TNAG-0806-FCO40-1011-Policy-of-Government-of-Hong-Kong-on-land-in-the-New-Territo-1979 — Page 70

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The

.3.1.5 There must be a system for continuous

review of the compensation rate

Working Group considered that the absence

of a continuous and fair system of review

of the compensation rate was one of the

main shortcomings of the existing Letter B

system. Moreover, it was necessary that

this should be related to the movement in

land prices rather than in the value of

expectations of exchange which was too

dependent on the areas of land resumed,

and the amounts of land made available by

Government for exchanges.

More particularly, the Working Group agreed :

3.1.6 The system must retain an option of a

future exchange of land - This principle

was considered by the Heung Yee Kuk members

to be essential to the acceptance of the

system by affected landowners, and any

system which entirely abandoned it, would

be treated with distrust and could well be

immediately rejected by those affected.

It was not, however, essential that the

present precise terms of exchange should be

:

retained, and it was appreciated that the

terms and rights of exchange might have

to be modified.

/3.1.7