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Нек
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HKE M73/4
MEMORANDUM FOR EXECUTIVE COUNCIL
STUDENT TRAVEL SUBSIDY POLICY
A-B
Background
Until 1971 student travel subsidy arrangements were made voluntarily by public transport companies, the cost of doing so being absorbed into the overall fare structure on a purely commercial basis.
2
In 1971, the Kowloon Motor Bus Company (1933) Limited (KMB) submitted an application for fare revisions which included a proposal to abolish concessionary fares for children under 12 and school students aged 12 and over. At that time the Government was anxious that parents should not suddenly have to assume the extra cost of the termination of concessionary rates and, as part of the agreement on fare revisions, undertook to reimburse the company in respect of the cost of maintaining concessionary rates for school students aged 12 years and over, while the company agreed to continue to grant concessionary fares to children under twelve. Similar arrangements were agreed in 1972 with the China Motor Bus Company Limited (CMB) and Hongkong Tramways Limited (HKT), and thus subsidised travel is available for the majority of secondary school students, with the cost of the subsidy being borne by the Government.
3
The scheme does not however apply to all transport facilities which may be used by students. In particular, the Hongkong and Yaumati Ferry Company Limited (HYF) and the "Star" Ferry Company Limited (SF) continue to grant concessionary fares as a part of the overall fare structure, without Government reimbursement. Even within the bus companies services there are no concessions on cross harbour routes, coath services and some recreational routes. The various forms of public transport and existing arrangements for students are tabulated at Annex A. A detailed breakdown of these arrangements is at Annex B.
G.S. 166
I THE PRESENT SCHEME Problems with administration
4
There are practical problems in administering the present scheme which, though it is now into its eighth year, have not been settled to the satisfaction of either the bus companies or Government, though no such difficulties exist with HKT. These problems relate
CONFIDENTIAL