LCQ3: Promoting development of low-altitude economy
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Question:
Low-altitude economy (LAE), with its long industrial chain, extensive application scenarios and huge development potential, is a model for fostering new quality productive forces. In the 2024 Policy Address, the Chief Executive has announced the work direction for promoting the development of LAE, with a view to pressing ahead with the promotion of LAE as one of the growth engines of new quality productive forces. In this connection, will the Government inform this Council:
(1) given that the Government accepted applications for the first batch of LAE Regulatory Sandbox pilot projects at the end of last year, of the progress of processing the applications and when successful applications will commence their projects; of the details of the second batch applications;
(2) given that the aforesaid Policy Address proposes to explore with the Mainland the joint establishment of low-altitude cross-boundary air routes, immigration and customs clearance arrangements and supporting infrastructure, etc, of the details and progress of the relevant work plan; and
(3) given that the Government has previously remarked in its reply to my question that various government departments have applied small unmanned aircraft in different scenarios, and have integrated such applications with artificial intelligence (AI) technologies to perform certain tasks, so as to enhance the efficiency of urban management and public services, yet there is no mention on whether it would explore the establishment of an "AI-integrated unmanned aircraft urban management system" for use by and sharing of data and information among different government departments, whether the Government will, by drawing on the experience of the relevant Mainland departments in sharing and collaboration, promote institutional innovation to reform urban management?
Reply:
President,
In the 2024 Policy Address, the Chief Executive announced the work direction for promoting the development of low-altitude economy (LAE), which includes designating specific application sites to implement pilot projects. We will adopt a "top-level planning" approach as the core, starting from the perspective of overall infrastructure planning. Leveraging Hong Kong's unique advantages of "one country, two systems", connection with both the Mainland and the world, as well as a diverse talent pool, we will harness Hong Kong's strengths in the area of LAE to contribute to the nation's development of new quality productive forces.
In consultation with the Innovation, Technology and Industry Bureau and the Civil Aviation Department (CAD), the reply to the Hon Elizabeth Quat's question is as follows:
(1) The first batch of Regulatory Sandbox (Sandbox) pilot projects was open for application in November 2024, with the application period closing at the end of last year. The Working Group on Developing LAE (the Working Group) is reviewing the projects submitted by a total of 72 applicants. It is expected that the results will be announced in the first quarter of this year and the project work will commence thereafter. Subject to the implementation of the first batch of pilot projects, we will announce the application details of the second batch of Sandbox pilot projects in due course.
At the same time, the Government is reviewing the existing civil aviation legislation and regulatory regimes, with the target to submit the first phase of legislative amendment proposals to the Legislative Council (LegCo) within the second quarter of this year. The proposal is to expand the regulatory scope of the existing Small Unmanned Aircraft Order (Cap. 448G) to cover unmanned aircraft weighing between 25 and 150 kilogrammes. We also plan to take this opportunity to simultaneously introduce provisions in the Air Navigation (Hong Kong) Order 1995 (Cap. 448C) to empower the Director-General of Civil Aviation to permit trial flights of Advanced Air Mobility (AAM) under specified conditions, provided that aviation safety requirements are met. I hope the legislative amendment proposals will be able to expedite the implementation of the Sandbox pilot projects in the future and, in particular, meet the expectation of the market, the industry and from Members of the LegCo during our previous discussions that Hong Kong should conduct trials of projects involving heavier loading and carriage of passengers. In the long term, we are studying the introduction of a new, dedicated legislation for various AAM weighing over 150 kg. These legislative amendment work will not only align with future technological and application developments, but will also lay a foundation for low-altitude passenger-carrying flying activities in the future and position Hong Kong to play a significant role in advancing LAE regulatory certification.
(2) In addition to promoting local applications, the Government is actively exploring the feasibility of cross-boundary delivery of goods and carriage of passengers. At the same time, cross-boundary helicopter services can enhance the convenience and efficiency of travel between different cities in the Greater Bay Area (GBA), further integrating Hong Kong's diverse economy with other cities in the region and giving full play to Hong Kong's unique advantage as a hub for connecting with both the Mainland and the world. To this end, the Government is actively promoting interface with relevant Mainland authorities to discuss the joint development of low-altitude cross-boundary air routes, immigration and customs arrangements, and supporting infrastructure, etc.
In November last year, led by the Deputy Financial Secretary, representatives from the Transport and Logistics Bureau, the Security Bureau, the CAD, the Immigration Department and the Hong Kong Customs visited Shenzhen to exchange views with the relevant authorities on cross-boundary flying activities. During the visit, the responsible lead units were identified, and both sides agreed to continue communication on the development of LAE. Looking ahead, the Working Group will maintain contact with the relevant authorities, with the aim to facilitate co-operation as soon as possible to create favourable conditions for establishing the GBA low-altitude cross-boundary corridor.
(3) For LAE to take off, infrastructure is indispensable. Currently, a number of government departments are already utilising drone and artificial intelligence (AI) technologies in various application scenarios to enhance services. Relevant departments are also leveraging various types of data from the Common Spatial Data Infrastructure and Open Data Portal (such as maps, aerial photographs, three-dimensional geospatial data, traffic data, and weather data) to facilitate innovative applications of unmanned aircraft and the open up and sharing of related city data. Additionally, the Digital Policy Office has launched several central platform services to further support various policy bureaux and departments (B/Ds) in making good use of digital technology to optimise public services and city management. The Hon Elizabeth Quat, with the rapid technological advancement, the Government will consider the needs of different departments for innovation of public services and city management, as well as draw on domestic and international experiences to build a low-altitude smart network and explore various digital solutions that promote data interoperability, sharing and analytical applications.
At the same time, among the Sandbox pilot projects applications we have received, there are various urban management application projects, some of which include proposals combining technologies such as AI analysis, automatic identification systems, algorithms, and high-precision positioning. We will actively take forward the first batch of Sandbox pilot projects with an aim to drive the local technology industry towards greater professionalism and standardisation, enabling LAE to "fly steadily and far," while positioning Hong Kong as an incubation hub for LAE innovative industries.
Additionally, the Government is conducting technical research on low-altitude infrastructure, including the feasibility of low-altitude surveillance and management systems, low-altitude data sharing, and the application of Geographic Information System technology and three-dimensional geospatial data. We will continue to actively take forward these issues under the leadership of the Working Group.
To conclude, President, the Government will continue to promote the development of LAE in Hong Kong through various measures, including the implementation of Sandbox pilot projects, strengthening cross-boundary co-operation, and enhancing infrastructure and technical support. These efforts aim to establish an innovative, efficient, and secure LAE ecosystem for Hong Kong.
Thank you.
Ends/Wednesday, February 12, 2025
Issued at HKT 16:56
Issued at HKT 16:56
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