WEDNESDAY, JANUARY 18, 1984
MR SCOTT REPEATED THAT THE MEASURES WERE NOT DESIGNED TO INCREASE REVENUE - BUT TO PROTECT IT. THE FREEZE ON THE ISSUE OF URBAN TAXI LICENCE FOR TWO YEARS WOULD HAVE RESULTED IN A LOSS OF REVENUE OF ABOUT $176 MILLION. THIS LOSS WAS TO BE BALANCED BY THE INCREASES IN FIRST REGISTRATION TAX AND ANNUAL LICENCE FEES. THE RESULTING INCREASE IN TAXI OPERATING COSTS WOULD BE MET BY ABOUT 7.5 PER CENT OF THE TOTAL 17 PER CENT
INCREASE IN TAXI FARES.
THE 17 PER CENT INCREASE WOULD STILL LEAVE HONG KONG WITH PROBABLY THE CHEAPEST TAXI SERVICE IN THE WORLD, HE SAID.
IT IS NOT TRUE, SAID MR SCOTT, AS HAD BEEN REPORTED, THAT THE ADMINISTRATION REGARDS TAXIS AS A LUXURY, OR THAT THEY ARE NOT NECESSARY, OR THAT THEY SHOULD BE REDUCED IN NUMBER.
MR SCOTT SAID THAT THE TAXI TRADE WAS NOT A HOMOGENOUS GROUP. HE DETAILED THE CONSULTATION EFFORTS THAT WERE MADE IN FORMULATING POLICY INVOLVING BOTH THE TRADE, DISTRICT BOARDS AND OTHERS. REGRETTABLY, HE SAID, THE DIRECT QUESTION OF SHOULD TAXI TAX AND ANNUAL LICENCE FEES BE INCREASED COULD NOT BE POSED TO DISTRICT BOARDS AS THIS WOULD HAVE CAUSED THE KIND OF PROBLEMS WITH REGARD TO REVENUE MENTIONED EARLIER.
THE FRAGMENTATION OF THE TRADE MADE IT DIFFICULT TO GATHER A SATISFACTORY OVERALL PICTURE OF EXPENDITURE AND REVENUE AND CLAIMS FOR FARE RISES WERE OFTEN NOT SUPPORTED WITH GREAT DETAIL BY WAY OF REPORT OR SURVEY.
ON THE USE OF THE TERM +PERSONALISED TRANSPORT+ MR SCOTT SAID THAT THE POINT BEING MADE WAS THAT TAXIS ARE NOT IN THE SAME CATEGORY AS PUBLIC TRANSPORT WHICH HAS CONCESSIONARY RATES OF TAXES AND LICENCES.
*THE TAXI TO A VERY LARGE EXTENT ACTS AS A SORT OF PRIVATE HIRE CAR OR SUBSTITUTE FOR PRIVATE CAR,+ HE SAID.
+1 EMPHASISE THAT THIS DOES NOT DENY THEIR ROLE AS AN ADJUNCT TO PUBLIC TRANSPORT BUT IT DOES NOT PUT THEM IN THE SAME CATEGORY AS BUSES OR RAILWAYS.+
THERE HAD BEEN VERY LARGE INVESTMENT IN THE TRANSPORT NETWORK, HE SAID. IT IS INEVITABLE THAT THE COMMUNITY'S
+ INVESTMENT IN THE NETWORK REQUIRES, NOTWITHSTANDING THE ARGUMENTS ABOUT FREE ENTERPRISE AND UNRESTRICTED COMPETITION, A DEGREE OF ALLOCATION BY PRIORITIES.
SUMMING UP, MR SCOTT SAID THAT THE ADMINISTRATION ACCEPTS THAT THE TIMING, LACK OF GRADUALISM, AND PRESENTATION OF THE MEASURES HAVE CAUSED GREAT CONCERN AMONG UNOFFICIALS WHO HAVE EXPLAINED FULLY THEIR REASONS FOR OPPOSING THE BILLS.
+THIS IS THE VERY REASON WHY THEY AND WE SIT IN THIS COUNCIL, THAT LEGISLATIVE PROPOSALS SHOULD BE EXAMINED AND DEBATED AFTER UNOFFICIAL MEMBERS HAVE HEARD PUBLIC OPINION AND EXPRESSED THEIR OWN OPINIONS AND SOUGHT AMENDMENTS AS NECESSARY AND VOTED ACCORDINGLY IF NECESSARY.+
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