ENG-1994 — Page 339

PORT DEVELOPMENT

In planning Lantau Port, environmental considerations are being given their proper due. The orientation of the terminals will ensure that the visual and noise impact will be minimised, while safety and operational efficiency will be optimised.

With the increasing growth in throughput, shippers are seeking alternative means to transport containers to and from China. They are increasingly looking at the natural highway of the Pearl River and there has been a substantial increase in container barge traffic on the river.

The Port Development Board estimates that the 23.1 million tonnes of freight carried by river in 1993 will double by the year 2001, and quadruple by 2011.

Although containerisation accounted for only 10 per cent of river cargoes in 1991, the proportion increased to 20 per cent in 1993 and at one million TEUs, to some 25 per cent in 1994. Forecasts show that it will reach 41 per cent by 2011.

River cargo handling facilities, mainly public cargo-working areas, are expected to reach capacity by 1996. To cope with the growing demand, the government plans to lease an area of land at Tuen Mun for the development by the private sector of Hong Kong's first river trade terminal, specifically designed to handle river cargoes.

The first phase should begin operation by late 1997.

The location of the river trade terminal, at Tuen Mun in the northwest New Territories, means that most river vessels will be able to avoid the busy Ma Wan Channel. They will also avoid ocean-going vessels using Kwai Chung and the new Lantau Port.

Because of the growth in river trade, terminal operators have asked for barge berthing facilities to be included in Lantau Port container terminals and the original plans for the berths were modified during the year to accommodate this request.

Mid-stream operations, with cargoes being unloaded over the side of vessels into barges, continue to play an important role, accounting for about a quarter of Hong Kong's total containerised throughput.

In 1993, some 2.8 million TEUS were handled mid-stream. This figure remained at the same level in 1994, largely because the early opening of Terminal Eight made more berth space available.

As Terminal Eight reaches full capacity in mid-1995, a further significant growth in mid- stream operations is expected.

Port Cargo Forecasts

The projected throughput figure of 32 million TEUs by the year 2011 is startling, but it is as accurate a prediction as it is possible to make. With billions of dollars in private investments at stake, the forecast figures must be the best possible.

The Port Development Board's port cargo forecasts are the basis of the government's Port Development Strategy Review. Forecasts are revised every two years to ensure that they are kept as up-to-date as possible.

The board published its latest forecasts at the beginning of 1994. In compiling the forecasts, it took into account not only trends in Hong Kong but also projected growth of the world economy; the economy of China, particularly southern China; expected competition from regional and Chinese ports; and likely changes in the shipping and cargo mix in the port. The projected 32 million TEUs by 2011 represent an annual growth rate of 7.6 per cent in container throughput.

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