TNAG-1729-FCO40-2442-Minutes-and-Hansards-of-the-Legislative-Council-of-Hong-Kong-1988 — Page 230

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MTR fare policy and peak congestion fares

As the date in my original question has now been charged, may I have your permission to amend, my questi

I accordingly? Thank you

question

Question No.

Reply by the Hon Michael Leung, Secretary for Transport

a Question asked by Hon Selina Chow in Legislative Council on 27.4.88

9. MRS. CHOW asked:

Will Government inform this Council what role it plays in the determination of MTR fare policy and fare increases, how it ensures that they are not contrary to public interest, and more specifically whether it considers the increase in peak

May 155

congestion fares which will take effect on my.

1988 is in the public interest given that the MTRC's actual annual passenger volume and fare revenue for 1987 were above forecast?

Sir,

SECRETARY FOR TRANSPORT: because of the widespread public concern on this matter, may I seek your indulgence in giving a longer answer than normal in this case.

Under Section 6(2) of the Mass Transit Railway

Corporation Ordinance, the Corporation has the power to

determine the fares payable by its passengers. Since the

opening of the Mass Transit Railway in 1979, the Corporation

has adopted a consistent policy of small annual increases in

average fares which roughly match rises in the purchasing

power of passengers. The Government considers this practice

of regular but moderate revisions to be acceptable.

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The Government also recognises the importance of

safeguarding public interest. This is done through the

Ordinance which requires the Corporation to operate according

to prudent commercial principles, having regard to the

reasonable requirements of the public transport system of

Hong Kong. Control is further exercised through the Board of Directors whose hair

rman and members are all appointed by the

Governor. In addition, the Governor in Council may, if he

considers the public interest so requires, give directions in

writing of a general character to the Corporation.

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