE” - ALL GENUINE EXPERIENCE AND

THEMES RELATED TO LIFE IN THE FAMILY.

(2) AGE : BETWEEN TWO AND IS ARE ELIGIBLE PARTI (’I PATE. TO

(3) TYPES OF WORK: ALL KINDS OF TECHNIQUES AND MATERIALS, DIMENSIONAL, EITHER AS A GROUP OR INDIVIDUALS. TWO-AS

(4) SIZE OF WORK : THERE IS NO RESTRICTION PROPOSED BY ORGANISER, BUT IT IS ADVISABLE SUBMISSIONS SHOULD NOT BE LARGER THAN THE THAT A2

SIZE (420 MM X 594 MM)

THOSE REQUIRING FURTHER INFORMATION SHOULD CONTACT THE CULTURAL CRAFTS CENTRE, ADVISORY INSPECTORATE, EDUCATION DEPARTMENT, ON TEL 562 9205.

---------0 - -

CALL FOR VOLUNTEERS TO HELP PROBATIONERS *****

THE SOCIAL WELFARE DEPARTMENT IS LOOKING FOR HELP IN THE REHABILITATION WORKS FOR EX-OFFENDERS.

VOLUNTEERS TO

ANYONE AGED 21 OR ABOVE WHO HAS SECONDARY SCHOOL EDUCATION, MATURE PERSONALITY AND INTEREST IN THE WORK ARE INVITED TO JOIN THE VOLUNTEER SCHEME FOR PROBATIONERS (VSP).

THE SCHEME WAS SET UP IN I 976 TO ENCOURAGE RESIDENTS AND TO HELP EX-OFFENDERS.

A SPOKESMAN FOR THE DEPARTMENT SAID TODAY (SUNDAY) THIS WOULD BRING GREATER COMMUNITY INVOLVEMENT IN THE REHABILITATION WORK AND STRONGER ACTION AGAINST CRIME.

"IT ALSO HELPS TO MEET THE SPECIFIC NEED OF SUITABLE PROBATIONERS THROUGH SERVICE OFFERED BY VOLUNTEERS AND COMPLEMENT THE EFFORT OF PROBATION OFFICERS,” HE ADDED.

THE SERVICE PERIOD IS NORMALLY SIX MONTHS, BUT THE VOLUNTEER MAY SERVE FOR FURTHER TERMS FOR THE SAME OR OTHER OFFENDERS.

/FORMER VOLUNTEERS .......

SUNDAY, MAY 16, 1993

7 -

FORMER VOLUNTEERS OF THE SCHEME ARE WELCOME TO APPLY AGAIN.

APPLICATION FORMS ARE NOW AVAILABLE AT THE CENTRE FOR VSP ON THE SEVENTH FLOOR, WU CHUNG HOUSE, 213 QUEEN’S ROAD EAST, WAN CHAI; PROBATION OFFICES ATTACHED TO THE MAGISTRACIES; COMMUNITY CENTRES AND CHILDREN AND YOUTH CENTRES.

COMPLETED FORMS SHOULD BE RETURNED TO THE CENTRES ON OR BEFORE JUNE 12. ENQUIRIES TELEPHONE NUMBER IS 892 5117.

--------0-----------

MAY DEADLINE FOR FLAG DAY APPLICATIONS

♦ * * * »

A SPOKESMAN FOR THE SOCIAL, WELFARE DEPARTMENT TODAY (SUNDAY) REMINDED ORGANISATIONS WISHING TO HOLD FUND-RAISING FLAG DAYS NEXT YEAR TO SEND APPLICATIONS TO THE DEPARTMENT BY MAY 31.

‘ THE APPLICATION MUST ORGANISATION’S LATEST ANNUAL ACCOUNTS,” THE SPOKESMAN SAID.

BE ACCOMPANIED BY A COPY OF THE REPORT AND STATEMENT OF AUDITED

APPLICANTS MUST BE BONA FIDE NON-PROFIT-MAKING ORGANISATIONS REGISTERED UNDER SECTION 88 OF THE INLAND REVENUE ORDINANCE.

ALL APPLICATIONS WILL BE CONSIDERED BY THE SUBVENTIONS AND LOTTERIES FUND ADVISORS COMMITTEE ON THE MERITS OF THE SERVICE OR SPECIAL PROJECTS AS WELL AS THE APPLICANT ORGANISATION’S FINANCIAL NEEDS AND ITS ABILITY TO CARRS OUT THE FUND-RAISING ACTIVITIES.

"EXPENSES IN CONNECTION WITH A FLAG DAY SHOULD NOT EXCEED 10 PER CENT OF THE GROSS RECEIPTS,” THE SPOKESMAN SAID.

"SUCCESSFUL APPLICANTS HAVE TO OBSERVE THE CONDITIONS FOR HOLDING FLAG DAYS LAID DOWN IN A PUBLIC SUBSCRIPTION PERMIT ISSUED UNDER SECTION 4(17) OF SUMMARY OFFENCES ORDINANCE.”

"LATE APPLICATIONS WILL NOT BE CONSIDERED,” HE ADDED.

ENQUIRIES CAN BE MADE ON TEL 892 5293.

- - 0-----------

/8.........

SUNDAY, MAY 16, 1993

- 8 -

LANDSCAPE WORKS FOR TONG YAN SAN TSUEN ROAD

*****

THE HIGHWAYS DEPARTMENT IS INVITING TENDERS FOR LANDSCAPE WORKS FOR TONG YAN SAN TSUEN ROAD IN YUEN LONG.

WORKS INCLUDE GENERAL HARD AND SOFT LANDSCAPE WORKS FOR THE ROAD SIDE AMENITY AREAS ALONG TONG YAN SAN TSUEN ROAD AND THREE ASSOCIATED OPEN SPACES.

THE OPEN SPACES WILL ALSO BE LANDSCAPED WITH TREES AND SHRUBS AND PROVIDED WITH SITTING-OUT AND LEISURE FACILITIES FOR USE BY THE PUBLIC.

WORKS WILL START TN AUGUST AND WILL BE COMPLETED IN MARCH 1994.

FORMS OF TENDER AND FURTHER PARTICULARS MAY BE OBTAINED FROM THE SENIOR LANDSCAPE ARCHITECT, HIGHWAYS DEPARTMENT, ROOM 530, FIFTH FLOOR, HO MAN TIN GOVERNMENT OFFICES, 88 CHUNG HAU STREET, KOWLOON. ENQUIRIES CAN BE MADE ON TEL 762 3355.

A NOTICE ON THE TENDER INVITATION HAS BEEN PUBLISHED IN THE LATEST ISSUE OF THE GAZETTE.

TENDERS MUST BE CLEARLY MARKED AND ADDRESSED TO THE CHAIRMAN, PUBLIC WORKS TENDER BOARD, AND PUT IN THE PUBLIC WORKS TENDER BOX AT THE LIFT LOBBY ON 34TH FLOOR, QUEENSWAY GOVERNMENT OFFICES, 66 QUEENSWAY, HONG KONG, BEFORE NOON ON JUNE 4 (FRIDAY).

------0----------

Received by PRO on < C ?IAr 199?

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

MONDAY, MAY 17, 1993

CONTENTS . PAGE NO.

GOVERNOR STRESSES COMMITMENT TO BUILDING FOR FUTURE ............. 1

GOVERNOR'S QUESTION AND ANSWER SESSION AT TECHNOLOGY CONFERENCE ..................................................... 2

UNEMPLOYMENT AND UNDEREMPLOYMENT FIGURES FOR JANUARY - MARCH 6

AIDS COUNCIL APPROVES 36 CLAIMS FOR EX-GRATIA PAYMENTS .......... 7

ANOTHER PROSPEROUS YEAR FOR BANKING SYSTEM ...................... 8

SRC MEETS MUSIC OFFICE STAFF REPRESENTATIVES ................... 10

ADVICE ON OVERSEAS STUDY ........................................ H

CHIEF JUSTICE PAYS TRIBUTE TO SIR GEOFFREY BRIGGS .............. 11

WATER STORAGE FIGURE ........................................... 12

FRESH WATER CUTS IN YAU MA TEI, SAN PO KONG .................... 12

EXCHANGE FUND NOTES: TENDER RESULTS ............................ 12

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ..

13

MONDAY, MAY 17, 1993

GOVERNOR STRESSES COMMITMENT TO BUILDING FOR FUTURE

*****

THE GOVERNMENT ALONG WITH BUSINESSMEN AND MANUFACTURERS MUST COMMIT THEMSELVES TO USING HONG KONG’S TALENTS AND TECHNOLOGY TO BUILD FOR THE 21ST CENTURY, THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, SAID TODAY (MONDAY).

SPEAKING AT THE WORLD TRADE INVESTMENT CONFERENCE ON ’’HIGH TECHNOLOGY AND PROFITABILITY FOR THE 21 ST CENTURY”, MR PATTEN SAID THE CONFERENCE HAD THE RIGHT THEME IN THE RIGHT PLACE.

LOCAL BUSINESSMEN AND MANUFACTURERS HAVE DEMONSTRATED HOW THEIR COMMITMENT TO MAKING THE BEST OF THEIR OPPORTIN ITIES, INVESTMENTS AND SKILLS HAVE KEPT THEM AHEAD OF THE COMPETITION.

’’ONE OF THESE OPPORTUNITIES RESTS ON HONG KONG’S ROLE AS GATEWAY TO CHINA,” HE SAID.

MANY MANUFACTURERS HAVE MOVED THEIR FACTORIES INTO GUANGDONG WHERE LAND AND LABOUR ARE IN GOOD SUPPLY.

MEANWHILE, THEY HAVE COMMITTED THEMSELVES AT HOME TO THE NEW DESIGN AND TECHNOLOGY THAT LEADS TO BETTER PRODUCTS, BETTER METHODS OF PRODUCTION AND BETTER USE OF RESOURCES.

’’THEY ARE BUSY CLIMBING UP THE RUNGS THAT FORM THE TECHNOLOGICAL AND VALUE-ADDED LADDER," MR PATTEN SAID.

HE SAID GOVERNMENT NEEDED TO MAKE COMMITMENTS TOO, BUT OF A DIFFERENT SORT.

"OUR APPROACH IS ONE OF MINIMUM INTERFERENCE AND MAXIMUM SUPPORT," HE SAID.

TAXES ARE KEPT LOW AND PREDICTABLE; A GOOD, CLEAN LEGAL SYSTEM IS PROVIDED; AND INVESTMENTS ARE MADE IN HUMAN AND PHYSICAL INFRASTRUCTURE.

THE GOVERNMENT IS SPENDING ABOUT $2 1 BILLION FROM 1992/95 ON TERTIARY EDUCATION. NEARLY $250 MILLION IS PUT UP TO SET UP THE HONG KONG INDUSTRIAL TECHNOLOGY CENTRE.

ALSO, THE GOVERNMENT IS INVESTING $200 MILLION TO PUMP-PRIME INDUSTRIAL RESEARCH DEVELOPMENT MAT( HI NG FUNDS FROM THE PRIVATE SECTOR.

"WE DELIVER THE FRAMEWORK AND WE LOOK TO THE PRIVATE SECTOR TO DELIVER THE PROFITABILITY AND THE GOODS," HE SAID.

TURNING TO THE IMPACT OF TECHNOLOGICAL DEVELOPMENT ON THE ENVIRONMENT, MR PATTEN SAID WHOLE-HEARTED PURSUIT OF THIS DEVELOPMENT CAN CARRY COSTS.

HE BELIEVED THAT II’ WAS VITAL NOW TO HARNESS THE POWER OF SCIENCE AND TECHNOLOGY TO SOLVE SOME OF THESE PROBLEMS.

/•'WE MUST............

MONDAY, MAY 17, 1993

- 2

"WE MUST BALANCE OUR ECONOMIC AND ENVIRONMENTAL BOOKS," HE SAID.

HONG KONG IS INVESTING OVER $7 BILLION IN A COMPREHENSIVE WASTE DISPOSAL STRATEGY AND CARRYING OUT AN AMBITIOUS BUILDING PROGRAMME OF SEWERS AND SEWAGE TREATMENT FACILITIES.

IN ADDITION, THE COMMUNITY IS ENCOURAGED TO HELP PROTECT THE ENVIRONMENT AND USE RESOURCES PROPERLY.

"IF WE ARE TO BUILD A BETTER WORLD IN THE 21 ST CENTURY, WE NEED TO MAKE SURE THAT TECHNOLOGICAL DEVELOPMENT WORKS FOR THE GOOD OF ALL," MR PATTEN SAID.

"AND WE CAN ACHIEVE THIS AIM THROUGH CO-OPERATION, THE FREE FLOW OF IDEAS AND INFORMATION AND FREE TRADE," HE ADDED.

GOVERNOR’S QUESTION AND ANSWER SESSION AT TECHNOLOGY CONFERENCE

*****

FOLLOWING IS THE TRANSCRIPT OF THE QUESTION AND ANSWER SESSION OF THE GOVERNOR AT THE "HIGH TECHNOLOGY AND PROFITABILITY FOR 21ST CENTURY" CONFERENCE THIS (MONDAY) MORNING:

QUESTION: ... (INAUDIBLE)

GOVERNOR: ... ME TO DO SOMETHING MUCH EASIER THAN TO FORECAST WHAT HONG KONG WILL BE LIKE IN 150 YEARS TIME, THEY HAVE ASKED ME TO FORECAST WHAT EUROPE WILL BE LIKE IN 150 YEARS TIME WHICH IS OBVIOUSLY A MUCH MORE STRAIGHTFORWARD CHALLENGE. THE MAIN REASONS FOR HONG KONG’S ENORMOUS SUCCESS AS A COMMUNITY ARE, I THINK, FAIRLY CLEAR. FIRST OF ALL, OUR GEOGRAPHICAL POSITION, OUR POSITION AT THE HEART OF THE ASIA PACIFIC REGION, THE FASTEST GROWING ECONOMIC REGION IN THE WORLD, AND OUR POSITION, AS I SAID EARLIER, AS THE SWING-DOOR TO CHINA.

THE SECOND REASON FOR OUR SUCCESS IS THAT WE HAVE PURSUED FOR SOME YEARS, AND WITH ENTHUSIASM, FREE MARKET ECONOMICS; FREE MARKET ECONOMICS WHICH HAVE GIVEN US THE RESOURCES TO MAKE FOR INSTANCE INVESTMENTS IN WHAT ECONOMISTS CALL SOCIAL EQUITY PROGRAMMES - PUBLIC HOUSING, HEALTH, EDUCATION - WHICH HAVE ENSURED THAT THIS IS A RESPONSIBLE SOCIAL MARKET ECONOMY.

/THIRDLY, THE ........

MONDAY, MAY 17, 1993

- 3

THIRDLY, THE THIRD REASON EOR OUR SUCCESS IS THAT WE HAVE PURSUED FREE MARKET ECONOMICS WITHIN THE FRAMEWORK OF THE RULE OF LAW. NOW, WHEN WE NEGOTIATED THE RESUMPTION OF CHINESE SOVEREIGNTY IN 1997, THE AGREEMENT WHICH BRITAIN AND CHINA PUT THEIR NAMES TO ATTEMPTED TO

GUARANTEE BOTH THE FREE MARKET ECONOMY AND THE RULE OF LAW AND THE

VALUES ASSOCIATED WITH IT FOR 50 YEARS BEYOND 1997. I TAKE EVERY WORD IN THAT AGREEMENT SERIOUSLY AND I THINK THAT HONG KONG WILL CONTINUE TO BE HUGELY SUCCESSFUL PROVIDED OTHERS TAKE IT SERIOUSLY TOO. I THINK THAT THE CERTAINTY THAT THE RULE OF LAW PROVIDES, THE CERTAINTY THAT OUR VALUES AND WAY OF LIFE PROVIDE, IS AS IMPORTANT TO OUR SUCCESS AS THE ASTONISHING SHANGHAINESE, CANTONESE ENTREPRENEUR IALISM WHICH HAS FOLLOWED ADAM SMITH’S PRESCRIPTIONS WITH SO MUCH ELAN FOR

THE LAST DECADES.

WITH THOSE PROVISOS, HONG KONG WILL, IN MY JUDGMENT, PLAY THE SAME SORT OF ROLE IN RELATION TO THE OPENING UP OF THE CHINESE ECONOMY THAT NEW YORK PLAYED IN RELATION TO THE NORTH AMERICAN ECONOMIES A CENTURY AGO. WHAT IS HAPPENING IN (’HINA IS PLAINLY ENORMOUSLY EXCITING, ENORMOUSLY IMPORTANT FOR THE WORLD, AND WITH THAT CONTINUING SUCCESS IN CHINA, 1 AM SURE HONG KONG WILL CONTINUE TO BE SUCCESSFUL TOO.

PETER HUSTON (ECM GROUP TRADE PUBLISHERS): MR PATTEN SPOKE ABOUT NOT BACKING LOSERS. IT SEEMS THAT HONG KONG, IN TECHNOLOGY TERMS, HADN’T REALLY BACKED ANY REAL WINNERS IF YOU COMPARE HONG KONG TO TAIWAN OR SINGAPORE WHO HAVE BACKED SOME WINNERS, EVEN II THEY HAVE BACKED SOME LOSERS. DOES MR PATTEN THINK THAT MAYBE IN THE FUTURE HONG KONG CAN BACK SOME WINNERS AND PUT SOME MONEY IN MORE THAN JUST SUPPORT, ACTUALLY TO DEVELOP SOME HARD TECHNOLOGIES?

GOVERNOR: LET ME REFINE THAT REMARK. WHAT I THINK I SHOULD HAVE SAID WAS THAT GOVERNMENTS ARE BAD AT PICKING WINNERS. CERTAINLY, IN MY EXPERIENCE IN WESTERN EUROPE, MOST OF THE WINNERS PICKED BY GOVERNMENTS TURNED OUT TO BE PRETTY EXPENSIVE AND DIDN'T ALWAYS FINISH UP AT THE FRONT OF THE FIELD. I DON’T TH INK THAT HONG KONG CAN OR SHOULD BEHAVE IN JUST THE SAME WAY AS TAIWAN OR SINGAPORE. WE’VE MANAGED TO GO UP-MARKET TECHNOLOG I (’ALLY, WE’VE MANAGED TO INCREASE OUR ADDED VALUE, WE’VE MANAGED TO KEEP OUR COMPETITIVE EDGE IN THE LAST FEW YEARS, WITHOUT GOVERNMENT INVOLVING ITSELF IN THE SORT OF PROACTIVE INDUSTRIAL POLICY WHICH HAS BEEN TRIED, PERHAPS NECESSARILY, IN OTHER COMMUNITIES. AND HAS THAT BEEN UNSUCCESSFUL? WELL, THERE WAS - SOME OF YOU MAY HAVE SEEN IT - AN EXTREMEIO INTERESTING SURVEY, A COMPARATIVE STUDY DONE BY MIT OF THE SINGAPORE AND HONG KONG ECONOMISTS WHICH COMPARED USE OF CAPITAL, USE OF LABOUR, IN HONG KONG AND SINGAPORE AND INDICATED HOW MUCH MORE SUCCESSFULLY WE HAI) MANAGED OUR CAPITAL INVESTMENTS, HOW BIGGER OUR RETURN HAI) BEEN, THAN WAS THE CASE IN SINGAPORE.

I DON’T THINK THAT IT IS SENSIBLE FOR US TO PUT LARGE AMOUNTS OF TAXPAYERS’ MONEY INTO A PRO-ACTIVE INDUSTRIAL POLICE BUT I DO THINK IT IS SENSIBLE FOR US TO GIVE GREATER ASSISTANCE TO APPLIED RESEARCH AND DEVELOPMENT. I THINK IT IS IMPORTANT AND VALUABLE FOR US TO GIVE THE SORT OF SUPPORT WHICH I MENTIONED EARLIER, TO SOME FORMS OF TECHNOLOGICAL DEVELOPMENT, FOR EXAMPLE ENVIRONMENTAL TECHNOLOGY. BUT I THINK WE CAN BEST SECURE OUR POSITION BY BEING AN UP-MARKET, HIGH VALUE-ADDED BUSINESS SERVICES, FINANCING, DESIGN CENTRE, TELECOMMUNICATIONS CENTRE, FOR THE REGION, 1 THINK THAT IS HOW WE WILL MANAGE TO INCREASE OUR ECONOMIC IMPORTANCE, NOT BY APING WHAT HAS BEEN PERHAPS A NECESSARY INDUSTRIAL TOOL ELSEWHERE.

/MANUEL MORALES .......

MONDAY, MAY 17, 1993

4

MANUEL MORALES (PUERTO RICO): I WOULD LIKE TO ASK YOU, SIR - YOU ADDRESSED THE ISSUE OE ENVIRONMENT \NI) SPECIFICALLY THE WASTE DISPOSAL TECHNOLOGY THAT YOU WILL BE IMPLEMENTING AND WORKING WITH IN HONG KONG - COULD YOU EXPAND SOME COMMENTS ON THAT PARTICULAR SUBJECT PLEASE?

GOVERNOR: YES. FOR YEARS, WE HAVE POURED INDUSTRIAL AND HUMAN WASTE INTO OUR WATER SYSTEM AND INTO THE WATERS AROUND OUR SHORES WITH WHOLLY PREDICTABLE RESULTS AND NOW WE HAVE GOT TO PAY FOR THAT, WE’VE GOT TO CLEAN UP OUR WATER AND WE’VE GOT TO MAKE SURE IT REMAINS CLEAN. WE’VE LAUNCHED A PROGRAMME WHICH IS ESSENTIALLY IN TWO PARTS, ONE OF WHICH A DISCRETE PART CAN BE COMPLETED BEFORE 1997 AND THE OTHER OF WHICH I HOPE THE SUCCESSOR GOVERNMENT AFTER 1997 WILL CARRY THROUGH. OUR PART INVOLVES INVESTMENT OF ABOUT 7 BILLION IN A NETWORK OF NEW SEWERS AND SEWAGE TREATMENT STATIONS. IT IS A HUGE INVESTMENT BUT A VERY IMPORTANT ONE.

IT RAISES AN INTERESTING QUESTION OF COI RSE, NAMELY, THE EXTENT TO WHICH IT IS SUFFICIENT FOR US IN HONG KONG TO TAKE ON ENVIRONMENTAL PROBLEMS ON OUR OWN. THE ANSWER OF COURSE IS, IT IS NOT SUFFICIENT FOR US TO DO THESE THINGS ON OUR OWN, WE HA\E TO THINK REGIONALLY. AND INCREASINGLY, AS I SAID TO A CONFERENCE WITH SOME OF THE AUTHORITIES FROM GUANGDONG NOT VERY LONG AGO, WE WILL HAVE TO PLAN THESE THINGS AND INVEST WITH REGIONAL OBJECTIVES IN MIND. IF WE CLEAN UP THE WATERS AROUND HONG KONG BUT FIND THAT THEY ARE BEING POLLUTED IN THE YEARS AHEAD BY INDUSTRIAL EFFLUENT FLOWING DOWN FROM THE PEARL RIVER DELTA, IT WON’T HAVE BEEN THE MOST SENSIBLE WAY OF INVESTING OUR MONEY, SO WE HAVE TO WORK CLOSELY WITH OTHERS IN THE REGION TO MAKE SURE THAT WE TACKLE A REGIONAL PROBLEM SUCCESSFULLY, BUT THE FIRST BIG INVESTMENT HAS To START HERE IN HONG KONG.

MARCO LANDI (TEXAS INSTRUMENTS): THE THEME OF THIS CONFERENCE IS HIGH TECHNOLOGY AND PROFITABILITY. I WOULD LIKE TO ASK THIS QUESTION: HONG KONG INFLATION KEEPS AT A LEVEL OF 10%. THAT IS REALLY HIGHER THAN MANY OTHER PLACES AROUND HONG KONG. 1)0 YOU SEE ANY SPECIFIC ACTION THAT SHOULD BE TAKEN IN ORDER FOR HONG KONG TO BE STILL COMPETITIVE TO ATTACK THIS ISSUE? THANK YOU.

GOVERNOR: I, AS A FORMER POLITICIAN, CAME FROM EUROPE WHERE A NUMBER OF GOVERNMENTS OVER THE LAST YEAR HAVE BEEN WRECKED OR COME CLOSE TO BEING WRECKED BY THEIR COMMITMENT TO DRIVING DOWN INFLATION AND WE ALL KNOW THE POLITICAL COSTS THAT CAN BE PAID IN THAT VERY NECESSARY PROCESS. THE TROUBLE IS, IN MANAGING THE PROBLEM IN EUROPE, EUROPEAN POLITICIANS HAVE HAD TO COPE WITH HIGH EXPECTATIONS FROM THEIR FELLOW CITIZENS AND LOW ECONOMIC GROWTH RATES. HERE, WE DO HAVE A DIFFICULT INFLATION PROBLEM, AN INFLATION PROBLEM WHICH NONE OF US CAN BE COMPLACENT ABOUT BUT AN INFLATION PROBLEM WHICH HAS STRUCTURAL CAUSES, IN MY JUDGMENT, AND IS LARGELY A CONSEQUENCE OF SUPPLY-SIDE ISSUES.

ONE OF THE INSTRUMENTS THAT WOULD BE AVAILABLE, THOUGH WE MIGHT NOT WISH TO USE IT, WERE WE DEBATING THESE THINGS LN THE EUROPEAN CONTEXT, IS MONETARY POLICY. BUT IN HONG KONG, TO A DEGREE, WE HAVE OUR HANDS TIED ON MONETARY POLICY BECAUSE OF THE NECESSARY LINK BETWEEN OUR DOLLAR AND THE US DOLLAR. THAT IS A LINK WHICH IS GOING TO REMAIN AND MUST REMAIN, BECAUSE I WOULDN’T WANT TO SEE THE OCCASIONAL POLITICAL DISTURBANCES THAT WE HAVE OR POLITICAL DISAGREEMENTS THAT WE HAVE, TAKING THEIR. 'COLL ON OUR EXCHANGE RATE. THE LINK WITH THE US DOLLAR IS IMPORTANT TO US BU’I IT DOES RESTRICT THE AMOUNT TO WHICH WE CAN USE MONETARY POLICY AS A WEAPON IN CONTROLLING INFLATION.

/THE MAIN .......

MONDAY, MAY 17, 1993

- 5 -

THE MAIN REASONS FOR. OUR INFLATION ARE TO DO WITH OUR GEOGRAPHICAL, OUR PHYSICAL, POSITION. FIRST OF ALL, THERE IS A LIMIT TO THE AMOUNT OF LAND THAT WE HAVE, THOUGH RECLAMATION DOES A LITTLE TO HELP EASE THE PRESSURE THERE. SECONDLY AND EVEN MORE CONCERNING, WE HAVE LABOUR MARKET PROBLEMS WITH OUR PUBLISHED VACANCY FIGURES ALMOST TWICE THE SIZE, AT THE MOMENT, AS OUR PUBLISHED UNEMPLOYMENT FIGURES. UNEMPLOYMENT RUNS AT ROUNDABOUT 40,000. THE VACANCIES RUN AT ABOUT 70,000. THAT IS NOT A PROBLEM WHICH MOST COMMUNITIES ELSEWHERE IN THE WORLD ARE HAVING TO COPE WITH AT THE MOMENT. THERE ARE WORRIES IN THE COMMUNITY ABOUT THE IMPORTATION OF LABOUR TO MEET THOSE BOTTLENECKS, TO MEET SOME OF THOSE PROBLEMS, CONCERNS WHICH ARE ROOTED IN PEOPLE’S ANXIETIES ABOUT THE IMPACT ON WAGE RATES AND RELATED MATTERS. THERE ARE ANXIETIES THAT WE HAVE TO TRY TO COPE WITH AND THERE ARE ANXIETIES THAT WE HAVE TO TRY TO EDUCATE. WE ALSO HAVE TO DO MORE TO INVEST IN VOCATIONAL TRAINING AND RE-TRAINING IN ORDER TO OVERCOME LABOUR SUPPLY PROBLEMS. BUT IN MY JUDGMENT, THE BIGGEST PROBLEMS THAT WE HAVE ARE ON LAND SUPPLY AND PARTICULARLY LABOUR SUPPLY AREAS IN INCREASING INFLATION.

WE’VE MANAGED TO BRING INFLATION DOWN, WE ARE DETERMINED AS GOVERNMENT TO DO WHAT WE CAN BY NOT ALLOWING PUBLIC EXPENDITURE TO RISE BY MORE THAN THE RATE OF INCREASE IN OUR GNP. WE HAVE LARGE RESERVES AND SO FISCAL POLICY I THINK IS SET IN THE RIGHT DIRECTION. WE ARE DOING WHAT WE CAN ON THOSE SUPPLY SIDE PROBLEMS BUT IT’S NOT EASY TO COPE WITH OUR INFLATION FOR THE STRUCTURAL REASONS THAT I

MENTIONED. ONE O'l’HER TH I NG I SHOULD SAY IS THAT DESPITE OUR INTERNAL INFLATION RATE WE’VE MANAGED TO REMAIN COMPETITIVE. OUR EXPORT PRICES HAVE ONLY BEEN GOING UP BY ABOUT 1-1/2% A YEAR WHICH IS PRETTY GOOD BY ANYBODY’S RECKONING AND THAT IS OF COURSE PARTLY A CONSEQUENCE OF US MOVING MANUFACTURING INTO MAINLAND CHINA AND TAKING ADVANTAGE OF LABOUR SUPPLY AND LABOUR (OSTS COMPETITIVENESS IN MAINLAND CHINA. CLEARLY, HOW LONG WE CAN DO THAT IS AN INTERESTING QUESTION. SO WE HAVE TO GO ON BEARING DOWN ON INFLATION WHEREVER WE CAN.

QUESTION: I WILL ASK ONE QUESTION TO GOVERNOR PATTEN. IN 1997 HONG KONG SOVEREIGNTY IS RETURNED TO CHINA UNDER THE CONCEPT OF THE ONE COUNTRY TWO SYSTEMS. THEREFORE I WOULD LIKE To ASK, GOVERNOR, HOW YOU VISUALISE THE RELATIONSHIP BETWEEN THE TWO SYSTEMS, ESPECIALLY IN THE FIELD OF ECONOMIC DEVELOPMENT? HOW DO YOU VISUALISE, ACTUALLY, THE RELATIONSHIP BETWEEN THE TWO SYSTEMS? THANK YOU.

GOVERNOR: FIRST OF ALL AMBASSADOR, CT’S VERY MCE TO SEE YOU AGAIN AND TYPICALLY AND VERY COURTEOUSLY YOU’VE ASKED THE MILLION DOLLAR OR BILLION YEN QUESTION. ADAM SMITH WOULD HAVE DESCRIBED HIMSELF AS A MORAL PHILOSOPHER AND WROTE ABOUT POLITICAL ECONOMY AND THAT, I THINK, UNDERLINES AN EXTREMELY IMPORTANT POINT WHICH I WAS TRYING TO MAKE IN MY REMARKS EARLIER. THE REASON FOR OUR SUCCESS ISN’T SOLELY THAT WE ALLOCATE RESOURCES ACCORDING TO THE RULES OF THE CAPITALIST MODEL, WE ALSO ENJOY ALL THE VALUES AND THE FREEDOM OF AN OPEN PLURAL SOCIETY. WE ARE NOT A DEMOCRACY BUT WE ARE AN OPEN AND FREE AND TOLERANT COMMUNITY WHICH HAS ELEMENTS OF DEMOCRAt Y IN ITS MAKE-UP. NOW, WHEN OUR FRIENDS IN CHINA TALK ABOUT ONE COUNTRY, TWO SYSTEMS I HOPE THAT THEY UNDERSTAND THAT OUR SYSTEM GOES BEYOND A CAPITALIST MODEL. CERTAINLY, WHAT IS DESCRIBED IN THE JOINT DECLARATION GOES WELL BEYOND A MERE DESCRIPTION OF THE WAY AN ECONOMY MECHANISTICALLY WORKS. WHAT IS DESCRIBED IN THE JOINT DECLARATION IS OUR LIVING AND THRIVING COMMUNITY HERE TN WHICH WE TAKE A FREE PRESS AND THE RULE OF LAW FOR GRANTED.

/MY OWN ........

MONDAY, MAY 17, 1993

- 6 -

MY OWN BELIEF IS, THE NEARER WF GET TO 1997 THE MORE LIKELY IT IS THAT CHINESE OFFICIALS WILL UNDERSTAND THE CONTEXT OF OUR ECONOMIC SUCCESS, NOT LEAST BECAUSE THEIR OWN ECONOMIC’ SUCCESS - AND I MUST BE CAREFUL WHAT I SAY - WILL START TO CREATE A CONTEXT AS WELL. LET ME PUT THAT PERHAPS OVER-S1MPLY AND SAY THAT THIS IS NOT AN OBSERVATION ABOUT CHINA IN PARTICULAR, IT’S AN OBSERVATION ABOUT EVERYWHERE. ECONOMIC GROWTH INCREASES IN PERSONAL AFFLUENCE IN NET DISPOSABLE INCOME. INCREASES IN TRAVEL, IMPROVEMENTS IN EDUCATION, MORE KIDS BEING EDUCATED IN OTHER COUNTRIES, CELLULAR TELEPHONES, SATELLITE TV’S ALL PRODUCE EFFECTS WHICH AREN’ T JUST ECONOMIC’. ALL START TO SHAPE SOCIETY MUCH MORE THAN POLITICIANS DO, MUCH MORE THAN POLITICAL STATEMENTS DO. SO 1 HOPE THAT THE VALUES THAT HONG KONG REPRESENTS WILL BE REGARDED WITH GREATER UNDERSTANDING NEARER TO AND AFTER 1997 AND I ALSO HOPE THAT - AND I DON’T JUST SPEAK FOR THE IMMEDIATE REGION BUT I ALSO HOPE THAT MORE PLACES BECOME LIKE HONG KONG AS THE NEXT CENTURY UNFOLDS.

I HOPE I HAVE STATED THOSE ARGUMENTS JUDICIOUSLY AND CAREFULLY. I HAVE TO PICK MY WAY BETWEEN MINEFIELDS BUT 1 AM CONFIDENT THAT, PROVIDED IN HONG KONG WE HAVE THE SELF-CONFIDENCE TO BELIEVE IN OUR OWN SYSTEM, OUR SYSTEM WILL SURVIVE AND PROSPER IN A SUCCESSFUL AND PROSPERING CHINA IN THE 2 1ST CENTURY.

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UNEMPLOYMENT AND UNDEREMPLOYMENT FIGURES FOR JANUARY - MARCH

THE SEASONALLY ADJUSTED UNEMPLOYMENT RATE FOR JANUARY - MARCH 1993 WAS 2.3%, AND THE UNDEREMPLOYMENT RATE WAS 1.6%, ACCORDING TO THE LATEST LABOUR FORCE STATISTICS RELEASED TODAY (MONDAY) BY THE CENSUS AND STATISTICS DEPARTMENT.

THE PROVISIONAL SEASONALLY ADJUSTED UNEMPLOYMENT RATE FOR THE PERIOD FEBRUARY - APRIL 1993 WAS 2.4%, WHILE THE PROVISIONAL UNDEREMPLOYMENT RATE WAS 1.8%.

THE SLIGHT EDGING UP OF BOTH THE UNEMPLOYMENT AND UNDEREMPLOYMENT RATES IN THE THREE MONTHS FEBRUARY TO APRIL IS LIKELY TO BE TEMPORARY, AS THE ECONOMY IS EXPECTED TO MAINTAIN A STEADY GROWTH THEREBY SUSTAINING THE OVERALL DEMAND FOR MANPOWER.

OVERALL, THE UNEMPLOYMENT AND UNDEREMPLOYMENT SITUATION IN THE MOST RECENT MONTHS CAN STILL BE REGARDED AS LARGELY STABLE.

DURING THE PERIOD JANUARY - MARCH 1993, THE NUMBER OF UNEMPLOYED PERSONS, ADJUSTED FOR VARIATIONS IN THE NUMBER 01 FIRSTTIME JOB-SEEKERS, WAS ESTIMATED AT 66,600, WHILE THE NUMBER OF UNDEREMPLOYED PERSONS WAS ESTIMATED AT 46,100.

THE UNEMPLOYMENT AND UNDEREMPLOYMENT STATISTICS WERE OBTAINED FROM A CONTINUOUS GENERAL HOUSEHOLD SURVEY CONDUCTED BY THE CENSUS AND STAT ISTICS DEPARTMENT.

/THE SURVEY .......

MONDAY, MAY 17, 1993

THE SURVEY FOR JANUARY - MARCH 1993 COVERED A QUARTERLY SAMPLE OF SOME 12,100 HOUSEHOLDS OR 41,800 PERSONS, SELECTED SCIENTIFICALLY TO REPRESENT THE LAND-BASED CIVILIAN NON-INSTITUT1ONAL POPULATION IN HONG KONG.

RELEVANT DATA WAS OBTAINED IN THE SURVEY BY INTERVIEWING EACH INDIVIDUAL MEMBER AGED 15 AND ABOVE IN THE HOUSEHOLDS SAMPLED.

IN THE SURVEY, THE DEFINITIONS USED IN MEASURING UNEMPLOYMENT AND UNDEREMPLOYMENT FOLLOW CLOSELY THOSE RECOMMENDED BY THE INTERNATIONAL LABOUR ORGANISATION.

DETAILED ANALYSIS OF LABOUR FORCE CHARACTERISTICS IS GIVEN IN THE REPORT ON THE GENERAL HOUSEHOLD SURVEY WHICH IS PUBLISHED FOUR TIMES A YEAR. THE NEXT REPORT COVERING THE QUARTER ENDING MARCH 1993 WILL BE AVAILABLE FROM THE GOVERNMENT PUBLICATIONS CENTRE BY THE END OF NEXT MONTH.

---------0-----------

AIDS COUNCIL APPROVES 36 CLAIMS FOR EX-GRAT1A PAYMENTS *****

THE COUNCIL FOR THE AIDS TRUST FUND TODAY (MONDAY) APPROVED 36 APPLICATIONS FOR EX-GRATIA PAYMENTS TO PATIENTS INFECTED BY HIV THROUGH TRANSFUSION OF BLOOD AND BLOOD PRODUCTS IN HONG KONG PRIOR TO AUGUST 1985.

THE AMOUNT OF PAYMENT TOTALS OVER $20 MILLION.

"EACH CASE HAS BEEN CAREFULLY EXAMINED AND VALIDATED BY THE COUNCIL AND ITS SUB-COMM1TTEE,” SAID COUNCIL CHAIRMAN, PROFESSOR DAVID TODD.

OF THE 36 APPLICATIONS, TWO WERE FROM MARRIED PERSONS WITH DEPENDENT CHILDREN, ONE FROM A PATIENT WHO IS MARRIED BUT WITHOUT DEPENDENT CH ILDREN AND 27 WERE FROM SINGLE PERSONS, OF WHOM EIGHT ARE UNDER THE AGE OF 18.

THE REMAINING SIX WERE FROM FAMILIES OF PATIENTS WHO HAVE ALREADY DIED.

THE COUNC 1 I. WAS ESTABLISHED I MM I-1) I ATELY FOLLOWING THE

LEGISLATIVE COUNCIL’S APPROVAL OF FUNDS ON APRIL 16 THIS YEAR.

THE LEVELS OF PAYMENT TO HE MADE TO ELIGIBLE CLAIMANTS APPROVED BY THE COUNCIL ARE AS FOLLOWS:

(A) FOR THE DIRECTLY INFECTED:

I) MARRIED W] I'll DEPENDENT CHILDREN $1,000,000

II) MARRIED WITHOUT DEPENDENT CHILDREN $ 750,000

III) SINGLE $ 600,000

/(B) FOR AN ..........

MONDAY, MAY 17, 1993

- 8 -

(B) FOR AN INFECTED SPOUSE OR CHILD OF THE ABOVE $ 300,000

(C) FOR THE FAMILY OF A VICTIM WHO HAS DIED

AND NOT ELIGIBLE FOR ANY OF THE ABOVE $ 300,000

PROF TODD SAID HE WAS DELIGHTED BY THE SPEED IN WHICH GOVERNMENT HAD ACTED IN PROVIDING SPECIAL RELIEF TO THE PATIENTS CONCERNED.

HE ALSO THANKED THE PATIENTS’ ATTENDANT DOCTORS FOR THEIR ASSISTANCE IN EXPEDITING THE VALIDATION OF APPLICATIONS.

THE SECRETARY OF THE COUNCIL WILL BE CONTACTING THE APPLICANTS TO ARRANGE PAYMENT IN THE NEXT COUPLE OF DAYS.

PROF TODD CALLED ON THOSE WHO HAD NOT YET PUT IN THEIR APPLICATIONS TO CONTACT THE SECRETARY ON TEL 810 2123.

’’THERE IS NO DEADLINE FOR APPLICATIONS,” HE STRESSED.

MEANWHILE, THE COUNCIL IS AWARE THAT A NUMBER OF VOLUNTARY ORGANISATIONS ARE PLANNING PROJECTS TO PROVIDE MEDICAL/SUPPORT SERVICES FOR HIV-PATIENTS AND TO EDUCATE PUBLIC ON PREVENTION OF THE DISEASE.

PROF TODD SAID APPLICATIONS FOR FUNDS IN SUPPORT OF THESE PROJECTS WERE WELCOME AND HE ENCOURAGED THESE ORGANISATIONS TO PUT FORWARD THEIR APPLICATIONS SOONEST.

---------0-----------

ANOTHER PROSPEROUS YEAR FOR BANKING SYSTEM ******

THE HONG KONG BANKING SYSTEM ENJOYED ANOTHER. PROSPEROUS YEAR IN 1992, DUE LARGELY TO THE ABILITY OF HONG KONG BANKS TO PARTICIPATE, DIRECTLY OR INDIRECTLY, IN THE ECONOMIC’ EXPANSION IN SOUTHERN CHINA,' I Ills DEPUTY CH I EF EXECUTIVE (BANKING) OF THE HONG KONG MONETARY AUTHORITY, MR DAVID CARSE, NOTED IN AN ANNUAL REPORT.

HE PRESENTED THE REPORT TO THE GOVERNOR-IN-COUNCTL TN HIS FORMER CAPACITY AS THE COMM ISSI ONER OF BANKING.

THE REPORT, WHICH WAS PUBLISHED TODAY (MONDAY), REVIEWS THE PERFORMANCE OF THE BANKING INDUSTRY, SUPERVISORY DEVELOPMENTS AND THE WORK OF THE OFFICE OF THE COMMISSIONER OF BANKING.

IT PRIMARILY COVERS MATTERS THAT OCCURRED LAST YEAR WHEN THE COMMISSIONER OF BANKING WAS STILL RESPONSIBLE FOR THE SUPERVISION OF THE BANKING SYSTEM IN HONG KONG.

ON APRIL I THIS YEAR, THE OFFICE OF THE COMM ISSTONER OF BANKING MERGED WITH THE OFFICE Ob THE EXCHANGE FUND TO FORM THE HONG KONG MONETARY AUTHORITY.

/SPEAKING AT .......

MONDAY, MAY 17, 1993

- 9 -

SPEAKING AT A PRESS CONFERENCE, MR CARSE WELCOMED THE FORMATION OF THE HONG KONG MONETARY AUTHORITY WHICH HE DESCRIBED AS AN IMPORTANT MILESTONE IN THE HISTORY OF MONETARY MANAGEMENT IN HONG KONG.

MR CARSE POINTED OUT THAT ALTHOUGH THE OUTLOOK l‘OR IT’ B'm-’NG 1993 REMAINED FAVOURABLE, INSTITUTIONS SHOULD MAlLi

!. ON OPERATING EXPENSES AND ON CREDIT STANDARDS TO

> BAD DEBT PROVISIONS.

>AST YEAR THE COMMISSIONER OF BANKING TOOK FURTHER STEPS TO , SH A SUPERVISORY FRAMEWORK WHICH WAS FULLY IN LINE WITH I . in. iTTONAL STANDARDS.

NEW LEGISLATION WAS ENACTED TO PROVIDE ENHANCED COMMISSION REPORTS FROM AUDITORS ON' VARIOUS ASPECTS OF INSTITUTIONS’ INTERNAL CONTROL SYSTEMS.

POWERS TO

AUTHORISED

IN ADDITION, THE AUTHORISATION CRITERIA FOR ALL THREE CATEGORIES OF AUTHORISED INSTITUTIONS WERE REVISED TO INCORPORATE THE MINIMUM STANDARDS FOR SUPERVISION OF INTERNATIONAL BANKS AS RECOMMENDED BY THE BASLE COMMITTEE.

MR CARSE NOTED THAT A NUMBER OF FOREIGN BANKS CONTINUED TO SHOW STRONG INTEREST IN COMING TO HONG KONG.

"THE INCREASING ROLE OF HONG KONG AS A CHANNEL FOR THE TRADE AND FINANCIAL FLOWS BETWEEN CHINA AND THE RIST OF THE WORLD HAVE FURTHER STRENGTHENED ITS POSITION AS AN INTERNATIONAL FINANCIAL CENTRE," HE SAID.

IN 1992, FIVE BANKING LICENCES AND FOUR RESTRICTED BANKING LICENCES WERE GRANTED. AT Till- SAME LIME, THERE WAS CONTINUED RATIONALISATION IN THE DEPOSIT-TAKING COMPANIES SECTOR.

MR CARSE ALSO DESCRIBED THE EFFORTS 01 THE COMMISSIONER’S OFFICE TO PERSUADE ALL AUTHORISED INSTITUTIONS TO OBSERVE THE VOLUNTARY 70 PER (’ENT LOAN TO VALUATION RATIO FOR RESIDENTIAL MORTGAGES.

"REFLECTING THIS, THE RATE OF GROWTH IN MORTGAGE LENDING EASED DURING THE YEAR.

"HOWEVER, INSTITUTIONS WERE ADVISED NOT TO RELAX THEIR CAUTIOUS LENDING STANCE SO AS TO AVOID A RESURGENCE OF SPECULATIVE ACTIVITIES,” HE SAID.

ON THE LIQUIDATION OF THE BANK OF CREDIT AND COMMERCE HONG KONG LTD, MR CARSE NOTED THAT A SCHEME OF ARRANGEMENT WAS APPROVED IN SEPTEMBER 1992 WHEREBY ALL SMALL DEPOSITORS, OWED $100,000 OR LESS, WOULD BE PAID IN FULL.

LARGE CREDITORS WOULD RANK FOR DIVIDENDS THROUGHOUT THE LIQUIDATION.

"THE AMOUNT OF THE FINAL DIVIDEND, WHICH HAS BEEN ESTJMAT ■ AT 70 PER CENT - 75 PER CENT, COMPARES FAVOURABLY WITH THE RI.'T' > O BANK OF CREDIT AND COMMERCE DEPOSITORS ELSEWHERE,” HE SAID.

/HE NOTED .......

MONDAY, MAY 17, 1993

- 10 -

HE NOTED THAT CONSULTATION ON A SCHEME FOR FAILED TO ELICIT WIDESPREAD PUBLIC SUPPORT.

AS A RESULT, THE GOVERNMENT DECIDED TO ALTERNATIVE PROPOSAL TO GIVE SMALL DEPOSI TORS LIQUIDATION, HE SAID.

DEPOSIT INSURANCE

PROCEED WITH AN

PRIORITY IN A

THE REPORT IS AVAILABLE FROM THE GOVERNMENT PUBLICATIONS CENTRE ON THE GROUND FLOOR, GPO BUILDING, CONNAUGHT PLACE, CENTRAL AT $30 A COPY.

---------0-----------

SRC MEETS MUSIC OFFICE STAFF REPRESENTATIVES * * * ♦ ♦

THE SECRETARY FOR RECREATION AND CULTURE, MR JAMES SO, THIS (MONDAY) AFTERNOON ME'T W1 TH REPRESENTATIVES OF THE GOVERNMENT MUSK OFFICER GRADE STAFF ASSOCI ATION OVER THE FUTURE OF THE MUS IU OFFICE.

MR SO EXPLAINED CLEARLY TO 'THE REPRESENTATIVES DUR I NG THE MEETING THAT PROPOSALS IN THE CURRENI ARTS POLICV REVIEW REPOR'I WERT: NOT TO DISBAND THE MUSK OFFICE, BIT RATHER TO TRANSFER ITS FUNCTIONS AND ACTIVITIES 'TO 'THE NON-GOVERNMENT SECTOR.

THE AIM OF THE PROPOSALS WAS TO MAINTAIN THE EXISTING LEVEL OF SERVICES.

"THEY ARE NOT PROPOSALS TO SAVE MONEY,” MR SO ADDED.

HE EXPLAINED THAT THE REPORT WAS STILL UNDERGOING CONSULTATION AND NO DECISION WOULD BE TAKEN UNTII ALL PI'BI.K COMMENTS, INC LUDING THOSE OF THE STAFF ASSOCIATION, HAD BEEN THOROI GHIA ANALYSED AND FIRM PROPOSALS SUBMITTED TO THE EXECUTIVE COUNC II (EXCO).

AT THE MEETING, 'THE REPRESENTATIVES ALSO RAISED THE QUESTION OF THEIR FUTURE PROSPECTS SHOULD THE PROPOSAL TO TRANSFER TO THE NON-GOVERNMENT SECTOR BE IMPLEMENTED.

MR SO PROMISED THE REPRESENTATIVES HE WOULD GIVE THE STAFF ASSOCIATION’S POINTS SERIOUS CONSIDERATION WHEN CONSIDERING FIRM PROPOSALS TO EXCO.

--------0-----------

/Il ........

MONDAY, MAY 17, 1993

- 11 -

ADVICE ON OVERSEAS STUDY *****

PARENTS WISHING TO SEND THEIR CHILDREN OVERSEAS TO STUDY SHOULD CONSULT NON PROFIT-MAKING ORGANISATIONS SUCH AS THE CAREERS AND GUIDANCE SERVICES SECTION OF THE EDUCATION DEPARTMENT AND THE BRITISH COUNCIL.

GIVING THE ADVICE, A SPOKESMAN FOR THE EDUCATION DEPARTMENT SAID TODAY (MONDAY) THAT PARENTS SHOULD NOT BE HASTY IN APPLYING FOR THEIR CHILDREN TO PURSUE PRE-UN IVERSITV, COMMERCE OR TECHNICAL COURSES IN PRIVATE INSTITUTIONS OVERSEAS.

"THEY SHOULD BE ESPECIALLY CAREFUL IN CASES WHERE THEY WOULD BE REQUESTED TO DEPOSIT A LARGE DOWNPAYMENT AS REGISTRATION OR TUITION FEES,” THE SPOKESMAN EXPLAINED.

IT WOULD BE ADVISABLE’ To CONSULT WITH NON-PROFIT MAKING ORGANISATIONS, INCLUDING THE INSTITUTE OF INTERNATIONAL EDUCATION, THE EDUCATION ADVISORY SERVICE OF THE HANG SENG BANK OR THE CONSULATES AND COMM ISSIONS OF THE COUNTRIES CONCERNED.

"PARENTS ARE ALSO ADVISED TO FIND OUT WHETHER THEIR CHILDREN WILL BE FREE TO MOVE TO ANOTHER I NSTI TUT I ON IN THE SAMI- COUNTRY AND IN WHAT (’ IRCUMSTANCES ANY FEES PAID WOULD BE REFUNDABLE,' HE SAID.

---------0-----------

CHIEF JUSTICE PAYS TRIBUTE TO SIR GEOFFREY BRIGGS *****

THE CHIEF JUSTICE, SIR TI LIANG YANG, WILL PAY TRIBUTE TO THE LATE SIR GEOFFREY BRIGGS, A FORMER CHIEF JI STIC] 01 HONG KONG AT A CEREMONY' AT 9.15 AM ON FRIDAY (MAY 21) IN COURT NO. I, SUPREME COURT.

SIR GEOFFREY DIED IN ENGLAND ON MAY 12.

VICE-PRESIDENT OF COURT OF APPEAL, MR JUSTICE SILKE, HIGH COURT JUDGE MR JUSTICE LIU, DISTRICT JUDGE DANIELL AND ('ll I E F MAGISTRATE MR G P MUTTRIE, WILL SUE ON THE BENCH WI TH Till CHIEF JUSTICE DURING THE CEREMONY.

SIR GEOFFREY WAS BORN ON MAY 6, 19 I I AND WAS EDUCATED AT OXFORD, ENGLAND. HE WAS CALLED TO THE BAR AT GRAY’S INN IN 1939.

IN 1962/65, SIR GEOFFREY WAS CHIEF JUSTICE IN THE WESTERN PACIFIC. HF JOINED THE HONG KONG JUDI( I ARY AS \ PUISNE JUDGE IN 1965, AND WAS APPOINTED CHIEF JUSTICE IN 1973. HE RETIRED ON AUGUST 27, 1979.

- - 0 - -

/12 .......

MONDAY, MAY 17, 1993

12 -

WATER STORAGE FIGURE * * * *

STORAGE IN HONG KONG’S RESERVOIRS AT 9 AM TODAY (MONDAY) STOOD AT 52.4 PER CENT OF CAPACITY OR 307.156 MILLION CUBIC METRES.

THIS TIME LAST YEAR THE RESERVOIRS CONTAINED 316.077 MILLION

CUBIC METRES OF WATER, REPRESENTING 53.9 PER (’ENT OF CAPAC ITY.

------0--------

FRESH WATER CUTS IN YAU MA TEI, SAN PO KONG * * * * *

FRESH WATER SUPPLY TO SOME PREMISES IN YAU MA TEI AND SAN PO KONG WILL GO OFF FROM II PM ON WEDNESDAY (MAY 19) TO 6 AM THE NEXT DAY TO FACILITATE WASTE DETECTION WORK ON WATER MAINS.

THE SUSPENSION WILL AFFECT ALL THE PREMISES BOUNDED BY RECLAMATION STREET, KANSU STREET, CANTON ROAD AND NING PO STREET IN YAU MA TEI AS WELL AS THOSE BOUNDED BY CHOI HUNG ROAD, PRINCE EDWARD ROAD EAST, KING TAI STREET AND TSEUK LUK STREET IN SAN PO KONG.

------0-------

EXCHANGE FUND NOTES * * * TENDER DATE PAPER ON OFFER ISSUE NUMBER AMOUNT APPLIED AMOUNT ALLOTTED AVERAGE YIELD ACCEPTED HIGHEST YIELD ACCEPTED PRO RATA RATIO AVERAGE TENDER YIELD 0 - : TENDER RESULTS * * 17 MAY 93 EF NOTES 2505 HKD1.694 MN HKD500 MN 99.65 (3.97) 99.65 (3.97) ABOUT 62 PCT 99.42 (4.10) /13

*

MONDAY, MAY 17, 1993

13

HONG KONG GOVERNMENT EXCHANGE FUND MON EY MA R K ET () P E R AT IONS t ♦ ♦ ♦

$ MILLION

OPENING BALANCE IN THE ACCOUNT 1,430

REVERSAL OE LAF +720

BALANCE AFTER REVERSAL OF LAI- 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -80

CLOSING BALANCE IN THE ACCOUNT 2,070

LAF RATE 2.00 BID/4.00 OFFER TW1 112.2 *+0.0* 17.5.93

HONG KONG GOVERNMENT EXCHANGE FUND

EF TERMS BILLS YIELD TERM ISSUE HONG KONG ( OUPON GOVERNMENT PRICE BONDS YIELD

1 WEEK 3.17 PCT 15 MONTHS 2408 1 . 375 101.14 3.46

1 MONTH 3.11 PCI’ 18 MONTHS 24 1 1 1 .625 101.48 3.63

3 MONTHS 3.00 PCT 21 MONTHS 2502 4.75 101.60 3.83

6 MONTHS 3.10 PCT 24 MONTHS 2505 3.7 5 99.65 3.97

12 MONTHS 3.27 PCT

TOTAL TURNOVER OF BILLS AND BONDS - 10,594 MN

CLOSED 17 MAY 1993

- - 0 - -

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

TUESDAY, MAY 18, 1993

CONTENTS PAGE NO.

LOW INTEREST SANDWICH CLASS HOUSING LOAN BEING CONSIDERED ... 1

GOVERNMENT OFFERS CONDOLENCES TO STEPHEN CHEONG'S FAMILY .... 2

FINANCIAL SECRETARY SADDENED BY STEPHEN CHEONG'S DEATH ....... 3

INDEPENDENT INVESTIGATION INTO TRAIN SEPARATION COMPLETED ... 3

BEDSPACE APARTMENTS BILL TO BE INTRODUCED .................... 4

MANUFACTURING ORDERS-ON-HAND IN MARCH ........................ 6

OWNER GIVEN MAXIMUM FINE TWICE FOR NEGI,ECTING WORK SAFETY ... 7

ANTI-POLLUTION PROSECUTION CASES RELEASED .................... 8

CONTRACT FOR CHINA WATER ELECTRICAL WORKS AWARDED ............ 14

NEW 6TH FORM CURRICULUM LEAFLET .............................. 15

TWO MOTION DEBATES ON LEGCO AGENDA ........................... 15

EXHIBITION TO PROMOTE JOBS FOR DISABLED ...................... 16

HONG KONG GOVERNMENT EXCHANGE FUND TENDER RESULTS .......17

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ..

18

TUESDAY, MAY 18, 1993

LOW INTEREST SANDWICH CLASS HOUSING LOAN BEING CONSIDERED *****

THE GOVERNMENT IS CONSIDERING USING THE $2 BILLION PROPOSED FOR THE QUICK START SCHEME OF SANDWICH CLASS HOUSING TO SET UP A LOW-INTEREST LOAN FUND WHICH WOULD BENEFIT MORE PEOPLE.

THIS WAS REVEALED BY THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON WHEN HE BRIEFED A JOINT MEETING OF THE LEGCO’S HOUSING AND LANDS AND WORKS PANEI,S TODAY (TUESDAY).

"THE PREFERRED OPTION HAS BEEN ARRIVED AT AFTER CAREFUL CONSIDERATION OF THE MANY VIFWS PUT FORWARD ON HOW BEST TO USE THE $2 BILLION," SAID MR EASON.

THE LOW-INTEREST LOAN OPTION IS MORE COST EFFECTIVE AND FAJR BECAUSE IT WOULD ENABLE A ROLLING FUND BE SEI' UP TO BENEFIT MORE PEOPLE BY RECOUPING THE SUBSIDY FROM SUCCESSFUL APPLICANTS. IT MAY BECOME PART OF THE LONG-TERM SCHEME AS AN OPTION FOR POTENTIAL BENEFICIARIES.

SUCCESSFUL APPLICANTS WILL BE PROVIDED WITH IMMEDIATE RELIEF TO HELP MEET THE DOWNPAYMENT OF A FLAT THEY WISH TO RUY ON THE MARKET. THEY WILL BE GIVEN A LOW-INTEREST LOAN IN THE ORDER OF 20-25% OF THE SALE PRICE OF A FLAT AND UP TO A LIMIT OF $500,000.

THE REPAYMENT OF A SANDWICH CLASS HOUSING LOAN BY INSTALMENT WILL ONLY BEGIN IN THE FOURTH YEAR WHEN A BENEFICIARY’S FINANCIAL POSITION HAS IMPROVED.

THE MAIN PROPOSED ELIGIBILITY (RITERI A FOR SANDWICH CLASS HOUSING ASSISTANCE ARE AS FOLLOWS:

* THE APPLICANT MUST HAVE HAD XT LEAST SEVEN YEARS CONTINUOUS

RESIDENCE IN HONG KONG AND BE WITHIN THE AGE OF 30-45,

* TOTAL FAMILY INCOME MUST BE WITHIN THE RANGE $20,001 $40,000 PER MONTH,

* EACH APPLICATION MUST INCLUDE AT LEAST THREE FAMILY MEMBERS. PREFERENCE WILL BE GIVEN To MARRIED (DUPLE AND SINGLE PARENT (IN THAT ORDER) WHO HAVE IWO OR MORE CHILDREN.

* EACH APPLICANT MAY ONLX SUBMIT ONE APPLICATION,

* ALL PERSONS INCLUDED IN \N APPLICATION MUST NOT HAVE HAD ANY DOMESTIC PROPERTY REGISTERED IN THEIR NAMES IN HONG KONG WITHIN 24-MONTH PERIOD IMMFDI A'TF.LY BEFORE AN APPLICATION IS SUBMITTED,

/♦ THE APPLICANT ........

TUESDAY, MAY 18, 1993

2

* THE APPLICANT AND HIS FAMILY MUST HE LIVING IN PRIVATE ACCOMMODATION,

» RESALE OF A FLAT WITHIN THE FIRST THREE YEARS WILL ONLY BE PERMITTED UPON REPAYMENT OF THE LOAN IN FULL PLUS ANY GAIN IN PROPERTY VALUE.

"THE IMPLEMENTATION DETAILS WILL BE PUT TO THE GOVERNOR. IN COUNCIL AS SOON AS POSSIBLE," SAID MR EASON, "WE HOPE TO LAUNCH THE SCHEME IN SUMMER. THE FIRST BATCH OF BENEFICIARIES SHOULD NUMBER ABOUT 1,000. BUT WE WILL REVIEW THE TIMING AND NUMBER OF THE SECOND BATCH BY TAKING INTO ACCOUNT RESULTS OF THE FIRST BATCH."

--------0-----------

GOVERNMENT OFFERS CONDOLENCES TO STEPHEN CHEONG’S FAMILY *****

THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN AND THE CHIEF SECRETARY, SIR DAVID FORD, OFFER THEIR DEEP CONDOLENCES TO THE FAMILY OF MR STEPHEN CHEONG WHO PASSED AWAY IN HOSPITAL THIS (TUESDAY) MORNING.

SPEAKING TO REPORTERS BEFORE THE EXECUTIVE COUNCIL MEETING, MR PATTEN SAID: "I WAS VERY SADDENED TO HEAR THE NEWS THIS MORNING ABOUT THE DEATH OF ONE OF OUR FOREMOST LEGISLATORS AND REPRESENTATIVES OF INDUSTRIES, STEPHEN CHEONG.

"OBVIOUSLY, I AM SURE LIKE THE REST OF THE COMMUNITY I’D LIKE TO OFFER MY CONDOLENCES AND SYMPATHY TO HIS WHOLE FAMILY. IT’S OBVIOUSLY AND EXTRAORDINARILY DISTRESSING TIME FOR THEM BUT I HOPE THEY WILL BE AT LEAST BUOYED UP TO SOME EXTENT BY THE SYMPATHY OF THE ENTIRE COMMUNITY."

SIR DAVID ALSO SAID MR CHEONG HAD MADE A TREMENDOUS CONTRIBUTION TO HONG KONG ON VARIOUS FRONTS.

"IN TERMS OF HIS PUBLIC SERVICE, HIS CONTRIBUTION TO THE LEGISLATIVE COUNCIL FOR 12 YEARS, IN THE FIELD OF EDUCATION - HE WAS A KEEN SUPPORTER OF THE POLYTECHNIC AND THE THIRD UNIVERSITY AND HIS CONTRIBUTION TO INDUSTRIES THROUGH THE MANY BOARDS ,AND ADVISORY COMMITTEES HE HAD SERVED ON.

"HE WILL BE SADLY MISSED...I’D LIKE TO SEND MY DEEP CONDOLENCES TO HIS WIFE AND HIS CHILDREN. HE’S A GREAT LOSS,” SIR DAVID SAID.

SENIOR MEMBER OF THE EXECUTIVE COUNCIL, BARONESS DUNN WAS ALSO SADDENED BY THE NEWS.

"I’VE KNOWN AND WORKED WITH HIM FOR MORE THAN 20 YEARS. HE HAD MADE TREMENDOUS CONTRIBUTION TO HONG KONG," SHE SAID.

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/3 ........

TUESDAY, MAY 18, 1993

- 3 -

FINANCIAL SECRETARY SADDENED BY STEPHEN CHEONG’S DEATH

*****

THE FINANCIAL SECRETARY, MR HAMISH MACLEOD, TODAY (TUESDAY) EXPRESSED HIS SORROW AT THE DEATH OF MR STEPHEN CHEONG.

HE NOTED THAT MR CHEONG HAD MADE A KEY CONTRIBUTION OVER MANY YEARS TO THE TRADE AND INDUSTRY SECTORS BY CHAMPIONING THEIR INTERESTS BOTH LOCALLY AND OVERSEAS.

"MR CHEONG HAD ALSO SERVED IN MANY OTHER AREAS OF PUBLIC SERVICE, MAINLY THROUGH ACTIVE MEMBERSHIP OF NUMEROUS BOARDS AND ADVISORY COMMITTEES.

"I PERSONALLY HAD THE BENEFIT OF HIS ADVICE IN THE TEXTILES ADVISORY BOARD, AND LATER IN THE INDUSTRY ft TECHNOLOGY DEVELOPMENT COUNCIL.

"HE WAS ALSO OF COURSE A DISTINGUISHED CHAIRMAN OF THE INDUSTRIAL ESTATES CORPORATION. HE WILL BE VERY SADLY MISSED," MR MACLEOD SAID.

THE FINANCIAL SECRETARY EXPRESSED HIS DEEP SYMPATHY TO MR CHEONG’S FAMILY.

--------0-----------

INDEPENDENT INVESTIGATION INTO TRAIN SEPARATION COMPLETED

*****

THE GOVERNMENT TODAY (TUESDAY) RELEASED THE FINDINGS OF AN INDEPENDENT INVESTIGATION CONDUCTED BY THE DEPUTY CHIEF INSPECTING OFFICER OF THE BRITISH RAILWAY INSPECTORATE, MR ALAN COOKSEY, INTO THE MTR TRAIN UNCOUPLING INCIDENT LAST MONTH.

SPEAKING AT A PRESS CONFERENCE, MR COOKSEY CONFIRMED THAT THE MTRC HAD CORRECTLY IDENTIFIED THE CAUSE OF THE UNCOUPLING.

THE ’MOUTHPIECE’ FROM THE COUPLING DEVICE ON ANOTHER TRAIN HAD BECOME DETACHED AND HAD JAMMED BETWEEN THE COUPLERS OF THE 5TH AND 6TH CARS OF THE INCIDENT TRAIN ON THE MORNING OF APRIL 27.

THIS LED TO A REDUCTION IN THE EFFECTIVENESS OF THE MECHANICAL CONNECTION BETWEEN THE TWO COACHES, AND THEIR SUBSEQUENT SEPARATION.

HE EMPHASISED THAT THE PROBABILITY OF THE CHAIN OF EVENTS WHICH LED TO THE TRAIN SEPARATION WAS EXTREMELY LOW.

"CONSEQUENTLY, THE PROBABILITY OF A SECOND INCIDENT OCCURRING IS INSIGNIFICANTLY LOW," HE CONCLUDED.

/MR COOKSEY .......

TUESDAY, MAY 18, 1993

MR COOKSEY CONSIDERED THAT THE MEASURES TAKEN BY MTRC IMMEDIATELY AFTER THE INCIDENT TO SAFEGUARD AGAINST ANY REPETITION WHILE LONGER TERM ACTION WAS BEING CONSIDERED, WERE BOTH RESPONSIBLE AND SUFFICIENT.

HE REMINDED THE HONG KONG PUBLIC THAT MTRC HAS AN EXCELLENT SAFETY RECORD. HE DID NOT CONSIDER THAT THERE ARE ANY SERIOUS DEFICIENCIES IN THE MTR OPERATION.

NEVERTHELESS, IN ORDER TO MAINTAIN HIGH LEVELS OF SAFETY THROUGH CONTINUAL IMPROVEMENTS, HE HAS RECOMMENDED THAT THE MTRC SHOULD -

* CONSIDER THE PROVISION OF A SIMPLE BUT ROBUST TRAIN SEPARATION INDICATOR FOR. THE TRAIN DRIVER;

* PROCEED WITH ITS PROPOSED DETAILED HAZARD ANALYSIS OF THE COUPLER TO ESTABLISH ANY AREAS OF RISK NOT SO FAR IDENTIFIED; AND

* REVIEW AND FINE-TUNE THE DIVISION OF RESPONSIBILITIES BETWEEN TRAIN OPERATORS AND CONTROL ROOM STAFF.

A GOVERNMENT SPOKESMAN TODAY THANKED MR COOKSEY FOR COMPLETING HIS INVESTIGATION SO PROMPTLY.

"HIS RECOMMENDATIONS HAVE BEEN FULLY ACCEPTED AND ARE BEING FOLLOWED UP BY THE MTRC.”

"TO MONITOR PROGRESS IN THE IMPLEMENTATION OF THE RECOMMENDED MEASURES, MR COOKSEY WILL RETURN TO HONG KONG IN SEPTEMBER,” HE SAID.

- - 0 - -

BEDSPACE APARTMENTS BILL TO BE INTRODUCED * * * * *

THE BEDSPACE APARTMENTS BILL, WHICH PROVIDES FOR A LICENSING SCHEME TO REGULATE THE FIRE AND BUILDING SAFETY OF BEDSPACE APARTMENTS, WILL BE INTRODUCED INTO THE LEGISLATIVE COUNCIL FOR FIRST READING ON JUNE 2.

ANNOUNCING THIS TODAY (TUESDAY), A SPOKESMAN FOR THE CITY AND NEW TERRITORIES ADMINISTRATION (CNTA) SAID THE BILL HAD BEEN CONSIDERED BY THE GOVERNOR TN COUNCIL AT A RECENT MEETING.

THERE ARE ABOUT 160 BEDSPACE APARTMENTS IN THE TERRITORY - EACH WITH 12 OR MORE BEDSPACES FOR RENTAL PURPOSES - ACCOMMODATING ABOUT 4,000 PEOPLE.

AS THESE APARTMENTS ARE USUALLY HOUSED IN OLD TENEMENT BLOCKS WHERE FIRE AND BUILDING SAFETY STANDARDS ARE POOR, THE SPOKESMAN STRESSED THAT THERE WAS A NEED FOR INTRODUCI NG A LICENSING SCHEME TO REGULATE THESE PREMISES.

/UNDER THE

TUESDAY, MAY 18, 1993

- 5 -

UNDER THE LICENSING SCHEME ENSHRINED IN THE BILL, ALL EXISTING BEDSPACE APARTMENTS WILL BE REQUIRED '1'0 INITIALLY OPERATE UNDER. A CERTIFICATE OF EXEMPTION AND I LT1MATELY UNDER A LICENCE.

THE SPOKESMAN ANTICIPATED THAT THE S( DIME’S IMPLEMENTATION WILL RESULT IN ABOUT ONE-TENTH OR ABOUT 400 OF THE ESTIMATED BEDSPACE APARTMENT LODGERS HAVING TO BE REHOUSED.

’’THE CNTA WILL ENSURE THAT ALL THOSE DISPLACED WILL BE GIVEN ASSISTANCE IN GETTING AN ALTERNATIVE ACCOMM0D \T1 ON.

’’THE SOCIAL WELFARE DEPARTMENT (SWD) WILL ASSIST THOSE AGED 60 OR ABOVE AS WELL AS THE DISABLED THROUGH COMPASSIONATE REHOUSING, RESIDENTIAL CARE FACILITIES FOR THE ELDERLY OR HOSTELS FOR SINGLE PERSONS.

’’THOSE NOT WITHIN SWD’S PURVIEW KILL BE ELIGIBLE FOR ADMISSION INTO THE SINGLETON HOSTELS SET UP RY CNTA,” THE SPOKESMAN SAID.

UPON ENACTMENT OF THE BILL, THERE: WILL RE AN EXEMPTION PERIOD FOR BEDSPACE APARTMENTS SO THAT THEY CAN OPERATE UNDER A CERTIFICATE OF EXEMPTION WHILE CARRYING OUT THE IMPROVEMENT WORKS IN ORDER TO QUALIFY FOR A LICENCE.

THE SPOKESMAN SAID THE CNTA’S OEFI( T OF LICENSING AUTHORITY WILL BE RESPONSIBLE FOR INSPECTING THESE APARTMENTS AND ADVISING THE OPERATORS ON THE NECESSARY IMPROVEMENT WORKS.

PRACTICAL GUIDANCE FOR COMPLIANCE WITH SUCH REQUIREMENTS WILL BE PROVIDED IN A CODE OF PRACTICE TO BE PUBLISHED IN THE GAZETTE.

THE SPOKESMAN SAID AN APPEAL BOARD WILL BE SET UP TO DEAL WITH APPEALS ARISING FROM THE ENFORCEMENT OF THE LEGISLATION.

THE BOARD, HE SAID, WOULD COMPRISE A PANEL OF MEMBERS APPOINTED BY THE GOVERNOR AND WOULD BE CHAIRED BY A PERSON WHO IS QUALIFIED FOR APPOINTMENT AS A DISTRICT JUDGE.

THE NEW LEGISLATION WILL \LSO EMPOWER THE DISTRICT COURT TO ORDER ANY BEDSPACE APARTMENT TO BE CLOSED II- THERE IS ANY DANGER TO OCCUPIERS OR IF THE CLOSURE IS NECESSARY TO ENABLE REMEDIAL WORKS TO BE EXECUTED.

THE SPOKESMAN SAID THE LICENSING S( HEME IS EXPECTED TO BE IMPLEMENTED IN 1994/95.

HE ADDED THAT THE BILL WILL BE GAZETTED THIS FRIDAY (MAY 21).

ATTENTION NEWS EDITORS:

THE PRINCIPAL ASSISTANT SECRETARY FOR HOME AFFAIRS, MR FRANCIS LO, WILL BE AVAILABLE TO ANSWER FOLLOW-UP QUESTIONS FROM THE MEDIA AT 3.30 PM TODAY (TUESDAY).

THE SESSION WILL BE HELD AT THE CNTA CONFERENCE ROOM, 30TH FLOOR, SOUTHORN CENTRE, 130 HENNESSY ROAD, WAN CHAI.

------0 -

/6 ........

TUESDAY, MAY 18, 1993

- 6 -

MANUFACTURING ORDERS-ON-HAND IN MARCH *****

THE VOLUME OF ORDERS-ON-HAND FOR THE 200 LARGES’!' MANUFACTURERS INCREASED SLIGHTLY BY 1% IN MARCH OVER X YEAR EARLIER, ACCORDING TO A MONTHLY SURVEY CONDUCTED BX THE CENSUS AND STATISTICS DEPARTMENT.

THE VOLUME OF ORDERS-ON-HAND IS MEASURED IN TERMS OF THE NUMBER OF MONTHS THAT MANUFACTURERS WILL REQI IRE TO COMPLETE THE ORDERS OUTSTANDING AS AT THE ENI) OF THE REFERENCE MONTH.

COMPARED WITH THE SAME MONTH LAST YEAR, ORDERS TN THE ELECTRICAL AND ELECTRONIC PRODUCTS INDUSTRY AND THE TEXTILES INDUSTRY INCREASED MODERATELY BY 6% AND 4% RESPECTIVELY.

ORDERS POSITION REMAINED VIRTUALLY UNCHANGED FROM A YEAR AGO IN THE WEARING APPAREL AND THE FABRICATED METAL INDUSTRIES. HOWEVER, A SLIGHT DECREASE OF 2% WAS RECORDED IN THE PLASTIC PRODUCTS INDUSTRY.

COMPARED WITH THE PRECEDING MONTH, ORDERS FOR ALL THE MANUFACTURERS SURVEYED INCREASED SIIGHTUY BY 1%.

ORDERS POSITION IN THE PLASTIC PRODUCTS INDUSTRY IMPROVED BY 6% OVER THE PRECEDING MONTH. SMALLER INCREASES WERE REPORTED IN THE WEARING APPAREL C 2%) , TEXTILES (2%) AND ELECTRICAL AND ELECTRONIC PRODUCTS INDUSTRIFS (1%).

ON THE OTHER HANI), ORDERS IN THE FABRIC X’l’ED METAL PRODUCTS INDUSTRY RECORDED X DECREASE OF 2%.

THE MONTHLX SURVEY OF ORDERS-ON-HAND COVERS A PANEL OF THE 200 LARGEST MANUFACTURERS CHOSEN BX REFERENCE TO THEIR EMPLOYMENT SIZES IN SEPTEMBER 1986.

A SPOKESMAN FOR THE DEPARTMENT POINTED OUT THAT AS THE SURVEY SAMPLE COX EREI) ONLY THE LARGE COMPANIES, 'Till- SURVEX RESULTS MAY NOT BE FULLXr REPRESENTATIVE OF THE GENERAL SITUATION OF TH! MANUFACTURTNG SEC'TOR.

NEVERTHELESS, THE SURVEX RESULTS SHOULD BE XBLE TO PROVIDE A USEFUL INDICATION OF THE DIRECTION OF CHANGI- FOR MAKING A QUICK ASSESSMENT OF SHORT-TERM DEVELOPMENTS IN ’THE SECTOR, HE SAID.

THE SURVEY REPORT FOR MARCH AT $5.50 A COPY IS NOW ON SALE AT THE GOVERNMENT PUBLICATIONS CENTRE, GEN ER XL POST OFFICE BUILDING, CONNAUGHT PLACE, CENTRAL, AND AT THE CENSUS AND STATISTICS DEPARTMENT PUBLICATIONS SALES COUNTER, 19’TH FLOOR, WANcHAI TOWER, 12 HARBOUR ROAD, WAN CHA I .

ENQUIRIES ABOUT THE SURVEX' RESULTS MAX BE MADE TO THE INDUSTRIAL PRODUCTION STATISTIC'S SECTION Oh TH I* CENSUS AND STATISTICS DEPARTMENT ON 805 64 I 1 .

/THE FOLLOWING .......

TUESDAY, MAY 18, 1993

THE FOLLOWING TABLE SHOWS THE PERCENTAGE CHANGES IN

ORDERS-ON-HAND: AS AT THl«

END OF CHANGE WHEN COMPARED WITH

INDUSTRY MARCH 1993 FEBRUARY 93 MARCH 92

(MONTHS) (%) (%)

ALL MANUFACTURERS SURVEYED 4.56 + 1 + 1

WEARING APPAREL 4.85 + 2 *

TEXTILES 2.18 + 2 + 4

PLASTIC PRODUCTS 3.88 + 6 -2

FABRICATED METAL 4 . 4 1 -2

PRODUCTS

ELECTRICAL AND 5.85 + 1 + 6

ELECTRONIC PRODUCTS

OTHERS 3.88 -2 -1

* CHANGES WITHIN + /- 0.5%

--------0-----------

OWNER GIVEN MAXIMUM

I-INE TWICE EOR NEGLECTING WORK SAFETY

BUILDING CONTRACTORS MUST CARRY OUT THEIR LEGAL OBLIGATIONS AND TAKE ALL REASONABLE STEPS TO ENSlRE THAT WORKERS WEAR SUITABLE SAFETY HELMETS ON CONSTRUCTION SITES AT ALL TIMES.

THE ACTING CHIEF FACTORY INSPECTOR, MR KAN HON-SANG, MADE THE ADVICE FOLLOWING TWO RECENT CASES IN WHICH THE E MAN CONSTRUCTION COMPANY LIMITED WAS GIVEN THE MAXIMUM FINE OF $30,000 FOR EACH OF THE TWO SUMMONSES BY A SHA TIN MAGISTRATE FOR FAILING TO ENSURE ITS WORKERS WEAR SAFETY HELMETS AT ITS S|| \ TIN CONSTRUCTION SITES. J

MR KAN SAID THE OFFENCES WERI DETECTED BY FACTORY' INSPECTORS DURING A SPECIAL TASK FORCE CAMPAIGN ON CONSTRUCTION SITES.

’’DURING ONI INSPECTION, SIX WORKERS WERE FOUND NOT WEARING SAFETY HELMETS WHILE WORKING ON A CONSTRUCTION SITE," HE SAID.

"TWO DAYS LATER, OUR FACTORY INSPECTORS VISITED ANOTHER NEARBY CONSTRUCTION SITE AND FOUND 22 WORKERS NOT WEARING SAFETY HELMETS.

MR KAN REITERATED THAT THE LABOUR DEPARTMENT IS DETERMINED TO TAKE VIGOROUS ENFORCEMENT ACTION AGAINST BLATANT OFFENDERS BECAUSE THE NUMBER OF INDUSTRIAL ACCIDENTS IN THE CONSTRUCTION INDUSTRY IS STILL CONSIDERED BY THE DEPARTMENT AS Too HIGH.

/•'MOREOVER, ACCIDENTS ..........

TUESDAY, MAY 18, 1993

- 8 -

"MOREOVER, ACCIDENTS RESULTING EROM NOT WEARING SAFETY HELMETS ARE COMMON AND OFTEN LEAD TO SERIOUS OR EVEN FATAL INJURIES," HE SAID.

MR KAN POINTED OUT THAT THE CONSTRUCTION SITES (SAFETY) REGULATIONS REQUIRED A CONTRACTOR TO PROVIDE SUITABLE SAFETY HELMETS FOR ALL HIS WORKERS AND TO TAKE ALL REASONABLE STEPS TO ENSURE THAT THE WORKERS WEAR THEM WHILE REMAINING ON SITE.

PROPRIETORS FAILING TO COMPLY WITH THE SAFETY PROVISION IS LIABLE TO A MAXIMUM FINE OF $30,000 WHILE EMPLOYEES MAY BE FINED UP TO $10,000.

HE ALSO SAID A SPECIAL INSPECTION CAMPAIGN HAS BEEN LAUNCHED SINCE LAST MONTH ON CONSTRUCTION SITES WITH UNSATISFACTORY SAFETY RECORDS AND HIGH-RISK WORK ACTIVITIES.

"FACTORY INSPECTORS WILL CONCENTRATE ON TARGET AREAS LIKELY TO CAUSE FALL OF PERSONS SUCH AS SCAFFOLDS, WORKING PLATFORMS, FLOOR OPENINGS, FLOOR EDGE AND CAISSON," HE SAID.

"WE WILL ALSO CHECK ON THE USE OF PERSONAL PROTECTIVE EQUIPMENT SUCH AS SAFETY BELTS AND SAFETY HELMETS," HE ADDED.

APART FROM HIGH-RISK AREAS, MR KAN SAID PARTICULAR ATTENTION WILL BE PAID TO HOUSEKEEPING ON THE SITES TO ENSURE THEIR PROPER AND ORDERLY MAINTENANCE AS POOR HOUSEKEEPING HAS BEEN THE CAUSE OF MANY ACCIDENTS ON SITE.

HE CALLED ON EMPLOYERS AND WORKERS TO PAY HEED TO THE HOUSEKEEPING OF THEIR SITES.

--------0-----------

ANTI-POLLUTION PROSECUTION CASES RELEASED * * * * *

THE ENVIRONMENTAL PROTECTION DEPARTMENT TODAY (TUESDAY) RELEASED A LIST OF COMPANIES THAT HAVE BEEN FOUND GUILTY IN THE COURTS DURING APRIL OF BREACHING ANTI-POLLUTION LEGISLATION CURRENTLY ENFORCED BY THE DEPARTMENT.

SIMILAR ANNOUNCEMENTS WILL BE MADE MONTHLY.

AS THE LEGAL PROCEEDINGS COULD BE VERY TIME CONSUMING, THERE WAS SOMETIMES A LENGTHY TIME GAP BETWEEN THE DATE OF THE OFFENCE AND THE CONVICTION DATE.

FOLLOWING IS THE LIST OF PROSECUTION CASES AND THE ASSOCIATED FINES IMPOSED BY THE COURTS DURING APRIL THIS YEAR:

/NAME RECORD .......

TUESDAY, MAY 18, 1993

9

NAME RECORD (COMPANY/ PERSON) 1.SHI NG TAO RESTAURANT LTD ADDRESS JORDAN RD, YAU MA TEI DATE OF OFFENCE 20.9.91 NATURE OF OFFENCE F NUO : FAILURE TO COMPLY WITH THE REQUIREMENT IN A NOISE ABATEMENT NOTH E 1NES($) 10,000 PLUS $500 COST OF OFFENCE COURT 2ND SOUTH KOWLOON

2.TRADE BATTLE LTD MAIN ST, AP LEI CHAU, ABERDEEN 2.1.92- 8.4.92 APCO : UNAUTHORISED 1NSTALLATION OR ALTERATION OF FURNACES 4,000 1ST EASTERN

3.BOLDWIN CONSTRUCTION CO LTD TIN SHU I WAI , YUEN LONG 1.2.92- 30.4.92 APCO : 2,500 1ST FANLING

4.CHUNS IN LTD FUK LO 20.3.92- TSUN RD, 28.1.93 KOWLOON CITY APco : 3,900 1ST SAN PO KONG

5.CENTROCORP LTD CASTLE PEAK RD, TSUEN WAN 27.5.92- 6.6.92 APCO : 2,500 1ST TSUEN WAN

6.TALFUL DEVELOPMENT LTD WONG CHUK HANG RD, ABERDEEN 1 .6.92- 4.11.92 APCO : 1 ,500 2ND KWUN TONG

7.SUPER BENEFIT DEVELOPMENT LTD LOCKHART RD, CAUSEWAY BAY 24.6.92- 6.1.93 APCO : 3,000 1ST EASTERN

8.WONG WANG-TSING SHA TAU KOK RD, FANLING 15.7.92 WPCO : DISCHARGED POLLUTING MATTER IN THE DEFP BAY WATER CONTROL ZONE 5,000 1ST FANLING

9.WONG CHAU-SHING WO LIU HANG RD, FO TAN 18.9.92 WPCO : 80,000 DISCHARGED POLLUTING MATTER IN THE TOLO HARBOUR AND CHANNEL WATER CONTROL ZONE 2ND SHATIN

/IO. FANTA (CFO .........

TUESDAY, MAY 18, 1993

- 10 -

10.FANTA (CFC) CONSTRUCTION CO LTD (MARINE HOI BUN RD, KWUN TONG 21.9.92 DASO : 6,000 PERMIT DUMPING OF ABOUT 750 CUBIC METRES OF EXCAVATED MATERIAL 3RD EASTERN

DUMPING CONTRACTOR) 11.PERFECT MABLE COMPANY LTD TONG HANG, FANLING 23.9.92 AT SEA OFFSHORE YAU MA TEI TYPHOON SHELTER WITHOUT A LICENCE wpco : 15,000 DISCHARGED POLLUTING MATTER IN THE DEEP BAY WATER CONTROL ZONE 1ST FANLING

12.RICHWAY DEVELOPMENT LTD ON YUK RD, TSUEN WAN 2.10.92 APCO : R.000 EXCESSIVb DARK SMOKE EMISSION 2ND TSUEN WAN

13.YING FUNG DISTILLERY LTD KWU TONG, SHEUNG SHUT 6.10.92 wpco : 10,000 DISCHARGED POLLUTING MATTER IN THE DEEP BAS WATER CONTROL ZONE 1ST FANLING

14.JARDINE MATHESON LTD CASTLE PEAK RD, SHAM SHUI PO 7. 10.92 NCO : 5,000 FAILURE TO COMPLY WITH THE REQUIREMENT IN A NOISE. ABATEMENT NOTICE 1ST NORTH KOWLOON

15.LUEN HOP (SCORE HILL) DYEING FACTORY PAT HEUNG, YUEN LONG 12.10.92 wpco : 5o,ooo DISCHARGED POLLUTING MATTER IN THE DEEP BAY WATER CONTROL ZONE 2ND FANLING

16.GRANDVIEW PROPERTY MANAGEMENT LTD WUHU ST, HUNG HOM 14.10.92 NCO : 5,000 FAILURE TO COMPLY WITH THE REQUIREMENT IN A NOISE ABATEMENT NOTH E 1ST SAN PO KONG

17.TURN KIN-CHUNG TONG TO SHAN TSUEN, SHA TAU KOK 16.10.92 wpco : 10,000 DISCHARGED POLLUTING MATTER IN THE MIRS BAY WATER CONTROL ZONE 1ST FANLING

/18. FUTURE'S SAFE ........

TUESDAY, MAY 18, 1993

11 -

18.FUTURE’S SAFE CO. LTD WANG LOK ST, YUEN LONG INDUSTRIAL ESTATE 17.10.92 WPCO : 10,000 DISCHARGED POLLUTING MATTER IN THE DEEP BAY WATER CONTROL ZONE 1ST •I

19.FUTURE’S SAFE CO LTD •t 19.10.92 WPCO : 1 0,000 2ND •I

20.BONETLON LTD HUNG TO RD, KWUN TONG 19.10.92 APCO : EXCESSIVE DARK SMOKE EMISSION 5,000 1ST KWUN TONG

21.YING WAH BLEACHING AND DYEING FACTORY LTD KA HING RD, KWAI CHUNG 20.10.92 APCO : EXCESSIVE DARK SMOKE EMISSION 8,500 2ND TSUEN WAN

22.MAXIM’S CATERERS LTD YEE WO ST, CAUSEWAY BAY 23.10.92 NCO : FAILURE TO COMPLY WITH THE REQUIREMENT IN A NOISE ABATEMENT NOTICE 2,000 1ST EASTERN

23.YU KWOK-PING CHAI WAN RD, CHAI WAN 30.10.92 NCO : USE A PRODUCT DID NOT COMPLY WITH THE REQUIREMENT OF SECTION 17(1) 2,000 1ST it

24.FAR EAST WAGNER CONSTRUCTION LTD JUNCTION 8.11.92 OF SEYMOUR RD AND CASTLE STEPS NCO : CARRY OUT CONSTRUCTION WORK WITHOUT A VALID PERMIT 5,000 1ST WESTERN

25.LEE KOON-WAH H 8.11.92 NCO : 5,000 1ST WESTERN

26.SHAMROCK RESTAURANT LTD NATHAN RD, YAU MA TEI 13.11.92 NCO : 12,000 FAILURE TO COMPLY WITH THE REQUIREMENT IN A NOISE ABATEMENT NOTICE 3RD SOUTH KOWLOON

27.UNITED CIRCUITS (HK) LTD TIN HAU RD, TUEN MUN 19.11.92 WPCO : 1 DISCHARGED POLLUTING MATTER 5,000 1ST TUEN MUN

TN THE DEEP BAY WATER CONTROL ZONE

/28. FUNNING ........

TUESDAY, MAY 18, 1993

12 -

28.FUNNING ESTATE MANAGEMENT LTD ON NING GARDEN, JUNK RAY 20.11.92 NCO : 4,000 FAILURE TO COMPLY WITH THE REQUIREMENT IN A NOISE ABATEMENT NOTICE 1ST KWUN TONG

29.WINCO PAPER PRODUCTS COMPANY LTD PING CHE, FANL1NG 24.11.92 WPCO : 20,000 DISCHARGED POLLUTING MATTER IN THE DEEP BAY WATER CONTROL ZONE 1ST FANLING

30.WINSURE CO LTD NATHAN RD, YAU MA TEI 24.11.92 APCO : 3,500 EXCESSIVE DARK SMOKE EMISSION 4 TH SOUTH KOWLOON

31.CLEMENT LAPIDARY JEWELLERY FACTORY LTD HANKOW RD, TSIM SHA TSUI 26.11.92 NCO : 8,000 FAILURE TO COMPLY WITH THE REQU IREMENT IN A NOISE ABATEMENT NOTICE 1ST ft

32.FUNING ESTATE MANAGEMENT LTD ON NING GARDEN, TSEUNG KWAN 28.11.92 0 NCO : 4,000 2ND KWUN TONG

33.HONG KONG CONNECTOR CO LTD SAN ON STREET, TUEN MUN 2.12.92 WPCO : 10,000 DISCHARGED POLLUTING MATTER IN THE DEEP BAY WATER CONTROL ZONE 1ST TUEN MUN

34.ANDERSON ASPHALT LTD QUEEN’S RD CENTRAL, CENTRAL 12.12.92 APCO : 3,000 CONTRAVENING TERMS OR CONDITIONS OF A SPECIFIED PROCESS LICENCE 1ST SHA TIN

35.WIDEGUIDE DYEING CO LTD WING LAP ST, KWAI CHUNG 15.12.92 APCO : 12,000 EXCESSIVE DARK SMOKE EMISSION 4 3RD TSUEN WAN

36.CHI SHUN BLEACHING AND DYEING FTY LTD WO YI HOP RD, KWAI CHUNG 15.12.92 APCO : " 6,000 2ND ,,

37.SURIN LTD QUEEN’S RD 16.12.92 WEST, SAI YING PUN NCO : 7,500 FAILURE TO COMPLV WITH THE REQU 1REMENT IN A NOISE ABATEMENT NOTICE 2ND WESTERN

/38. SWEET-HEART ........

TUESDAY, MAY 18, 1993

- 13 -

38.SWEETHEART GARDEN RESTAURANT LTD SOY STREET,18.12.92 MONG KOK NCO : 8,000 1ST NORTH KOWLOOb

39.DINKEEP INVESTMENT LTD ON NING 19.12.92 GARDEN, TSEUNG KWAN 0 NCO : 3,000 1ST KWUN TONG

40.SUNFOONG DYEING & BLEACHING FACTORY KUNG YIP 24.12.92 ST, KWAI CHUNG APCO : 13,000 EXCESS IVE DARK SMOKE EMISSION 3RD TSUEN WAN

4 1 .ENFUL INVESTMENTS LTD PRINCE 30.12.92 EDWARD RD WEST, KOWLOON CIT\ APCO : 3,000 1ST SAN PO KONG

42.BULKELEY DEVELOPMENT LTD KNUTSFOR1) 30.12.92 TERRACE, TSIM SHA TSUI NCO : 25,000 FAILURE TO COMPLY WITH THE REQUIREMENT IN A NOISE ABATEMENT NOTICE 1ST SOUTH KOWLOON

43.TOMMY LAUNDRY CO CASTLE 4.1.93 PEAK RD, TUEN MUN APCO : 2,000 FAILURE TO ABATE AN AIR POLLUTANT NUISANCE (GENERAL) 1ST TUEN MUN

44.GOLDEN HILL RD, 12.1.93 NCO : 7,500 1ST WESTERN

POND RESTAURANT LTD SHEK TONG TSUI FAILURE TO COMPLY WITH THE REQUIREMENT IN A NOISE ABATEMENT NOTICE

45.ENFUL INVESTMENTS LTD PRINCE 12. EDWARD RD WEST, KOWLOON CITY 1 .93 APCO : 3,500 EXCESSIVE DARK SMOKE EMISSION 2ND SAN PO KONG

46.HOPEWELL PROPERTY MANAGEMENT KING’S RD, 5.2 NORTH POINT .93 NCO : 3,000 FAILURE TO COMPLY WITH 1ST EASTERN

CO LTD THE REQUIREMENT

IN A NOISE \BATEMENT NOTICE

/47. TOMMY ........

TUESDAY, MAY 18, 1993

- 14 -

47.TOMMY CASTLE 15.2.93 APCO : 2,000 2ND TUEN

LAUNDRY CO PEAK RD, FAILURE TO MUN

TUEN MUN XBATE AN AIR

POLLUTANT NUISANCE (GENERAL)

NOTE :

APCO : AIR POLLUTION CONTROL ORDINANCE

NCO : NOISE CONTROL ORDINANCE

WPCO : WATER POLLUTION CONTROL ORDINANCE

DASO : DUMPING AT SEA ACT 1974 (OVERSEAS TERRITORIES) ORDER 1975

NOTE TO EDITORS:

ENQUIRIES ON SPECIFIC CASES CAN BE DIRECTED TO THE FOLLOWING PRINCIPAL ENVIRONMENTAL PROTECTION OFFICERS:

APCO : MR FRANKLIN CHUNG TEL 594 6200

NCO WPCO : CASE 8, 9, 11, MR STEVEN HO TEL 594 6500

13, 17 AND 29 MR PATRICK LEI TEL 685 1133

CASE 15, 18 27 AND 33 , 19 MR BARR^ < HOW TEL 417 6132

DASO I MR PAUL HOLMES TEL 755 3553

HOWEVER, ENQUIRIES ON GENERAL ISSUES DEPARTMENT’S MEDIA RELATIONS SECTION.

SHOULD BE DIRECTED TO

THE

--------0-----------

CONTRACT FOR CHINA WATER ELECTRICAL WORKS AWARDED

*****

THE WATER SUPPLIES DEPARTMENT TODAY (TUESDAY) AWARDED AN $18 MILLION CONTRACT FOR THE SUPPLY AND INSTALLATION OF ELECTRICAL EQUIPMENT AND THE BUILDING SERVICES WORK FOR THE TAI PO TAU ’D’ PUMPING STATION.

THE NEW INSTALLATION IS PART OF A $2.1 BILLION PROJECT TO EXPAND THE FACILITIES FOR TRANSFERRING WATER SUPPLY FROM CHINA.

ill

UPON COMPLETION OF THE EXPANSION PROJECT BY THE END OF 1994, THE RECEPTION AND TRANSFER CAPACITY WILL BE INCREASED FROM THE EXISTING 620 MILLION CUBIC METRES A YEAR TO 1,100 MILLION CUBIC METRES.

THE TAI PO TAU ’ D’ PUMPING STATION, WHICH ULTIMATELY HOUSES 14 PUMPS AND PROVIDES A TOTAL CAPACITY OF THREE MILLION CUBIC METRES A DAY, WILL BE THE LARGEST RAW WATER PUMPING STATION IN HONG KONG.

/THE PRESENT .......

TUESDAY, MAY 18, 1993

- 15 -

THE PRESENT CONTRACT INCLUDES THE SUPPLY AND INSTALLATION OF ELECTRICAL POWER SUPPLY EQU I PMENT, BU I LI) I NG SFh'V I CFS EQU I PMENT, CONTROL AND INSTRUMENTATION EQUIPMENT AND OTHER ACCESSORIES.

THE CONTRACT WAS SIGNED BY THE ASSISTANT DIRECTOR OF WATER SUPPLIES/CHI NA WATER, MR KO CHAN-GOCK AND A REPRESENTATIVE OF IN( HAPE INDUSTRIAL HOLDINGS LIMITED.

THE PROJECT CONSULTANT IS BINME CONSULTANTS LIMITED.

------0------------

NEW 6TH FORM CURRICULUM LEAFLET * * ♦ ♦ <

THE EDUCATION DEPARTFiENT HAS PRODUC ED 110,000 COPIES OF A LEAFLET ON THE NEW SIXTH FORM CURRICULUM FOR DISTRIBUTION TO SECONDARY FIVE TO SIX STUDENTS AND THEIR TEACHERS FROM TOMORROW (WEDNESDAY).

THE EASY-TO-READ LEAFLET - \N INTRODUCTION TO THE NEW SIXTH FORM CURRICULUM - EXPLAINS Till-. RATIONALE BEHIND 1'111* NEW BROAD-BASED AND BALANCED CURRICULUM AT THE ADVANCED AND ADVANCED SUPPLEMENTARY LEVELS.

"THE AS-LEVFL SUBJECTS WERE FIRST INTRODUCED IN 1992 FOR STUDENTS WHO WOULD EITHER CONTINUE THE 11? STUD I E.S TN TERTIARY INSTITUTIONS OR WHO WOULD JOIN Till- WORKFORCE UPON COMPLETION OF SIXTH FORM EDUCATION,” A SPOKESMAN IOR THE EDUCATION DEPARTMENT SAID.

THE LEAFLET ALSO EXPLAINS THAT Uli- AS-LEVELS SUBJECTS ARE DESIGNED TO HALVE THE TEACHING AND STUDYING TIME REQUIRED FOR THE REVISED A-LEVELS WHICH HAD BEEN RI-DUC Fl) BY ABOUT 20 PER (’ENT.

COPIES OF THE LEAFLET ARE ALSO AVAILABLE AT THE 19 DISTRICT EDUCATION OFFICES AND DISTRICT OFFICES OF THE CITY AND NEW TERRITORIES ADMIN I STRATI ON.

------0--------

TWO MOTION DEBATES ON LEGCO AGENDA

♦ * * * »

THE LEGISLATIVE COUNCIL WILL TOMORROW (WEDNESDAY) DEBATE TWO MOTIONS, ONE ON THE ARTS POLICY REVIEW REPORT AND THE OTHER ON THE POLICY OF INTEGRATING REHABILITATION SERVICES INTO THE COMMUNITY.

THE ARTS POLICY MOTION IS PROPOSED BY THE HON CHRISTINE LOH WHILE THE OTHER IS MOVED BY THE HON FRED LI WAH-MING.

MEMBERS OF THE COUNCIL WILL ASK 19 QUESTIONS AND CONSIDER THREE BILLS AT THE MEETING. ALL THE BILLS WILL BE INTRODUCED FOR FIRST AND SECOND READINGS. DEBATES ON THEM ARE DUE TO BE ADJOURNED.

/THEY ARE .......

TUESDAY, MAY 18, 1993

- 16 -

THEY ARE THE BUILDINGS (AMENDMENT) (NO. 2) BILL 1993; LIFTS AND ESCALATORS (SAFETY) (AMENDMENT) BILL 1993 AND INSURANCE COMPANIES (AMENDMENT) BILL 1993.

IN ADDITION, THE SECRETARY FOR RECREATION AND CULTURE WILL PRESENT A REPORT OF BROADCASTING AUTHORITY (SEPTEMBER 1991 - AUGUST 1992).

MEMBERS OF THE PUBLIC ARE WELCOME TO OBSERVE THE PROCEEDINGS FROM THE PUBLIC GALLERY. THEY MAY RESERVE SEATS BY CALLING 869 9492.

---------0-----------

EXHIBITION TO PROMOTE JOBS FOR DISABLED

THE LABOUR DEPARTMENT WILL MOUNT A THREE-DAY EXHIBITION FROM FRIDAY (MAY 21) AT METROPLAZA IN KWAI FONG TO PROMOTE PUBLIC AWARENESS OF THE WORKING ABILITIES OF DISABLED PEOPLE.

"THE EXHIBITION FORMS PART OF THE DEPARTMENT’S CONTINUOUS EFFORTS TO PROMOTE EMPLOYMENT OPPORTUNITIES FOR THE DISABLED," SENIOR LABOUR OFFICER (SELECTIVE PLACEMENT), MRS JENNIE CHOR, SAID TODAY (TUESDAY).

MRS CHOR POINTED OUT THAT THE SELECTIVE PLACEMENT DIVISION ACHIEVED A RECORD PLACEMENT OF 1,366 DISABLED WORKERS LAST YEAR, REPRESENTING A 25 PER CENT INCREASE OVER THE PREVIOUS YEAR.

"MEANWHILE, THE NUMBER OF VACANCIES RECEIVED ALSO INCREASED BY 53.5 PER CENT, FROM 2,488 IN 1991 TO 3,820 IN 1992," SHE SAID.

"THIS SHOWS MORE AND MORE EMPLOYERS ARE WILLING TO TAKE ON DISABLED PERSONS.

"THROUGH ENHANCED PUBLICITY, WE HOPE THE GENERAL PUBLIC WILL KNOW MORE ABOUT THE ABILITIES OF DISABLED WORKERS, AND EMPLOYERS WILL BE ENCOURAGED TO ENGAGE MORE DISABLED WORKERS," SHE ADDED.

MRS CHOR SAID THE EXHIBITION WILL INTRODUCE THE" DEPARTMENT’S FREE PLACEMENT SERVICE TO THE DISABLED AND FREE RECRUITMENT SERVICE TO EMPLOYERS AS WELL AS ITS PROMOTIONAL ACTIVITIES AND FUTURE PLANS.

ALSO ON DISPLAY WILL BE PHOTOGRAPUS SHOWING DISABLED EMPLOYEES ON DIFFERENT KIND OF JOBS.

IN ADDITION, FOUR DIFFERENT VIDEO SHOWS ON THE WORK OF THE SELECTIVE PLACEMENT SERVICE WILL BF SCREENED DAILY DURING THE EXHIBITION.

/a

"LABOUR DEPARTMENT OFFICERS WILL BE ON HANI) TO ANSWER ENQUIRIES EROM VISITORS AND TO DISTRIBUTE PAMPHLETS," MRS CHOR SAID.

/"THEY WILL .......

TUESDAY, MAY 18, 1993

- 17 -

•'THEY Will. ALSO RECORD VACANCY INFORMATION FROM PROSPECTIVE EMPLOYERS AND PERSONAL PARTICULARS OF DISABLED JOB-SEEKERS FOR FURTHER CONTACTS," SHE ADDED.

THE EXHIBITION WILL BE OPEN DAILY FROM II AM FO 6 PM UNTIL SUNDAY (MAY 23) ON LEVEL 3, CRYSTAL ATRIUM, METROPLAZA IN KWAI FONG.

--------0-----------

HONG KONG GOVERNMENT EXCHANGE Fl ND TENDER RESULTS

* * * ♦ ♦

TENDER DATE IS MAY 93 18 MAY 93

PAPER ON OFFER EF RILLS EE BILLS

ISSUE NUMBER Q320 Y389

AMOUNT APPL1ED HKD 3,180 MN HKD 790 MN

AMOUNT ALLOTTED HKD 1,000 MN HKD 200 MN

AVERAGE YIELD ACCEPTED 3.00 PCT 3.32 PCT

HIGHEST YIELD ACCEPTED 3.00 PCT 3.37 PCT

PRO RATA RATIO ABOUT 100 PCT ABOUT 10 PCT

AVERAGE TENDER YIELD 3.05 P( T 3.40 PCT

HONG EONG GOVERNMENT EXCHANG1 FUND

TENDERS TO BE HELD IN THE WEEK BEGINNING 24 MW 1993 -

TENDER DATE 25 MAY 93 25 MAY 93

PAPER ON OFFER EF BILLS EF BILLS

ISSUE NUMBER Q3 2 1 11365

ISSUE DATE 26 MAY 93 26 MAY 93

MATURITY DATE 25 AUG 93 21 NOV 93

TENOR 91 DAYS 182 DAVS

AMOUNT ON OFFER HKD 1,000+200 MN HKD 100+80 MN

--------0-----------

/18........

TUESDAY, MAY 18, 1993

18

HONG KONG GOVERNMENT EXCHANGE KIND MONEY MARKET OPERATIONS ***** $ MILLION

OPENING BALANCE IN THE ACCOUNT 2,070

REVERSAL OF LAF +80

BALANCE AFTER REVERSL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -520

CLOSING BALANCE IN THE ACCOUNT 1,630

LAF RATE 2.00 BID/4.00 OFFER TW1 112 .5 *+0.3* 18.5. 1993

HONG KONG GOVERNMENT FX(HANGE FUND

EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 3.18 PCT 15 MONTHS 2408 •1 . 375 101.12 3.4 8

1 MONTH 3.10 PCT 18 MONTHS 24 1 1 4.625 101.48 3.63

3 MONTHS 3.00 PCT 21 MONTHS 2502 4.75 101.55 3.85

6 MONTHS 3.10 PCT 24 MONTHS 2505 3.75 99.56 4.02

12 MONTHS 3.33 PCT

TOTAL TURNOVER OF BILLS AND BONDS - 15,703 MN

CLOSED 18 MAY 1993

---------0-----------

r“74‘mS W on —_______

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

WEDNESDAY, MAY 19, 1993

CONTENTS PAGE NO.

DECLARATION OF WATER CONTROL ZONES ............................. 1

60 VIETNAMESE TO RETURN HOME UNDER ORDERLY REPATRIATION PROGRAMME .................................................... 1

CONTROLS ON TEXTILES TRANSHIPMENT TIGHTENED .................... 2

SCAFFOLD SAFETY URGED .......................................... 4

LO WU VIETNAMESE CENTRE CLOSES ................................. 5

FOUR LOTS OF LAND TO LET ....................................... 5

COURTESY CALL ON SOCIAL WELFARE DIRECTOR ....................... 6

FINANCE COMMITTEE MEETS ON FRIDAY .............................. 6

SALT WATER CUT IN KOWLOON CITY ................................. 7

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS ..

7

WEDNESDAY, MAY 19, 1993

1

DECLARATION OF WATER CONTROL ZONES

* * » * *

THE GOVERNMENT WILL DECLARE THE EASTERN AND WESTERN FRINGES OF THE VICTORIA HARBOUR AS WATER CONTROL ZONES (WCZ) WITH EFFECT FROM JUNE 1.

THIS WILL MEAN THAT DISCHARGES INTO WATER WITHIN THESE TWO ZONES, KNOWN AS THE EASTERN BUFFER AND WESTERN BUFFER CONTROL ZONES, WILL BE SUBJECT TO CONTROL OF A LICENSING SCHEME OPERATED BY THE ENVIRONMENTAL PROTECTION DEPARTMENT.

THE EASTERN BUFFER WCZ COVERS INLAND AND MARINE WATERS OFF CHAI WAN AND SHAU KEI WAN AND THE WESTERN BUFFER WCZ COVERS TSING YI, PART OF TSUEN WAN, SHAM TSENG, ABERDEEN AND AP LEI CHAU.

CONTROL ON NEW DISCHARGES IN THESE TWO NEW WCZ'S WILL TAKE EFFECT FROM JUNE 1, 1993.

THE CONTROL WILL BE EXTENDED TO EXISTING DISCHARGES FOR WHICH LICENCE APPLICATIONS MUST BE SUBMITTED BETWEEN JUNE 1 AND DECEMBER 1 THIS YEAR.

ALSO WITH EFFECT FROM JUNE 1, A SUPPLEMENTARY WCZ WILL BE ADDED TO THE EXISTING TOLO HARBOUR AND SOUTHERN WCZ'S RESPECTIVELY TO PROTECT WATER QUALITY IN WATER GATHERING AREAS IDENTIFIED UNDER THE WCZ FRAMEWORK.

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60 VIETNAMESE TO RETURN HOME UNDER ORDERLY REPATRIATION PROGRAMME ♦ t * t *

ABOUT 60 VIETNAMESE MIGRANTS SCREENED OUT AS NON-REFUGEES WILL RETURN TO VIETNAM TOMORROW (THURSDAY) ON THE 11TH FLIGHT UNDER THE ORDERLY REPATRIATION PROGRAMME, A GOVERNMENT SPOKESMAN ANNOUNCED TODAY (WEDNESDAY).

A TOTAL OF 513 NON-REFUGEES HAVE SO FAR BEEN RETURNED TO VIETNAM UNDER THE PROGRAMME.

ATTENTION NEWS EDITORS:

THE FOLLOWING ARRANGEMENTS HAVE BEEN MADE TO FACILITATE MEDIA COVERAGE:

A FIXED POSITION WILL BE SET UP ON THE AIRPORT TARMAC WHERE JOURNALISTS CAN WITNESS THE RETURNEES BOARDING THE PLANE TO VIETNAM.

MEDIA REPRESENTATIVES WISHING TO MAKE USE OF THE FACILITY SHOULD ASSEMBLE AT THE AIRPORT PRESS ROOM IN THE ARRIVAL HALL NOT LATER THAN 8.15 AM. TELEPHOTO LENSES WILL BE NECESSARY.

EDITORS ARE REMINDED THAT THEIR REPORTERS AND PHOTOGRAPHERS MUST BE ABLE TO PRODUCE PROOF THAT THEY ARE BONA FIDE JOURNALISTS BEFORE THEY ARE ALLOWED TO USE THE FACILITY.

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/2 .....

WEDNESDAY, MAY 19, 1993

2

CONTROLS ON TEXTILES TRANSHIPMENT TIGHTENED

*****

CARRIERS AND FORWARDERS ENGAGED IN TEXTILES TRANSHIPMENT BUSINESS ARE URGED TO JOIN THE TEXTILES TRADER REGISTRATION SCHEME (TTRS) NEWLY INTRODUCED BY THE TRADE DEPARTMENT.

THE DEPUTY DIRECTOR-GENERAL OF TRADE, MR KEVIN HO, TOLD A HONG KONG EXPORTERS’ ASSOCIATION LUNCHEON TODAY (WEDNESDAY) THAT THE TRANSHIPMENT CARGO EXEMPTION SCHEME WOULD NO LONGER APPLY TO TEXTILES GOODS STARTING FROM JULY 1 THIS YEAR.

’’WITH THE CHANGING TRADING PATTERN IN TEXTILES PRODUCTS, AND IN ORDER TO PROTECT OUR GOOD REPUTATION AND THE INTEGRITY OF HONG KONG’S CONTROL REGIME, WE MUST BE SEEN TO BE DOING OUR BEST TO SAFEGUARD OUR ORIGIN RULES AND OUR EXPORT QUOTAS.

"INSTEAD OF USING THE EXEMPTION SCHEME, CARRIERS AND FORWARDERS HANDLING TEXTILES THROUGH CARGO BUSINESS SHOULD REGISTER UNDER TTRS, AND SUBMIT TRANSHIPMENT NOTIFICATIONS TO COVER EACH CONSIGNMENT THAT THEY HANDLE," MR HO SAID.

HE ADMITTED THAT THE NEW SCHEME DEMANDED MORE WORK FOR CARRIERS AND FORWARDERS THAN THEY WERE REQUIRED TO PERFORM UNDER THE CURRENT EXEMPTION SCHEME.

"HOWEVER, IT WAS EXACTLY THOSE EXTRA DETAILS THAT WE ARE PROVIDED UNDER THE NEW TTRS WHICH ENABLE US TO TIGHTEN CONTROL OVER THESE TEXTILES CONSIGNMENTS. AND WE ARE DETERMINED TO PROTECT THE GOOD NAME OF HONG KONG," HE SAID.

THE CARRIERS AND FORWARDERS WERE ASSURED THAT THEY COULD CONTINUE TO ENJOY UNDER TTRS THE BENEFITS OF SMOOTH AND EXPEDITIOUS FLOW OF THROUGH CARGO ARRANGEMENTS THAT WERE PROVIDED UNDER THE TRANSHIPMENT CARGO EXEMPTION SCHEME.

THE PAPERWORK THEY HAD TO HANDLE WOULD INCREASE, BUT THIS WOULD PUT THE GOVERNMENT IN A MUCH BETTER POSITION TO UPHOLD THE INTEGRITY OF HONG KONG’S CONTROL SYSTEM.

MR HO SAID: "WHEN VIEWED IN THE PERSPECTIVE OF UPKEEPING HONG KONG’S IMAGE OVERSEAS AND THE OVERALL INTEREST OF HONG KONG’S TEXTILES TRADE, IT IS ONLY A SMALL PRICE TO PAY."

ACCORDING TO MR HO, A TOTAL OF 3.8 MILLION LICENCE APPLICATIONS, WHICH ARE NOW COVERED UNDER TTRS, WERE MADE BY TRADERS LAST YEAR.

"IF ALL THESE TRADERS SHOULD OPT TO JOIN THE TTRS, AND ALL OF THEM ARE ELIGIBLE, ALL THESE 3.8 MILLION LICENCE APPLICATIONS WILL DISAPPEAR. THERE IS NO MORE WAITING FOR LICENCE APPLICATIONS TO BE APPROVED.

/"THE TRADERS .......

WEDNESDAY, MAY 19, 1993

- 3 -

"THE TRADERS WILL ACHIEVE GREAT SAVINGS NOT ONLY IN TIME BUT ALSO IN COSTS BECAUSE ALL THEY HAVE TO PAY IS THE ANNUAL REGISTRATION FEE OF $2,000 AND TO BUY NOTIFICATION FORMS WHICH COST NO MORE THAN $2 PER SET, NO MORE PAYMENT IS REQUIRED FOR EACH LICENCE APPLICATION,” MR HO SAID.

MR HO BELIEVED THE GAIN IN EFFICIENCY WOULD ULTIMATELY HELP TO ENHANCE THE COMPETITIVE EDGE OF THE LOCAL TEXTILE AND CLOTHING TRADE VIS-A-VIS THE COMPETITORS.

FOR THE TRADE DEPARTMENT, ONCE THE TTRS WAS IMPLEMENTED, IT WOULD DEPLOY RESOURCES CURRENTLY ENGAGED IN LICENSING ACTIVITIES TO MORE STRATEGIC TASKS TO STEP UP CHECKS AND CONTROLS.

"WE HAVE IMPROVED OUR CONTROL SYSTEM WITH NEW INFORMATION TECHNOLOGY. THE NEW SYSTEM WILL ALLOW USERS, INCLUDING THOSE AT THE BORDER CHECKPOINTS, TO HAVE ON-LINE AND REAL TIME ACCESS TO THE CENTRAL DATABASE.

"ALSO BUILT INTO THE SYSTEM ARE A MANAGEMENT INFORMATION SYSTEM AND AN EXECUTIVE INFORMATION SYSTEM, WHICH TOGETHER WILL ASSIST IN THE SURVEILLANCE OF ANY MALPRACTICE," HE SAID.

MR HO CAUTIONED THAT IF ANY TRADER WAS FOUND TO HAVE COMMITTED ANY MALPRACTICE, LEGAL AS WELL AS ADMINISTRATIVE ACTIONS WOULD BE TAKEN AGAINST HIM.

"THE MAXIMUM PENALTY FOR AN OFFENCE IS A FINE OF $500,000 AND IMPRISONMENT FOR TWO YEARS.

"FURTHERMORE, THE TRADE DEPARTMENT WILL NOT HESITATE TO USE ITS POWERS PROVIDED UNDER THE LAW FOR SANCTIONING OFFENDERS, INCLUDING THE POWER TO SUSPEND AND REVOKE THE REGISTRATION UNDER THE SCHEME," HE SAID.

THE TTRS COVERS ALL TEXTILES IMPORTS, ALL TEXTILES RE-EXPORTS AND DOMESTIC TEXTILES EXPORTS TO NON-RESTRAINED MARKETS. IT WILL BEGIN OPERATION ON JULY 1, 1993 AND APPLICATIONS FOR REGISTRATION HAS STARTED SINCE MAY 1, 1993.

THE TTRS IS NOT COMPULSORY, BUT RATHER SUPPLEMENTS THE EXISTING LICENSING SYSTEM.

”A TRADER CAN CIIOOHR TO CONTINUE T<> TAKE OUT RELEVANT TEXTILES LICENCES TO ('OVER HIS TEXTILES CONSIGNMENTS, AS AT PRESENT.

"NEVERTHELESS, THE CURRENT SO-CALLED INSTANTANEOUS LICENSING SERVICE PROVIDED FOR THESE TEXTILES LICENCES WILL BE TERMINATED AS OF AUGUST 1, 1993.

"FROM THEN ON, LICENCES FOR CONSIGNMENTS WHICH MAY FALL UNDER THE SCOPE OF TTRS WILL BE ISSUED TWO CLEAR WORKING DAYS AFTER THE APPLICATIONS ARE REVIEWED," MR HO SAID.

/4 ........

WEDNESDAY, MAY 19, 1993

4 SCAFFOLD SAFETY URGED * * *

BUILDING CONTRACTORS ARE REMINDED OF THEIR STATUTORY OBLIGATIONS TO PROVIDE SAFE SCAFFOLDS AND WORKING PLATFORMS FOR THE WORKERS.

THE ACTING CHIEF FACTORY INSPECTOR, MR KAN HON-SANG, SAID TODAY (WEDNESDAY) THAT UNDER THE FACTORIES AND INDUSTRIAL UNDERTAKINGS ORDINANCE AND THE CONSTRUCTION SITES (SAFETY) REGULATIONS, CONTRACTORS OF CONSTRUCTION SITES WERE REQUIRED TO ENSURE THE SAFETY OF THE PERSONS EMPLOYED ON THE SITES.

"THEY SHOULD ALSO ENSURE THAT THE SCAFFOLDS ARE SAFE AND SOUND, AND PROPERLY MAINTAINED," HE SAID.

MR KAN POINTED OUT THAT EVERY SCAFFOLD SHOULD, BEFORE USE, BE INSPECTED BY A COMPETENT PERSON TO ENSURE THAT IT WAS IN A STABLE CONDITION, THE MATERIALS USED WERE SOUND, SUFFICIENT AND SUITABLE FOR THE PURPOSE FOR WHICH IT WAS INTENDED, AND THE GUARDRAILS IN POSITION.

"THE SCAFFOLDS AND THE WORK PLATFORMS SHOULD BE SUBJECT TO FURTHER INSPECTION AT LEAST ONCE A MONTH OR AFTER EACH SPELL OF BAD WEATHER BY COMPETENT PERSONS TO ENSURE THAT THEY ARE MAINTAINED IN GOOD AND PROPER CONDITION," MR KAN SAID.

SCAFFOLD DISMANTLING SHOULD ONLY BE DONE UNDER THE IMMEDIATE SUPERVISION OF A COMPETENT PERSON AND BY TRAINED WORKMEN.

"THE WORKERS SHOULD BE PROTECTED AGAINST FALL, THROUGHOUT THE DISMANTLING OPERATION, BY SAFETY BELTS WITH LANYARDS SECURED TO INDEPENDENT LIFE-LINE OR OTHER SUITABLE ANCHORAGES," HE ADDED.

FAILURE TO COMPLY WITH ANY OF THE PROVISIONS MAY LEAD TO PROSECUTION, AND THE MAXIMUM PENALTY IS A FINE OF $50,000 AND IMPRISONMENT FOR 12 MONTHS.

HE URGED BOTH CONTRACTORS AND WORKERS TO OBSERVE THE NECESSARY SAFETY PRECAUTIONS.

ENQUIRIES RELATING TO SCAFFOLD SAFETY CAN BE MADE TO THE FACTORY INSPECTORATE DIVISION OF THE LABOUR DEPARTMENT ON TEL 815 0678.

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/5 ........

WEDNESDAY, MAY 19, 1993

5

LO WU VIETNAMESE CENTRE CLOSES

*****

THE FLAG OF THE ROYAL HONG KONG POLICE AT THE LO WU VIETNAMESE MIGRANTS DETENTION CENTRE WAS LOWERED TODAY (WEDNESDAY) IN A BRIEF CEREMONY TO MARK THE CLOSURE OF THE CENTRE.

THE CLOSING CEREMONY WAS OFFICIATED BY REGIONAL COMMANDER, NEW TERRITORIES NORTH, MR DOUGLAS LAU.

MR LAU SAID THE CLOSURE OF THE CENTRE WOULD ALLOW 97 POLICE OFFICERS TO BE POSTED BACK TO DISTRICTS WHERE THEY ARE SORELY NEEDED.

THE CENTRE WAS OPENED IN JUNE 1989 TO ACCOMMODATE VIETNAMESE MIGRANTS WHO OPTED TO JOIN THE VOLUNTARY REPATRIATION SCHEME.

EARLIER IN JANUARY, THE SHEK KONG CAMP WHICH WAS MANNED BY POLICE WAS CLOSED.

THE LAST BATCH OF 34 VIETNAMESE IN THE CAMP HAD RECENTLY BEEN RELOCATED TO WHITEHEAD DETENTION CENTRE AWAITING REPATRIATION, WHILE 35 OTHERS WHO WERE WORKING IN THE CENTRE WOULD CONTINUE WITH THEIR WORK IN OTHER CENTRES.

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FOUR LOTS OF LAND TO LET * * * ♦

THE BUILDINGS AND LANDS DEPARTMENT IS INVITING TENDERS FOR THE SHORT-TERM TENANCY OF FOUR PIECES OF GOVERNMENT LAND.

THE FIRST LOT IN AREA 2B, SHA TIN NEW TOWN, HAS AN AREA OF ABOUT 865 SQUARE METRES.

IT IS FOR USE AS A FEE-PAYING CAR PARK FOR PRIVATE CARS AND LIGHT VANS. THE TENANCY IS FOR TWO YEARS, RENEWABLE QUARTERLY AFTERWARDS.

THE SECOND LOT IS IN AREA 18, TSEUNG KWAN O, SAI KUNG. WITH AN AREA OF ABOUT 5,700 SQUARE METRES, THE LOT IS INTENDED FOR STORING TENANT’S GOODS (EXCLUDING CONTAINERS AND CONTAINER VEHICLES), OR A PUBLIC FEE-PAYING CAR PARK (EXCLUDING CONTAINER VEHICLES) OR A COMMERCIAL GARDEN.

THE TENANCY IS FOR ONE YEAR, RENEWABLE MONTHLY AFTERWARDS.

THE THIRD LOT, LOCATED BETWEEN YAU TONG ROAD AND CHA KWO LING ROAD IN YAU TONG, HAS AN AREA OF ABOUT 6,500 SQUARE METRES.

IT IS INTENDED FOR USE AS OPEN STORAGE OF NON-DANGEROUS GOODS (EXCLUDING CONTAINERS) OR PARKING OF TENANT’S VEHICLES. THE TENANCY IS FOR THREE YEARS RENEWABLE QUARTERLY AFTERWARDS.

/THE REMAINING .......

WEDNESDAY, MAY 19, 1993

6

THE REMAINING LOT, AT FUNG SHING STREET, NGAU CHI WAN, HAS AN AREA OF ABOUT 2,730 SQUARE METRES FOR OPEN STORAGE OF TENANT’S GOODS AND UNLICENSED VEHICLES (EXCLUDING CONTAINERS).

THE TENANCY IS FOR TWO YEARS, RENEWABLE QUARTERLY AFTERWARDS.

CLOSING DATE FOR SUBMISSION OF TENDERS IS NOON ON JUNE 4.

TENDER FORMS, TENDER NOTICE AND CONDITIONS ARE AVAILABLE FROM THE RESPECTIVE DISTRICT LANDS OFFICE IN SHA TIN, SAI KUNG AND KOWLOON EAST; AND THE BUILDINGS AND LANDS DEPARTMENT, 14TH FLOOR, MURRAY BUILDING, GARDEN ROAD OR THE KOWLOON WEST DISTRICT LANDS OFFICE, 10TH FLOOR, YAU MA TEI CARPARK BUILDING, 250 SHANGHAI STREET, KOWLOON.

PLANS OF THE TENDERS ARE ALSO AVAILABLE FOR INSPECTION AT THE OFFICES.

------0--------

COURTESY CALL ON SOCIAL WELFARE DIRECTOR * * * * »

THE NEW BOARD OF DIRECTORS OF YAN Of TONG TODAY (WEDNESDAY) PAID A COURTESY CALL ON THE DIRECTOR OF SOCIAL WELFARE, MR IAN STRACHAN, TO DISCUSS THE ORGANISATION’S WELFARE SERVICE IN THE COMING YEAR.

CHAIRMAN OF THE BOARD, MR MO CHI-SHING, SAID THE TONG WOULD LIKE TO FURTHER STRENGTHEN ITS SERVICES FOR THE ELDERLY AND YOUTHS AS WELL AS HOME-HELP SERVICE.

MR STRACHAN COMMENDED THE GROUP FOR ITS CONTRIBUTION TO WELFARE SERVICES AND PLEDGED THAT THE DEPARTMENT WOULD CONTINUE TO COOPERATE WITH IT IN REALISING ITS TARGETS.

------0-------

FINANCE COMMITTEE MEETS ON FRIDAY ♦ ♦ * * ♦

THE FINANCE COMMITTEE WILL HOLD A MEETING AT 2.30 PM ON FRIDAY (MAY 21) AT THE LEGISLATIVE COUNCIL CHAMBER.

MEMBERS OF THE PUBLIC ARE WELCOME TO OBSERVE THE PROCEEDINGS FROM THE PUBLIC GALLERY. THEY MAY RESERVE SEATS BY CALLING 869 9492.

ATTENTION NEWS EDITORS:

YOUR REPRESENTATIVES ARE INVITED TO COVER THE MEETING.

ADVANCE COPIES OF THE PAPERS FOR THE MEETING WILL BE AVAILABLE FROM 2.30 PM TOMORROW (THURSDAY) IN THE PRESS ROOM OF THE LEGISLATIVE COUNCIL BUILDING, JACKSON ROAD, CENTRAL. PLEASE NOTE THAT THE PAPERS ARE NOT FOR USE UNTIL THE MEETING IS OVER. ---------------------------------0-------

n....

WEDNESDAY, MAY 19, 1993

7 -

SALT WATER CUT IN KOWLOON CITY *****

SALT WATER SUPPLY TO SOME PREMISES IN KOWLOON CITY WILL GO OFF FROM 9 AM TO 5 PM ON FRIDAY (MAY 21) TO FACILITATE CONNECTION WORK ON-WATER MAINS.

THE SUSPENSION WILL AFFECT ALL THE PREMISES AT LANCASHIRE ROAD, NGA TSIN WAI ROAD, JUNCTION ROAD, PRINCE EDWARD ROAD WEST, ARGYLE STREET, WATERLOO ROAD AND GRAMPIAN ROAD.

---------0---------

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS *****

$ MILLION

OPENING BALANCE IN THE ACCOUNT 1,630

REVERSAL OF LAF +520

BALANCE AFTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -545

CLOSING BALANCE IN THE ACCOUNT 1,605

LAF RATE 2.00 BID/4.00 OFFER TWI 112.5 »+0.0» 19.5.93

HONG KONG GOVERNMENT EXCHANGE FUND EF BILLS HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.54 PCT 15 MONTHS 2408 4.375 100.99 3.58

1 MONTH 2.85 PCT 18 MONTHS 2411 4.625 101.35 3.72

3 MONTHS 2.90 PCT 21 MONTHS 2502 4.75 101.47 3.90

6 MONTHS 3.08 PCT 24 MONTHS 2505 3.75 99.47 4.07

12 MONTHS 3.39 PCT TOTAL TURNOVER OF BILLS AND BONDS - 29,680 MN CLOSED 19 MAY 1993

- - 0 - -

Received by PRO on 2 4 MAY 1993

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

SUPPLEMENT

i

WEDNESDAY, MAY 19, 1993

CONTENTS PAGE NO.

LEGISLATIVE COUNCIL:

ARTS POLICY REVIEW REPORT REALISTIC AND ACHIEVABLE ....... 1

MOTION DEBATE ON REHABILITATION SERVICES ................. 3

MORE PROTECTION PROPOSED FOR INSURED ..................... 7

BILLS FOR BETTER CONTROL OF LIFTS AND ESCALATORS INTRODUCED . 8

EVENTFUL YEAR FOR BROADCASTING AUTHORITY ................. 9

LEGCO TO BE GIVEN TIME TO DISCUSS ELECTORAI ARRANGEMENTS .... 10

SALE FLAT SCHEME TO SITTING TENANTS SHELVED .............. 10

EXCESSIVE EMPLOYERS REJECTED IN FORFIGN LABOUR BIDS ...... 11

NO EXPIRY DATE FOR WATER SUPPLY AGREEMENT WITH CHINA ..... 11

PUTONGHUA TRAINING FOR CIVIL SERVANTS INCREASING ..... .... 12

TWO PRINCIPLES GUIDE ACCEPTANCE OF PRIVATE DONATION ...... 13

GUIDELINES ON TREATING POLITICAL JSSUES FOR TEACHERS ..... 13

TOWN PLANNING BOARD MEMBERSHIP EXPLAINED ................. 14

/DEVELOPMENT OF

DEVELOPMENT OF THE SOUTHEAST NEW TERRITORIES LANDFILL .......... 15

STUDY ON CHANGING AIRPORT HEIGHT RESTRICTIONS .................. 15

WATER SEEPAGE IN PRIVATE DOMESTIC PREMISES ..................... 16

62 CHINESE MOTHERS ALLOWED TO STAY IN HONG KONG ................ 17

STUDY ON TSEUNG KWAN O CLINIC SITE ............................. 17

SOCIAL WORKERS MAY TAKE PART IN POLITICS ....................... 18

NEW CLINIC PLANNED FOR LANTAU .................................. 19

POLICE RESOURCES ADEQUATE TO DEAL WITH EMERGENCIES ............. 19

NEW GROUP TO CO-ORDINATE ELDERL1 SERVICES ...................... 20

INDUSTRIAL ACCIDENT STATISTICS ACCURATELY REFLECT SITUATION . 20

LEGCO PASSES TWO MOTIONS

21

WEDNESDAY, MAY 19, 1993

1

ARTS POLICY REVIEW REPORT REALISTIC AND ACHIEVABLE ******

THE GOVERNMENT HAS REAFFIRMED ITS COMMITMENT TO THE PROMOTION AND DEVELOPMENT OF ARTS IN HONG KONG IN THE YEARS AHEAD.

TO THIS END, IT HAS PROPOSED IN THE ARTS POLICY REVIEW REPORT, WHICH IS NOW UNDER PUBLIC CONSULTATION, TO ADOPT A PRAGMATIC AND PRACTICAL APPROACH AND TO SET POLICY OBJECTIVES THAT ARE REALISTIC AND ACHIEVABLE.

SPEAKING DURING THE MOTION DEBATE ON ARTS POLICY REVIEW IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY), THE SECRETARY FOR RECREATION AND CULTURE, MR JAMES SO, REFUTED MEMBERS’ CRITICISM OVER THE LACK OF FORWARD LOOKING POLICY OBJECTIVES IN THE REPORT.

"THE REPORT ONLY AIMS TO REVIEW THE PRESENT POSITION AND TRY TO SET OUT GOVERNMENT’S FUTURE ROLE IN THE DEVELOPMENT OF THE ARTS IN HONG KONG, HAVING REGARD TO CERTAIN FACTORS," HE EXPLAINED.

"IN DOING THIS, I CONSIDER IT PRUDENT TO TAKE A PRAGMATIC AND PRACTICAL LINE," HE ADDED.

MR SO SAID THE REPORT ALSO RIGHTLY AIMED TO TAKE STOCK OF WHAT HONG KONG HAD ACHIEVED IN THE PAST DECADE, AND TO MAKE SUGGESTIONS ON WHAT PRACTICAL NEXT STEPS SHOULD BE TAKEN IN MAPPING OUT THE WAY FORWARD, RATHER THAN TO PROPOSE CHANGES LIGHTLY TO THE WELL-TRIED AND SMOOTH WORKING PARTNERSHIP THAT HAD DEVELOPED BETWEEN THE EXISTING ARTS INSTITUTIONS AND THE GOVERNMENT.

EVEN IN ADOPTING THIS PRUDENT AND PRACTICAL APPROACH, HE POINTED OUT, THE GOVERNMENT HAD A CLEAR VISION OF WHAT NEW INITIATIVES SHOULD BE TAKEN TO DEVELOP THE ARTS IN HONG KONG IN THE YEARS AHEAD.

"WE BELIEVE THAT THE BEST POLICY IS TO MOVE AHEAD ONE STEP AT A TIME, TO ENSURE THAT THE OBJECTIVES WE SET FOR OURSELVES ARE NOT UNREALISTIC AND ARE ACHIEVABLE.

"THUS THE PROPOSED POLICY OBJECTIVES FOR THE FUTURE, AS SET OUT IN CHAPTER 7, ARE VERY CLEAR AND POSITIVE AND ARE IN NO WAY LACKING IN FORWARD VISION," HE STRESSED.

TURNING TO THE LACK OF IMPLEMENTATION OPTIONS IN. THE REPORT, THE SECRETARY SAID HE DID NOT BELIEVE THIS SHOULD BE DONE AT THE PRESENT STAGE AS "THIS WOULD ONLY LEAD TO A RIGID AND STEREOTYPE DEVELOPMENT OF THE ARTS".

HE FELT THAT THE BEST APPROACH AND ONE WHICH WOULD RESULT IN THE BEST ACHIEVEMENT WAS TO ALLOW THE IMPLEMENTATION OPTIONS ON THE GOVERNMENT’S BROAD POLICY OBJECTIVES TO EVOLVE IN THE LIGHT OF EXPERIENCE AND CHANGING SOCIAL ENVIRONMENT AND ARTISTIC TRENDS.

"THIS IS WHERE THE PROPOSED ARTS COUNCIL CAN PLAY A PROMINENT AND PIVOTAL ROLE IN ITS CO-ORDINATION AND ADVISORY WORK.

"INDEED, THIS IS THE APPROACH ADOPTED BY THE GOVERNMENT IN IMPLEMENTING THE POLICY LAID DOWN IN 1981 FOR THE PROMOTION AND DEVELOPMENT OF THE PERFORMING ARTS TN HONG KONG."

/MR SO ........

WEDNESDAY, MAY 19, 1993

MR SO ASSURED MEMBERS THAT THE PROPOSED COUNCIL, ONCE ESTABLISHED, WOULD BE ABLE TO GIVE SOUND AND WISE COUNSEL TO THE GOVERNMENT, WORKING IN CLOSE PARTNERSHIP WITH THE MUNICIPAL COUNCILS AND THE ARTS COMMUNITY, ON HOW BEST TO IMPLEMENT THE POLICY OBJECTIVES LAID DOWN.

SOME MEMBERS ALSO SPOKE AGAINST THE PROPOSAL IN THE REPORT TO TRANSFER THE MUSIC OFFICE TO A NON-GOVERNMENT BODY.

MR SO ATTRIBUTED THIS TO A MISUNDERSTANDING.

"THE REPORT DOES NOT ADVOCATE CLOSING DOWN THE MUSIC OFFICE," HE EMPHASISED. "WHAT IT SUGGESTS IS THAT THE WORK OF THE MUSIC OFFICE COULD BE MORE EFFECTIVELY, PROFESSIONALLY AND ECONOMICALLY DONE BY NON-GOVERNMENT BODIES, SUCH AS THE ACADEMY FOR THE PERFORMING ARTS OR ANY OTHER BODIES WHICH ARE QUALIFIED AND ARE INTERESTED TO TAKE ON THIS TASK.

"OUR INTENTION IS NOT TO SAVE MONEY, AS WRONGLY CLAIMED BY MANY; BUT RATHER TO ENSURE THAT THE RESOURCES CURRENTLY USED ON THE MUSIC OFFICE ARE MORE EFFECTIVELY AND ECONOMICALLY APPLIED TO ACHIEVE BETTER VALUE FOR MONEY BY BODIES WHICH CAN OPERATE WITHOUT THE CONSTRAINTS AND FETTERS OF A GOVERNMENT OFFICE."

TO WORRIED PARENTS AND YOUNG MUSICIANS, MR SO SAID THE GOVERNMENT WOULD TRY ITS BEST TO ENSURE THAT THE RANGE OF ACTIVITIES PRESENTLY ORGANISED BY THE MUSIC OFFICE AND ITS REGIONAL CENTRES WOULD BE MAINTAINED.

ON GOVERNMENT FUNDING FOR THE ARTS, MR SO AGREED THAT DIRECT SUBSIDIES GIVEN OUT TO PERFORMING ARTS GROUPS HAD REMAINED AT JUST OVER $.35 MILLION FOR A NUMBER OF YEARS.

HOWEVER, HE NOTED THAT BOTH THE GOVERNMENT AND THE MUNICIPAL COUNCILS HAD SPENT HUNDREDS OF MILLIONS OF DOLLARS ON THE CONSTRUCTION OF VENUES, THE PROVISION OF ARTS EDUCATION AND THE PRESENTATION OF ARTISTIC ACTIVITIES AND PROMOTIONS.

IN ADDITION, A GRANT OF $30 MILLION HAS JUST BEEN APPROVED BY THE LEGISLATIVE COUNCIL TO HELP NEW AND DEVELOPING ART FORMS AND ARTISTIC GROUPS.

"I HOPE TO SEEK MORE FUNDING NEXT FINANCIAL YEAR TO ENABLE ME TO PUSH AHEAD WITH THE NEW INITIATIVES OUTLINED IN THE POLICY OBJECTIVES SET OUT IN THE REPORT," HE ADDED.

CONCLUDING, MR SO REITERATED THAT THE GOVERNMENT WAS COMMITTED TO PROMOTE AND DEVELOP THE ARTS IN HONG KONG AND THAT IT HAD A VERY CLEAR SET OF POLICY OBJECTIVES.

"THE ADMINISTRATION THEREFORE CANNOT SUPPORT THE FIRST PART OF THE MOTION THAT THE ARTS POLICY REVIEW REPORT HAS FAILED TO PROVIDE FORWARD LOOKING POLICY OBJECTIVES.

"THE REPORT HAS CLEARLY PROPOSED THAT WE ADOPT A PRAGMATIC AND PRACTICAL APPROACH BY SETTING POLICY OBJECTIVES THAT ARE REALISTIC AND ACHIEVABLE," HE STATED.

/THE CONSULTATION .......

WEDNESDAY, MAY 19, 1993

3

THE CONSULTATION PERIOD FOR THE ARTS POLICY REVIEW REPORT IS SCHEDULED TO CLOSE BY THE END OF NEXT MONTH.

THE GOVERNMENT WILL COLLATE AND ANALYSE ALL VIEWS EXPRESSED BEFORE DRAWING UP A DEFINITIVE SET OF POLICY PROPOSALS.

SINCE THE CURRENT CONSULTATION EXERCISE HAS ATTRACTED AND IS STILL ATTRACTING A WIDE RANGE OF PUBLIC OPINIONS FROM ALL QUARTERS AND THAT THE GOVERNMENT HAS YET TO FIRM UP ITS POLICY PROPOSALS, THE OFFICIAL MEMBERS OF THE LEGISLATIVE COUNCIL HAD ABSTAINED FROM VOTING ON TODAY’S MOTION.

- - 0 - -

MOTION DEBATE ON REHABILITATION SERVICES

*****

FOLLOWING IS THE FULL TEXT OF THE SPEECH BY THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, IN THE LEGISLATIVE COUNCIL TONIGHT (WEDNESDAY) IN THE MOTION DEBATE ON INTEGRATION OF REHABILITATION SERVICES:

MR PRESIDENT,

JUST AS WE, EARLIER ON, STOOD IN SILENT TRIBUTE TO OUR DEAR FRIEND THE LATE HON STEPHEN CHEONG KAM-CHUEN, SO WE NOW STAND UP TO BE COUNTED. ON 26 FEBRUARY THE LEGCO WELFARE PANEL PLEDGED THEIR UNANIMOUS SUPPORT TO IMPLEMENT REHABILITATION SERVICES IN TUNG TAU ESTATE AND AT LAGUNA CITY. I NOW CALL ON THE WHOLE COUNCIL TO DO LIKEWISE. I THANK THE HONOURABLE FRED LI AND MANY OTHER HONOURABLE MEMBERS FOR THEIR STAUNCH SUPPORT OF GOVERNMENT’S WELL-ESTABLISHED POLICY AND STANCE ON REHABILITATION AND INTEGRATION AND SO MOVINGLY AND SINCERELY EXPRESSED. HERE, I WOULD LIKE TO TAKE TODAY’S OPPORTUNITY TO THANK ALL MEMBERS OF THE COMMUNITY, THE MEDIA AND THE NON-GOVERNMENTAL ORGANISATIONS WHO HAVE STOOD SO FIRMLY BEHIND THE POLICY.

INTEGRATION

INTEGRATION IS THE VERY CORNER-STONE OF OUR REHABILITATION POLICY. THIS IS NOT SOMETHING NEW. IT HAS BEEN AN OBJECTIVE FOR 16 YEARS. IT WAS LAID DOWN IN THE FIRST WHITE PAPER ON REHABILITATION ENTITLED ’’INTEGRATING THE DISABLED INTO THE COMMUNITY : A UNITED EFFORT”, PUBLISHED IN 1977. THIS POLICY WAS REAFFIRMED IN THE CONTEXT OF THE EXTENSIVE PUBLIC CONSULTATIVE EXERCISE ON THE GREEN PAPER ON REHABILITATION, PUBLISHED LAST YEAR.

SUPPORT FOR INTEGRATION IS NOT LIP-SERVICE BUT REAL ACTION. IT IS NOT A CONCEPT BUT A CULTURE. IT IS NOT A PRETEXT BUT A PRACTICE. IT SHOULD NOT BE A POINT OF CONTROVERSY. IT SHOULD BE A WAY OF LIFE. FOR A SOCIETY IS JUDGED BY THE WAY IT TREATS THE VULNERABLE IN ITS MIDST.

/REHABILITATION SERVICES

WEDNESDAY, MAY 19, 1993

REHABILITATION SERVICES

REHABILITATION SERVICES ARE TO IMPROVE THE QUALITY OF LIFE FOR PERSONS WITH DISABILITY. THESE SERVICES RANGE FROM EARLY IDENTIFICATION OF DISABILITY, PREVENTION, EDUCATION AND TRAINING TO REHABILITATION, EMPLOYMENT AND OTHER SUPPORT SERVICES TO FACILITATE TRUE INTEGRATION IN SOCIETY.

TRUE INTEGRATION WILL TURN DISABILITY INTO ABILITY. IT WILL ENABLE PERSONS WITH VARIOUS DISABILITIES TO ACHIEVE INDEPENDENCE IN THEIR DAILY LIFE, TO LIVE WITH DIGNITY AND TO SHARE IN THE PROSPERITY OF THE SOCIETY WHICH IS OURS.

KEY TARGETS

AN ISSUE OF WIDESPREAD CONCERN WHICH EMERGED FROM THE CONSULTATION EXERCISE LAST YEAR ON THE GREEN PAPER ON REHABILITATION WAS THE SIGNIFICANT SHORTFALL IN REHABILITATION SERVICES. THE GOVERNMENT HAS RESPONDED QUICKLY TO THE CALL FOR SERVICES. THE NECESSARY FUNDS HAVE NOW BEEN MADE AVAILABLE TO MEET IN FULL THE KEY TARGETS IN THE GREEN PAPER BETWEEN NOW AND 1996/97.

WE ARE FIRMLY COMMITTED TO MEETING THESE TARGETS ON TIME. WE ARE VERY ENCOURAGED BY THE STRENGTH OF HONOURABLE MEMBERS’ SUPPORT IN THIS DEBATE FOR EARLY AND SMOOTH IMPLEMENTATION.

PREJUDICE

HOWEVER, THE RECENT OBJECTIONS BY CONCERNED RESIDENTS TO THE SETTING UP OF REHABILITATION FACILITIES IN THEIR NEIGHBOURHOOD CALLS FOR A MORE CONCENTRATED AND IMMEDIATE EFFORT IN OUR PUBLIC EDUCATION PROGRAMMES. WE NEED TO DEMOLISH THE SHAMEFUL WALL OF EXCLUSION; TO TURN STUMBLING BLOCKS INTO STEPPING STONES; AND TO LIBERALIZE SOCIETY FROM THE SHACKLES OF PREJUDICE UNDER WHATEVER GUISE.

RIGHT TO KNOW

I FULLY SHARE THE VIEWS ON THE IMPORTANCE OF THE RIGHT TO KNOW. IT IS UNDERSTANDABLE THAT RESIDENTS SHOULD HAVE THE RIGHT TO KNOW WHAT IS HAPPENING AND WHAT IS GOING TO HAPPEN IN THEIR NEIGHBOURHOOD. THE SETTING UP OF REHABILITATION FACILITIES IN THE NEIGHBOURHOOD, IN THE SAME WAY AS EDUCATIONAL AND RECREATIONAL FACILITIES, MUST BE THE MAJOR INTEREST OF LOCAL RESIDENTS. PARTICULARLY BECAUSE THESE FACILITIES ARE RESOURCES VALUABLE TO PEOPLE WHO LIVE IN THE LOCAL COMMUNITIES. WE WILL CONTINUE TO BE VIGILANT TO ALLAY ANXIETIES OVER THE LACK OF INFORMATION AND TO ENSURE THAT THE PUBLIC IS AWARE OF PLANNED REHABILITATION FACILITIES AT THE EARLIEST POSSIBLE OPPORTUNITY. THIS WILL LEAD TO A BETTER UNDERSTANDING.

/HERE, I ........

WEDNESDAY, MAY 19, 1993

5

HERE, 1 WOULD LIKE TO STRESS THAT WHILST IT IS IMPORTANT TO RECOGNIZE RESIDENTS’ SENSITIVITIES TOWARDS CERTAIN REHABILITATION PROJECTS, IT WOULD BE IMPROPER TO DISTINGUISH BETWEEN SERVICES. TO DO SO WOULD SUPPORT SEGREGATION, RATHER THAN INTEGRATION.

CONSULTATION

LET US NOW TAKE A CLOSER LOOK AT THE WAY IN WHICH REHABILITATION SERVICES ARE PLANNED AND IMPLEMENTED. THE REHABILITATION DEVELOPMENT CO-ORDINATING COMMITTEE (RDCC) WHICH COMPRISES REPRESENTATIVES FROM RELATED GOVERNMENT DEPARTMENTS, ORGANIZATIONS AND INTERESTED INDIVIDUALS IS THE GOVERNMENT’S PRINCIPAL ADVISORY BODY ON REHABILITATION MATTERS. FOR EXAMPLE, THE DEVELOPMENT OF ACTIVITY CENTRES FOR DISCHARGED MENTAL PATIENTS AND THE REQUIREMENT FOR FOUR SUCH CENTRES IN THE TERRITORY WAS RECOMMENDED BY RDCC WAY BACK IN 1987. FURTHERMORE, AFTER A SITE FOR THE FACILITY IS IDENTIFIED, IT IS OUR WELL-ESTABLISHED PRACTICE TO CONSULT RELEVANT BOARDS AND COMMITTEES AT THE DISTRICT LEVEL.

IN OTHER WORDS, GOVERNMENT DEPARTMENTS, LOCAL CONSULTATIVE BODIES, DISTRICT ORGANIZATIONS AND WELFARE AGENCIES ARE ALWAYS INVOLVED IN THE CONSULTATION PROCESS. IT IS OUR CONVICTION THAT THROUGH EARLY DISCUSSION WITH INTERESTED PARTIES, THE IMPLEMENTATION OF PLANNED REHABILITATION PROJECTS CAN BE FACILITATED. BOTH THE RIGHTS OF PERSONS WITH DISABILITY AND RESIDENTS’ RIGHT TO KNOW CAN THUS BE SAFEGUARDED. WE SHOULD NEVERTHELESS BE KEEPING AN EVER OPEN MIND ON NECESSARY IMPROVEMENTS FOR FUTURE REFERENCE. HONOURABLE MEMBERS HAVE ASKED FOR DIALOGUE WITH CONCERNED RESIDENTS. FOR OUR PART, WE HAVE IN THE PAST AND WILL CONTINUE TO KEEP OUR DOOR OPEN TO HAVE DIALOGUE WITH CONCERNED RESIDENTS TO FIND WAYS AND MEANS TO ALLAY THEIR FEARS.

AS REGARDS CRITICISMS ABOUT MALADMINISTRATION IN THE PLANNING OF THE ACTIVITY CENTRE PROJECT NEAR LAGUNA CITY AND ALSO CRITICISM ABOUT UNEQUAL DISTRIBUTION OF SERVICES FOR DISCHARGED MENTAL PATIENTS IN KWUN TONG, I WOULD LIKE TO REFER MEMBERS TO THE FINAL RESULTS REPORT COMPILED BY THE COMMISSIONER FOR ADMINISTRATIVE COMPLAINTS. THIS REPORT FOUND THAT THESE SERVICES ARE FAIRLY, EVENLY DISTRIBUTED ON A DISTRICT BASIS. FURTHERMORE, IN PARAGRAPH 51 OF THE SAME REPORT, IT IS SAID AND I QUOTE: "I SINCERELY HOPE THAT THE RESIDENTS WOULD WITHDRAW THEIR OBJECTIONS TO THE ACTIVITY CENTRE AS THEIR DEFIANT ATTITUDE WOULD HELP NEITHER THEM NOR THE PROSPECTIVE CLIENTS OF THE CENTRE IN ACHIEVING MUTUAL UNDERSTANDING AND RESPECT. SINCE THE ACTIVITY CENTRE WILL ONLY ADMIT EX-MENTAL PATIENTS WHO HAVE SUBSTANTIALLY RECOVERED FROM THEIR ILLNESS, THE RESIDENTS MAY EVENTUALLY AGREE THAT THE RISK OF THE PATIENTS RUNNING AMUCK THEREBY THREATENING THEIR SAFETY IS MORE IMAGINARY THAN REAL." FINDINGS OF THIS REPORT ARE BASED ON AN INDEPENDENT AND THOROUGH INVESTIGATION BY THE COMMISSIONER IN RESPONSE TO A COMPLAINT LODGED BY THE CHAIRMAN OF THE ESTATE OWNERS’ COMMITTEE OF LAGUNA CITY. I HAVE NOTHING TO ADD TO THE REPORT.

/ANTI-DISCRIMINATION LEGISLATION .......

WEDNESDAY, MAY 19, 1993

- 6 -

ANTI-DISCRIMINATION LEGISLATION

WITH THE DEEPEST RESPECT TO SOME HONOURABLE MEMBERS, I WAS VERY DISTURBED TO HEAR REPEATEDLY REFERENCES TO OUR CLIENTS AT THESE DAY ACTIVITY CENTRES AND IN THAT CONTEXT AS MENTAL PATIENT. PLEASE AND OH PLEASE DON’T CALL THEM MENTAL PATIENTS. THEY ARE NOT. THIS VERY MISUNDERSTANDING IS PREJUDICIAL TO THE DIGNITY OF THE INDIVIDUALS CONCERNED AND MAY I ALSO HUMBLY ASKED HONOURABLE MEMBERS NOT TO PERPETUATE THE DISSEMINATION OF SUCH MISINFORMATION IN THE CONTEXT OF THE REFERENCES TO WHICH THEY ARE MADE. IT HAS BEEN SUGGESTED IN SOME QUARTERS THAT ANTI-DISCRIMINATION LEGISLATION SHOULD BE ENACTED TO PROTECT THE RIGHTS OF PERSONS WITH DISABILITY. SUCH LEGISLATION I THINK IS THE PROVERBIAL BIG STICK. SUCH LEGISLATION IS AN ADMISSION OF DEFEAT I THINK THAT ALL ELSE HAS FAILED. IT WOULD, INDEED, BE A SORRY DAY FOR HONG KONG IF WE HAD TO RESORT TO THIS BIG STICK TO TRY TO CHANGE MINDS AND ATTITUDES. BUT WE MAY WELL HAVE TO DO IT.

PUBLIC EDUCATION

THIS BRINGS ME TO PUBLIC EDUCTION WHICH I FIRMLY BELIEVE IS THE MOST EFFECTIVE WAY TO ERADICATE PREJUDICE. AS RECENTLY AS 17 MARCH, I ANNOUNCED IN THIS CHAMBER THE LAUNCHING OF A SPECIAL PUBLIC EDUCATION CAMPAIGN TO ERADICATE PREJUDICE. INDEED, AS FAR BACK AS 1983, THE COMMITTEE ON PUBLIC EDUCATION IN REHABILITATION WHICH INCLUDES REPRESENTATIVES FROM NON-GOVERNMENTAL ORGANISATIONS UNDER THE UMBRELLA OF HONG KONG COUNCIL OF SOCIAL SERVICE HAS DEVOTED ITSELF TO PROMOTING COMMUNITY ACCEPTANCE OF PERSONS WITH DISABILITY. PUBLIC EDUCATION HAS CLEARLY WORKED OVER THE YEARS. PUBLIC UNDERSTANDING AND ACCEPTANCE OF THE RIGHTS, THE ABILITIES AND THE DIGNITY OF PERSONS WITH DISABILITY HAVE CERTAINLY INCREASED. FOR INSTANCE, I THINK PEOPLE NOWADAYS NO LONGER OBJECT TO ELDERLY SERVICES OR CHILDREN OR YOUTH CENTRES. IT WOULD BE AN INJUSTICE I THINK TO SAY THAT PUBLIC EDUCATION HAS ACHIEVED TOO LITTLE TOO LATE.

CONCLUSION

HONG KONG IS A CARING COMMUNITY. IT IS OUR CIVIC RESPONSIBILITY TO PITCH IN TO HELP THE VULNERABLE AND THE DISADVANTAGED IN OUR MIDST. WE MUST TAKE THE LEAD TO DO WHAT IS RIGHT. LIFE IS FRAGILE. WE MUST ACT NOW. TOGETHER, WE MAKE A DIFFERENCE.

MR PRESIDENT, I COMMEND THE MOTION FOR HONOURABLE MEMBERS’ SUPPORT. IN SUPPORTING THE MOTION, HONOURABLE MEMBERS ARE SUPPORTING THE EARLY AND STEADFAST IMPLEMENTATION OF REHABILITATION PROJECTS IN THE PIPELINE IN FULFILMENT OF OUR KEY TARGETS.

THANK YOU, MR PRESIDENT.

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/7.........

WEDNESDAY, MAY 19, 1993

MORE PROTECTION PROPOSED FOR INSURED *****

A BILL PROPOSING TO ENHANCE THE INSURANCE AUTHORITY’S POWERS OF SUPERVISION AND TO REQUIRE LONG-TERM INSURERS TO MAINTAIN AN ENHANCED SOLVENCY MARGIN WAS INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

THE INSURANCE COMPANIES (AMENDMENT) BILL 1993 ALSO SEEKS TO DELEGATE THE POWER TO APPROVE CERTAIN MINOR OPERATIONAL ARRANGEMENTS FROM THE GOVERNOR IN COUNCIL TO THE INSURANCE AUTHORITY.

MOVING THE SECOND READING OF THE BILL, THE SECRETARY FOR FINANCIAL SERVICES, MR MICHAEL CARTLAND, SAID AN INSURER WOULD BE REQUIRED TO NOTIFY THE INSURANCE AUTHORITY IN ADVANCE OF EVENTS INDICATIVE OF THE COMPANY’S INSOLVENCY.

AND, IN THE CASE OF AN OVERSEAS INSURER, THAT THE COMPANY INTENDS TO CEASE BUSINESS IN HONG KONG, HE ADDED.

AT PRESENT, AN INSURER INCORPORATED OUTSIDE HONG KONG IS NOT REQUIRED TO NOTIFY THE INSURANCE AUTHORITY WHEN IT CLOSES ITS PLACE OF BUSINESS IN HONG KONG.

"ALTHOUGH THE AUTHORITY WILL EVENTUALLY BE NOTIFIED THROUGH THE COMPANIES REGISTRY, HE IS UNABLE TO TAKE TIMELY ACTION TO PROTECT POLICY HOLDERS’ INTERESTS.

"NOR IS THE AUTHORITY NOTIFIED OF INSOLVENCY AND LIQUIDATION PROCEEDINGS TAKEN AGAINST AN INSURER OUTSIDE HONG KONG OR OF SIMILAR PROCEEDINGS," HE SAID.

MR CARTLAND SAID SUCH PROCEEDINGS MAY ADVERSELY AFFECT THE INTERESTS OF HONG KONG POLICY HOLDERS.

THIS IS BECAUSE THE INSURER’S ASSETS IN HONG KONG MAY BE AT RISK OR, IN THE CASE OF AN OVERSEAS INSURER, MAY BE SEIZED BY AN OVERSEAS LIQUIDATOR FOR THE BENEFIT OF PREFERENTIAL CREDITORS OVERSEAS.

"THE AUTHORITY SHOULD BE NOTIFIED OF SUCH EVENTS EARLY ON," HE SAID.

IN ADDITION, THE BILL PROPOSES THE AUTHORITY CAN ADJUST THE LEVEL OF SOLVENCY MARGIN TO REFLECT CURRENT MONETARY VALUES AND INTRODUCE TWO ADDITIONAL, HIGHER LEVELS OF SOLVENCY MARGIN BELOW WHICH THE AUTHORITY WOULD REQUIRE AN INSURER TO SUBMIT FOR APPROVAL; AND IMPLEMENT, A FINANCIAL PLAN OR SHORT-TERM SCHEME.

UNDER THE PRESENT ORDINANCE, A LONG-TERM INSURER IS REQUIRED TO MAINTAIN A SOLVENCY MARGIN, THAT IS, A MINIMUM EXCESS OF ASSETS OVER LIABILITIES, OF HK$2 MILLION.

/"THIS MINIMUM.........

WEDNESDAY, MAY 19, 1993

8

"THIS MINIMUM, SET IN 1983, IS NO LONGER ADEQUATE TO PROTECT POLICY HOLDERS AGAINST THE RISK THAT THE INSURER MAY BE UNABLE TO MEET ITS OBLIGATIONS IN FULL, PARTICULARLY WHERE THE VOLUME OF BUSINESS WRITTEN BY THE INSURER IS SUBSTANTIAL," HE SAID.

THE AMOUNTS OF SOLVENCY MARGIN TO BE MAINTAINED BY A LONG-TERM INSURER WILL BE PRESCRIBED IN REGULATIONS TO BE MADE UNDER THE ORDINANCE.

DEBATE ON THE BILL WAS ADJOURNED.

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BILLS FOR BETTER CONTROL OF LIFTS AND ESCALATORS INTRODUCED *****

TWO BILLS SEEKING TO BRING MORE EFFECTIVE CONTROL TO LIFT AND ESCALATOR WORKS FOR THE GREATER SAFETY OF THE PUBLIC WERE INTRODUCED INTO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MOVING THE SECOND READING OF THE BUILDINGS (AMENDMENT) (NO. 2) BILL 1993 AND THE LIFTS AND ESCALATORS (SAFETY) (AMENDMENT) BILL 1993, THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, SAID THE BILLS WILL RATIONALISE AND STRENGTHEN THE STATUTORY FRAMEWORK FOR THE CONTROL OF LIFT AND ESCALATOR WORKS.

THE BUILDINGS (AMENDMENT) (NO. 2) BILL 1993 PROPOSES THAT ONE SINGLE AUTHORITY, NAMELY THE DIRECTOR OF ELECTRICAL AND MECHANICAL SERVICES, SHOULD BE RESPONSIBLE FOR CONTROL OVER THE DESIGN AND MAINTENANCE AS WELL AS SPECIFICATION OF TECHNICAL STANDARDS FOR THE CONSTRUCTION OF LIFTS AND ESCALATORS.

THE LIFTS AND ESCALATORS (SAFETY) (AMENDMENT) BILL 1993 PROPOSES THAT THE DIRECTOR OF ELECTRICAL AND MECHANICAL SERVICES SHOULD BE GIVEN THE POWER TO PUBLISH FROM TIME TO TIME CODES OF PRACTICE GIVING GUIDANCE AND DIRECTIONS ON THE DESIGN, CONSTRUCTION, MAINTENANCE AND TESTING OF LIFTS AND ESCALATORS.

MR EASON SAID THE BILL PROPOSED THAT INSPECTION AND CHECKING OF LIFTS AND ESCALATORS SHOULD BE CARRIED OUT BY COMPETENT PERSONS TO STRENGTHEN CONTROL OVER THEIR SAFE OPERATION.

"IN ADDITION, REGISTERED LIFT OR ESCALATOR CONTRACTORS WILL BE REQUIRED TO ASSIST THE DIRECTOR OF ELECTRICAL AND MECHANICAL SERVICES IN INVESTIGATIONS RELATING TO LIFT OR ESCALATOR ACCIDENTS BY, FOR EXAMPLE, SUBMITTING ACCIDENT REPORTS," HE SAID.

"THE SUB-CONTRACTING OR ASSIGNMENT OF LIFT OR ESCALATOR MAINTENANCE WORKS TO NON-REGISTERED CONTRACTORS WILL BE REGULATED," HE SAID.

DEBATES ON THE TWO BILLS WERE ADJOURNED.

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/9 ........

WEDNESDAY, MAY 19, 1993

- 9 -

EVENTFUL YEAR FOR BROADCASTING AUTHORITY

******

THE BROADCASTING AUTHORITY HAS PLAYED A SIGNIFICANT ROLE IN PURSUIT OF ITS POLICY TO IMPROVE THE QUALITY AND QUANTITY OF BROADCASTING SERVICES FOR HONG KONG AUDIENCE.

IT WILL CONTINUE TO STRIVE FOR THE MAINTENANCE OF AN EQUITABLE REGULATORY FRAMEWORK SO AS TO ENSURE FAIR AND HEALTHY COMPETITION AMONG EXISTING AND FUTURE BROADCASTERS.

THIS WAS STATED BY THE SECRETARY FOR RECREATION AND CULTURE, MR JAMES SO, WHEN TABLING THE BROADCASTING AUTHORITY ANNUAL REPORT FOR THE YEAR ENDING AUGUST 1992 IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR SO NOTED THAT DURING THE YEAR UNDER REVIEW, THE BROADCASTING INDUSTRY OF HONG KONG WENT THROUGH SIGNIFICANT DEVELOPMENTS.

HE SAID A COMPREHENSIVE TELEVISION BROADCASTING REVIEW WAS CONDUCTED AND THE REGULATORY FRAMEWORK FOR FREE-TO-AIR WIRELESS AND SATELLITE TELEVISION WAS ALSO REVIEWED TO ENABLE THESE MEDIA TO COPE WITH THE CHANGING BROADCASTING ENVIRONMENT BROUGHT ABOUT BY NEW TECHNOLOGY AND MORE COMPETITION.

IN ADDITION, THE LEGISLATION ON SUBSCRIPTION TELEVISION WAS ENACTED IN MARCH THIS YEAR.

"WE ARE NOW READY TO ISSUE A SUBSCRIPTION TELEVISION LICENCE AND WE EXPECT TO SEE THE COMMENCEMENT OF THE SUBSCRIPTION TELEVISION SERVICE BY OCTOBER THIS YEAR,” HE ADDED.

A WORKING GROUP HAS ALSO BEEN SET UP TO REVIEW THE CODES OF PRACTICE ON PROGRAMME, ADVERTISING AND TECHNICAL STANDARDS FOR BOTH TELEVISION AND RADIO BROADCASTS SO AS TO ENSURE THESE STANDARDS REFLECT CHANGING SOCIAL NEEDS AND ATTITUDES AND FAST DEVELOPING TECHNOLOGY.

MAJOR REVISIONS TO THE CODES ENDORSED BY THE AUTHORITY INCLUDED GREATER FLEXIBILITY IN THE SHOWING OF FEATURE FILMS, REPEATS OF CHILDREN PROGRAMMES, AND ADVERTISING FOR FINANCIAL SERVICES, PROPERTY, EDUCATIONAL INSTITUTIONS AND PUBLICATIONS.

FURTHERMORE, A NEW SET OF STANDARDS ON PROGRAMME SPONSORSHIP FOR WIRELESS TELEVISION AND A NEW CODE OF PRACTICE ON TECHNICAL STANDARDS FOR SOUND BROADCASTING WERE DRAWN UP.

ON THE REGULATION OF THE QUALITY OF SERVICES PROVIDED, MR SO TOLD COUNCILLORS THAT THE AUTHORITY’S COMPLAINTS COMMITTER HAD DURING THE YEAR DEALT WITH 648 COMPLAINTS AND ISSUED 21 WARNING LETTERS TO REMIND BROADCASTERS OF THE NEED TO OBSERVE MORE CLOSELY THE DIFFERENT CODES OF PRACTICE.

IT HAD ALSO FINED LICENSEES ON TWO OCCASIONS WITH FINES RANGING FROM $10,000 TO $50,000.

LOOKING AHEAD, MR SO SAID THE AUTHORITY WOULD BE ACTIVELY INVOLVED IN THE REGULATION OF THE SUBSCRIPTION TELEVISION SERVICE WHEN IT WAS INTRODUCED, IN THE RADIO BROADCASTING REVIEW NOW UNDER WAY AND IN THE PREPARATION OF AN OMNIBUS BROADCASTING BILL.

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/10 ........

WEDNESDAY, MAY 19, 1993

- 10 -

LEGCO TO BE GIVEN TIME TO DISCUSS ELECTORAL ARRANGEMENTS ♦ * * * *

THE GOVERNMENT’S AIM IS TO GIVE LEGISLATIVE COUNCIL MEMBERS AS MUCH TIME AS POSSIBLE TO DISCUSS THE ELECTORAL ARRANGEMENTS FOR 1994/95 ALTHOUGH IT WILL BE A MATTER FOR THE COUNCIL TO DETERMINE WHEN THIS PROCESS WILL BE COMPLETED.

THIS WAS STATED BY THE SECRETARY FOR CONSTITUTIONAL AFFAIRS, MR MICHAEL SZE, WHEN HE REPLIED TO A QUESTION BY THE HON YEUNG SUM AT THE LEGISLATIVE COUNCIL MEETING TODAY (WEDNESDAY).

ON THE QUESTION OF THE TIMING OF THE INTRODUCTION OF THE REMAINING LEGISLATION, MR SZE SAID THERE WERE A NUMBER OF FACTORS TO BE BALANCED.

THESE INCLUDE THE NEED TO GIVE THE CURRENT TALKS WITH CHINA A FAIR WIND TO HELP ENSURE THAT THEY ARE BROUGHT TO A SUCCESSFUL CONCLUSION.

’’BUT WE DO NOT HAVE AN INFINITE AMOUNT OF TIME,” HE SAID.

"THE NECESSARY LEGISLATION MUST BE IN PLACE WELL BEFORE THE ELECTIONS ARE DUE," HE ADDED.

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SALE FLAT SCHEME TO SITTING TENANTS SHELVED *****

THE GOVERNMENT, AFTER CAREFUL DELIBERATION, DECIDED IN MARCH THIS YEAR THAT THE REVISED APPROACH TO OFFER PUBLIC RENTAL FLATS TO SITTING TENANTS SHOULD NOT BE PURSUED FOR THE PRESENT, THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, SAID TODAY (WEDNESDAY).

REPLYING TO A QUESTION BY DR THE HON LAM KUI-CHUN IN THE LEGISLATIVE COUNCIL, MR EASON SAID THE GOVERNMENT WAS CONCERNED THAT THE REVISED TERMS OF OFFER MIGHT NOT BE SUFFICIENTLY ATTRACTIVE TO PERSUADE SITTING TENANTS TO MOVE INTO HOME OWNERSHIP IN THE NUMBERS REQUIRED TO MAKE THE SCHEME VIABLE.

AS A RESULT OF THE GOVERNMENT’S DECISION, THE PROPOSED SCHEME HAS BEEN SHELVED.

"THE HOUSING AUTHORITY IS NOW CONSIDERING OTHER WAYS OF ACHIEVING THE PRIMARY OBJECTIVE OF INCREASING HOME OWNERSHIP AMONG SITTING TENANTS," HE SAID.

/Il ........

WEDNESDAY, MAY 19, 1993

- 11 -

EXCESSIVE EMPLOYERS REJECTED IN FOREIGN LABOUR BIDS

*****

ALL THE 3,537 EMPLOYERS, WHO WERE FOUND TO HAVE SET UNREASONABLY RESTRICTIVE JOB REQUIREMENTS WHEN REGISTERING THEIR VACANCIES WITH THE LABOUR DEPARTMENT UNDER THE GENERAL LABOUR IMPORTATION SCHEME, HAD THEIR APPLICATIONS REJECTED, THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, SAID TODAY (WEDNESDAY).

IN ADDITION, THERE HAVE BEEN TWO CASES IN WHICH EMPLOYERS STIPULATED UNREASONABLE REQUIREMENTS WHEN APPLYING UNDER THE SPECIAL LABOUR IMPORTATION SCHEME FOR THE NEW AIRPORT AND RELATED PROJECTS.

THESE LATTER EMPLOYERS SUBSEQUENTLY AGREED TO RELAX THEIR REQUIREMENTS UPON THE ADVICE OF THE GOVERNMENT, MR CHAN SAID.

HE WAS SPEAKING IN REPLY TO A QUESTION BY THE HON MICHAEL HO IN THE LEGISLATIVE COUNCIL.

MR CHAN SAID OUT OF A TOTAL OF 14,336 APPLICANTS IN THE LAST TWO ROUNDS OF APPLICATIONS FOR QUOTAS UNDER THE GENERAL SCHEME, 3,537 WERE FOUND TO HAVE SET HARSH JOB REQUIREMENTS IN TERMS OF AGE, EDUCATION AND WORK EXPERIENCE.

’’THE GOVERNMENT WILL CONTINUE TO REJECT APPLICATIONS SUBMITTED BY EMPLOYERS WHO IMPOSE UNREASONABLY RESTRICTIVE JOB REQUIREMENTS WHEN REGISTERING THEIR VACANCIES WITH THE LABOUR DEPARTMENT,” THE SECRETARY STRESSED.

"IN ADDITION, EMPLOYERS WHO ARE KNOWN TO HAVE REFUSED TO ENGAGE SUITABLE LOCAL WORKERS WITHOUT REASONABLE GROUNDS WILL ALSO HAVE THEIR APPLICATIONS REJECTED," HE SAID.

MR CHAN ALSO TOLD THE COUNCIL THAT EMPLOYERS WERE MADE AWARE OF THE GOVERNMENT’S INTENTIONS BOTH THROUGH GENERAL PUBLICITY AND IN THE GUIDANCE PAMPHLETS ON THE LABOUR IMPORTATION SCHEMES.

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NO EXPIRY DATE FOR WATER SUPPLY AGREEMENT WITH CHINA

*****

THERE IS NO EXPIRY DATE OF THE CURRENT AGREEMENT WITH CHINA CONCERNING THE SUPPLY OF WATER TO HONG KONG.

THIS WAS STATED BY THE SECRETARY FOR WORKS, MR JAMES BLAKE, IN A WRITTEN REPLY TO A QUESTION BY THE HON ALLEN LEE IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

THE YEARLY QUANTITIES HAVE BEEN AGREED UP TO YEAR 2000 AND THE DESIGNED MAXIMUM CAPACITY OF THE SUPPLY SYSTEM IS 1,100 MILLION CUBIC METRES A YEAR.

/"THE TWO .......

WEDNESDAY, MAY 19, 1993

- 12 -

’’THE TWO SIDES WILL DECIDE IN DUE COURSE THROUGH MUTUAL CONSULTATION THE ANNUAL INCREMENTS OF SUPPLY BEYOND 2000," MR BLAKE SAID.

THE CURRENT UNIT PRICE OF WATER SUPPLIED BY CHINA WHICH IS APPLICABLE FOR THE PERIOD MARCH 1, 1993 TO FEBRUARY 28, 1994 IS HK$1.772 PER CUBIC METRE.

AS AT APRIL 30 THIS YEAR, THE TOTAL WATER STORAGE WAS 302.062 MILLION CUBIC METRES.

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PUTONGHUA TRAINING FOR CIVIL SERVANTS INCREASING * * * * *

SOME 4,600 CIVIL SERVANTS HAVE UNDERGONE PUTONGHUA TRAINING SINCE 1985/86 AND 545 ARE TAKING PUTONGHUA LESSONS AT PRESENT, THE SECRETARY FOR THE CIVIL SERVICE, MRS ANSON CHAN SAID TODAY (WEDNESDAY).

IN ADDITION TO A THREE-FOLD INCREASE IN TRAINING OPPORTUNITIES SINCE 1985, THE GOVERNMENT ENCOURAGES THE USE OF PUTONGHUA BY CIVIL SERVANTS THROUGH VISITS TO CHINA FOR WHICH INTERPRETATION SERVICE IS NOT PROVIDED.

"TO A LARGE EXTENT, LANGUAGE PROFICIENCY COMES WITH PRACTICE," SHE EXPLAINED.

"ONE OF THE OBJECTIVES OF THE CHINESE STUDIES COURSES IN BEIJING IS ALSO TO IMPROVE THE PUTONGHUA PROFICIENCY OF CIVIL SERVANTS THROUGH IMMERSION TRAINING."

IN REPLY TO A QUESTION BY THE HON MARTIN BARROW IN THE LEGISLATIVE COUNCIL, MRS CHAN SAID PUTONGHUA TRAINING IS COMPULSORY FOR LOCAL ADMINISTRATIVE OFFICERS.

"PUTONGHUA PROFICIENCY TESTS ARE CARRIED OUT ON ADMINISTRATIVE OFFICERS AND EXECUTIVE OFFICERS ON COMPLETION OF EACH STAGE OF TRAINING," SHE ADDED.

CERTIFICATES OF ATTENDANCE ARE ISSUED ON COMPLETION OF EACH STAGE OF TRAINING AND RECOGNITION OF THE LEVEL OF PROFICIENCY ATTAINED BUT THERE IS NO MONETARY REWARD FOR PASSING LANGUAGE TESTS, SHE SAID.

"WE DO NOT THINK IT IS APPROPRIATE FOR CIVIL SERVANTS TO EXPECT A REWARD FOR ACQUIRING A LANGUAGE SKILL THROUGH TRAINING WHICH IS PROVIDED FREE AND WHICH WILL MAKE THEM MORE EFFECTIVE AT THEIR WORK," SHE SAID.

ON THE CHECK ON THE PROFICIENCY OF CIVIL SERVANTS AT SENIOR LEVELS, MRS CHAN SAID A SURVEY WAS BEING CARRIED OUT ON THE CHINESE LANGUAGE PROFICIENCY OF THE EXECUTIVE GRADE AND A SIMILAR SURVEY WOULD BE CONDUCTED AMONG SENIOR DEPARTMENTAL OFFICERS.

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/13......

WEDNESDAY, MAY 19, IS-

- 13 -

TWO PRINCIPLES GUIDE ACCEPTANCE OF PRIVATE DONATION * * * * * *

THE GOVERNMENT ONLY ACCEPTS A DONATION OR SPONSORSHIP FOR ITS PROJECTS FROM A REPUTABLE INDIVIDUAL OR ORGANISATION IN A MANNER WHICH WILL NOT IMPAIR THE IMAGE OF THE GOVERNMENT, THE SECRETARY FOR THE TREASURY, MR DONALD TSANG, TOLD THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

REPLYING TO A QUESTION BY THE HON MOSES CHENG, MR TSANG SAID THE OTHER BROAD PRINCIPLE WAS THAT THE DONATION MUST NOT RESULT IN AN UNACCEPTABLE RECURRENT COMMITMENT ON PUBLIC FUNDS.

FOR EXAMPLE, IF A PRIVATE DONOR WISHED TO PAY FOR A MAJOR PIECE OF EQUIPMENT, THE GOVERNMENT WOULD NEED TO ENSURE THAT IT COULD MEET THE COST OF SERVICING THAT EQUIPMENT BEFORE IT ACCEPTED THE DONATION, HE SAID.

"THE SAME GENERAL PRINCIPLE APPLIES TO DONATIONS TO PROJECTS UNDERTAKEN BY SUBVENTED ORGANISATIONS," HE SAID.

ON THE WAY TO ACKNOWLEDGE A DONATION, MR TSANG EXPLAINED THAT IT DEPENDED UPON THE WISHES OF THE DONOR AND THE VALUE OF THE DONATION.

"CUSTOMARILY, THE MORE IMPORTANT THE DONATION, THE MORE ELABORATE THE ACKNOWLEDGEMENT," HE SAID.

HOWEVER, AS A GENERAL RULE, PUBLICITY MUST BE IN GOOD TASTE, HE ADDED.

HE SAID PUBLIC RECOGNITION COULD TAKE A VARIETY OF FORMS, INCLUDING A MENTION IN SPEECHES OR THE PARTICIPATION OF DONORS IN CEREMONIES MARKING THE KEY STAGES OF A PROJECT’S DEVELOPMENT.

"IF A DONOR WISHES TO HAVE THE HONOUR OF NAMING A GOVERNMENT PROJECT, HE OR SHE WOULD NORMALLY BE REQUIRED TO CONTRIBUTE AT LEAST 50 PER CENT OF THE TOTAL COST OF THAT PROJECT.

"SUBVENTED ORGANISATIONS FOLLOW EVEN MORE FLEXIBLE RULES. THEY ARE GENERALLY FREE TO SELECT NAMES FOR THEIR PROJECTS AND TO PUBLICISE DONATIONS AS THEY SEE FIT," HE SAID.

--------0------------

GUIDELINES ON TREATING POLITICAL ISSUES FOR TEACHERS ft ft ft ft ft ft

TEACHERS ARE ADVISED TO BE OBJECTIVE AND BALANCED WHEN TEACHING OR DISCUSSING POLITICAL ISSUES AND TO COVER THE PROS AND CONS OF ANY IDEAS, SYSTEMS AND PROCESSES.

THEY ARE ALSO ASKED TO HELP STUDENTS ACCEPT DIFFERENT VIEWS AND STRIVE FOR CO-OPERATION AND HARMONY WITH OTHERS WHO DO NOT NECESSARILY SHARE THEIR VIEWS.

/’’THE OVERALL.......

WEDNESDAY, MAY 19, 19n3

14

"THE OVERALL OBJECTIVE IS TO HELP STUDENTS FORM THEIR OWN OPINIONS ON MATTERS TAUGHT OR DISCUSSED,” THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, SAID IN A WRITTEN REPLY TO A QUESTION fiv THE HON CHIM PUI-CHUNG IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

"TEACHERS WHO WISH TO EXPRESS THEIR OWN PERSONAL OPINION ARE SPECIFICALLY INVITED TO MAKE THIS CLEAR TO THE STUDENTS," HE ADDED.

IN THIS REGARD, MR CHAN SAID, THE EDUCATION DEPARTMENT HAD ISSUED GENERAL GUIDELINES TO TEACHERS.

MORE SPECIFIC CURRICULUM GUIDANCE ON SUBJECTS INVOLVING THE DISCUSSION OF POLITICAL ISSUES, SUCH AS SOCIAL STUDIES, GOVERNMENT AND PUBLIC AFFAIRS, ECONOMIC AND PUBLIC AFFAIRS AND LIBERAL STUDIES, ARE ALSO GIVEN TO THEM.

------0--------

TOWN PLANNING BOARD MEMBERSHIP EXPLAINED

» » » * »

THE BACKGROUND, BUSINESS ACTIVITIES AND PUBLIC INVOLVEMENT OF EACH MEMBER OF THE TOWN DEVELOPMENT BOARD ARE ALL CAREFULLY CONSIDERED BEFORE AN APPOINTMENT IS OFFERED TO MAINTAIN A BALANCE OF INTEREST.

THIS WAS STATED BY THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, IN A WRITTEN REPLY TO A QUESTION BY THE HON LAU CHIN-SHEK IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR EASON SAID THE MEMBERSHIP OF THE BOARD SHOULD PROVIDE A RANGE OF KNOWLEDGE AND EXPERTISE IN MATTERS RELATING TO URBAN PLANNING AND DEVELOPMENT.

"MEMBERS ARE APPOINTED ON THE BASIS OF INDIVIDUAL EXPERTISE AND INVOLVEMENT IN VARIOUS FIELDS OF RELEVANT WORK.

"THEY ARE NOT, HOWEVER, REQUIRED TO CONTRIBUTE TO THE DELIBERATIONS OF THE BOARD PURELY FROM THE NARROW STANDPOINT OF THEIR PARTICULAR EXPERTISE, BUT TO TAKE A BROADER VIEW BASED ON COMMON SENSE," HE SAID.

AT PRESENT, THE BOARD HAS 30 MEMBERS, AMONG WHOM SIX ARE OFFICIAL AND 24 ARE NON-OFFICIAL MEMBERS CATEGORISED BY TRADE AND PROFESSION.

MR EASON SAID IN LINE WITH THE PRACTICE OF OTHER MAJOR PUBLIC BODIES, ALL BOARD MEMBERS WERE REQUIRED TO COMPLETE A REGISTRATION FORM DECLARING THE PECUNIARY INTERESTS THEY HOLD.

THESE REGISTRATION FORMS ARE INCLUDED IN A REGISTER WHICH IS AVAILABLE FOR PUBLIC PERSUAL ON REQUEST.

THE TOWN PLANNING BOARD PROCEDURES AND PRACTICE INCLUDED GUIDELINES REQUIRING MEMBERS TO DECLARE THEIR INTEREST IN ANY RELEVANT DISCUSSION ITEM BEFORE THE BOARD, HE SAID, ADDING THAT THE INDEPENDENT COMMISSION AGAINST CORRUPTION AND THE ATTORNEY GENERAL’S CHAMBERS HAD BEEN CONSULTED ON THESE PROCEDURES.

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/15 .......

WEDNESDAY, MAY 19, 1993

15 -

DEVELOPMENT OF THE SOUTHEAST NEW TERRITORIES LANDFILL * » » ♦ »

THE SOUTH EAST NEW TERRITORIES LANDFILL ENCROACHED ONTO THE CLEAR WATER BAY COUNTRY PARK BECAUSE IT INCREASED THE CAPACITY OF THE LANDFILL BY ABOUT 20 PER CENT AND SUBSTANTIALLY EXTENDED ITS POTENTIAL LIFE.

THIS WAS STATED BY THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, IN A WRITTEN REPLY TO A QUESTION BY THE HON EMILY LAU IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

IT PERMITTED A MORE NATURAL LANDFILL DESIGN WHICH, UPON COMPLETION, WOULD BLEND MORE READILY WITH THE SURROUNDING LANDSCAPE AND WOULD REDUCE THE UNIT COST OF DISPOSAL, HE SAID.

MR EASON SAID THE OBJECT OF PUBLIC WORKS SUB-COMMITTEE AND FINANCE COMMITTEE PAPERS WAS TO SEEK FUNDING APPROVAL FOR PROJECTS FOR WHICH ALL NECESSARY CONSULTATION PROCEDURES HAD BEEN COMPLETED AND STATUTORY OR ADMINISTRATIVE APPROVALS HAD BEEN OBTAINED.

’’THE PAPERS ARE INTENDED TO BE COMPREHENSIVE BUT CONCISE AND TO FOCUS ON THE KEY ISSUES REQUIRING DECISION, NAMELY THE FINANCIAL IMPLICATIONS OF THE PROPOSAL THEY COVER.

"SUFFICIENT INFORMATION SHOULD BE INCLUDED TO ENABLE MEMBERS TO UNDERSTAND THE BACKGROUND TO THE PROJECT AND THE PRIMARY USES TO WHICH THE FUNDS BEING SOUGHT WILL BE PUT.

"MEMBERS ARE ALWAYS WELCOME TO SEEK ADDITIONAL INFORMATION FROM THE GOVERNMENT IF NECESSARY," HE SAID. -----------------------------------0-------

STUDY ON CHANGING AIRPORT HEIGHT RESTRICTIONS *****

THE PLANNING, TRAFFIC, INFRASTRUCTURAL AND , ENVIRONMENTAL IMPLICATIONS OF CHANGING AIRPORT HEIGHT RESTRICTIONS, PARTICULARLY AFTER THE RELOCATION OF THE AIRPORT, ARE CURRENTLY BEING STUDIED IN THE "REVIEW OF BUILDING DENSITY AND HEIGHT RESTRICTIONS IN KOWLOON AND NEW KOWLOON".

THIS WAS STATED BY THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, IN A WRITTEN REPLY TO A QUESTION BY THE HON SZETO WAH IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

"SINCE THE STUDY IS STILL IN PROGRESS, IT IS PREMATURE TO SAY WHETHER THE EXISTING PLOT RATIO RESTRICTIONS WILL BE CHANGED OR NOT," MR EASON SAID, ADDING THAT THE STUDY WOULD BE COMPLETED THIS YEAR.

/THE KWUN .......

WEDNESDAY, MAY 19, 1993

THE KWUN TONG INDUSTRIAL AREAS ARE AT PRESENT SUBJECT TO AIRPORT HEIGHT RESTRICTIONS UNDER THE HONG KONG AIRPORT (CONTROL OF OBSTRUCTIONS) ORDINANCE.

DEVELOPMENT INTENSITY IN THE AREA IS ALSO SUBJECT TO RESTRICTIONS UNDER THE TEMPORARY CONTROL OF DENSITY OF BUILDING DEVELOPMENT (KOWLOON AND NEW KOWLOON) ORDINANCE.

- - 0 - -

WATER SEEPAGE IN PRIVATE DOMESTIC PREMISES * * » » *

COLOUR DYE TESTING IS CONSIDERED THE MOST PRACTICABLE AND EFFECTIVE MEANS TO TRACE THE SOURCE OF WATER SEEPAGE IN PRIVATE DOMESTIC PREMISES WHERE LEAKAGE SOURCE IS UNKNOWN.

THIS WAS STATED BY THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, IN A WRITTEN REPLY TO A QUESTION BY THE HON VINCENT CHENG IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR EASON SAID THE INVESTIGATION OF SUCH SEEPAGE COMPLAINTS WAS UNDERTAKEN PRIMARILY BY THE TWO MUNICIPAL SERVICES DEPARTMENTS.

MORE SERIOUS CASES WHICH CONSTITUTE A POTENTIAL HEALTH HAZARD OR RISK TO THE STRUCTURE OF THE BUILDING ARE REFERRED TO THE WATER SUPPLIES DEPARTMENT AND THE BUILDINGS AND LANDS DEPARTMENT FOR ACTION.

MR EASON SAID WATER SEEPAGE TENDED TO BE A COMPLEX PROBLEM AND TIME TAKEN TO IDENTIFY THE SOURCE VARIED DEPENDING ON THE COMPLEXITY OF THE CASE AND THE CO-OPERATION OF THE OCCUPANTS CONCERNED.

"HOWEVER, THE DEPARTMENTS CONCERNED WILL CONTINUE TO KEEP IN TOUCH WITH TECHNOLOGICAL DEVELOPMENTS IN THIS AREA, FOR INSTANCE, ON THE AVAILABILITY OF EQUIPMENT CAPABLE OF DETECTING EMBEDDED LEAKING PIPES WITHIN BUILDINGS," HE SAID.

MR EASON SAID THE REFERRAL SYSTEM AMONG THE DEPARTMENTS HAD BEEN IMPROVED RECENTLY AND THIS SHOULD HELP SPEED UP THE TIME TAKEN TO INVESTIGATE CASES.

- - 0 - -

/17

WEDNESDAY, MAY 19, 1993

17 -

62 CHINESE MOTHERS ALLOWED TO STAY IN HONG KONG *****

THE SECRETARY FOR SECURITY, MR ALISTAIR ASPREY, SAID 62 OF THE 70 "ILLEGAL IMMIGRANT MOTHERS" WHO WERE REPATRIATED TO CHINA IN JANUARY 1988 HAD RETURNED TO HONG KONG ON ONE-WAY PERMITS ISSUED BY THE CHINESE AUTHORITIES.

IN A WRITTEN REPLY TO A QUESTION BY THE HON LAU CHIN-SHEK IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY), HE SAID THEY HAD BEEN ALLOWED TO REMAIN HERE.

THE REMAINING EIGHT WHO HAVE NOT YET OBTAINED THEIR ONE-WAY EXIT PERMITS ARE FROM HAI FENG, GUANGZHOU, PANYU, SHANTOU AND SHANWEI.

"THE HONG KONG GOVERNMENT HAS ASKED THE CHINESE AUTHORITIES TO CONSIDER SYMPATHETICALLY THE CASE OF THIS GROUP FOR THE EARLY ISSUE OF ONE-WAY EXIT PERMITS," MR ASPREY SAID.

- - 0 - -

STUDY ON TSEUNG KWAN 0 CLINIC SITE *****

THE HOSPITAL AUTHORITY IS WORKING WITH THE RELEVANT GOVERNMENT DEPARTMENTS TO IDENTIFY A SUITABLE SITE FOR THE PROVISION OF A SPECIALIST CLINIC IN TSEUNG KWAN 0, THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, INFORMED THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

IN HER WRITTEN REPLY TO A QUESTION BY THE HON EMILY LAU, MRS WONG SAID SHE FULLY UNDERSTOOD THE CONCERN OF THE TSEUNG KWAN 0 AND SAI KUNG RESIDENTS FOR ADDITIONAL MEDICAL FACILITIES.

"HOWEVER, ANY PROPOSAL FOR A NEW MEDICAL FACILITY MUST BE CAREFULLY EXAMINED AND FULLY JUSTIFY ON ITS OWN MERITS TO ENSURE THAT PUBLIC FUNDS ARE SPENT IN A COST-EFFECTIVE MANNER TO CATER FOR THOSE IN NEED," SHE SAID.

"IN THE CASE OF TSEUNG KWAN 0, WE MUST ALSO TAKE INTO ACCOUNT THE PACE OF POPULATION BUILD-UP AND THE INTERFACE WITH OTHER EXISTING AND FACILITIES UNDER PLANNING," SHE NOTED.

ON THE QUESTION OF WHEN A SPECIALIST CLINIC WILL BE BUILT IN THE AREA, MRS WONG SAID IT WAS NOT POSSIBLE TO BE PRECISE UNTIL A SUITABLE SITE HAD BEEN IDENTIFIED.

"MEMBERS MAY WISH TO KNOW THAT ONCE A SITE IS IDENTIFIED AND SUBJECT TO THE AVAILABILITY OF RESOURCES, IT WOULD TAKE TWO TO THREE YEARS FOR THE CONSTRUCTION OF A CLINIC," SHE ADDED.

- - 0-----------

/18........

WEDNESDAY, MAY 19, 1993

18

SOCIAL WORKERS MAY TAKE PART IN POLITICS

* * * * »

SOCIAL WORKERS IN NON-GOVERNMENTAL ORGANISATIONS HAVE THE RIGHT TO TAKE PART IN PUBLIC LIFE, JUST LIKE OTHER HONG KONG CITIZENS, THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, INFORMED THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

IN HER WRITTEN REPLY TO A QUESTION BY THE HON CHIN PUI-CHUNG, MRS WONG SAID SUCH RIGHT INCLUDED STANDING FOR ELECTION OR BEING APPOINTED BY THE GOVERNMENT TO PUBLIC OFFICES SUCH AS MEMBERS OF DISTRICT BOARDS OR THE URBAN OR REGIONAL COUNCIL.

SHE SAID SINCE 1989, THE HONG KONG COUNCIL OF SOCIAL SERVICE HAD DEVELOPED A SET OF ADMINISTRATIVE GUIDELINES OR POINTERS WITH REGARD TO STAFF TAKING PUBLIC OFFICES FOR THE GENERAL REFERENCE OF NON-GOVERNMENTAL ORGANISATIONS.

’’THE MAIN OBJECTIVE OF THESE GUIDELINES IS TO FACILITATE MUTUAL UNDERSTANDING AND TO CLARIFY EXPECTATIONS AND OBLIGATIONS BETWEEN AGENCIES AND THEIR STAFF,’’ SHE SAID.

MRS WONG ALSO NOTED THAT AS THE FUNDING BODY, THE GOVERNMENT MONITORED THE SERVICES PROVIDED BY SUBVERTED ORGANISATIONS THROUGH THE USE OF OUTPUT MEASURES AND PERFORMANCE INDICATORS.

THIS IS TO ENSURE THAT THE SUBVENTED SERVICES ARE PROVIDED AT THE INTENDED STANDARDS, SHE ADDED.

AS REGARDS SOCIAL WORKERS IN THE CIVIL SERVICE, THE SECRETARY SAID GUIDELINES WERE PROVIDED TO CIVIL SERVANTS ON JOINING POLITICAL ORGANISATIONS OR PARTICIPATING IN POLITICAL ACTIVITIES.

’’THERE IS NO OBJECTION TO NON-DIRECTORATE GOVERNMENT SOCIAL WORKERS IN ENGAGING IN POLITICAL ACTIVITIES, EXCEPT FOR STANDING FOR ELECTION, PROVIDED SUCH ACTIVITIES DO NOT AFFECT THE PERFORMANCE OF THEIR OWN DUTIES AND DO NOT TAKE PLACE DURING THEIR NORMAL WORKING HOURS,” SHE SAID.

’’HOWEVER, AS A GENERAL PRINCIPLE, IT IS IMPORTANT THAT THE CIVIL SERVICE SHOULD REMAIN POLITICALLY NEUTRAL IN OROER TO ENSURE THAT GOVERNMENT BUSINESS IS CONDUCTED IMPARTIALLY,” SHE ADDED.

ASKED ABOUT THEIR NUMBER, MRS WONG SAID THERE WERE ABOUT 1,250 SOCIAL WORKERS EMPLOYED BY THE SOCIAL WELFARE DEPARTMENT IN THE SOCIAL WORK ASSISTANT GRADE AND THE SOCIAL WORK OFFICER GRADE.

IN ADDITION, NON-GOVERNMENTAL ORGANISATIONS EMPLOY ABOUT 2,800 SOCIAL WORKERS IN SUBVENTED POSTS.

------0 - -

/19........

WEDNESDAY, MAY 19, 1993

- 19 -

NEW CLINIC PLANNED FOR LANTAU ♦ * * * *

A NEW HEALTH CLINIC WILL BE CONSTRUCTED IN TUNG CHUNG TO CATER FOR THE PROJECTED POPULATION INCREASE ON LANTAU ISLAND.

SCHEDULED FOR COMPLETION IN 1997, IT WILL PROVIDE A GENERAL OUT-PATIENT DEPARTMENT, A FAMILY HEALTH SERVICE CENTRE, A DENTAL CLINIC AND A CHEST CLINIC.

THIS WAS STATED BY THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, IN A WRITTEN REPLY TO A QUESTION BY DR THE HON LEONG CHE-HUNG IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

AS REGARDS DISCOVERY BAY, MRS WONG NOTED THAT IT WAS BEING SERVED BY A PRIVATE CLINIC WITH THREE DOCTORS PROVIDING GENERAL OUTPATIENT CONSULTATIONS AND 24-HOUR HOME VISIT SERVICES.

IT IS ALSO SERVED BY TWO CLINICS UNDER THE MANAGEMENT OF THE DEPARTMENT OF HEALTH ON PENG CHAU AND MUI WO.

THESE TWO CLINICS PROVIDE GENERAL OUT-PATIENT CONSULTATIONS, MATERNAL AND CHILD HEALTH SERVICES, AS WELL AS AN ACCIDENT AND EMERGENCY SERVICE.

---------0 - -

POLICE RESOURCES ADEQUATE TO DEAL WITH EMERGENCIES

♦ **»»»

THE SECRETARY FOR SECURITY, MR ALISTAIR ASPREY, ASSURED THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY) THAT THE RESOURCES OF THE POLICE WERE SUFFICIENT TO RESPOND TO ALL EMERGENCIES, INCLUDING SEVERAL INCIDENTS HAPPENING SIMULTANEOUSLY IN ONE DISTRICT.

IN A WRITTEN REPLY TO A QUESTION BY THE HON DAVID LI KWOK-PO, MR ASPREY SAID HONG KONG HAD A HIGH POLICE TO POPULATION RATIO.

"POLICE OFFICERS ON BEAT PATROL ARE ABLE TO PROVIDE AN IMMEDIATE RESPONSE TO INCIDENTS ON THE STREET BUT THEY MAY CALL ON OTHER POLICE FORMATIONS FOR SUPPORT," HE SAID.

IN THE VARIOUS POLICE REGIONS, SUPPORT FORMATIONS INCLUDE MOTORCYCLE AND MOBILE PATROL UNITS, EMERGENCY UNITS AND POLICE TACTICAL UNITS.

THE MAIN FUNCTION OF THE EMERGENCY UNITS IN EACH POLICE REGION IS TO PROVIDE A FAST RESPONSE TO EMERGENCIES AND PROVIDE ENHANCED POLICE PRESENCE ON THE GROUND TO COMBAT CRIME.

THE POLICE TACTICAL UNITS ALSO PROVIDE BACKUP CAPABILITY.

/"WHEN THE .......

WEDNESDAY, MAY 19, 1993

- 20 -

"WHEN THE NEED ARISES, SPECIALIST FORMATIONS FROM POLICE HEADQUARTERS MAY ALSO BE CALLED IN FOR SERVICE TO ASSIST," MR ASPREY SAID.

THE SECRETARY ALSO NOTED THAT THE POLICE FORCE WAS WELL-EQUIPPED AND WELL-TRAINED.

MOREOVER, MR ASPREY SAID THE POLICE COMMUNICATION SYSTEM AND INFORMATION SYSTEMS ENABLED SPEEDY TRANSMISSION AND RETRIEVAL OF INFORMATION AND QUICK ANALYSIS OF INCIDENTS.

NEW GROUP TO CO-ORDINATE ELDERLY SERVICES ******

A WORKING GROUP ON CARE FOR THE ELDERLY WILL BE ESTABLISHED NEXT YEAR TO CO-ORDINATE AND MONITOR THE PROVISION AND DEVELOPMENT OF SERVICES FOR THE ELDERLY, THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, SAID.

SHE NOTED THAT THE GOVERNMENT RECOGNISED THE NEED TO REVIEW THE POLICIES ON ELDERLY SERVICES TO ENSURE THAT THEY CONTINUED TO MEET THE CHANGING NEEDS OF HONG KONG.

"WE ARE ALREADY GOING FULL STEAM AHEAD TO IMPLEMENT TARGETS SET OUT IN THE 1991 WHITE PAPER ’SOCIAL WELFARE INTO THE 1990’S AND BEYOND’ FOR SERVICES FOR ELDERLY PERSONS, SUCH AS RESIDENTIAL CARE SERVICES AND SOCIAL CENTRES FOR THE ELDERLY TO ENSURE TIMELY COMPLETION OF THESE PROJECTS," MRS WONG SAID.

IN A WRITTEN REPLY TO A QUESTION BY DR THE HON YEUNG SUM IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY), SHE SAID: "WE ARE ALSO EXAMINING THE FEASIBILITY OF THE INTRODUCTION OF A SENIOR CITIZENS CARD IN HONG KONG."

--------0-----------

INDUSTRIAL ACCIDENT STATISTICS ACCURATELY REFLECT SITUATION *******

A TOTAL OF 55,343 INDUSTRIAL ACCIDENTS OCCURRED LAST YEAR, RESULTING IN 65 FATALITIES.

OF THE ACCIDENTS, 15,138 TOOK PLACE IN THE CATERING INDUSTRY WITH ONE FATALITY, 18,815 IN THE CONSTRUCTION INDUSTRY WITH 48 FATALITIES, AND 21,390 IN THE MANUFACTURING AND OTHER INDUSTRIES WITH 16 FATALITIES.

AMONG THE FATAL CASES, 26 RELATED TO FALL FROM HEIGHT; 10 WERE CONNECTED WITH MACHINERY; AND EIGHT WERE KILLED BY STEPPING ON, STRIKING AGAINST OR STRUCK BY OBJECTS.

/TH1. S

WEDNESDAY, MAY 19, 1993

- 21 -

THE STATISTICS WERE RELEASED BY THE SECRETARY FOR EDUCATION AND MANPOWER, MR JOHN CHAN, IN A WRITTEN REPLY TO A QUESTION BY THE HON TAM YIU-CHUNG IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

MR CHAN NOTED THAT THE ACCIDENT RATE FOR LAST YEAR WAS 57.23 PER 1,000 WORKERS.

AS FOR THE FIRST FOUR MONTHS OF THIS YEAR, 41,480 ACCIDENTS WERE REPORTED, OF WHICH 6,006 WERE IDENTIFIED AS MAJOR ACCIDENTS.

THE SECRETARY EXPLAINED THAT THE METHODOLOGY FOR PREPARING INDUSTRIAL ACCIDENT STATISTICS FOLLOWED THAT ADOPTED BY THE INTERNATIONAL LABOUR ORGANISATION.

"PRACTICALLY ALL INDUSTRIAL ACCIDENTS ARE REPORTED DUE TO THE OPERATION OF THE COMPULSORY EMPLOYEES’ COMPENSATION INSURANCE SYSTEM," HE SAID, ADDING THAT THE STATISTICS ACCURATELY REFLECT THE SITUATION.

AS REGARDS INSPECTIONS, MR CHAN SAID THE FACTORY INSPECTORATE OF THE LABOUR DEPARTMENT MADE 78,364 INSPECTIONS LAST YEAR.

THE DEPARTMENT ALSO TOOK OUT 2,811 PROSECUTIONS AND THE AVERAGE FINE FOR EACH CONVICTION WAS $5,302.

--------0-----------

LEGCO PASSES TWO MOTIONS » * * * *

A MOTION CALLING FOR A FIRM COMMITMENT TO ARTS DEVELOPMENT WAS PASSED BY THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY) AFTER A TWO-HOUR DEBATE.

A TOTAL OF 16 MEMBERS SPOKE IN THE MOTION DEBATE PROPOSED BY THE HON CHRISTINE LOH. THE SECRETARY FOR RECREATION AND CULTURE, MR JAMES SO, REPLIED FOR THE GOVERNMENT.

A MOTION MOVED BY THE HON FRED LI WAH-MING URGING THE GOVERNMENT TO PROMOTE THE SMOOTH IMPLEMENTATION OF THE POLICY OF INTEGRATING REHABILITATION SERVICES INTO THE COMMUNITY WAS ALSO PASSED AFTER TWO AND A HALF HOURS OF DEBATE.

A TOTAL OF 20 MEMBERS SPOKE. THE SECRETARY FOR HEALTH AND WELFARE, MRS ELIZABETH WONG, SPOKE ON BEHALF OF THE GOVERNMENT.

THREE BILLS WERE INTRODUCED FOR FIRST AND SECOND READINGS. DEBATES ON THEM WERE ADJOURNED.

THEY WERE BUILDINGS (AMENDMENT) (NO. 2) BILL 1993; LIFTS AND ESCALATORS (SAFETY) (AMENDMENT) BILL 1993 AND INSURANCE COMPANIES (AMENDMENT) BILL 1993.

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DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

THURSDAY, MAY 20, 1993

CONTENTS PAGE NO.

HK ECONOMY UNDERGOES UNIQUE TRANSFORMATION ................... 1

AIR TRAFFIC TO BENEFIT FROM CHINA FLIGHT LEVEL ASSIGNMENT CHANGE ......................................................... 2

MEASURES TO CUT DRIVING TEST WATTING TIME .................... 3

SMOOTH RETURN OF VIETNAMESE WELCOMED ......................... 5

LAYOUT-DESIGN (TOPOGRAPHY) OF INTEGRATED CIRCUITS BILL ....... 5

DSD TO SPEND $7.3 BILLION ON SEWAGE PROGRAMME ................ 7

TRADE ISSUES SHOULD NOT BE POLITICISED: STI .................. 10

STATISTICS ON TRADE INVOLVING OUTWARD PROCESSING TN CHINA, FOURTH QUARTER 1992 ........................................... 11

REMINDER TO RATEPAYERS: OBJECTIONS MUST BE LODGED BY MAY 31 . 15

HONG KONG NEEDS TO CARE FOR ENVIRONMENT ...................... 15

PHOTOGRAPHIC EXHIBITION OF LOCAL MONUMENTS NOW ON ............ 16

GRADING OF BEACH WATER QUA),TTY .............................. 18

COOL AND CLOUDY TN APRIL ..................................... 21

SOCIAL WELFARE DIRECTOR MEETS WELFARE GROUP .................. 24

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS .. 25

THURSDAY, MAY 20, 1993

1

HK ECONOMY UNDERGOES UNIQUE TRANSFORMATION ♦ ♦ t ♦ *

HONG KONG HAS BEEN GOING THROUGH A DRAMATIC STRUCTURAL CHANGE IN ITS ECONOMY OVER THE DECADE OR SO SINCE CHINA OPENED ITS ECONOMIC DOORS, THE FINANCIAL SECRETARY, MR HAMISH MACLEOD, SAID TODAY (THURSDAY).

"IT HAS ENABLED US TO ACHIEVE SOMETHING WHICH AS FAR AS I KNOW IS UNIQUE - TRANSFORMATION FROM A PREDOMINANTLY MANUFACTURING TO A PREDOMINANTLY SERVICE ECONOMY, WITH UPGRADING IN THE QUALITY OF BOTH, WITHOUT AT THE SAME TIME INCURRING THE PAIN OF UNEMPLOYMENT," HE SAID.

ADDRESSING THE LUNCHEON MEETING OF THE NORDIC BUSINESS ORGANISATIONS, HE NOTED THAT RELATED TO THIS, TWO IMPORTANT CHANGES HAD TAKEN PLACE IN HONG KONG’S EXTERNAL TRADE, NAMELY MARKET DIVERSIFICATION AND THE INTENSIFICATION OF LINKS WITH CHINA.

ON MARKET DIVERSIFICATION, HE POINTED OUT THAT IN THE FIRST FEW MONTHS OF THIS YEAR, CHINA HAD SURPASSED THE U.S. AS HONG KONG’S NUMBER ONE BUYER AND THE SAME TREND APPLIED TO THE EUROPEAN COMMUNITY (EC) .

"THAT SAID, THE U.S. AND THE EC STILL REMAIN VERY IMPORTANT TO US, BEING OUR SECOND AND THIRD LARGEST TRADING PARTNERS RESPECTIVELY," HE SAID.

ON LINKS WITH CHINA, MR MACLEOD SAID HONG KONG WAS NOW CHINA’S LARGEST SOURCE OF DIRECT FOREIGN INVESTMENT, ACCOUNTING FOR ABOUT TWO-THIRDS OF THE TOTAL.

HE ADDED THAT HONG KONG’S EFFECT ON GUANGDONG PROVINCE WAS NATURALLY PARTICULARLY DRAMATIC.

"THROUGH INVESTMENT, MANAGEMENT AND THE PROVISION OF FINANCIAL, TECHNICAL, DESIGN AND MARKETING SERVICES, HONG KONG BUSINESSMEN INITIATE, SHAPE AND INFLUENCE MUCH OF THE INDUSTRIAL DEVELOPMENT IN SOUTHERN CHINA AND BEYOND - TO BOTH PLACES’ MUTUAL BENEFIT," HE SAID.

AS A DIRECT RESULT OF THE RELATIONSHIP WITH SOUTHERN CHINA, THE MAKE-UP OF HONG KONG’S EXTERNAL TRADE HAD ALSO CHANGED DRAMATICALLY.

"IN 1981, EXPORTS OF GOODS MADE IN HONG KONG ACCOUNTED FOR TWO-THIRDS OF OUR TOTAL EXPORTS, WHILE RE-EXPORTS ACCOUNTED FOR ONLY A THIRD.

"TEN YEARS LATER, THE BALANCE HAD ALMOST EXACTLY REVERSED, WITH DOMESTIC EXPORTS DOWN TO ONLY 30 PER CENT OF TOTAL EXPORTS," HE SAID.

HE POINTED OUT THAT THE RELATIONSHIP BETWEEN HONG KONG AND SOUTHERN CHINA, AND PARTICULARLY, THE PEARL RIVER DELTA WAS ONE OF GROWING ECONOMIC INTERDEPENDENCE.

"NEITHER COULD EXPECT TO PROGRESS AT THEIR PRESENT RATE WITHOUT THE OTHER.

/"THIS CLOSE .......

THURSDAY, MAY 20, 1993

2 -

"THIS CLOSE ECONOMIC RELATIONSHIP HAS COME ABOUT LARGELY IN A NATURAL, SPONTANEOUS, AND UNPLANNED FASHION AND THROUGH MARKET FORCES WITHOUT PROMPTING BY THE HONG KONG GOVERNMENT," HE SAID.

TURNING TO THE PACIFIC RIM, THE FINANCIAL SECRETARY NOTED THAT AS DOMESTIC INVESTMENT AND CONSUMER SPENDING INCREASED, ASIA LOOKED POISED FOR CONTINUED RAPID GROWTH.

ASIA HAD OVERTAKEN THE EC TO BECOME THE LARGEST MARKET FOR U.S.

EXPORTS, WITH ITS SHARE RISING FROM 20 PER CENT IN 1980 TO ALMOST 30 PER CENT TODAY, HE SAID, ADDING THAT HOPEFULLY THIS FACT MIGHT GRADUALLY HELP TO BLUNT PROTECTIONIST PRESSURES.

ON HONG KONG’S TRADE WITH THE NORDIC COUNTRIES, MR MACLEOD SAID THE LATEST STATISTICS SHOWED THAT ON A PER CAPITA BASTS, THE NORDIC COUNTRIES IMPORTED ABOUT ONE AND A HALF TIMES MORE FROM HONG KONG THAN DID THE EC AND JAPAN.

AND HQNG KONG IMPORTED FOUR TIMES MORE FROM THE NORDIC COUNTRIES THAN DID THE U.S. AND JAPAN, HE ADDED.

CONCLUDING, MR MACLEOD SAID ONE OF THE KEY REASONS FOR HONG KONG’S SUCCESS WAS ITS READINESS TO INVEST IN INFRASTRUCTURE OF ALL SORTS, WHETHER BY THE PRIVATE OR THE PUBLIC SECTOR.

"I SEE THIS AS A CONTINUING VITAL ROLE - SPENDING MONEY ON A NEW CONTAINER PORT, ON ROUTE 3, ON EXTENDING THE CONVENTION CENTRE -OR ON A NEW INDUSTRIAL ESTATE - AND OF COURSE ON A NEW AIRPORT - THESE ARE ALL VITAL INVESTMENTS IN OUR FUTURE GROWTH AND WELLBEING - AND IN THE FUTURE SUCCESS OF COMPANIES SUCH AS THOSE PRESENTED HERE.

"WE ARE JUST AS COMMITTED TO CONTINUING INFRASTRUCTURAL INVESTMENT AS WE ARE TO A LOW AND PREDICTABLE TAX REGIME," HE SAID.

------0----------

AIR TRAFFIC TO BENEFIT FROM CHINA FLIGHT LEVEL ASSIGNMENT CHANGE *****

HONG KONG’S FLIGHT MOVEMENTS REQUIRING PASSAGE THROUGH THE AIRSPACE OVER CHINA WILL SOON BENEFIT SUBSTANTIALLY FROM A CHANGE IN FLIGHT LEVEL ASSIGNMENT IN CHINA FROM MID-OCTOBER THIS YEAR.

THE CIVIL AVIATION ADMINISTRATION OF CHINA (CAAC) HAS ANNOUNCED THAT THE SYSTEM OF ALLOCATING FLIGHT LEVEL WITHIN THE CHINESE AIRSPACE WILL BE CHANGED BEGINNING AT 1600 HOURS CO-ORDINATED UNIVERSAL TIME ON THURSDAY, OCTOBER 14 (HONG KONG TIME MIDNIGHT ON FRIDAY, OCTOBER 15).

THE CHANGE WILL GREATLY ENHANCE TOTAL TRAFFIC HANDLING CAPACITY IN THE CHINESE AIRSPACE. POTENTIALLY 50 PER CENT MORE FLIGHTS CAN BE ACCOMMODATED.

/CONSEQUENT ON .......

THURSDAY, MAY 20, 1993

3

CONSEQUENT ON THE NEW PRACTICE, CAAC HAS PROPOSED TO AMEND THE LETTER OF AGREEMENT BETWEEN THE AIR TRAFFIC CONTROL CENTRES OF HONG KONG AND GUANGZHOU REGARDING AIR TRAFFIC CONTROL CO-ORDINATION PROCEDURES.

AT PRESENT, THERE ARE ABOUT 600 FLIGHTS A WEEK SERVING BETWEEN HONG KONG INTERNATIONAL AIRPORT AND AIRPORTS IN CHINA, REPRESENTING ABOUT ONE-QUARTER OF HONG KONG’S WEEKLY FLIGHT MOVEMENTS.

AIR TRAFFIC MOVEMENTS BETWEEN HONG KONG AND EUROPEAN AIRPORTS AND BETWEEN HONG KONG AND OTHER AIRPORTS SUCH AS THOSE LOCATED IN MIDDLE EAST, INDIA AND KOREA WHICH REQUIRE PASSAGE THROUGH THE CHINESE AIRSPACE TOTAL ABOUT 250 FLIGHTS A WEEK.

IN ADDITION, FLIGHTS OVERFLYING BOTH THE CHINESE AND HONG KONG AIRSPACE WITHOUT LANDING AT EITHER TERRITORY AVERAGE ABOUT 110 MOVEMENTS A WEEK.

THE MOVEMENTS OF AIR TRAFFIC BETWEEN HONG KONG AND CHINA WILL BENEFIT SUBSTANTIALLY FROM THIS FIRST PHASE IN THE ADOPTION OF INTERNATIONAL STANDARDS DURING A TIME WHEN HONG KONG IS EXPERIENCING A RAPID GROWTH IN THE NUMBER OF FLIGHTS INCLUDING THE PHENOMENAL GROWTH IN TRAFFIC BETWEEN HONG KONG AND CHINA.

THE DIRECTOR OF CIVIL AVIATION, MR PETER LOK KUNG-NAM, AND THE AIR TRAFFIC GENERAL MANAGER, MR ALBERT LAM KWONG-YU, ATTENDED A BRIEFING IN BEIJING ON THE NEW FLIGHT LEVEL ASSIGNMENT SYSTEM BETWEEN MAY 18 AND 20 THIS YEAR.

ALSO ATTENDING THE BRIEFING WERE REPRESENTATIVES FROM JAPAN, KAZAKSTAN, DEMOCRATIC PEOPLE’S REPUBLIC OF KOREA, MONGOLIA, MYANMAR, PAKISTAN, RUSSIAN FEDERATION AND VIETNAM.

DURING THE VISIT, MR LAM AND THE REPRESENTATIVE OF GUANGZHOU AIR CONTROL CENTRE, MR WANG LYIA, CONCLUDED THE REQUIRED AMENDMENTS TO THE LETTER OF AGREEMENT BETWEEN THE HONG KONG AND GUANGZHOU AIR TRAFFIC CONTROL CENTRES.

--------0-----------

MEASURES TO CUT DRIVING TEST WAITING TIME » * * » * 4

THE WAITING TIMES FOR DRIVING TESTS FOR CERTAIN TYPES OF COMMERCIAL VEHICLES WILL BE SIGNIFICANTLY REDUCED AS A RESULT OF AN ACCELERATED PROGRAMME TO RESCHEDULE TEST APPOINTMENTS AND CONDUCTING MORE TESTS AT WEEKENDS.

A SPOKESMAN FOR THE TRANSPORT DEPARTMENT TODAY (THURSDAY) SAID THE MEASURE, INTRODUCED IN MARCH THIS YEAR, WAS AIMED AT REDUCING WAITING TIMES OF DRIVING TESTS FOR ARTICULATED VEHICLES, BUS AND HEAVY GOODS VEHICLES.

"IF NECESSARY, DRIVING TESTS WILL BE SCHEDULED TO BE CONDUCTED ON SATURDAYS, SUNDAYS OR EVEN PUBLIC HOLIDAYS SO AS TO CUT SHORT THE WAITING TIME," THE SPOKESMAN SAID.

/'•IN THE...........

THURSDAY, MAY 20, 1993

4

"IN THE CASE OF BUS DRIVING TESTS, THE WAITING TIME HAS BEEN REDUCED BY AS MUCH AS FOUR MONTHS," HE SAID.

THESE MEASURES ARE EXPECTED TO IMPROVE THE SUPPLY OF DRIVERS TO PUBLIC BUSES AND CONTAINER VEHICLES. THE DEMAND FOR THE LATTER IN PARTICULAR, HAS BEEN INCREASING FAST.

THE SPOKESMAN ADDED THAT THROUGH INTERNAL DEPLOYMENT, FOUR DRIVING EXAMINERS WOULD REINFORCE THE EXISTING TEAM OF EIGHT DRIVING EXAMINER I TO CONDUCT DRIVING TESTS FOR THESE VEHICLES WITH EFFECT FROM JULY, THEREBY BOOSTING THE OUTPUT BY 50 PER CENT.

HOWEVER, THE TEST WAITING TIMES FOR OTHER TYPES OF VEHICLES INCLUDING PRIVATE CARS, MOTORCYCLES AND MEDIUM GOODS VEHICLES, ARE LESS THAN SIX MONTHS.

AT PRESENT, SOME SCHEDULED APPOINTMENTS WERE NOT TAKEN UP BECAUSE SOME CANDIDATES APPLIED FOR POSTPONEMENT OF TESTS AT SHORT NOTICE. THESE EMPTY SLOTS HAVE WASTED A LOT OF DRIVING EXAMINER RESOURCES.

TARGETING AT THIS PHENOMENON, THE TRANSPORT DEPARTMENT HAS SINCE AUGUST LAST YEAR BEEN FILLING UP AS MANY EMPTY SLOTS AS PRACTICABLE, BY ALLOCATING SUCH TIME SLOTS TO CANDIDATES WHO WOULD OTHERWISE HAVE BEEN PLACED AT THE END OF THE QUEUE IF THEY WISHED TO APPLY FOR POSTPONEMENT OF TESTS.

UTILISATION RATE HAS INCREASED SIGNIFICANTLY FROM FOUR PER CENT TO 40 PER CENT DESPITE MANY EMPTY SLOTS CANNOT BE REUSED OWING TO SHORT NOTICE BEING GIVEN BY CANDIDATES OR THE OFFERS FOR EARLY TEST APPOINTMENTS HAVE BEEN SUBSEQUENTLY DECLINED.

"AS A STEP FORWARD TO MAKING FULL USE OF THE EMPTY SLOTS, THE FEASIBILITY OF OFFERING EARLY TEST APPOINTMENTS, INSTEAD OF END-OF-APPOINTMENTS, TO REPEATERS ON A FIRST-COME, FIRST-SERVED BASIS IS UNDER ACTIVE CONSIDERATION," THE SPOKESMAN SAID.

IN ADDITION, WITH THE HELP OF A COMPUTERISED APPOINTMENT SYSTEM, THE DEPARTMENT IS ABLE TO KEEP A CLOSE WATCH ON DOUBLE-BOOKING OF TEST APPOINTMENTS BY DISHONEST CANDIDATES.

THE SPOKESMAN SAID CANDIDATES INVOLVED COULD BE REGARDED AS HAVING VIOLATED THE PROVISIONS OF THE ROAD TRAFFIC ORDINANCE, AND UPON CONVICTION, WERE LIABLE TO A FINE OF $5,000 AND IMPRISONMENT FOR SIX MONTHS.

THURSDAY, MAY 20, 1993

5

SMOOTH RETURN OF VIETNAMESE WELCOMED * * * * *

THE REFUGEE CO-ORDINATOR, MR BRIAN BRESNIHAN, TODAY (THURSDAY) WELCOMED THE SMOOTH REPATRIATION OF 59 VIETNAMESE NONREFUGEES UNDER THE ORDERLY REPATRIATION PROGRAMME (ORP).

’’TODAY’S FLIGHT, WHICH IS THE 11TH FLIGHT SINCE THE SIGNING OF THE ORP AGREEMENT ON OCTOBER 29, 1991, HAS AGAIN BEEN UNEVENTFUL.

"WE HAVE RETURNED A TOTAL OF 572 NON-REFUGEES TO VIETNAM ON THESE ORP FLIGHTS,” HE SAID.

TODAY’S GROUP COMPRISED 19 MEN, 25 WOMEN, SEVEN BOYS AND EIGHT GIRLS FROM GREEN ISLAND RECEPTION CENTRE, CHI MA WAN (UPPER) DETENTION CENTRE AND NEI KWU CHAU DETENTION CENTRE.

ALL HAD BEEN SCREENED OUT AS NON-REFUGEES.

---------0-----------

LAYOUT-DESIGN (TOPOGRAPHY) OF INTEGRATED CIRCUITS BILL ******

THE ACTING SECRETARY FOR TRADE AND INDUSTRY, MRS REGINA IP, ANNOUNCED TODAY (THURSDAY) THAT THE LAYOUT-DESIGN (TOPOGRAPHY) OF INTEGRATED CIRCUITS BILL WOULD BE INTRODUCED INTO THE LEGISLATIVE COUNCIL ON JUNE 9.

"THE BILL AIMS TO PROVIDE STATUTORY PROTECTION FOR THE LAYOUTDESIGNS (TOPOGRAPHIES) OF INTEGRATED CIRCUITS," SHE SAID.

"THIS WILL ENCOURAGE TECHNOLOGY TRANSFER AS WELL AS INVESTMENT IN, AND DEVELOPMENT OF, THE INTEGRATED CIRCUIT INDUSTRY," MRS IP SAID.

THE BILL SEEKS TO REFLECT THE INTERNATIONAL CONSENSUS IN THIS FIELD AS LAID DOWN IN THE TREATY ON INTELLECTUAL PROPERTY IN RESPECT OF INTEGRATED CIRCUITS (THE WASHINGTON TREATY 1989) AND THE DRAFT AGREEMENT ON TRADE-RELATED ASPECTS OF INTELLECTUAL PROPERTY RIGHTS IN THE URUGUAY ROUND OF NEGOTIATIONS UNDER GATT (THE GATT-TRIPS AGREEMENT).

ITS MAJOR PROVISIONS ARE MODELLED ON THE UK AND AUSTRALIAN LEGISLATION.

"THE BILL WILL DEMONSTRATE TO THE INTERNATIONAL COMMUNITY HONG KONG’S COMMITMENT TO THE PROTECTION OF LAYOUT-DESIGNS (TOPOGRAPHIES) OF INTEGRATED CIRCUITS," SHE SAID.

"THIS WOULD ALSO ENABLE HONG KONG TO DISCHARGE ANY FUTURE OBLIGATIONS UNDER THE DRAFT GATT-TRIPS AGREEMENT," MRS IP ADDED.

AN INTEGRATED CIRCUIT IS A VERY SMALL ELECTRONIC DEVICE WHICH IS USED IN THE OPERATION OF A WIDE RANGE OF INDUSTRIAL, MEDICAL, COMMERCIAL AND CONSUMER PRODUCTS.

/IT FORMS .......

THURSDAY, MAY 20, 1993

6

IT FORMS AN IMPORTANT PART OF MODERN TECHNOLOGY AND HAS ACQUIRED A GROWING ECONOMIC AND TRADE SIGNIFICANCE OVER THE PAST 20 YEARS.

THE STRUCTURE OF AN INTEGRATED CIRCUIT IS DETERMINED BY THE LAYOUT-DESIGN WHICH IS THE RESULT OF A COMPLICATED DEVELOPMENT PROCESS REQUIRING MUCH CAPITAL INVESTMENT AND INTELLECTUAL EFFORT.

ONCE THE LAYOUT-DESIGN IS DEVELOPED, IT CAN BE REPRODUCED EASILY AND THE INTEGRATED CIRCUIT MASS PRODUCED AT A FRACTION OF THE DEVELOPMENT COST.

UNDER THE BILL, A LAYOUT-DESIGN WILL BE PROTECTED AUTOMATICALLY UPON ITS CREATION AND UPON FIRST COMMERCIAL EXPLOITATION.

THE TERM OF PROTECTION WILL BE 10 YEARS AFTER A LAYOUT-DESIGN WAS FIRST COMMERCIALLY EXPLOITED.

IF THERE IS NO COMMERCIAL EXPLOITATION, THE TERM WILL BE 15 YEARS AFTER THE LAYOUT-DESIGN WAS CREATED.

LAYOUT-DESIGNS WILL ONLY BE PROTECTED IF THEIR OWNERS ARE QUALIFIED OWNERS, THAT IS, THEY HAVE A RIGHT OF ABODE OR HAVE A REAL AND EFFECTIVE INDUSTRIAL OR COMMERCIAL ESTABLISHMENT FOR THE CREATION OF LAYOUT-DESIGNS OR THE PRODUCTION OF INTEGRATED CIRCUITS IN HONG KONG OR A QUALIFYING COUNTRY, TERRITORY OR AREA.

A QUALIFIED OWNER HAS THE RIGHTS TO REPRODUCE HIS LAYOUT-DESIGN AND TO COMMERCIALLY EXPLOIT THE LAYOUT-DESIGN. THE BILL PROVIDES CIVIL REMEDIES FOR INFRINGEMENT OF SUCH RIGHTS.

THE BILL PERMITS CERTAIN NON-INFRINGING ACTS. THESE INCLUDE THE REPRODUCTION OF LAYOUT-DESIGNS FOR PRIVATE PURPOSE AND FOR THE PURPOSE OF EVALUATION, ANALYSIS, RESEARCH OR TEACHING. THEY ARE IN LINE WITH THE INTERNATIONAL CONSENSUS.

"WE BELIEVE THAT THESE EXCEPTIONS WOULD ENCOURAGE RESEARCH AND DEVELOPMENT IN INTEGRATED CIRCUITS TECHNOLOGY," MRS IP SAID.

THE BILL ENABLES THE GOVERNOR TO DESIGNATE A COUNTRY, TERRITORY OR AREA AS A QUALIFYING COUNTRY, TERRITORY OR AREA FOR THE PURPOSE OF PROVIDING RECIPROCAL PROTECTION, IF HE CONSIDERS THAT ITS LAW HAS GIVEN ADEQUATE PROTECTION TO HONG KONG OWNERS.

"THIS WILL FACILITATE HONG KONG TO ENTER INTO RECIPROCAL ARRANGEMENT WITH OTHER COUNTRIES," SHE SAID.

"THE BILL ALSO ALLOWS GOVERNMENT USE OF A LAYOUT-DESIGN WITHOUT THE CONSENT OF ITS OWNER IN PERIODS OF EXTREME URGENCY DECLARED BY THE GOVERNOR IN COUNCIL. THIS IS NECESSARY FOR THE GOVERNMENT TO MAINTAIN THE SUPPLIES AND SERVICES ESSENTIAL TO THE LIFE OF THE COMMUNITY IN EXTREME URGENCY," SHE SAID.

"THE INTEREST OF THE OWNER WILL BE PROTECTED BECAUSE THE USE IS SUBJECT TO PAYMENT OF COMPENSATION," SHE ADDED.

THE BILL WILL BE GAZETTED NEXT FRIDAY (MAY 28).

- - 0 - -

/7.........

THURSDAY, MAY 20, 1993

7 -

DSD TO SPEND $7.3 BILLION ON SEWAGE PROGRAMME * * * * *

THE DRAINAGE SERVICES DEPARTMENT WILL SPEND $7.3 BILLION FROM NOW UNTIL 1997 ON IMPLEMENTING ITS SEWAGE STRATEGY PROGRAMME.

ANNOUNCING THIS AT A MEET-THE-MEDIA SESSION THIS (THURSDAY) AFTERNOON, THE DIRECTOR OF DRAINAGE SERVICES, MR SIU CHUEN, SAID THE SEWAGE STRATEGY CONSISTS OF TWO COMPONENTS - THE SEWERAGE MASTER PLANS AND THE STRATEGIC SEWAGE DISPOSAL SCHEME.

THE SEWERAGE MASTER PLANS AIM AT IMPROVING THE SEWAGE COLLECTION SYSTEM OF ALL THE CATCHMENT AREAS. THE PLANS INCLUDE, AMONG OTHER THINGS, RECTIFICATIONS OF WRONG CONNECTIONS THAT RESULT IN UNTREATED SEWAGE GOING INTO THE SEA ALONG THE DRAINS BUILT TO CARRY ONLY STORMWATER.

THE STRATEGIC SEWAGE DISPOSAL SCHEME IS A CENTRALISED SEWAGE TREATMENT AND DISPOSAL SYSTEM FOR THE URBAN AREAS, WITH SEWAGE FROM KOWLOON AND HONG KONG ISLAND TO BE CONNECTED INTO THE SCHEME BY A SERIES OF TUNNELS, DEEPER AND LONGER THAN THE TUNNELS IN THE MTR, AND DISCHARGED, AFTER TREATMENT, INTO THE WATER CURRENTS AT THE BOTTOM OF THE OCEAN.

MR SIU EXPLAINED THAT UNDER THE SEWERAGE MASTER PLANS, THE WHOLE TERRITORY HAS BEEN DIVIDED INTO 16 AREAS FOR STUDYING IN DETAIL THE ADEQUACY OF THE SEWERAGE AND SEWAGE TREATMENT SYSTEMS SERVING EACH AREA.

THE STUDIES HAVE IDENTIFIED MAJOR POLLUTION AREAS AND RECOMMENDED ADVANCED WORKS TO ACHIEVE EARLY ENVIRONMENTAL IMPROVEMENTS.

THE BENEFICIAL EFFECTS OF SUCH WORKS HAVE ALREADY BEEN FELT FROM THE IMPROVEMENT OF WATER QUALITY AT SOME BEACHES, SUCH AS THOSE IN REPULSE BAY AND SOUTH BAY, WITH THE WATER BEING CLEANER AND MORE SAFE FOR BATHING THAN BEFORE.

THE DRAINAGE SERVICES DEPARTMENT HAS NOW TAKEN UP THE IMPLEMENTATION WORKS OF SEWERAGE MASTER PLANS IN EIGHT AREAS - PORT SHELTER, YUEN LONG AND KAM TIN, TUEN MUN, EAST KOWLOON, HONG KONG ISLAND SOUTH, TOLO HARBOUR, TSUEN WAN/KWAI TSI NG AND NORTH WEST KOWLOON.

THE MAIN FEATURES OF THE WORKS ARE:

* CONSTRUCTING NEW RELIEF SEWERS IF THE EXISTING SEWERS HAVE INADEQUATE CAPACITY;

* EXTENDING THE SEWER NETWORK TO AREAS NOT YET SERVED BY PUBLIC SEWERS;

* REPLACING OR REPAIRING DEFECTIVE 01,D SEWERS EVEN IF THEY HAVE THE RIGHT CAPACITY;

/* CONSTRUCTING NEW .......

THURSDAY, MAY 20, 1993

8

* CONSTRUCTING NEW SEWAGE TREATMENT AND DISPOSAL FACILITIES; AND

RECTIFYING WRONG CONNECTIONS ONCE AND FOR ALL AND RE-DIRECTING WASTEWATER TO THE SEWERAGE SYSTEM AFTER THE ABOVE IMPROVEMENT WORKS HAVE BEEN COMPLETED.

MR SIU SAID COMPLETING ALL THE MASTER PLAN PROPOSALS WOULD TAKE ABOUT $8 BILLION OVER 10 YEARS.

"WE ARE CONCENTRATING OUR INITIAL EFFORTS ON HONG KONG ISLAND SOUTH BECAUSE OF THE RECREATIONAL VALUE OF ITS COASTLINE AND BATHING BEACHES.

"IN THIS AREA OF SCENIC NATURAL BEAUTY, CONSTRUCTION WORK STARTED IN 1990 AND IS STILL IN PROGRESS IN REPULSE BAY, DEEP WATER BAY, TAI TAM, AND HERE IN STANLEY.

"CONSTRUCTION WORKS FOR THE SHEK 0 SEWAGE TREATMENT SCHEME WILL START TOWARDS THE END OF THIS YEAR AND A COMPREHENSIVE SEWERAGE SCHEME FOR THE WHOLE OF HONG KONG ISLAND SOUTH WILL BE IN PLACE BY THE END OF 1995," HE ADDED.

MR SIU POINTED OUT THAT A NOTEWORTHY FEATURE OF THE STANLEY SCHEME IS THAT THE SEWAGE TREATMENT PLANT IS CONSTRUCTED UNDERGROUND IN A CAVERN - THE VENUE OF HIS MEET-THE-MEDIA SESSION.

"WE NEED A SITE IN STANLEY AND ONE ALTERNATIVE WOULD HAVE BEEN TO RECLAIM TWEED BAY. THE COST INVOLVED WOULD HAVE BEEN COMPARABLE BUT AN ABOVE GROUND PLANT WOULD HAVE GIVEN RISE TO AN ADVERSE VISUAL IMPACT ON THE IMPRESSIVE NATURAL COASTLINE IN STANLEY," HE NOTED.

THE TWO MAIN TREATMENT STREAMS OF THE STANLEY SEWAGE TREATMENT PLANT ARE EACH ABOUT 120 METRES LONG, 12 METRES WIDE AND 11 METRES HIGH, AND CONTAINS THE AERATION TANKS AND THE FINAL SETTLING TANKS.

THE SERVICE AREAS WILL BE AT TWO LEVELS IN ORDER TO REDUCE THE SHEER SIZE OF THE EXCAVATED CAVERN, AND A TWO-KILOMETRE SUBMARINE OUTFALL HAS ALREADY BEEN COMPLETED.

ALTHOUGH THE SEWAGE TREATMENT PLANT IS ENTIRELY UNDERGROUND, IT IS EASILY ACCESSIBLE FROM WONG MA KOK ROAD, AND ITS FUTURE OPERATION AND MAINTENANCE ARE NOT SUBJECT TO WEATHER CONDITIONS.

EXCAVATION WORK IS ALMOST COMPLETED AND STRUCTURAL AND MACHINERY INSTALLATION WORKS WILL TAKE ANOTHER YEAR OR SO.

THE TREATMENT PLANT SHOULD BE IN OPERATION BEFORE THE MIDDLE OF NEXT YEAR.

PRELIMINARY DESIGN IS IN HAND FOR THE OTHER SEWERAGE MASTER PLANS AREAS, NAMELY NORTH WEST KOWLOON, TSUEN WAN/KWAI TSING, TUEN MUN AND YUEN LONG, AND CONSTRUCTION SHOULD START TOWARDS THE END OF NEXT YEAR.

WITH THE APPROACH OF THE RAINY SEASON, MR SIU BRIEFED THE MEDIA ON HIS DEPARTMENT’S EFFORTS ON FLOOD MITIGATION AND CONTROL.

/HE POINTED .......

THURSDAY, MAY 20, 1993

- 9 -

HE POINTED OUT THAT THE MAJOR FLOOD-PRONE AREAS IN HONG KONG ARE IN YUEN LONG AND THE NORTH DISTRICTS OF THE NEW TERRITORIES, INCLUDING TIN SHUI WAI, KAM TIN, NGAU TAM MEI, SAN TIN, YUEN LONG AND SHEUNG SHUI.

THESE AREAS ARE THE NATURAL FLOOD PLAINS OF THE MAJOR RIVERS DRAINING INTO DEEP BAY, AND IN RECENT YEARS FLOODING HAS BECOME MORE SERIOUS DUE TO LAND USE CHANGES AND BLOCKAGE OF NATURAL WATERCOURSES.

THE FLOOD PREVENTION WORKS UNDERTAKEN IN THESE AREAS ARE THE CONSTRUCTION OR IMPROVEMENT OF DRAINAGE CHANNELS, AND CONSTRUCTION OF FLOOD PUMPING SCHEMES FOR LOW-LYING VILLAGES.

THE VILLAGES ARE SURROUNDED BY BUNDS TO PROTECT THEM FROM FLOODS AND THE RAINWATER THAT FALLS INSIDE THEM IS PUMPED OUT.

EXISTING RIVERS AND DRAINAGE CHANNELS HAVE BEEN IMPROVED IN AN EXERCISE CALLED RIVER TRAINING WORKS BY STRAIGHTENING THEM AND LINING THEM WITH CONCRETE TO INCREASE THEIR WATER FLOW.

SEVEN KILOMETRES OF RIVER CHANNELS HAVE BEEN TRAINED AND SEVEN FLOOD PUMPING SCHEMES ARE IN OPERATION IN THESE AREAS.

THE MAIN DRAINAGE CHANNELS AND THE FLOOD PUMPING SCHEMES IN THE TIN SHUI WAI CATCHMENT HAVE RECENTLY BEEN COMPLETED.

TRAINING OF MAIN DRAINAGE CHANNELS TO MITIGATE THE FLOOD HAZARD IN THE YUEN LONG AND KAM TIN CATCHMENTS ARE EXPECTED TO START IN 1993/94 AND THE WORKS ARE ESTIMATED TO COST AROUND $1.6 BILLION IN TWO STAGES.

THE WORKS WILL BE IMPLEMENTED IN SEVERAL PHASES, STARTING FROM THE DOWNSTREAM ENDS OF THE SHAN PUI AND KAM TIN RIVERS AND PROCEEDING UPWARDS.

FLOOD PUMPING SCHEMES COSTING ABOUT $45 MILLION ARE BEING PLANNED FOR COMMENCEMENT OF CONSTRUCTION TOWARDS THE END OF NEXT YEAR IN SHA PO.

THE PROPOSED WORKS TO PREVENT FLOODING IN NGAU TAM MEI AND SAN TIN INCLUDE RIVER TRAINING AND FIVE FLOOD PUMPING SCHEMES AT A COST OF ABOUT $760 MILLION, AND CONSTRUCTION IS PROGRAMMED TO START IN 1994/95.

WITH REGARD TO THE NORTH DISTRICT, MR SIU POINTED OUT THAT DISCUSSIONS BETWEEN THE GOVERNMENT AND THE SHENZHEN MUNICIPALITY ON THE SHENZHEN RIVER IMPROVEMENT SCHEME ARE IN PROGRESS.

THIS SCHEME INVOLVES TRAINING 17 KILOMETRES OF THE SHENZHEN RIVER IN STAGES. AS THESE WORKS MAY HAVE AN ENVIRONMENTAL IMPACT ON THE MAI PO MARSHES AND INNER DEEP BAY, AN ENVIRONMENTAL IMPACT ASSESSMENT WOULD BE UNDERTAKEN BEFORE CONSTRUCTION.

THE DESILTING OF NATURAL RIVERS HAS BEEN ACTIVELY PURSUED BY THE DRAINAGE SERVICES DEPARTMENT IN THE FLOOD-PRONE AREAS, MR SIU SAID.

/IN 1992/93.........

THURSDAY, MAY 20, 1993

10

IN 1992/93, $3.5 MILLION WAS SPENT ON DESILTING WORKS INVOLVING THE REMOVAL OF SOME 42,000 CUBIC METRES OF SILT.

HOWEVER, GOVERNMENT’S EFFORT TO CARRY OUT THIS KIND OF WORK IS OFTEN FRUSTRATED BY THE PROBLEM OF GAINING ACCESS TO RIVERS THROUGH PRIVATE LAND.

TO OVERCOME THIS PROBLEM, A LAND ORDINANCE BILL IS BEING DRAFTED TO EMPOWER GOVERNMENT TO GAIN ACCESS TO THE MAIN RIVERS TO CARRY OUT MAINTENANCE.

A BILL IS EXPECTED TO BE INTRODUCED INTO THE LEGISLATIVE COUNCIL WITHIN THE CURRENT LEGISLATIVE YEAR.

---------0-----------

TRADE ISSUES SHOULD NOT BE POLITICISED: STI ******

TRADE ISSUES SHOULD NOT BE POLITICISED AND MOST FAVOURED NATION (MFN) STATUS IS THE WRONG TOOL TO ACHIEVE OTHER POLICY OBJECTIVES, HOWEVER MERITORIOUS, SECRETARY FOR TRADE AND INDUSTRY, MR T H CHAU, SAID TODAY (THURSDAY).

SPEAKING AT THE DALLAS COMMITTEE ON FOREIGN RELATIONS IN THE UNITED STATES, MR CHAU SAID MFN WAS, AFTER ALL, THE NORMAL CONDITION FOR INTERNATIONAL TRADE AND NOT A PREFERENTIAL TREATMENT.

MR CHAU POINTED OUT THAT IN CHINA, IT WOULD BE THE SOUTH -WHICH WAS IN THE VANGUARD OF REFORM, OF OPENING UP TO THE OUTSIDE WORLD - WHICH WOULD BE HARDEST HIT IF MFN WAS WITHDRAWN.

"WE BELIEVE THAT IT WOULD BE COUNTER-PRODUCTIVE TO STOP OR REVERSE THE PROGRESS OF CHINA’S ECONOMIC REFORM OR TO ISOLATE CHINA,” HE SAID.

MR CHAU SAID HONG KONG WOULD STAND TO LOSE A SIZEABLE CHUNK OF RE-EXPORT TRADE IF CHINA LOST MFN, AS 70 PER CENT OF CHINA’S EXPORTS TO THE U.S. WERE ROUTED THROUGH HONG KONG.

"AND OUR MANUFACTURING INVESTMENTS IN CHINA, MANY OF WHICH ARE PRODUCING FOR THE U.S. MARKET, WOULD BE HARD-HIT.

"THERE WOULD BE KNOCK-ON EFFECTS ON OTHER PARTS OF OUR ECONOMY AND BUSINESS CONFIDENCE GENERALLY WOULD BE BADLY AFFECTED,” HE ADDED.

AND U.S. BUSINESS INTERESTS WOULD SUFFER TOO. MR CHAU SAID.

"THOSE IN HONG KONG AND (’HINA WOULD BE DIRECTLY AFFECTED IN THE SAME WAY AS LOCAL HONG KONG COMPANIES.

"MOREOVER, BUSINESSES IN THE U.S. ITSELF WOULD ALSO BE HURT IF CHINA RETALIATED AND CUT BACK ON U.S. IMPORTS.

/"U.S. EXPORTS .......

THURSDAY, MAY 20, 1993

"U.S. EXPORTS TO CHINA WERE VALUED AT ABOUT US$7.5 BILLION IN 1992. EVERY US$1 BILLION WORTH OF EXPORTS CREATE APPROXIMATELY 20,000 JOBS. THE LOSS OF EXPORTS TO CHINA CONSEQUENT ON MFN REVOCATION COULD PUT UP TO 150,000 AMERICAN JOBS AT RISK,” HE SAID.

ON THE FUTURE OF HONG KONG, MR CHAU SAID THE MUTUAL BENEFIT WHICH HONG KONG AND CHINA DERIVED FROM EACH OTHER PROVIDED A STRONG GUARANTEE OF HONG KONG’S FUTURE AS A HIGHLY AUTONOMOUS SPECIAL ADMINISTRATIVE REGION OF CHINA.

"I BELIEVE THAT HONG KONG, BY REMAINING AS AN AUTONOMOUS TRADING PARTNER AND A SEPARATE ECONOMIC ENTITY, WILL RETAIN ITS VATALITY AND DYNAMISM.

’’CONSEQUENTLY, IT WILL CONTINUE TO PLAY ITS CURRENT ROLE AND CONTINUE TO BE OF BENEFIT TO CHINA, TO THE UNITED STATES, AND TO THE REST OF THE WORLD,” MR CHAU SAID.

MR CHAU, WHO IS CURRENTLY VISITING U.S., WILL ATTEND THE JOINT ANNUAL MEETING OF THE HK/U.S. AND U.S./HK ECONOMIC CO-OPERATION IN NEW YORK TOMORROW (FRIDAY).

---------0-----------

STATISTICS ON TRADE INVOLVING OUTWARD PROCESSING IN CHINA, FOURTH QUARTER 1992

* » * * »

IN THE FOURTH QUARTER OF 1992, 48% OF HONG KONG’S TOTAL EXPORTS TO CHINA WERE FOR OUTWARD PROCESSING; THE FIGURE WAS 73% FOR DOMESTIC EXPORTS, AND 42% FOR RE-EXPORTS.

ON THE OTHER HAND, 75% OF HONG KONG’S IMPORTS FROM CHINA WERE RELATED TO OUTWARD PROCESSING, ACCORDING TO STATISTICS RELEASED TODAY (THURSDAY) BY THE CENSUS AND STATISTICS DEPARTMENT.

OVER THE SAME PERIOD, 77% OF HONG KONG’S RE-EXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA WERE PRODUCED THROUGH OUTWARD PROCESSING IN CHINA.

THE CORRESPONDING PROPORTIONS IN THE FOURTH QUARTER OF 1991 WERE 53% FOR TOTAL EXPORTS TO CHINA, 75% FOR DOMESTIC EXPORTS TO CHINA, 45% FOR RE-EXPORTS TO CHINA, 72% FOR IMPORTS FROM CHINA AND 77% FOR RE-EXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA.

IN 1992, 52% OF HONG KONG’S TOTAL EXPORTS TO CHINA WERE FOR OUTWARD PROCESSING; THE FIGURE WAS 74% FOR DOMESTIC EXPORTS, AND 46% FOR RE-EXPORTS.

ON THE OTHER HAND, 72% OF HONG KONG’S IMPORTS FROM CHINA WERE RELATED TO OUTWARD PROCESSING. OVER THE SAME PERIOD, 78% OF HONG KONG’S RE-EXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA WERE PRODUCED THROUGH OUTWARD PROCESSING IN CHINA.

/THE CORRESPONDING .......

THURSDAY, MAY 20, 1993

- 12 -

THE CORRESPONDING PROPORTIONS IN 1991

EXPORTS TO CHINA, 77% FOR DOMESTIC EXPORTS TO EXPORTS TO CHINA, 68% FOR IMPORTS FROM CHINA AND CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA.

WERE 55% FOR TOTAL

CHINA, 48% FOR RE-74% FOR RE-EXPORTS OF

THE DECREASES IN THE PROPORTION OF EXPORTS TO CHINA FOR OUTWARD PROCESSING AS RECORDED IN 1992 REFLECT THAT HONG KONG’S EXPORTS FOR MEETING DOMESTIC DEMAND IN CHINA, VIZ. EXPORTS TO CHINA NOT DESTINED FOR OUTWARD PROCESSING, INCREASED AT A FASTER PACE THAN OUTWARD PROCESSING TRADE DURING THE PERIOD.

THIS IS IN LINE WITH THE SUSTAINED INCREASE IN DOMESTIC DEMAND IN CHINA FOR IMPORTED GOODS.

TO PROVIDE A BETTER UNDERSTANDING OF THE NATURE AND IMPORTANCE OF OUTWARD PROCESSING IN CHINA INITIATED BY HONG KONG FIRMS, THE CENSUS AND STATISTICS DEPARTMENT HAS BEEN CONDUCTING A SAMPLE SURVEY AS FROM THE THIRD QUARTER OF 1988 TO DISTINGUISH HONG KONG’S EXPORTS TO CHINA INTO THOSE WHICH ARE FOR OUTWARD PROCESSING AND THOSE WHICH ARE NOT.

THE SCOPE OF THE SURVEY HAS BEEN EXTENDED AS FROM THE FIRST QUARTER OF 1989 SO AS TO SEGREGATE HONG KONG’S IMPORTS FROM CHINA INTO THOSE WHICH ARE RELATED TO OUTWARD PROCESSING AND THOSE WHICH ARE NOT.

STARTING FROM THE FIRST QUARTER OF 1991, THE SCOPE OF THE SURVEY HAS FURTHER BEEN EXTENDED SO AS TO SEGREGATE HONG KONG’S REEXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA WHICH ARE PRODUCED THROUGH OUTWARD PROCESSING IN CHINA AND THOSE WHICH ARE NOT.

THE RESULTS FOR THE FOURTH QUARTER AND THE WHOLE YEAR OF 1992 ARE NOW AVAILABLE.

IN VALUE TERMS, $38,241 MILLION OF HONG KONG’S TOTAL EXPORTS TO CHINA IN THE FOURTH QUARTER OF 1992 WERE FOR OUTWARD PROCESSING, REPRESENTING AN INCREASE OF 22% OVER THE FOURTH QUARTER OF 1991.

THE VALUE OF DOMESTIC EXPORTS AND RE-EXPORTS TO CHINA FOR OUTWARD PROCESSING GREW BY 7% TO $11,968 MILLION AND BY 31% TO $26,273 MILLION RESPECTIVELY.

OVER THE SAME PERIOD OF COMPARISON, THE VALUE OF IMPORTS FROM CHINA RELATED TO OUTWARD PROCESSING INCREASED BY 21% TO $72,904 MILLION.

ON THE OTHER HAND, $82,989 MILLION OF HONG KONG’S RE-EXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA WERE PRODUCED THROUGH OUTWARD PROCESSING IN CHINA, REPRESENTING AN INCREASE OF 21%.

IN 1992, $141,639 MILLION OF HONG KONG’S TOTAL EXPORTS TO CHINA WERE FOR OUTWARD PROCESSING, REPRESENTING AN INCREASE OF 24% OVER 1991. THE VALUE OF DOMESTIC EXPORTS AND RE-EXPORTS TO CHINA FOR OUTWARD PROCESSING GREW BY 10% TO $44,271 MILLION AND 32% TO $97,368 MILLION RESPECTIVELY.

OVER THE SAME PERIOD OF COMPARISON, THE VALUE OF IMPORTS FROM CHINA RELATED TO OUTWARD PROCESSING INCREASED BY 29% TO $254,013 MILLION.

/ON THE

THURSDAY, MAY 20, 1993

- 13 -

ON THE OTHER HAND, $299,833 MILLION OF HONG KONG’S RE-EXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA WERE PRODUCED THROUGH OUTWARD PROCESSING IN CHINA, REPRESENTING AN INCREASE OF 35%.

THE ESTIMATES FOR THE FOURTH QUARTER AND THE WHOLE YEAR OF 1992 AND THE CORRESPONDING CHANGES OVER THE SAME PERIOD IN 1991 ARE SUMMARISED IN THE FOLLOWING TABLE:

ESTIMATED VALUE AND PROPORTION OF TRADE INVOLVING OUTWARD PROCESSING IN CHINA, 4TH QUARTER OF 1992 AND THE WHOLE YEAR 1992

PERCENTAGE

4TH QTR 1992 CHANGE OVER 4TH QTR 1991 1992 PERCENTAGE CHANGE OVER 1991

(HKD MN) (%) (HKD MN) (%)

TOTAL TRADE VALUE * :

TOTAL EXPORTS TO CHINA 79,070 + 33.2 270,503 + 31.7

DOMESTIC EXPORTS TO CHINA 16,411 + 9.6 59,557 + 12.9

RE-EXPORTS TO CHINA 62,659 + 41 . 1 210,946 + 38.3

IMPORTS FROM CHINA 96,619 + 15.0 352,136 + 20.7

RE-EXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER 107,203 + 20.7 382,833 + 28.1

THAN CHINA

ESTIMATED VALUE INVOLVING OUTWARD PROCESSING IN CHINA :

TOTAL EXPORTS TO CHINA 38,241 + 22.3 141,639 + 24.3

DOMESTIC EXPORTS TO CHINA 11,968 + 7.1 44,271 + 9.7

RE-EXPORTS TO CHINA 26,273 + 30.7 97,368 + 32.4

IMPORTS FROM CHINA 72,904 + 21.1 254,013 + 28.7

RE-EXPORTS OF CHINA ORIGIN 82,989 + 21.1 299,833 + 35.4

TO ALL COUNTRIES OTHER

THAN CHINA

ESTIMATED PROPORTION INVOLVING OUTWARD

PROCESSING IN CHINA

4TH QTR 1992 4TH QTR 1991 1992 1991

(%) (%) (%) (%)

TOTAL EXPORTS TO CHINA 48.4 52.7 52.4 55.5

DOMESTIC EXPORTS TO CHINA 72.9 74.6 74.3 76.5

RE-EXPORTS TO CHINA 41.9 45.3 46.2 48.2

IMPORTS FROM CHINA 75.5 71.6 72.1 67.6

RE-EXPORTS OF CHINA ORIGIN 77.4 77.2 78.3 74.1

TO ALL COUNTRIES OTHER

THAN CHINA

* THE VALUE EXCLUDES COMMODITIES AND TRANSACTIONS NOT CLASSIFIED ACCORDING TO KIND.

/FOR THE.........

THURSDAY, MAY 20, 1993

- 14 -

FOR THE PURPOSE OF THE SURVEY, EXPORTS (DOMESTIC EXPORTS AND RE-EXPORTS) TO CHINA FOR OUTWARD PROCESSING REFER TO THE EXPORTATION OF RAW MATERIALS OR SEMI-MANUFACTURES FROM OR THROUGH HONG KONG TO CHINA FOR PROCESSING WITH A CONTRACTUAL ARRANGEMENT FOR SUBSEQUENT REIMPORTATION OF THE PROCESSED GOODS INTO HONG KONG.

IMPORTS FROM CHINA RELATED TO OUTWARD PROCESSING REFER TO THE IMPORTATION OF PROCESSED GOODS FROM CHINA OF WHICH ALL OR PART OF THEIR RAW MATERIALS OR SEMI-MANUFACTURES HAVE BEEN UNDER CONTRACTUAL ARRANGEMENT EXPORTED FROM OR THROUGH HONG KONG TO CHINA FOR PROCESSING.

RE-EXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA PRODUCED THROUGH OUTWARD PROCESSING IN CHINA REFER TO THOSE RE-EXPORTS OF WHICH ALL OR PART OF THEIR RAW MATERIALS OR SEMI-MANUFACTURES HAVE BEEN EXPORTED FROM OR THROUGH HONG KONG TO CHINA FOR PROCESSING WITH A CONTRACTUAL ARRANGEMENT FOR SUBSEQUENT RE-IMPORTATION OF THE PROCESSED GOODS INTO HONG KONG.

IN INTERPRETING THE STATISTICS, A SPOKESMAN FOR THE DEPARTMENT SAID IT SHOULD BE NOTED THAT THE VALUE AND PROPORTION OF IMPORTS FROM CHINA AND RE-EXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA INVOLVING OUTWARD PROCESSING IN CHINA REFER TO THOSE OF THE ENTIRE GOODS INSTEAD OF JUST THE VALUE ADDED CONTRIBUTED BY OUTWARD PROCESSING IN CHINA.

A SAMPLE OF TRADE DECLARATIONS IN RESPECT OF HONG KONG’S TRADE WITH CHINA (DOMESTIC EXPORTS AND RE-EXPORTS TO CHINA, AND IMPORTS FROM CHINA) AS WELL AS HONG KONG’S RE-EXPORTS OF CHINA ORIGIN TO ALL COUNTRIES OTHER THAN CHINA IS SELECTED FOR ENUMERATION TO OBTAIN THE REQUIRED INFORMATION FROM THE ESTABLISHMENTS CONCERNED.

THE SPOKESMAN EXPLAINED THAT UNDER THE INTERNATIONALLY ACCEPTED SYSTEM OF RECORDING TRADE FLOWS, ALL MOVEMENTS OF GOODS ACROSS THE BORDER, FOR WHATEVER PURPOSE, ARE RECORDED AS EXTERNAL TRADE.

THUS THE MOVEMENTS OF GOODS ASSOCIATED WITH OUTWARD PROCESSING ARE CORRECTLY INCLUDED IN THE REGULAR TRADE STATISTICS.

"THE FINDINGS OF THE SURVEY, HOWEVER, FACILITATE A MORE INFORMED ANALYSIS OF THE NATURE OF HONG KONG-CHINA TRADE. IN THIS RESPECT, THE SURVEY RESULTS ARE A USEFUL SUPPLEMENT TO THE REGULAR TRADE STATISTICS," HE SAID.

THE ABOVE SURVEY RESULTS WILL BE INCLUDED IN THE MARCH 1993 ISSUE OF THE "HONG KONG EXTERNAL TRADE". THIS REPORT WILL BE ON SALE BY THE END OF MAY AT THE GOVERNMENT PUBLICATIONS CENTRE, GROUND FLOOR, GENERAL POST OFFICE BUILDING, CONNAUGHT PLACE, CENTRAL, AND AT THE PUBLICATIONS SALES COUNTER OF THE CENSUS AND STATISTICS DEPARTMENT, i9TH FLOOR, WANCHAI TOWER, 12 HARBOUR ROAD, WAN CHAI AT $52 A COPY.

ENQUIRIES ON THE SURVEY RESULTS MAY BE DIRECTED TO THE TRADE SURVEYS AND RESEARCH SECTION OF THE CENSUS AND STATISTICS DEPARTMENT ON TEL 582 5037.

------0 - -

/15 ........

THURSDAY, MAY 20, 1993

15

REMINDER TO RATEPAYERS: OBJECTIONS MUST BE LODGED BY MAY 31 *****

A SPOKESMAN FOR THE RATING AND VALUATION DEPARTMENT TODAY (THURSDAY) REMINDED RATEPAYERS THAT IF THEY WISH TO MAKE A PROPOSAL TO ALTER THE RATEABLE VALUE OF THEIR PROPERTY FOR THE FINANCIAL YEAR STARTING APRIL 1, 1993, THEY MUST SERVE A PROPOSAL ON THE COMMISSIONER OF RATING AND VALUATION ON OR BEFORE MONDAY, MAY 31, 1993.

HE STRESSED THAT, UNDER THE PROVISIONS OF THE RATING ORDINANCE, IF A PROPOSAL IS SERVED AFTER MAY 31 IT CANNOT BE ACCEPTED AS VALID.

ALSO RATEPAYERS SHOULD NOTE THAT SERVICE OF PROPOSAL BY FACSIMILE TRANSMISSION CANNOT BE ACCEPTED AS VALID.

THE SPOKESMAN ADDED THAT THE PROPOSAL SHOULD BE MADE ON THE SPECIFIED FORM (FORM R20A) WHICH IS OBTAINABLE FROM THE DEPARTMENT AT HENNESSY CENTRE, 17TH FLOOR, 500 HENNESSY ROAD, CAUSEWAY BAY, HONG KONG AND ALSO FROM DISTRICT OFFICES.

FOR FURTHER ENQUIRIES RATEPAYERS CAN TELEPHONE THE DEPARTMENT ON 805 7666.

--------0-----------

HONG KONG NEEDS TO CARE FOR ENVIRONMENT

* * * * *

WITH LAND SO SCARCE IN HONG KONG, HONG KONG PEOPLE HAVE TO TAKE SPECIAL ACCOUNT OF THE IMPACT OF DEVELOPMENT ON THE ENVIRONMENT, MRS PATTEN SAID TODAY (THURSDAY).

ADDRESSING THE CERTIFICATES OF ACHIEVEMENT PRESENTATION CEREMONY OF THE ’’PLANT FOR THE EARTH” ORGANISED BY THE FRIENDS OF THE EARTH (FOE), MRS PATTEN SAID THE PACE OF DEVELOPMENT IN HONG KONG AND ITS OBVIOUS SPACE CONSTRAINTS PROVIDED IT WITH PARTICULAR ENVIRONMENTAL CHALLENGES THAT FEW OTHER COMMUNITIES HAD TO FACE.

”SO WE NEED TO TAKE GOOD CARE OF OUR VALUABLE COUNTRY PARKS," SHE SAID.

SHE SAID THE TREE PLANTING PROJECT EMPHASISED THIS IMPORTANT MESSAGE.

THROUGH DRAWING TOGETHER EMPLOYEES FROM A NUMBER OF CORPORATIONS - COMMERCIAL AND INDUSTRIAL, BIG AND SMALL - TO PLANT SOME 10,000 TREES IN HONG KONG’S COUNTRY PARKS, SHE SAID THE PROJECT HAD HELPED RAISE THE COMMUNITY AWARENESS OF THE NEED TO PROTECT THE COUNTRYSIDE.

THE PUBLIC ALSO LEARNED THE NEED TO BEAUTIFY IT; NOT TO POLLUTE IT BY LEAVING LITTER BEHIND; AND TO UNDERSTAND THAT THE COUNTRYSIDE IN HONG KONG IS A PRECIOUS AND VERY LIMITED COMMODITY.

/SHE SAID .......

THURSDAY, MAY 20, 1993

16

SHE SAID THE LIST OF PARTICIPANTS IN THE PROJECT INDICATED THAT THE LOCAL BUSINESS COMMUNITY WAS BECOMING INCREASINGLY ENVIRONMENTALLY CONSCIOUS.

"THEIR DIRECT PARTICIPATION IN THE PROJECT DEMONSTRATES THEIR GROWING COMMITMENT TO ENVIRONMENTAL PROTECTION.

"IT IS VITAL THAT SUCH CO-OPERATION AND COMMITMENT INCREASES IN FUTURE," SHE SAID.

SHE PRAISED THE FRIENDS OF THE EARTH FOR MAKING A GREAT CONTRIBUTION OVER THE PAST 10 YEARS IN BRINGING ABOUT THE NEW AWARENESS OF ENVIRONMENTAL PROTECTION AND COMMITMENT TO THE PUBLIC.

"I HOPED THAT THE GOOD EXAMPLE WHICH IT SETS IN PROMOTING THE ENVIRONMENT WILL BE FOLLOWED BY THE PUBLIC AT LARGE," MRS PATTEN ADDED.

ALSO ADDRESSING THE CEREMONY, THE DIRECTOR OF AGRICULTURE AND FISHERIES, DR LAWRENCE LEE, SAID THE GREENING PROGRAMME THIS YEAR WAS BENEFICIAL TO THE SUCCESS OF THE COMMUNITY TREE PLANTING SCHEME.

DR LEE SAID HE WAS PLEASED TO SEE 16 COMPANIES PARTICIPATING IN THE PROGRAMME BY SPONSORING SOME 800 OF THEIR EMPLOYEES TO PLANT 2,000 TREES IN THE SAI KUNG AND LANTAU COUNTRY PARKS.

HE STRESSED THAT THE COMMUNITY TREE PLANTING SCHEME COULD NOT HAVE BEEN THAT SUCCESSFUL WITHOUT THE SUPPORT OF ORGANISATIONS LIKE FOE AND THE ACTIVE PARTICIPATION OF CONSERVATION-MINDED PEOPLE.

THE SCHEME WAS LAUNCHED SINCE 1957. IT IS ONE OF THE DEPARTMENT’S MAJOR ANNUAL TREE-PLANTING PROGRAMMES.

ONE OF THE AIMS IS TO PROMOTE PUBLIC AWARENESS OF THE IMPORTANCE OF NATURE CONSERVATION AND TO ENCOURAGE ALL SECTORS OF THE COMMUNITY, ESPECIALLY THE YOUNGER GENERATION, TO BE INVOLVED IN PLANTING AND CARING OF TREES IN THE COUNTRY PARKS.

THE DEPARTMENT RAISES SOME 800,000 TREE SEEDLINGS EACH YEAR FOR COMMUNITY PLANTING.

-----0------

PHOTOGRAPHIC EXHIBITION OF LOCAL MONUMENTS NOW ON

*****

A PHOTOGRAPHIC EXHIBITION OF ALL DECLARED AND DEEMED MONUMENTS IN THE TERRITORY ENTITLED "THE HERITAGE OF HONG KONG" IS NOW ON DISPLAY IN THE ANTIQUITIES AND MONUMENTS OFFICE (AMO) OF THE RECREATION AND CULTURE BRANCH, 136 NATHAN ROAD, TSIM SHA TSUI, KOWLOON.

LOOKING AROUND HONG KONG, ONE MIGHT THINK THAT IT HAS NO HERITAGE, AND THAT FEW BUILDINGS CONSTRUCTED BEFORE THE LAST WAR REMAIN.

/IN FACT.........

THURSDAY, MAY 20, 1993

- 17 -

IN FACT, THERE IS A SURPRISING NUMBER OF BUILDINGS DATING FROM THE QING DYNASTY AND ARCHAEOLOGICAL REMAINS AS OLD AS 6,000 YEARS.

SINCE THE ENACTMENT OF THE ANTIQUITIES AND MONUMENTS ORDINANCE IN 1976, THERE HAS BEEN A PROGRESSIVE PROGRAMME TO PROTECT SOME OF THE MOST SIGNIFICANT HISTORIC BUILDINGS, STRUCTURES AND PLACES IN HONG KONG.

UNDER THE ORDINANCE, THE ANTIQUITIES AUTHORITY (THAT IS SECRETARY FOR RECREATION AND CULTURE) MAY, AFTER CONSULTATION WITH THE ANTIQUITIES ADVISORY BOARD AND WITH THE APPROVAL OF THE GOVERNOR, DECLARE A BUILDING, STRUCTURE, OR PLACE TO BE A MONUMENT.

UP TO THE PRESENT, EIGHT ROCK CARVINGS, FOUR FORTS, FOUR ARCHAEOLOGICAL SITES, TWO HISTORICAL SITES, TWO TRADITIONAL VILLAGES, 13 TRADITIONAL CHINESE STRUCTURES AND 15 WESTERN-STYLE BUILDINGS HAVE BEEN PROTECTED UNDER THE LAW.

ALTHOUGH THE ORDINANCE ALLOWS FOR A PLACE OR STRUCTURE TO BE DECLARED A MONUMENT AGAINST THE WILL OF THE OWNER, THIS WOULD CONSTITUTE AN UNWARRANTED INTERFERENCE IN THE OWNER’S PROPERTY RIGHTS.

IN SOME CASES, IT HAS BEEN POSSIBLE TO REACH A COMPROMISE, WHEREBY THE OWNER UNDERTAKES TO PRESERVE THE STRUCTURE INTACT FOR A GIVEN PERIOD AND THE GOVERNOR MAY DEEM IT TO BE A MONUMENT.

WHILE THIS DOES NOT AFFORD ANY LEGAL PROTECTION, IT DOES ENABLE PUBLIC FUNDS TO BE APPLIED TO RESTORATION WORK.

IT ALSO ENABLES REASONABLE ACCESS BY THE PUBLIC.

SEVEN HISTORIC STRUCTURES IN PRIVATE OWNERSHIP HAVE BEEN SUCCESSFULLY PRESERVED WITH THIS ARRANGEMENT.

THE EXHIBITION, PRODUCED BY THE AMO, SHOWS THE LOCATIONS OF ALL THE DECLARED AND DEEMED MONUMENTS.

IT ALSO INTRODUCES, WITH A LARGE NUMBER OF PHOTOGRAPHS, THEIR HISTORY, ARCHITECTURAL AND OTHER CHARACTERISTICS.

THE EXHIBITION IS OPEN TO MEMBERS OF THE PUBLIC IS FREE. OPENING HOURS ARE AS FOLLOWS:

AND ADMISSION

MONDAY - FRIDAY 9.30 AM - - 12.30 PM

2.00 PM - - 4.30 PM

SATURDAY 9.30 AM - - NOON

SUNDAY & PUBLIC HOLIDAYS CLOSED

A SERIES OF INFORMATION PAMPHLETS ON SOME OF THE MONUMENTS HAVE BEEN PUBLISHED FOR FREE DISTRIBUTION AT THE EXHIBITION HALL. THOSE WHO ARE INTERESTED TO VISIT THE HISTORIC SITES AND BUILDINGS CAN EASILY PAY A VISIT WITH THE HELP OF THE INFORMATION PAMPHLETS.

--------0 - -

/18........

THURSDAY, MAY 20, 1993

18 -

GRADING OF BEACH WATER QUALITY ******

THE ENVIRONMENTAL PROTECTION DEPARTMENT TODAY (THURSDAY) ANNOUNCED GRADES ON THE BACTERIOLOGICAL WATER QUALITY OF ALL BATHING BEACHES IN HONG KONG.

THE PURPOSE IS TO INFORM SWIMMERS AND THE GENERAL PUBLIC ABOUT THE STATE OF BACTERIOLOGICAL POLLUTION AT VARIOUS BEACHES.

A SPOKESMAN FOR THE DEPARTMENT SAID THE GRADING WOULD BE ANNOUNCED BIWEEKLY DURING THE BATHING SEASON TO COINCIDE WITH THE FREQUENCY AT WHICH BEACH WATER WAS USUALLY SAMPLED.

THE GRADING IS BASED ON THE MOST RECENT E. COLI DATA OBTAINED BY THE DEPARTMENT IN ITS ROUTINE MONITORING PROGRAMME.

AS WITH LAST YEAR, THE GRADING ALSO INCLUDES AN ESTIMATE OF THE RISK OF SUFFERING SOME MINOR SKIN OR GASTROINTESTINAL COMPLAINTS AS A RESULT OF SWIMMING AT A BEACH THAT HAS SOME DEGREE OF POLLUTION.

THE ESTIMATE IS BASED ON A VERY LARGE BODY OF STATISTICAL INFORMATION GATHERED IN HONG KONG IN RECENT BATHING SEASONS.

THE GRADING OF SOME BEACHES MAY VARY DURING THE SUMMER. THIS REPRESENTS A NATURAL FLUCTUATION IN THE BACTERIOLOGICAL QUALITY OF BATHING WATERS IN MOST CASES, AS RAIN AND TIDES BRING MORE OR LESS POLLUTION TO THE BEACHES.

HOWEVER, THE GRADES GIVE A GOOD GENERAL PICTURE OF THE WATER QUALITY AT BATHING BEACHES AT THE TIME OF REPORTING AND FORM THE BEST AVAILABLE FORECAST FOR THE IMMEDIATE FUTURE.

’’BEACHES WITH HIGHLY DEVELOPED HINTERLANDS ARE LIKELY TO BE MORE POLLUTED THAN THE GRADES SUGGEST DURING AND AFTER HEAVY RAIN.

’’BATHERS SHOULD AVOID SUCH BEACHES FOR TWO OR THREE DAYS AFTER A STORM, LONGER IF THE WEATHER REMAINS OVERCAST OR LESS IF THERE IS STRONG SUNSHINE,” THE SPOKESMAN SAID.

THE SYSTEM FOR GRADING BEACH WATER QUALITY IS AS FOLLOWS:

GRADE ”1” INDICATES THAT THE WATER QUALITY IS GOOD. THE E. COLI COUNT IS NO MORE THAN 24 PER 100 MILLILITRES AT EACH BEACH SO GRADED, AND THE EXPECTED RISK OF MINOR ILLNESS TO SWIMMERS IS UNDETECTABLE.

» GRADE "2” INDICATES THAT THE WATER QUALITY IS FAIR. THE E. COLI COUNT IS NO MORE THAN 180 PER 100 MILLILITRES AT EACH BEACH SO GRADED, AND THE EXPECTED HEALTH RISK IS NO MORE THAN 10 CASES OF MINOR ILLNESS PER 1,000 SWIMMERS.

GRADE "3” INDICATES THAT THE WATER QUALITY IS ACCEPTABLE. THE E. COLI COUNT IS NO MORE THAN 610 PER 100 MILLILITRES AT EACH BEACH SO GRADED, AND THE EXPECTED HEALTH RISK IS NO MORE THAN 15 CASES OF MINOR ILLNESS PER 1,000 SWIMMERS.

/* GRADE ”4" ........

THURSDAY, MAY 20, 1993

- 19 -

» GRADE "4” INDICATES THAT THE WATER QUALITY IS POOR. THE E. COLI COUNT IS MORE THAN 610 PER 100 MILLILITRES AT EACH BEACH SO GRADED, AND THE EXPECTED HEALTH RISK IS MORE THAN 15 CASES OF MINOR ILLNESS PER 1,000 SWIMMERS.

THE DECISION WHETHER OR NOT TO CLOSE A BEACH TO SWIMMERS IS BASED ON A JUDGEMENT OF WHAT DEGREE OF POLLUTION IS ACCEPTABLE.

NORMALLY, THE CLOSURE OF A BEACH WOULD ONLY BE CONSIDERED BY THE URBAN COUNCIL OR REGIONAL COUNCIL IF A GRADE ”4” OCCURRED REPEATEDLY, SO THAT THE AVERAGE HEALTH RISK OVER THE BATHING SEASON EXCEEDED 15 CASES PER 1,000 SWIMMERS.

AT PRESENT, TWO BATHING BEACHES, NAMELY CASTLE PEAK AND OLD CAFETERIA, HAVE BEEN DECLARED UNSUITABLE FOR SWIMMING, BASED ON THE WATER QUALITY DURING PAST SEASONS.

THEY ARE POLLUTED BY FAECAL WASTE. THE PUBLIC ARE ADVISED NOT TO SWIM IN THE WATER AT THE TWO BEACHES.

IN ADDITION, ROCKY BAY BEACH HAS BEEN CLOSED FOR SWIMMING BY THE URBAN COUNCIL. THESE THREE BEACHES ARE IDENTIFIED BY AN "X" IN TLE FOLLOWING LIST.

THE GRADES ON THE BACTERIOLOGICAL WATER QUALITY OF VARIOUS BEACHES IN HONG KONG AS AT TODAY ARE:

BEACH PREVIOUS GRADING PRESENT GRADING

(AS AT 6.5.93) (AS AT 20.5.93)

HONG KONG SOUTH

BIG WAVE BAY 3 3

CHUNG HOM KOK 1 2

DEEP WATER BAY 1 2

HAIRPIN 2 2

MIDDLE BAY 1 1

REPULSE BAY 1 1

SHEK O 2 2

SOUTH BAY 1 1

ST STEPHEN’S 2 2

TURTLE COVE 1 1

STANLEY MAIN 2 2

ROCKY BAY X X

TO TEI WAN* 1 1

TUEN MUN DISTRICT

OLD CAFETERIA X X

NEW CAFETERIA 3 3

CASTLE PEAK X X

KADOORIE 2 3

BUTTERFLY 2 3

/SAI KUNG DISTIRCT .......

THURSDAY, MAY 20, 1993

- 20 -

SAI KUNG DISTRICT

CAMPERS

CLEAR WATER BAY 1ST BEACH

CLEAR WATER BAY 2ND BEACH HAP MUN BAY KIU TSUI

PAK SHA CHAU

SILVERSTRAND

TRIO (HEBE HAVEN)

1 1

1

1

1

1

2

1

1

2 1

1 1

1

2

2

ISLANDS DISTRICT

CHEUNG SHA UPPER CHEUNG SHA LOWER DISCOVERY BAY* HUNG SHING YEH KWUN YAM WAN TONG FUK LO SO SHING PUI O SILVERMINE BAY TUNG WAN, CHEUNG CHAU TUNG O*

1 1

2

1

2 1

1 1

2

2

2

1

2

2 2

2

1

1

1

3

2

2

TSUEN WAN DISTRICT

ANGLERS’ APPROACH CASAM GEMINI HOI MEI WAN LIDO TING KAU

TUNG WAN, MA WAN

3

3

3

3

3

3

3

2

3 4

3 3

3 3

4

NOTE: ”X” THE BEACH HAS BEEN CLOSED FOR SWIMMING. » NON-GAZETTED BEACH.

THE FOLLOWING BEACHES HAVE CHANGED GRADING ON THIS OCCASION:

CHUNG HOM KOK, DEEP WATER BAY, CHEUNG SHA LOWER, HUNG SHING YEH, CLEAR WATER BAY 1ST AND TRIO (HEBE HAVEN) ”1” TO ”2”; SILVERMINE BAY, KADOORIE AND BUTTERFLY FROM ”2” TO ”3”; APPROACH AND TING KAU FROM ”3" TO ”4".

THE CHANGES ARE WITHIN THE NORMAL RANGE OF FLUCTUATION OF THE BACTERIOLOGICAL WATER QUALITY OF THESE BEACHES.

/THE VERY .......

THURSDAY, MAY 20, 1993

- 21 -

THE VERY POOR WATER QUALITY AT APPROACH AND TING KAU BEACHES IS PROBABLY DUE TO THE RECENT HEAVY RAINFUL WHICH WOULD HAVE CAUSED THE POLLUTANTS IN THE BEACH HINTERLAND TO BE FLUSHED INTO THE SEA WATER.

NOTE TO EDITORS:

FOR FURTHER ENQUIRIES, PLEASE CONTACT DR M J BROOM, PRINCIPAL ENVIRONMENTAL PROTECTION OFFICER ON 835 1234.

--------0-----------

COOL AND CLOUDY IN APRIL

*****

A MONTHLY WEATHER REPORT PUBLISHED TODAY (THURSDAY) BY THE ROYAL OBSERVATORY SHOWED THAT APRIL WAS RELATIVELY COOL AND CLOUDY WITH THE NORTHEAST MONSOON RATHER ACTIVE LATE IN THE SEASON.

THERE WAS A NINE-DAY SPELL IN THE FIRST HALF OF THE MONTH WHEN THE COOL NORTHEAST MONSOON WAS PARTICULARLY PERSISTENT.

IT WAS ALSO QUITE HUMID WITH FREQUENT MIST AND FOG IN THE LATTER HALF OF APRIL.

ALTHOUGH THERE WERE ONLY SEVEN RAIN-FREE DAYS DURING THE MONTH,

THE RAINFALL AMOUNT REMAINED ON THE LOW SIDE FOR THE THIRD

CONSECUTIVE MONTH.

WITH ONLY 136.3 MILLIMETRES OF RAIN, THE TOTAL RAINFALL FOR THE

MONTH WAS 16 PER CENT BELOW THE APRIL NORMAL OF 161.5 MILLIMETRES.

THE TOTAL AMOUNT SINCE JANUARY 1 WAS 219.8 MILLIMETRES, 27 PER CENT BELOW THE NORMAL OF 299.8 MILLIMETRES FOR THE PERIOD.

THE INTRUSION OF A MOIST MARITIME AIRSTREAM AT THE BEGINNING OF APRIL LED TO THE FORMATION OF MIST AND COASTAL FOG. THE WEATHER REMAINED CLOUDY WITH PATCHES OF LIGHT RAIN AND DRIZZLE FOR THE FIRST TWO DAYS OF THE MONTH.

BUT ONCE THE FOG LIFTED ON APRIL 3 AND 4, THERE WERE LONG PERIODS OF SUNSHINE DURING THE DAY.

CLOUDS RETURNED AS EASTERLY WINDS STRENGTHENED IN THE EARLY MORNING ON APRIL 5. LIGHT RAIN FELL FOR SEVERAL HOURS FOLLOWING THE ONSET OF THE EASTERLY SURGE AND BECAME MORE PERSISTENT THE NEXT DAY.

WINDS TURNED NORTHEASTERLY ON THE NIGHT OF APRIL 6 AND BROUGHT IN EVEN COOLER AIR FROM THE INLAND AREAS OF GUANGDONG.

TEMPERATURES DROPPED BY MORE THAN 13 DEGREES FROM THE MAXIMUM ON APRIL 3 TO THE MONTH’S LOWEST OF 14.6 DEGREES ON APRIL 7.

/AT OUTBREAK .......

THURSDAY, MAY 20, 1993

- 22 -

AN OUTBREAK OF HEAVIER RAIN ON THE EVENING OF APRIL 7 WAS ACCOMPANIED BY THUNDERSTORMS. WINDS VEERED TO EASTERLY ON THE NIGHT OF APRIL 8.

WITH FURTHER REPLENISHMENTS OF THE NORTHEAST MONSOON, FRESH WINDS AND RELATIVELY COOL WEATHER WERE MAINTAINED TILL APRIL 13.

MEANWHILE, DRIER AIR OF CONTINENTAL ORIGIN CONTINUED TO SPREAD TOWARDS THE SOUTH CHINA COASTAL AREAS, BRINGING FINE AND SUNNY WEATHER FROM APRIL 12 TO 16.

THE WEATHER TURNED CLOUDY AND MISTY WITH FREQUENT LIGHT RAIN ON APRIL 17 AS EASTERLY WINDS FRESHENED IN THE MORNING.

AFTER AN OUTBREAK OF HEAVIER RAIN AND THUNDERSTORMS ON APRIL 18, RAIN STARTED TO EASE OFF LATER IN THE DAY.

CLOUDS AND MIST ON APRIL 19 THICKENED INTO WIDESPREAD FOG THE NEXT MORNING. THIS WAS FOLLOWED BY PERIODS OF HEAVY RAIN AND THUNDERSTORMS IN THE AFTERNOON AND EVENING.

FOUR CASES OF MINOR FLOODING WERE REPORTED DURING THE DOWNPOUR. AFTER A LULL THAT NIGHT, RAIN CLOUDS BECAME ACTIVE AGAIN ON APRIL 21, LEADING TO ANOTHER EPISODE OF RAIN AND THUNDERSTORMS FROM DAYBREAK TILL LATE AFTERNOON.

OVER THE NEXT THREE DAYS, THE INCREASINGLY ACTIVE SOUTHWEST MONSOON BROUGHT SOME SHOWERS IN THE EARLY PART OF THE DAY BUT ALSO WARMER AND BRIGHTER WEATHER LATER IN THE DAY.

WITH WINDS TURNING SOUTHEASTERLY EARLY ON APRIL 25, FOGGY WEATHER AFFECTED THE COASTAL AREAS AND OFFSHORE WATERS. POOR VISIBILITY WAS BLAMED FOR THE COLLISION BETWEEN A CATAMARAN AND A FISHING BOAT OFF TSING YI ISLAND.

THE WARMING TREND CONTINUED AS TEMPERATURES CLIMBED TO THE MONTH’S HIGHEST OF 29.8 DEGREES ON APRIL 25.

THE BALMY WEATHER SOON CAME TO AN END AS A STRONG EASTERLY AIRSTREAM ARRIVED LATE IN THE AFTERNOON ON APRIL 25. BETWEEN MIDDAY AND MIDNIGHT, THERE WAS A TEMPERATURE DROP OF NEARLY 10 DEGREES.

RAIN AND THUNDERSTORMS ARRIVING WITH THE EASTERLY SURGE PERSISTED THROUGHOUT THE EVENING.

AFTER THE MODERATION OF THE EASTERLIES THE NEXT DAY, WINDS GRADUALLY TURNED SOUTHERLY.

APART FROM ONE FINE DAY ON APRIL 28, THE WEATHER TOWARDS THE END OF THE MONTH WAS MOSTLY CLOUDY AND HUMID WITH MORNING OR EVENING FOG PATCHES OFFSHORE.

CONDITIONS ALSO BECAME MORE UNSETTLED WITH RAIN DEVELOPING ON THE NIGHT OF APRIL 29.

THUNDERSTORM ACTIVITY WAS WIDESPREAD IN THE VICINITY OF HONG KONG AND LIGHTNING FLASHES LIGHTED UP THE NIGHT SKY WITH MENACING STORM CLOUDS.

/AGAINST SUCH .......

THURSDAY, MAY 20, 1993

- 23 -

AGAINST SUCH A STORMY BACKGROUND, THE ACTUAL RAINFALL AMOUNT WAS SURPRISINGLY SCARCE.

IT WAS NOT UNTIL THE FOLLOWING NIGHT THAT TORRENTIAL RAIN STARTED TO AFFECT THE TERRITORY.

NO TROPICAL CYCLONE ACTIVITY WAS OBSERVED OVER THE WESTERN NORTH PACIFIC AND THE SOUTH CHINA SEA IN APRIL.

SEVEN AIRCRAFT WERE DIVERTED DURING THE MONTH, MOSTLY AS A RESULT OF FOGGY CONDITIONS EARLY ON APRIL 3.

DETAILS OF THE ISSUANCE/HOISTING AND CANCELLATION/LOWERING OF VARIOUS WARNINGS/SIGNALS IN THE MONTH ARE SUMMARISED IN TABLE 1.1.

MONTHLY METEOROLOGICAL FIGURES AND DEPARTURES FROM NORMAL ARE TABULATED IN TABLE 1.2.

TABLE 1.1 WARNINGS AND SIGNALS IN APRIL 1993

WARNINGS / SIGNALS EFFECTIVE DATE AND TIME

STRONG MONSOON SIGNALS APR 5 0600 APR 5 1400

APR 11 2300 APR 12 0740

APR 12 2300 APR 13 0750

APR 25 1605 APR 26 0915

RAINSTORM ALERT/WARNINGS

GREEN APR 20 1130 - APR 22 0845

FLOOD WARNING APR 20 1530 - APR 20 2100

THUNDERSTORM WARNINGS APR 7 2025 APR 8 0700

APR 17 2305 APR 18 0800

APR 20 1130 APR 20 2100

APR 20 2300 APR 21 1530

APR 22 2300 APR 23 0700

APR 23 1500 APR 23 1900

APR 25 2040 APR 26 0630

APR 27 1005 APR 27 1305

APR 27 1530 APR 27 1930

APR 29 0030 APR 29 0630

APR 29 0945 APR 29 1345

APR 29 1925 - APR 30 0630

FIRE DANGER WARNINGS

YELLOW APR 4 0600 - APR 5 1800

/TABLE 1.2 .......

THURSDAY, MAY 20, 1993

24

TABLE 1.2 FIGURES AND DEPARTURES FROM NORMAL - APRIL 1993

TOTAL BRIGHT SUNSHINE

MEAN DAILY GLOBAL SOLAR RADIATION

TOTAL RAINFALL

MEAN CLOUD AMOUNT

MEAN RELATIVE HUMIDITY

MEAN DAILY MAXIMUM TEMPERATURE

MEAN AIR TEMPERATURE

MEAN DAILY MINIMUM TEMPERATURE

MEAN DEW POINT

TOTAL EVAPORATION

81.2 HOURS; 27.7 HOURS BELOW NORMAL

10.35 MJ/SQM; 2.79 MJ/SQM BELOW NORMAL

136.3 MM; 25.2 MM BELOW NORMAL

85 % ; 7 % ABOVE NORMAL

86 % ; 3 % ABOVE NORMAL

24.2 DEGREES; 0.7 DEGREES BELOW NORMAL

21.8 DEGREES; 0.4 DEGREES BELOW NORMAL

19.9 DEGREES; 0.3 DEGREES BELOW NORMAL

19.3 DEGREES; 0.3 DEGREES BELOW NORMAL

65.6 MM; 41.3 MM BELOW NORMAL

---------0------------

SOCIAL WELFARE DIRECTOR MEETS WELFARE GROUP

*****

MEMBERS OF THE NEW BOARD OF DIRECTORS OF PO LEUNG KUK TODAY (THURSDAY) PAID A COURTESY CALL TO THE DIRECTOR OF SOCIAL WELFARE, MR IAN STRACHAN, TO DISCUSS WELFARE SERVICES PLANNED BY THE KUK IN THE COMING YEAR.

THE KUK’S CHAIRMAN, MR TONG CHOR-NAM, SAID THE PROJECTS INCLUDED TWO GROUP HOMES AT PAK TIN AND TUNG TAU, TWO NURSERIES AT LAM TIN AND HUNG HOM AS WELL AS A NUMBER OF WELFARE FACILITIES FOR THE ELDERLY AND MENTALLY RETARDED.

THE ORGANISATION WOULD ALSO PROCEED WITH THE EXTENSION SCHEME FOR ITS HEADQUARTERS AT WELFARE BUILDING ON LEIGHTON ROAD, CAUSEWAY BAY •

MR STRACHAN COMMENDED THE KUK FOR ITS EFFORTS IN PROVIDING QUALITY SERVICE TO THE COMMUNITY AND ASSURED BOARD MEMBERS THAT THE DEPARTMENT WOULD WORK CLOSELY WITH THEM TO IMPLEMENT THESE SERVICES.

--------0-----------

/25 ........

THURSDAY, MAY 20, 1993

- 25 -

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS *****

$ MILLION

OPENING BALANCE IN THE ACCOUNT 1,605

REVERSAL OF LAF + 545

BALANCE AFTER REVERSAL OF LAF 2,150

NET INJECTION/WITHDRAWAL TODAY NIL

EFFECT OF LAF TODAY -730

CLOSING BALANCE IN THE ACCOUNT 1,420

LAF RATE 2.00 BID/4.00 OFFER TWI 112.3 »-0.2* 20.5.93

HONG KONG GOVERNMENT EXCHANGE FUND

EF BILLS EF NOTES/HONG KONG GOVERNMENT BONDS

TERMS YIELD TERM ISSUE COUPON PRICE YIELD

1 WEEK 2.51 PCT 15 MONTHS 2408 4.375 101.01 3.56

1 MONTH 2.84 PCT 18 MONTHS 2411 4.625 101.34 3.73

3 MONTHS 2.95 PCT 21 MONTHS 2502 4.75 101.46 3.91

6 MONTHS 3.11 PCT 24 MONTHS 2505 3.75 99.47 4.07

12 MONTHS 3.41 PCT

TOTAL TURNOVER OF BILLS AND BONDS - 17.057MN

CLOSED 20 MAY 1993

- - 0 - -

DAILY INFORMATION BULLETIN

ISSUED BY GOVERNMENT INFORMATION SERVICES BEACONSFIELD HOUSE, HONG KONG. TEL: 842 8777

FRIDAY, MAY 21, 1993

CONTENTS PAGE NO.

CONSUMER PRICE INDICES FOR APRIL ............................. 1

2,000 TO ENJOY HOUSING BENEFIT ............................... 7

BETTER PROTECTION FOR WORKERS PROPOSED ....................... 9

COMMITTEE CONSIDERS 1992/93 PAY TREND SURVEY FINDINGS ........ 11

CONTROL ON OZONE-DEPLETING SUBSTANCES TIGHTENED UP ........... 12

INTEGRATED APPROACH TO YOUTH SERVICES URGED .................. 14

TAKE FAMILY SERIOUSLY: SOCIAL WELFARE DIRECTOR ............... 15

NEW MEMBERS APPOINTED TO EDUCATION INSTITUTE PROVISIONAL COUNCIL ...................................................... 18

DRAINS PROJECT FOR NORTH NT .................................. 18

PRINCESS MARGARET HOSPITAL EXTENSION WORK .................... 19

DRAFT KWUN TONG (NORTH) OUTLINE ZONING PLAN PUBLISHED ........ 19

EXTENSION OF HOTLINE SERVICE ON TAX .......................... 20

CHANGES TO KENNEDY TOWN AND MOUNT DAVIS OUTLINE ZONING PLAN . 21

ROAD WORKS FOR TSENG LAN SHUE VILLAGE ........................ 22

EXTENSION OF CAR HOLDING AREA AT MAN KAM TO .................. 22

SUBMARINE OUTFALLS AND CABLES PROPOSED FOR CHEUNG CHAU ....... 23

STAMP SHEETLET RELEASE POSTPONED ............................. 24

HONG KONG GOVERNMENT EXCHANGE FUND MONEY MARKET OPERATIONS .

25

FRIDAY, MAY 21, 1993

CONSUMER PRICE INDICES FOR APRIL

******

LATEST FIGURES RELEASED BY THE CENSUS AND STATISTICS DEPARTMENT SHOWED THAT CONSUMER PRICE INFLATION CONTINUED TO MODERATE IN APRIL.

THE CONSUMER PRICE INDEX (A) WAS 7.7% HIGHER IN APRIL 1993 THAN IN THE SAME MONTH LAST YEAR.

THIS WAS SLIGHTLY LOWER THAN THE CORRESPONDING INCREASE OF 7.8% IN MARCH THIS YEAR, WHICH ALREADY REPRESENTED A MODERATION FROM THE INCREASES OF 10.1% IN JANUARY AND 8.6% IN FEBRUARY.

THE FINANCIAL SECRETARY, MR HAMISH MACLEOD, WAS PLEASED WITH THE LATEST CPI FIGURES.

’’WITH THE INCREASE IN THE CPI (A) AVERAGING AT 8.5% FOR THE FIRST FOUR MONTHS THIS YEAR, IT DOES SUGGEST THAT OUR FORECAST OF A SINGLE-DIGIT INFLATION RATE FOR THE YEAR AS A WHOLE IS REALISTIC," HE SAID.

THE CONTINUED MODERATION IN APRIL WAS MAINLY DUE TO LESS RAPID INCREASES IN RENT AND IN THE CHARGES FOR MEALS AT RESTAURANTS AS WELL AS LOWER PRICES OF FRESH VEGETABLES. THESE HAD MORE THAN OFFSET THE EFFECT OF INCREASE IN BUS FARES IN APRIL.

THE CPI(B) AND THE HANG SENG CPI WERE HIGHER BY 8.5% AND 9.5% RESPECTIVELY IN APRIL THAN IN THE SAME MONTH LAST YEAR. THE CORRESPONDING INCREASES IN MARCH WERE 8.5% AND 9.2%.

THE SLIGHTLY FASTER INCREASE IN THE HANG SENG CPI IN APRIL THAN IN MARCH WAS MAINLY DUE TO HIGHER PRICES OF CLOTHING AND INCREASE IN BUS FARES, NOTWITHSTANDING THE LESS RAPID INCREASE IN THE CHARGES OF RESTAURANT MEALS AND THE LOWER VEGETABLE PRICES.

THE COMPOSITE CPI, WHICH WAS COMPILED BASED ON THE COMBINED EXPENDITURE PATTERN OF HOUSEHOLDS COVERED BY THE THREE CPIS, SHOWED AN INCREASE OF 8.5% IN APRIL OVER THE SAME MONTH LAST YEAR. THE CORRESPONDING INCREASE IN MARCH WAS 8.4%.

COMPARING APRIL 1993 WITH APRIL 1992, RELATIVELY SLOWER INCREASES IN PRICES WERE RECORDED FOR FOOD (EXCLUDING MEALS AT RESTAURANTS) (0.8% IN THE CPI(A) AND 1.5% IN THE CPI(B)); DURABLE GOODS (1.8% AND 1.9%); FUEL AND LIGHT (3.2% AND 3.1%); AND MISCELLANEOUS GOODS (6.5% AND 6.0%).

AS FOR TRANSPORT, AND CLOTHING AND FOOTWEAR, THEIR CORRESPONDING INCREASES WERE 8.5% AND 8.0% IN THE CPI(A) AND 8.0% AND 8.3% IN THE CPI(B).

ON THE OTHER HAND, RELATIVELY FASTER INCREASES IN PRICES WERE RECORDED FOR HOUSING (13.2% IN THE CPI(A) AND 14.4% IN THE CPI(B)); SERVICES (10.1% AND 8.9%); ALCOHOLIC DRINKS AND TOBACCO (9.7% AND 9.1%); AND MEALS AT RESTAURANTS (9.0% IN BOTH CPI(A) AND CPI(B)). THESE INCREASES WERE NEVERTHELESS GENERALLY SLOWER IN APRIL THAN IN MARCH.

/COMPARING APRIL .......

FRIDAY, MAY 21, 1993

- 2 -

COMPARING APRIL 1993 WITH MARCH 1993, THE CPI(A) AND CPI(B) INCREASED BY 1.1% AND 1.3% RESPECTIVELY. THIS COMPARISON WAS, HOWEVER, AFFECTED BY SEASONAL FACTORS.

FOR THE FIRST FOUR MONTHS OF THIS YEAR, THE CPI(A) AND CPI(B) WERE, ON AVERAGE, HIGHER BY 8.5% AND 9.1% RESPECTIVELY THAN IN THE CORRESPONDING PERIOD LAST YEAR.

FOR THE 12 MONTHS ENDING APRIL 1993, THE CPI(A) AND CPI(B) WERE, ON AVERAGE, HIGHER BY 8.9% AND 9.4% RESPECTIVELY THAN IN THE PRECEDING 12-MONTH PERIOD.

SEASONALLY ADJUSTED SERIES ARE ALSO AVAILABLE FOR THE INDICES. THE DESEASONALISED CPI(A) AND CPI(B) INCREASED AT AN AVERAGE RATE OF 0.5% AND 0.6% RESPECTIVELY PER MONTH DURING THE THREE MONTHS ENDING APRIL 1993.

MORE DETAILS ARE GIVEN IN THE ’’CONSUMER PRICE INDEX REPORT” FOR APRIL 1993, WHICH IS AVAILABLE AT $12 A COPY FROM THE GOVERNMENT PUBLICATIONS CENTRE, GENERAL POST OFFICE BUILDING, GROUND FLOOR, CONNAUGHT PLACE, HONG KONG; OR FROM THE CENSUS AND STATISTICS DEPARTMENT, 19TH FLOOR, WANCHAI TOWER, 12 HARBOUR ROAD, WAN CHAI, HONG KONG.

FOR LOCAL AND OVERSEAS MAILINGS, CONTACT SHOULD BE MADE WITH THE INFORMATION SERVICES DEPARTMENT, FRENCH MISSION BUILDING, 1 BATTERY PATH, HONG KONG.

FOR ENQUIRIES ABOUT THE INDICES, PLEASE TELEPHONE THE CONSUMER PRICE INDEX SECTION OF THE CENSUS AND STATISTICS DEPARTMENT ON 805 6403.

DETAILS REGARDING THE HANG SENG CPI ARE CONTAINED IN THE HANG SENG CPI REPORT ISSUED BY THE ECONOMIC RESEARCH DEPARTMENT OF HANG SENG BANK LTD.

/Table 1 .......

FRIDAY, MAY 21, 1993

- 3 -

Tabl,‘ 1 Consumer Prige Indices and Rates of increase for April 1993 (Oct. 89 - Sep. 90 = 100)

IZUA)--------- -------CPIfR)-------- Hang Seno CPI Ccrnposite CPI

Component Index for AEL93 % change over J\pr_92_ Index for Apr 93 % change over JPI 92 Index for Apr 93 % change over Apr 92 Index for Apr_93 % change over Apr 92

Food 130.6 +5.0 132.3 +6.0 132.3 +7.7 131.6 +5.9

teals bought away f ran home 139.5 +9.0 139.3 +9.0 137.2 +10.9 138.9 +9.4

Food, excluding meals bought away fran home 121.9 40.8 122.5 +1.5 124.0 +2.2 122.5 +1.3

Housing 144.8 +13.2 145.8 +14.4 146.7 +14.1 145.8 +13.9

Fuel and light 119.3 +3.2 118.6 +3.1 118.9 +3.5 119.0 +3.2

Alcoholic drinks and tobacco 176.5 +9.7 166.7 +9.1 162.3 +8.9 171.0 +9.4

Clothing and footwear 128.4 +8.0 129.9 +8.3 133.7 +9.6 130.8 +8.7

IXirable goods 109.3 +1.8 108.9 +1.9 114.3 *4.6 110.6 +2.7

Miscellaneous goods 121.9 +6.5 120.0 40.0 119.0 +5.6 120.5 +6.1

Transport 132.5 +8.5 131.9 +8.0 132.7 +7.4 132.3 +8.0

Services 138.1 +10.1 134.9 *8.9 129.4 +7.5 134.2 +8.9

All items 133.5 +7.7 133.9 *8.5 134.5 +9.5 133.9 +8.5

.u ,A»7TJ989/9O"base<1 cons,"ner Price indices are based on the expenditure patterns derived (ran the 1989/90 Household Expenditure Survey. The CPI(A) is based on the expenditure pattern of urban households In Hong Kong, which had an average monthly expenditure of S2.50CH59.999 1989/90. ihe CP.T(B) is based on the expenditure pattern of the next 30% of

urban households, which had an average monthly expenditure of S1O.OOO-S17.499 in the same period. The Hang Seng CPI is based on the expenditure pattern of the next 10% of urban households, which had an average monthly expenditure of S17.5OO-S37.499 in 1989/90.

whereas the CPI(A). CPI(B) and Hang Seng CPI are based cn the expenditure patterns of different magnitudes of household expenditure, the Composite CPI is conpiled based on the expenditure pattern of all these households taken together. Thus, while the CPI (A). CPI(B) and Hang Seng CPI show the inpact of consumer price changes on different groups of households, the Composite CPI shows the impact of consimer price chances on the household sector generally.

/Table 2 .......

FRIDAY, MAY 21, 1993

4

Table 2 Consumer Price Indices for January 1991 - Anril 1993

(Oct. 89 - Sep. 90 = 100)

Year/month CPI(A) CPI(B) i. Hana Sena CPI Composite CPI 108.4

1991 January 108.3 108.4 108.6

February 110.3 110.1 110.2 110.2

March 111.9 111.1 110.7 111.3

April