7.1
7.1.1
Amendments to the Present Crown Lands Resumption Ordinance
The Ordinance as now worded prevents the payment of compensation for agricultural and/or house land in the New Territories that includes any element either of "hope" value or of value resulting from non-agricultural use of agricultural land. We believe that, irrespective of the lease conditions, compensation should be paid for any increase in the value of land that stems from the assumption that in certain circumstances, development or changes of use can in fact take place. This could be achieved by amending subsections (b) and (c) of the Crown Lands Resumption Ordinance as follows:
7.1.2
(c)
7.2
7.3
(b)
no compensation shall be given in respect of any use of the land which is not in accordance with the terms of the Crown lease under which the land is held unless such use has been, or might reasonably have been approved subject to premium or rent by the Crown.
Subject to the provision of subsection (b), no compensation shall be given in respect of any expectancy or probability of the grant or renewal or continuance, by the Crown or by any person, of any licence, permission, ease or permit hatsoever:
Provided that this paragraph shall not apply to any case in which the grant or renewal or continuance of any licence, permission, lease or permit could have been enforced
as of right if the land in question had not been resumed.
The suggested additional wording has been underlined.
Changing the Ordinance in this manner would enable compensation to be assessed at basically open market. levels whilst still enabling the Crown to avoid paying grossly inflated sums which could be shown to be the result of some use or prospect of development which could not reasonably have been expected to have been approved.