MONDAY, MARCH 13, 1989
DB'S BRIEFED ON BUS COMPANY PROFIT CONTROL SCHEME
FOUR DISTRICT BOARDS AND OPERATION OF THE
THE TRAFFIC AND TRANSPORT COMMITTEES OF WERE TODAY (MONDAY) BRIEFED ON THE OBJECTIVES PROFIT CONTROL SCHEME AS APPLIED TO THE FRANCHISED BUS COMPANIES.
AT THE
MEETINGS
OF
THE
REGULAR COMMITTEES OF THE SAI KUNG, TAI PO, KOWLOON
FROM OFFICERS
TRAFFIC AND
TRANSPORT
CITY AND SHAM SHUI PO THE TRANSPORT DEPARTMENT EXPLAINED DISTRICT BOARDS, THAT THE MAIN OBJECTIVES OF THE PROFIT CONTROL SCHEME ARE TO:
*
ENSURE THAT PASSENGERS GET ADEQUATE AND RELIABLE SERVICES;
ENSURE PRICES;
THAT
PASSENGERS GET
THE
AT SERVICES
REASONABLE
*
FINANCIAL RETURN
ENSURE THAT SHAREHOLDERS GET A REASONABLE ON THEIR INVESTMENT, AND SO ENCOURAGE FURTHER INVESTMENT;
*
KEEP THE COMPANIES
*
FINANCIALLY
VIABLE SO
THAT THEY CAN
COMPETE WITH OTHER COMMERCIAL ORGANISATIONS FOR FUNDS;
MINIMUM
SUBSIDY ACHIEVE THE PRECEDING OBJECTIVES WITHOUT ANY DIRECT FROM PUBLIC FUNDS, AND WITH
INTERFERENCE FROM GOVERNMENT IN THE OPERATION AND MANAGEMENT OF THE COMPANIES.
IN
ΤΟ ENCOURAGE LONG-TERM THE PROFIT CONTROL SCHEME IS DESIGNED INVESTMENT IN RESPONSE TO PROJECTED DEMAND AND AVOID SUDDEN CHANGE THE LEVEL OF REQUIRED IMPROVEMENTS OR FARE LEVELS.
PROGRAMME SUBMITTED BY MEANS OF THE FORWARD PLANNING
BY THE THAT THE CAPITAL BUS COMPANIES EACH YEAR, THE GOVERNMENT CAN ENSURE
BUS COMPANIES ARE OF
PROPERLY JUSTIFIED AND EXPANSION PROPOSALS
DEMAND: AND PREVENT ANY UNNECESSARY SUFFICIENT TO MEET INCREASING
BY OVER-INVESTMENT
THE BUS COMPANIES TO EXPANSION AND DELIBERATE BOOST PROFITS.
AND THE
EXAMINED BY THE FINANCIAL MONITORING UNIT OF THE THE TRANSPORT
ALL FARE INCREASE APPLICATIONS ARE CAREFULLY TRANSPORT DEPARTMENT
BRANCH BEFORE CONSIDERATION BY ECONOMIC SERVICES ADVISORY COMMITTEE (TAC).
APPROVES FARE INCREASES ONLY THE GOVERNOR IN COUNCIL
AFTER MADE AND THAT THE BEING SATISFIED THAT PROPER EXAMINATION HAS BEEN LEVELS SOUGHT ARE FULLY JUSTIFIED.
ON
LEST
THE SECURITIES ORDINANCE PROVIDES THAT DETAILED INFORMATION THE FINANCE OF THE LISTED COMPANIES SHOULD BE KEPT CONFIDENTIAL, THE DISCLOSURE OF SUCH INFORMATION SHOULD AFFECT THEIR SHARE PRICES.
/HOWEVER, AS