XN000022-1996-06-11 — Page 4

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At least one of these must be someone who represents the interests of consumers of legal services, and the others must have substantial experience in banking, accounting or some other commercial activity. The effect will be that some members will represent the solicitors profession or consumer interests, and others (including the representatives of the Judiciary) will act as independent arbiters.

The Bill also contains minor amendments to the provisions in the Legal Practitioners Ordinance dealing with the Barristers Disciplinary Tribunal, to overcome practical problems that have emerged since the provisions were enacted in 1992.

End

Revision of postage rates

The Postmaster General, Mr Robert Footman, announced today (Tuesday) details of the new postage rates to take effect on September 2.

Commenting on the revised rates, Mr Footman said: "Operating costs have increased over the past 15 months due to inflation, increased staff costs and higher payments to overseas postal administrations. We have to increase our rates to meet these costs, and to fund further improvements in service.

"The overall weighted average increase for postage rates will be 8.7 per cent, which is 0.4 per cent below inflation since the last increase in June 1995. In this way, we are able to pass on some benefit to our customers. We now project a return of some 7.6 per cent on our assets this year.

"Local and surface mail services have long operated at a deficit. These services are currently being cross-subsidised by other services. To reduce cross-subsidisation, the increases for local mail and surface mail will be 8.8 per cent and 8.6 per cent compared with air mail at 8.1 per cent.

"After the revision, the local and surface mail will continue to operate at a deficit, but a smaller one. Our three core services, taken together, will more or less break even."

Mr Footman said even after these increases, Hong Kong postal charges would remain among the lowest in the industrialised world.

"Given that postage constitutes only a small proportion of consumer expenditure, the increases are unlikely to have any significant impact on general inflation," he added.