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the Praya East reclamation, and an extensive reclamation at North Point which will in due course be extended to Quarry Bay. On the Kowloon side the Kai Tak reclamation at the north of Kowloon Bay, which it has been necessary to take over owing to the inability of the Company constructing # to continue the work, and a very large reclamation on the west of the peninsula extending from Sham Shui Po to Lai Chi Kok. These works entail the expenditure of several million dollars and involve close technical supervision.

4.

In addition there is the large scheme of development referred to the consulting engineers, in connection with which Sir Maurice Fitzmaurice visited the Colony in November 1920, and furnished a report last year. I am in consultation with the Chamber of Commerce regarding this matter and I hope that before long I shall be able to submit to you proposals for the provision of wharves, docking facilities and storage godowns, but whatever the decision may be these works will entail greater expenditure than has been incurred hitherto on any public work in this Colony. Then there are questions demanding early settlement in connection with the water front relating to piers, the construction of sea walls and the establishment of a Government ferry service capable of transport ing vehicles of all sorts as well as passenge re.

Arising out of the

recommendations of the Town Planning Committee there is also

a scheme for making reclamations on the east side of the Kowloon Peninsula.

5.

I have, therefore, arrived at the conclusion that the most effective method of proceeding is to create a Port Development Department, which will take over from the Public Works Department complete charge of all construction work in the harbour including sea walls, Government reclamations, harves and go dows. The existing

office

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