Supplementary to Question No. 7

LegCo meeting on 11.3.87

PROF. POON: Sir, according to the Secretary's reply, the TAC

Sub-committee is examining means to strengthen and improve the

current system of issuing taxi licences.

NOW, it must imply

that the present system is far from satisfactory. Will the

Secretary inform this Council of the weaknesses in the present

system that the Government has detected?

SECRETARY FOR TRANSPORT:

Sir, the TAC

Sub-committee has, in

fact, very wide terms of

terms of reference covering the rural taxis in

the transport system, the size of the taxi fleet, the method of

issuing taxi licences, the fare policy of taxis, government

regulations, classification of taxis and the quality of feeder

services. So this is only one of the many factors which the

committee will look at in the next few months. The existing

tender system has been in operation since 1964 and is found to

be generally satisfactory and the Government, in fact, does not

see any need to change it overnight. However, the Government

look forward to the committee's recommendations

consider them when they are available.

and will

MR. SOHMEN: Sir, the Secretary for Transport has mentioned that

part of the reason for the increase in the free market prices

for the licensing is the profitability of taxi operations.

Would he confirm that profitability of taxi operations has, in

fact, risen in recent times?

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