ENG-2001 — Page 345

INFRASTRUCTURE PROJECTS

May 2000, about 160 hectares of land (80 per cent of the first phase of the Penny's Bay reclamation) have been formed. The first infrastructure contract started in 2001 for completion in 2005. All other infrastructure contracts will start progressively from 2002 onwards to tie in with the opening of the theme park.

Hong Kong Disneyland will occupy an area of 126 hectares initially and may be expanded to some 180 hectares. Upon opening, it will comprise a Disney theme park, a 1 400-room resort hotel complex and a retail, dining and entertainment centre. Besides being a major recreation outlet and destination for Hong Kong families and overseas visitors, it will also strengthen Hong Kong's position as a premier tourist destination with outstanding attractions.

Port Development

Hong Kong, the world's busiest container port, handled 17.8 million 20-foot equivalent units (TEUs) of containers in 2001, making Hong Kong once again the world's busiest port for the year.

Handling this container cargo added significantly to Hong Kong's economy. Hence, matching the supply of port facilities with demand will ensure economic growth for the community and growth forecasts are, therefore, important. Major reviews of the Port Cargo Forecasts are carried out at regular intervals to ensure that these forecasts, which span up to 20 years ahead, are as accurate and up-to-date as possible.

The Port Cargo Forecasts 2000-2001 was completed in March. Findings of the forecast estimated that by 2010, there would be a demand for Hong Kong to handle 30 million TEUS a year. The actual growth in the throughput of the port in the coming few years will be closely monitored before a decision is made on the timing for the provision of new facilities.

The container port is vital, not only for Hong Kong, but also for southern China one of the fastest industrialising areas in the world. Some 76 per cent of container cargo passing through Hong Kong is entrepôt trade with southern China. The port of Hong Kong, therefore, is likely to remain the Asia-Pacific region's hub port well into the 21st century.

Competition among the container terminals and among alternative modes of container handling drives the operators to improve efficiency and quality of service. The significant investment in upgrading equipment and systems in the eight existing terminals at Kwai Chung over the past few years, which is ongoing, enabled the port to handle continuing growth in container throughput. Similar efforts to improve the efficiency of operation have also been pursued by the River Trade Terminal (RTT) at Tuen Mun, in the north-western New Territories, which was fully operational in late 1999.

Strategic Planning

To meet the growing demand, Hong Kong is building a new container terminal, Container Terminal 9 (CT9), on Tsing Yi Island opposite the existing terminals. The terminal will occupy an area of 68 hectares, with six berths and a design capacity to handle more than 2.6 million TEUS a year. The berths will come into operation in phases and the whole terminal is expected to be completed by 2004. The new

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