Artificial islands project 'may be stretched into phases'

Stacy Shi

Reclamation work for the Kau Yi Chau Artificial Islands project will start during the current government's term, but may be stretched into phases, says Secretary for Development Bernadette Linn Hon-ho.

Linn said the government will not put aside the project and can reclaim 1,000 hectares of land in five to 10 years.

And the government could "boldly go" when setting the public-private housing ratio, she told a local broadcaster.

Linn said the reclamation timeline may be extended or conducted in phases and that a timeframe of five or 10 years will impact cash flow differently.

Regarding project cost, Linn said, there is "no latest estimate, nor will the government dare estimate again."

She cited the public concern about reclamation expenses in the past when the government released an approximate bill of around HK$580 billion without detailed engineering studies, so any subsequent changes in the estimates would be scrutinized.

Detailed engineering studies will continue next year, she added.

As for the development of Northern Metropolis, Linn said around 30 hectares of land have been designated for the establishment of the North Metropolitan University Town.

Upon completion of the Northern Link project, Ngau Tam Mei will only be one station away from Science Park. The universities in Ngau Tam Mei will focus on innovation and industry-academia research to enhance synergies.

Linn said authorities can be more aggressive in determining the ratio of private housing in the area to align with the universities' development when planning its residential development.

The development proposal for Ngau Tam Mei will be released after the policy address in October at the earliest. Construction work is expected to start in a few years.

Given that the government has recorded a fiscal deficit of more than HK$100 billion, Linn said a new compensation arrangement for land resumption in the metropolis may be needed to control costs.

Citing the Sam Po Shue Wetland Conservation Park development project as an example, she said authorities are exploring the possibility of allowing private landowners within the park area to "take their land as money" when returning the land to the government for conservation purposes.

This is to offset land exchange premiums, meaning the government will not be required to "pay real dollars" for land resumption.

stacy.shi@singtaonewscorp.com