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As regards the

keeping with the terms of the Joint Declaration.

Police Force, the overall objective is that the force should be

predominantly local by the year 2000. The present ratio of overseas

to Local officers, in the inspectorate rank and above,

is about

70:30 and steps are being taken to identify Local officers

promo on and to provide training to develop their potential.

for

New Pension Scheme

32.

During the year extensive consultations were held with Hong

Kong Civil Service Staff Associations on a new pension

pension scheme

scheme for

the civil service. Having regard to the fact that the future

government of

the Hong Kong Special Administrative Region will be responsible for pensions after 1997, details of the scheme were also

discussed with the Chinese Government.

33.

The main elements of the new scheme include: the extension of

the normal retirement age from 55 to 60 (serving officers who opt

for the scheme may, nevertheless, retain their existing normal

retirement age of 55); an adjustment in the earning factor; deferred pension benefit which will be payable at normal retirement

age to officers who resign after completing 10 years or more

qualifying service (at present no benefits are payable to those

Leaving the service before normal retirement age); and an increase

in the amount

amount of pension which may be commuted as a Lump sum, from

25% to 50%. In addition, the Hong Kong Government proposes to make

pensions a right rather than a privilege.

34.

Consultation with staff has also begun on n a draft

scheme compensation

which, amongst other things, Will enable

pensionable overseas officers who are required to retire, or who are

superseded for

make way for Local

to officers,

be

to promotion

compensated for loss of career.

VII. DAYA BAY NUCLEAR POWER STATION

35.

An issue of major public concern

to the

the people of Hong Kong

in 1986 was the proposed construction of a nuclear power station at

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