13.

Under the bill, the maximum penalties that may be provided for in regulations made under the Gas Safety Ordinance are set to increase to a fine of $200,000 and imprisonment for 12 months. Currently, the maximum penalties are a fine of $25,000 and a six-month imprisonment term.

The bill will enable the Gas Authority, in the interests of safety, to inspect works near gas pipes, require immediate improvement where works are endangering a gas pipe and prosecute offenders.

If enacted by the Legislative Council, the bill will be followed by new regulations requiring that construction works should not be carried out near a gas pipe unless its position has been checked and steps taken to ensure that it will not be damaged by the works.

The new regulations will provide that a person not taking all reasonable measures to protect a gas pipe from damage arising out of his construction works that is likely to prejudice safety commits an offence and is liable on conviction to a fine of $200,000 and to imprisonment for 12 months - the new maximum penalty brought in by the bill.

The proposals reflect the Government's concern at the frequent damage to gas pipes through careless excavation work. There were 120 such incidents last year.

While the consequences of most of these incidents are relatively minor, damage to a gas pipe may lead to a major fire or explosion. The proposed legislation aims to minimise the potential for such hazards.

The Government intends to bring the bill into effect six months after enactment so as to allow time for the new regulations to be made, for a code of practice to be issued by the Gas Authority and for the gas supply companies and the construction industry to adjust to the new requirements.

End/Friday, February 24, 1995

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