TNAG-1415-FCO40-1896-Public-finance-in-Hong-Kong-1985 — Page 155

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

105. The package of restraint measures set out in the White Paper on Internal Transport Policy for controlling traffic congestion were designed to achieve similar objectives to those now proposed for the Electronic Road Pricing Scheme but without the high capital and recurrent

The decision to go ahead with the pilot stage of the scheme was made at the time when there was general uncertainty in the Government policy on taxis and parking facilities which resulted in these potential restraining measures being disregarded. The Government policy in these respects either, has been lost sight of, or is inconsistent with the Government's overall transport policy and I have recommended to the Secretary for Transport that before proceeding further with the Electronic Road Pricing Scheme these aspects should be reconsidered even though, having allowed the taxi fleet to grow to its present level, it may be very difficult for the Government to regain its commanding position of 1979-80.

He

106.

In reply to my report on the audit review the Secretary for Transport said that the purpose of the pilot stage was to examine the feasibility and effectiveness of electronic road pricing as one possible method of reducing congestion and given its direct effect in controlling. private car usage, it was incumbent upon the Government in 1982 to examine the feasibility of a system that did not have the disadvantages of high taxes on car ownership. added that the restraint potential of high parking charges and high taxi fares were disregarded, not because of uncertainty in policy, but because of the previous decisions taken by the Governor in Council. He explained that he was under the political constraint of having to act in accordance with the directions given notwith- standing the fact that the Administration had given contrary advice.

107.

Universities and polytechnics student finance (financed from Head 190 - Subhead 168 in respect of grants and from the Student Loan Fund in respect of loans). In concluding their deliberations on the universities and polytechnics student finance scheme in their Fourth Report issued in December 1981, the Public Accounts Committee expressed their concern about the possibility of large amounts of public money being unnecessarily paid out under the scheme as a result of the failure to take into account the individual expenditure requirements of students and the failure to limit the assistance only to those in need as laid down in the Executive Council Memorandum of 1969, noting that the Government policy on student assistance had not changed since 1969 and was still based on need

only.

The Committee considered that it was necessary for

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