Northern Metropolis Highway investigation costs slashed

The government will submit to the Legislative Council for funding of the 23-km Northern Metropolis Highway surveying and investigation with cost and timing taken into great consideration, said Secretary for Transport and Logistics Mable Chan.
Sources indicate a remarkable cost reduction from HK$1.13 billion to HK$700 million, accompanied by a year's acceleration in project timeline.

During a press luncheon, Chan disclosed that this project, envisioned as a pivotal new east-west passageway, will be given top priority. Plans are in place for the tender process and construction to be scheduled for 2027 and 2028, respectively.

Given fiscal constraints, she outlined several cost-saving strategies, including the avoidance of tunneling, for instance, the New Territories North New Town Section could see a reduction from 2 kilometers to 0.5 kilometers. Innovative cost-cutting measures involve leveraging drones and geographic modeling for streamlined data collection and surveying processes.

Chan hinted at the possibility of future contractors sharing cost savings with the government.

In a parallel development, among the upcoming 10 railway initiatives, four are designated as smart and eco-friendly mass transit systems, open to development by entities beyond the MTR Corporation. Chan mentioned ongoing assessments of pertinent legal frameworks from mainland China and overseas to establish a universal standard legal structure for these projects.

The Smart and Green Mass Transit System in Kai Tak project is set to be tendered in the third quarter.

The MTR Corporation, of which the government holds a near 75 percent stake, has adopted a rail-plus-property model, with property development rights granted to sustain railway operations.

Chan said that the administration will internally evaluate the necessity of leveraging property projects to fund railway ventures in tendered projects.

Underlining the MTRC's pivotal role in shaping Hong Kong's future, Chan articulated three expectations for the company: stringent cost control on project advancements, diversification of revenue streams beyond fares, and exploration of varied financing avenues.

Beyond catering to local consumers, she stressed the importance of MTRC devising innovative strategies to attract visitors in its malls and spots.

The MTRC previously outlined plans for an inventive approach, such as pledging its malls while retaining operational control, issuing 30-year bonds, or employing a mix of funding mechanisms to address over HK$100 billion in financial requirements for project expansions, notably in the Northern Metropolis area.

Regarding the regulation of ride-hailing platforms, four service providers and representatives from the taxi industry are slated to meet with the Working Group for Enhancing Personalised Point-to-Point Transport Services under the Transport Advisory Committee in February. Chan emphasized the government's commitment to facilitating passengers in accessing comprehensive information about service providers and ensuring safeguards in case of accidents.

In regard to the cancellation of Greater Bay Airlines’ flights, she described the company as still a “newborn” baby. The government hopes it can learn from this incident, emphasizing that the local aviation industry has been putting in a lot of effort. The Hong Kong airport received 53.1 million passengers and 360,000 flights in 2024, which is over a 30 percent increase compared to 2023.