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Some members have referred to land holdings in the Northwest NT by the Sun Hung Kai Group. This is totally irrelevant. The project has no associated property development rights whatsoever.
Measures to Enhance Transparency
During the discussion in the Bills Committee, Hon. Members sought various assurances regarding transparency and the operation of the Toll Stability Fund. I am happy on behalf of the Administration to provide these assurances. Hon Members quite rightly expressed concern that there should be transparency in the operation of the franchise. The Administration fully agrees that there should be transparency and we will adopt the following steps to enhance the transparency of the franchisee's plans and performance:
(a)
(b)
(c)
First, we will require the tabling in LegCo in July each year before the summer recess the franchisee's plans as embodied in his three-year rolling projection of net revenue and his annual budget of operating costs, together with a statement;
Second, we will table in LegCo in October each year the franchisee's annual audited statement of Actual Net Revenue, and will make a statement on that occasion on both the figures and any application for a toll increase; and
Third, the Administration will brief the LegCo Transport Panel on the Administration's findings before deciding by the end of October whether a toll increase should be agreed or whether we should proceed to arbitration. Hon Members will then have the opportunity to debate the findings if they so wish.
Members have also expressed concern regarding the management and use of the Toll Stability Fund, in particular as regards the Financial Secretary's power under Clause 31(4) to transfer excess money in the Fund to General Revenue, and the discretionary power of the Toll Stability Fund Management Committee under Clause 43 to use the Fund in deferring toll increases.
Although the Financial Secretary has powers under Clause 31(4) of the Bill to transfer money from the Fund to General Revenue, he will not do so unless he is of the opinion that the amount to be transferred is in excess of what is required for deferring future toll increases for the rest of the franchise period. The Administration does not, therefore, envisage there will ever be the need to re-transfer sums from General Revenue back to the Fund as a result of there being insufficient money left in the Fund for the purpose of deferring toll increases.