CO129-595-6 Building Reconstruction Advisory Committee Report 9-4-1946 - 10-6-1947 — Page 17

ENCLOSURE 2.

Extract from Hansard Report of Proceedings of Legislative Council,

19th July, 1946.

The Hon. Dr. S. N. Chau asked:-

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In view of various complaints voiced in the Press regarding Government's pronouncement on its policy respecting the recon- struction of demolished properties, will Government state:

(a)

(b)

(c)

Whether they would undertake the reconstruction of all demolished properties and charge the cost to the owners such cost to be refunded by reasonable instalments?

Or, as an alternative, whether Government would consider advancing funds to owners of properties on condition that their properties are to be repaired as soon as possible and the advances are to be repaid by such in- stalments as are mutually acceptable?

Whether Government are prepared to purchase building materials in mass quantities and release them to builders at cost, thus reducing the cost of rebuilding.

The COLONIAL SECRETARY replied:-

1.--- With regard to (a) Government has neither the staff nor the resources to enable it to undertake the reconstruction of all demolished property. Government is, however, prepared to consider an application by any owner of demolished property to reconstruct on his behalf and charge him with the cost, but each case would have to be considered on its merits. It has already been stated that where the owner is not in a position to repair a damaged proper the Government will be prepared in selected instances to lease and repair or to resume for a public purpose.

2. As regards the alternative (b) suggested by the Honourable Member, Government was advised in the earlier part of this year that there was no demand for a rebuilding loan at a low rate of interest. Nevertheless the Government, which has not itself the machinery or facilities to undertake the administration of a loan of the nature proposed, would be prepared in suitable cases to approach the Banks with a view to the issue of such a loan and to consult this Council on the question whether any form of subsidy might be paid, with the Secretary of State's approval, for the purpose of reducing the rate of interest paid by the borrower.

3.--- In regard to (c), the Government adheres to the view alread expressed that building materials should in the main be imported through normal commercial channels. Government is always prepared to consider bulk purchases of materials where these can be obtained under more favourable terms through official channels. In actual fact, however, the world demand for building materials is such that it is rarely possible to purchase anything in quantities which are greater than those normally handled by commercial firms.