TNAG-0955-FCO40-1174-Legislation-for-traffic-on-roads-in-Hong-Kong-1980 — Page 14

XCC(80)4

Public Relations

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The public relations implications of the proposed increases in KMB and CMB fares must be viewed against a background of growing public concern about inflation generally and considerable suspicion that it is Government policy to raise public transport fares to make the MTR more competitive. There is a general expectation that bus fares will be raised soon and, given that fares are comparatively low and the increases small in absolute terms and in relation to incomes, the need for the new fares will probably be understood. In publicity, it will be stressed that fares have remained unchanged for a considerable period of time and that the increases are an inevitable result of rises in wages, fuel and other operating costs. However, it is likely that there will be criticism that Government is yet again taking the lead in raising fares at a time when other charges are also going up. The timing of the increase, before Chinese New Year, may also give rise to adverse comment,

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Furthermore, dissatisfaction with the poor standard of service provided by the bus companies is widespread and criticism strong and spontaneous. There have been continuous complaints about the lack of buses, the long queueing times, the severe overloading of buses on busy routes and at peak travel times and the poor standard of safety and maintenance of vehicles. At the same time, because in the past the companies have made promises of improved services which have not materialised, there is a great deal of public scepticism over Government's ability to secure such an improvement. It will be necessary, therefore, for publicity to stress the firm commitment which is being reached in respect of more buses, depots and staff, improved maintenance, and better management. It will also be explained that the bus companies have already embarked on a buying programme for new buses.

Advice Sought

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(a)

(b)

(c)

Members will be asked to advise whether:

KMB's fare application (Annex C) should be granted and the increases implemented before the end of January (paragraph 13);

the Government should conclude negotiations with KMB on a memorandum of understanding along the lines of the draft at Annex F (paragraph 15);

CMB's fare application (Annex G) should be granted and the increases implemented before the end of January (paragraph 21);

CONFIDENTIAL #

機密