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Boosting economic development, helping families and intensified efforts to protect the environment will top the Government's policy agenda in the next year, the Chief Executive, Mr Donald Tsang, announced in his Policy Address today (October 11).
Delivering his second Policy Address, entitled 'Proactive Pragmatic Always People First', Mr Tsang also promised to lead open and inclusive discussions on a roadmap for the further development of a democratic political system in Hong Kong.
On the economic front, Mr Tsang unveiled initiatives to boost financial services, trade and logistics, information technology, cultural and creative industries, the performing arts and labour rights protection.
To better support families, the Chief Executive announced plans to help parents pay for pre-school education, assist kindergartens upgrade equipment and resources, boost services for victims of domestic violence and to increase services and facilities in districts where development gaps existed.
On the environment front, Mr Tsang pledged to provide financial incentives to phase out older diesel vehicles, reduce registration tax for low-emission vehicles, review air quality objectives, and to introduce trial scheme on waste charging.
The Chief Executive said Hong Kong needed to consolidate its position as an international financial centre in Asia, which was in line with the interests of both the country and the region.
He said further liberalisation was needed to broaden the source of well-qualified foreign enterprises seeking to list in Hong Kong and urged listing rules changes to make this happen.
Mr Tsang said the State Council was actively pursuing the expansion of Renminbi (RMB) business in Hong Kong, including the settlement in RMB of direct imports from the Mainland and the issuance of RMB financial bonds.
"The SAR Government is fully prepared to launch these two new types of business as soon as possible," he said. "We will also endeavour to attract to Hong Kong some of the offshore securities investment business of Mainland insurance agencies."
To boost the trade and logistics sectors, the Government would seek to enter into more economic and trade arrangements with trading partners to enhance overseas market access for Hong Kong's goods and services, he said.
To enhance efficiency, streamline application procedures and lower permit fees, the law will be changed to allow multiple entry permits for the river trade vessels that ferry large volumes of cargo from within the Pearl River Delta to Hong Kong's port.
Mr Tsang said the Government had been working with the Dongguan authorities to increase the efficiency of cross-boundary cargo flows, with agreement reached on the introduction of an express clearance system at the Liaobu inland control point when it comes into operation later this year.
He said the Government had the responsibility to create favourable conditions for the development of information technology, technology as well as cultural and creative industries.
To promote e-Government, more user-friendly integrated public services would be provided through a one-stop portal.
In response to the convergence of telephony, broadcasting and the Internet, legislation would be introduced to form a new Communications Authority (merging the functions of the Broadcasting Authority and the Office of the Telecommunications Authority) and to introduce a regulatory framework to promote innovation and competition on a par with advanced international standards.
A public consultation will be launched by the end of the year on radio spectrum management, with a view to ensuring a more flexible and effective utilisation of the spectrum as a public resource and to facilitate technological advance and evolution of business models.
The Government will also earmark $100 million over five years to help the Hong Kong Design Centre to assist trades and industries make full use of their designs and to help build brand names.
The film industry will receive a boost with the establishment of a Hong Kong Film Development Council to rationalise the existing government and public organisation framework of support for film industry development.
To foster partnerships between performing arts groups and venue operators, and to help develop venue-based arts promotion strategies, a Venue Partnership Scheme would be launched covering performing venues of the Leisure and Cultural Services Department.
The Arts and Sports Development Fund will also receive an injection of $40 million to buttress support for the cultural sector. And additional $70 million in recurrent expenditure will provide comprehensive support for elite athletes and help enable the National Sports Associations intensify their participation in community activities and the School Sports Programme.
Mr Tsang said there were still diverse views in the community on whether to legislate for a minimum wage and standard working hours.
"Taking into account the views of stakeholders, and having carefully considered our socio-economic environment, the Government considers that the pragmatic approach at this stage is to provide wage protection through non-legislative means," he said.
In this regard, the Government will work with the business community and the labour sector to launch a Wage Protection Movement for employees in the cleansing and guarding services sector. There will be a comprehensive review two years after the implementation of the Movement.
"If the review finds that the Movement has failed to yield satisfactory results, we will set out to prepare for the introduction of legislation for a minimum wage in the cleansing and guarding services sector," said Mr Tsang.
The aim will be to ensure that wages for workers in these two sectors are no lower than the average market wages of the relevant industries and occupations.
Mr Tsang said that cherishing the family was a core value of the community and that family harmony was the foundation of social harmony.
"Our social policies will continue to be geared towards supporting and consolidating the family, and fostering the well-being of family members," he said.
Mr Tsang said the Government would seriously study whether to establish an integrated, holistic and high-level Family Commission responsible for policies and initiatives relating to family support. The Commission would bring under one roof the various commissions and committees currently responsible for handling issues regarding different age groups and genders.
He said services provided by the Integrated Family Services Centres would be reinforced, while family education and parental responsibility would continue to be a focus of efforts.
To help domestic violence victims, changes to the law will be introduced, while preventive, supportive and specialised services will be strengthened, including an enhanced 24-hour hotline, a crisis support centre for victims of domestic violence and sexual violence, and support for family members of victims.
Mr Tsang announced two new initiatives to help families with early childhood education:
* A $70 million grant in the current school year for kindergartens - up to a maximum of $135,000 per kindergarten - to improve facilities, resources, teaching aids and the provision of books, computers and equipment.
* An 'education voucher' system to be introduced from the 2007-08 school year to provide fee relief for pre-school students aged between 3 and 6.
The government will provide an initial subsidy of up to $13,000 per student, of which at least $10,000 must be used on fee remission with the rest spent on teacher training.
By 2011-12, the annual subsidy will have increased to $16,000 of which all will be used for fee remission. This initiative will cost an extra $2 billion annually by 2011-12.
Mr Tsang said the Government also supported the establishment of an Academy for Gifted Education to nurture students aged 10 to 18 who were excellent academic achievers or distinguished performers in specific areas.
The Chief Executive pledged to provide more resources and facilities in some districts, including Tin Shui Wai and Tung Chung, where past planning and co-ordination imbalances had hampered the development of a suitably favourable family environment.
New facilities such as libraries, indoor recreation centres, swimming pools, sporting facilities and leisure facilities would be provided, as well as enhanced social welfare and employment services.
Mr Tsang said Hong Kong deserved and could afford a better living environment.
"There exists a strong community consensus on the pressing need to take decisive measures to improve air quality and our environment generally," he said.
In this regard, Mr Tsang said the Government would:
* Ensure the environment is the focus of negotiations with power companies on new Schemes of Control agreements, with the permitted rate of return linked to achievement of emission caps
* Review air quality objectives in light of new World Health Organisation guidelines
* Earmark $3.2 billion over three years to incentivise owners of 74,000 older diesel vehicles to replace them with new models meeting Euro IV emission standards
* Reduce first registration tax by 30% (up to $50,000) for low-emission, high fuel-efficient vehicles
* Launch a trial scheme on waste charging at the end of the year
* Introduce a Product Eco-responsibility Bill to control waste generation at source
On political development, Mr Tsang said he would continue to lead discussions in a positive and responsible manner during the rest of his term.
He said the Commission on Strategic Development was intensively and extensively studying all issues relating to the future development of the political system with a view to summing up their findings in 2007.
"We have made, and will continue to make, strenuous efforts to draw up a blueprint for the future development of our political system, covering 2012 and beyond," said Mr Tsang.
"I firmly believe that this is the most practicable way in our quest to realise universal suffrage for the election of the Chief Executive and the Legislative Council."
Looking ahead, the Chief Executive said political development was among three major challenges facing the third SAR Government, along with sustaining economic development and building a harmonious society.
"These are the thorny issues we need to consider, to tackle and to solve in the days ahead," he said. "An optimist sees every challenge as an opportunity; a pessimist only sees trouble in every opportunity. I am an optimist and I believe most of us in Hong Kong are, too."
Ends/Wednesday, October 11, 2006
Issued at HKT 12:13
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