REVIEW
17
and that surrendered. Outside layout areas exchanges are nego- tiated in particular cases on their merits.
In view of the importance of the port in the life of the Colony pier leases have always been the subject of special consideration. Prior to 1899 such piers as were in existence were let on various conditions but in that year it was decided to grant pier leases for a term of 50 years terminating on 31st December 1949. In the early years after the war, the Government considered the question of the terms of renewal of these leases and the general policy was covered by an official announcement on 29th August 1947 which envisaged, subject to the satisfaction of certain criteria, the grant of new leases to existing lessees for a period of 15 years expiring 31st December 1964, with the option of renewal for two further periods of 15 years each. The new leases were to be free of premium and subject to the payment of a rental assessed on the basis of the location of the pier, the degree of shelter and the natural depth of water alongside; the maximum rental was fixed at 25 cents a square foot a year. In the event the Government granted 60 new leases, actual rents varying from 25 cents to 18 cents a square foot. The leases issued were renewable for one period for 15 years only 'at such re-assessed rent as shall be fairly and im- partially fixed by the Governor as the fair and reasonable rental value of the said piers at the expiration of the term'. New pier leases are granted and old pier leases renewed only where it is known that reclamation is unlikely to take place during the life of the lease. Where new leases are granted it is customary to charge a premium based on the value of the seabed, together with an annual rent calculated at the zone rent of the district.
Temporary occupation
When land cannot for any reason be granted on lease or where the purpose for which it is required does not justify more than temporary use, it has been the practice to grant permission to occupy under the provisions of the Summary Offences Ordinance (Chapter 228 of the Laws of Hong Kong). Regulations made under this Ordinance prescribe the purposes and the fees for the permits or licences that may be issued. While individually of small account, the total annual revenue from permits is not inappreciable. In 1962-3 it amounted to over $7 million.