XN000022-1992-01-22 — Page 4

WEDNESDAY, JANUARY 22, 1992

ON

"GIVEN OUR SEVERE LAND CONSTRAINTS AND HIGH POPULATION DENSITY, WE CANNOT ALLOW LARGE NUMBERS OF DOUBLE-DECK BUSES TO OPERATE BUSY STREETS LIKE RED MINIBUSES WITHOUT CAUSING TRAFFIC CHAOS.

"FURTHERMORE, COMPLETE DE-REGULATION WOULD INEVITABLY ATTRACT

WITH CENTRE,

NO ALL OPERATORS TO THE PROFITABLE ROUTES IN THE URBAN

tr HE SERVICES PROVIDED TO THE LOSS-MAKING ROUTES IN MANY OTHER AREAS, SAID.

MR LEUNG SAID BEFORE ANY NEW FRANCHISE AGREEMENT WAS ENTERED

REVIEW

THE INTO WITH CMB, THE GOVERNMENT WOULD ALSO

WHETHER

PROFIT CONTROL SCHEME SHOULD CONTINUE TO APPLY, AND IF SO, IN WHAT FORM.

"BUT IN THE FINAL ANALYSIS, WE MUST BEAR IN MIND THAT THE

INVESTORS INTERESTS OF BOTH THE TRAVELLING PUBLIC AND THE

SHOULD BE

TAKEN INTO ACCOUNT, HE SAID.

H

ON COMPETITION, MR LEUNG SAID OUT MORE BUS ROUTES WOULD BE PURSUED.

OPPORTUNITIES FOR TENDERING

"WE FULLY RECOGNISE THE BENEFITS OF MORE HEALTHY COMPETITION BETWEEN DIFFERENT BUS OPERATORS," HE SAID.

MANY RESIDENTIAL COACH ROUTES WERE ADDED IN THE PAST FEW YEARS. THE FIRST FRANCHISED BUS ROUTE AWARDED THROUGH OPEN TENDER STARTED OPERATION IN SEPTEMBER 1991.

"WE CAN SEE SIGNS OF CMB RESPONDING TO THE PRESSURE. IT REINFORCES OUR BELIEF THAT WIDER EXPOSURE TO MARKET FORCES WOULD HAVE MORE SUSTAINED POSITIVE EFFECT ON BUS SERVICES THAN CLOSER GOVERNMENT INVOLVEMENT IN MANAGING BUS OPERATIONS.

PRESENT THE

DEVELOPMENT.

SUBJECT

+

MR ON SERVICE QUALITY,

LEUNG SAID THE SERVICE PLANS OF FRANCHISED TRANSPORT COMPANIES WERE AT OF AN ANNUAL DISTRICT BOARD CONSULTATION EXERCISE.

IMPROVED

MATTERS OF DIRECT CONCERN TO COMMUTERS ARE COVERED, INCLUDING THE USE OF MORE MODERN AND COMFORTABLE BUSES,

ROUTEING AND

SERVICE FREQUENCY.

TO MEET THE GROWING ASPIRATIONS FOR MORE DIRECT PUBLIC MR LEUNG PARTICIPATION IN SHAPING THE LEVEL AND QUALITY OF SERVICES, SAID THE PUBLIC

COMPANIES HAD BEEN ASKED TO INTRODUCE MORE CONSULTATIVE CHANNELS WHICH ALLOW FACE-TO-FACE AND ACTIVE INTERACTION WITH. THEIR CUSTOMERS.

TRANSPORT

"MOST HAVE RESPONDED POSITIVELY BUT MORE CAN BE DONE TO IMPROVE CUSTOMER RELATIONSHIP," HE SAID.

THE

SAID

CHOICE

IT WAS

FOR

PER

REGARDING AIR-CONDITIONED BUS SERVICES, MR LEUNG

TO GOVERNMENT'S POLICY

MAINTAIN A REASONABLE PASSENGERS. AIR-CONDITIONED BUSES NOW ACCOUNT FOR ONLY ABOUT SIX CENT OF CMB'S FLEET.

/MR LEUNG