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Wednesday, March 15, 1972

Therefore, the adequate provision of technical education was of paramount

importance in the continued success of Hong Kong's economic development.

"And unless we can maintain our economic progress, I foresee many

social and possibly political problems ahead," Dr. Chung stressed.

Putting a meagre amount of $15 million out of a total expenditure

budget of $3,657 million into technical education in a predominantly industrial

society "is really a mystery" to the commercial and industrial world, he added,

Dr. Chung went on to say that he fully agreed with the Financial

Secretary's proposal to abolish duties on hydro-carbon oils.

Concession

He noted that the concession did not include furnace oil on which

duty was as high as about 20 per cent of its retail price.

He pointed out that as the proposal now stood, a domestic household

using kerosene and liquefied petroleum gas for cooking, heating and lighting

would be exempt from duty.

Whereas, another household using town gas and electricity for the

same purposes would have to pay a duty, which in some cases, could come to a

very significant proportion of the cost of fuel, power and light.

He said town gas and electricity were widely used in Hong Kong industry

for heat and power and the continual imposition of a duty on furnace oil did bear

on industrial costs.

"I therefore submit, Sir, that this tax concession proposal of the

honourable Financial Secretary is discriminatory and should be amended to

include also furnace oil."

/Earlier

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