Proposed new framework for new Mass Transit Systems to limit initial franchise terms to within 50 years 

The government plans to lay out a new regulatory framework for the new Mass Transit Systems, including allowing the initial franchise term not exceeding 50 years.

The New Mass Transit Systems are currently under construction in Kai Tak, East Kowloon, and Hung Shui Kiu/Ha Tsuen. The government submitted documents to the Legislative Council outlining the proposed regulatory framework, which consists of main legislation, subsidiary legislation, franchise clauses, and agreement clauses. 

The framework specifies the rights, responsibilities, and penalties of the franchise companies, and includes provisions on system safety and corporate governance. 

The Executive Council can approve or extend the relevant franchises.

In addition, the fares of the Systems can be adjusted annually, taking into account the consumer price index, wage index, and productivity factors, with a capping mechanism.

The initial fare range is guided by transport within the area.