************************************
Following is a question by Dr Hon Priscilla Leung and a written reply by the Secretary for Home Affairs, Mr Tsang Tak-sing, in the Legislative Council today (June 18):
Question:
At a subcommittee meeting of this Council on the 28th of last month, the Chief Secretary for Administration indicated that the West Kowloon Cultural District Authority had sufficient funds to cover the construction costs of the Batch 1 and Batch 2 facilities of the West Kowloon Cultural District (WKCD) project. However, owing to factors such as rising construction costs and that the construction of some facilities of the WKCD project could not commence as scheduled because of the delay of the project to construct the Hong Kong Section of the Guangzhou-Shenzhen-Hong Kong Express Rail Link (XRL Project), the authorities had to comprehensively review the sources of funding and implementation timetable of the Batch 3 facilities (including the Great Theatre, Musical Theatre and Music Centre). In this connection, will the Government inform this Council:
(1) whether it has assessed afresh the construction costs of various facilities of the WKCD project, taking into account factors such as the rising costs of construction and the anticipated inflation rate; if it has, of the details; if not, the reasons for that;
(2) whether it has estimated the financial losses brought about by the delay of the XRL Project on the WKCD project; if it has, of the details; if not, the reasons for that; whether the authorities have reserved the right to claim losses from the MTR Corporation Limited, the party responsible for the XRL Project; if they have, of the details; if not, the reasons for that; and
(3) as there are views that the delayed completion of the Batch 3 facilities of the WKCD project will affect the development of local arts, cultural and creative industries, whether the authorities have any plan to expeditiously confirm and announce the arrangement and timetable for implementation of the Batch 3 facilities of the WKCD project?
Reply:
President,
The reply to the three parts of the question is as follows:
(1) The West Kowloon Cultural District Authority (WKCDA) is working closely with the design consultants of the Xiqu Centre, M+, the Park (including the Freespace), the Arts Pavilion and the Lyric Theatre on the updated cost estimates, taking into account factors such as construction cost escalation and anticipated inflation rate. As regards the remaining venues, more reliable cost estimates will only be available near the time of tendering after finalisation of the implementation programmes and completion of the detailed designs.
(2) The area in WKCD being used as general works area for the XRL project was allocated to the Highways Department (HyD) and is being occupied by MTRCL, as HyD's entrusted agent for the implementation of the XRL project. HyD will return this general works area in a progressive manner upon completion of the relevant XRL works. The works area supporting specifically the construction of the station box of the West Kowloon Terminus of the XRL, (including the WKCD enabling works to be erected thereon) is held by MTRCL under a short term tenancy issued by the Lands Department (LandsD) for a term up to August 31, 2015 and thereafter quarterly. Subject to site availability and WKCD's development programme, WKCDA may apply to LandsD for using the vacant area in WKCD for construction of its facilities. Under the above arrangement, there is no contractual agreement between MTRCL and WKCDA on the handover dates of the above works areas. All along, the concerned government bureaux/ departments have been in close communication with MTRCL and WKCDA on the land matters in WKCD with a view to minimising the impacts of the railway works on the programme and cost of the WKCD project.
(3) The Chief Secretary for Administration, who is also the Chairman of the WKCDA Board, reiterated at the media session on June 1 this year that WKCD would be developed into an integrated arts and cultural district as planned. According to the views collected during the public engagement exercise and the experiences from a number of overseas arts and cultural district developments, the WKCD project should be developed in an organic growth arrangement and in batches according to the actual situations. WKCDA will complete Batch 1 facilities as soon as possible for early public enjoyment of the benefits brought by WKCD in respect of the development of arts, cultural and creative industries in Hong Kong. At the same time, WKCDA will start the planning of Batch 2 facilities, gather views from the public and arts and culture sectors and review the implementation programme of Batch 3 facilities at a suitable juncture.
Ends/Wednesday, June 18, 2014
Issued at HKT 11:05
NNNN
