Exco thumbs-up for $25.6b Kwu Tung and Tuen Mun South MTR projects

The Executive Council yesterday approved HK$25.6 billion funding for the Kwu Tung Station and Tuen Mun South Extension projects.

The projects are expected to complete by 2027 and 2030, with an estimated cost of HK$9.8 billion and HK$15.8 billion.

A government spokesman said last night the Chief Executive in Council approved the financial arrangements for the two rail projects, and the Transport and Logistics Bureau has signed project agreements with the MTR Corp.

"The Kwu Tung Station and the Tuen Mun South Extension projects are implemented under the ownership approach, with MTRC responsible for the financing, design, construction, operation and maintenance of the projects," he said.

The government, supported by an independent consultant, had checked and verified the project financial estimates provided by the MTRC, the spokesman added.

The estimated cost of the Kwu Tung Station will take up about HK$9.8 billion, in which the capital cost will be about HK$5.9 billion, and HK$3.9 billion will go to the detailed planning, design and some advance works for the Northern Link Main Line.

The remaining HK$15.8 billion will be used for the Tuen Mun South Extension project.

"The government will provide funding support to the MTRCL in order to implement the two projects," the spokesman said.

The Executive Council also approved granting the MTRC the property development rights of three sites in Kwu Tung North, which all adjoin the Kwu Tung Station, the spokesman said.

The land, with an area of about 4.7 hectares, will be used for high and medium residential development.

As the first phase of the Northern Link, Kwu Tung Station will be an intermediate station between Sheung Shui Station and Lok Ma Chau Station that connects to the Northern Link Main Line.

"The Kwu Tung Station will serve the transport needs of the Kwu Tung North New Development Area, and significantly reduce the travelling time between the new development area and Sheung Shui, and support the continued growth in population and employment opportunities of that area," the spokesman said.

The Northern Link project aims to connect the current Tuen Ma Line and Lok Ma Chau Spur Line of the East Rail Line as the main transportation backbone of the Northern Metropolis.

The project will construct a 10.7-kilometer-long railway to link Kwu Tung Station with the existing Kam Sheung Road Station of West Rail Line.