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LEGISLATIVE COUNCIL ─ 17 January 2007 3657 OFFICIAL RECORD OF PROCEEDINGS Wednesday, 17 January 2007 The Council met at Eleven o'clock MEMBERS PRESENT: THE PRESIDENT THE HONOURABLE MRS RITA FAN HSU LAI-TAI, G.B.S., J.P. THE HONOURABLE JAMES TIEN PEI-CHUN, G.B.S., J.P. THE HONOURABLE ALBERT HO CHUN-YAN IR DR THE HONOURABLE RAYMOND HO CHUNG-TAI, S.B.S., S.B.ST.J., J.P. THE HONOURABLE LEE CHEUK-YAN THE HONOURABLE MARTIN LEE CHU-MING, S.C., J.P. DR THE HONOURABLE DAVID LI KWOK-PO, G.B.S., J.P. THE HONOURABLE FRED LI WAH-MING, J.P. DR THE HONOURABLE LUI MING-WAH, S.B.S., J.P. THE HONOURABLE MARGARET NG THE HONOURABLE MRS SELINA CHOW LIANG SHUK-YEE, G.B.S., J.P. THE HONOURABLE CHEUNG MAN-KWONG THE HONOURABLE CHAN YUEN-HAN, J.P. THE HONOURABLE BERNARD CHAN, G.B.S., J.P. 3658 LEGISLATIVE COUNCIL ─ 17 January 2007 THE HONOURABLE CHAN KAM-LAM, S.B.S., J.P. THE HONOURABLE MRS SOPHIE LEUNG LAU YAU-FUN, S.B.S., J.P. THE HONOURABLE LEUNG YIU-CHUNG THE HONOURABLE SIN CHUNG-KAI, J.P. THE HONOURABLE WONG YUNG-KAN, J.P. THE HONOURABLE JASPER TSANG YOK-SING, G.B.S., J.P. THE HONOURABLE HOWARD YOUNG, S.B.S., J.P. DR THE HONOURABLE YEUNG SUM THE HONOURABLE LAU CHIN-SHEK, J.P. THE HONOURABLE LAU KONG-WAH, J.P. THE HONOURABLE LAU WONG-FAT, G.B.M., G.B.S., J.P. THE HONOURABLE MIRIAM LAU KIN-YEE, G.B.S., J.P. THE HONOURABLE EMILY LAU WAI-HING, J.P. THE HONOURABLE CHOY SO-YUK, J.P. THE HONOURABLE ANDREW CHENG KAR-FOO THE HONOURABLE TAM YIU-CHUNG, G.B.S., J.P. THE HONOURABLE ABRAHAM SHEK LAI-HIM, J.P. THE HONOURABLE LI FUNG-YING, B.B.S., J.P. THE HONOURABLE TOMMY CHEUNG YU-YAN, J.P. THE HONOURABLE ALBERT CHAN WAI-YIP LEGISLATIVE COUNCIL ─ 17 January 2007 3659 THE HONOURABLE FREDERICK FUNG KIN-KEE, S.B.S., J.P. THE HONOURABLE AUDREY EU YUET-MEE, S.C., J.P. THE HONOURABLE VINCENT FANG KANG, J.P. THE HONOURABLE WONG KWOK-HING, M.H. THE HONOURABLE LEE WING-TAT THE HONOURABLE LI KWOK-YING, M.H., J.P. DR THE HONOURABLE JOSEPH LEE KOK-LONG, J.P. THE HONOURABLE DANIEL LAM WAI-KEUNG, S.B.S., J.P. THE HONOURABLE JEFFREY LAM KIN-FUNG, S.B.S., J.P. THE HONOURABLE MA LIK, G.B.S., J.P. THE HONOURABLE ANDREW LEUNG KWAN-YUEN, S.B.S., J.P. THE HONOURABLE ALAN LEONG KAH-KIT, S.C. THE HONOURABLE LEUNG KWOK-HUNG DR THE HONOURABLE KWOK KA-KI DR THE HONOURABLE FERNANDO CHEUNG CHIU-HUNG THE HONOURABLE CHEUNG HOK-MING, S.B.S., J.P. THE HONOURABLE WONG TING-KWONG, B.B.S. THE HONOURABLE RONNY TONG KA-WAH, S.C. THE HONOURABLE CHIM PUI-CHUNG PROF THE HONOURABLE PATRICK LAU SAU-SHING, S.B.S., J.P. 3660 LEGISLATIVE COUNCIL ─ 17 January 2007 THE HONOURABLE ALBERT JINGHAN CHENG THE HONOURABLE KWONG CHI-KIN THE HONOURABLE TAM HEUNG-MAN MEMBERS ABSENT: THE HONOURABLE JAMES TO KUN-SUN DR THE HONOURABLE PHILIP WONG YU-HONG, G.B.S. THE HONOURABLE TIMOTHY FOK TSUN-TING, G.B.S., J.P. PUBLIC OFFICERS ATTENDING: THE HONOURABLE MICHAEL SUEN MING-YEUNG, G.B.S., J.P. SECRETARY FOR HOUSING, PLANNING AND LANDS THE HONOURABLE JOSEPH WONG WING-PING, G.B.S., J.P. SECRETARY FOR COMMERCE, INDUSTRY AND TECHNOLOGY DR THE HONOURABLE PATRICK HO CHI-PING, J.P. SECRETARY FOR HOME AFFAIRS THE HONOURABLE STEPHEN IP SHU-KWAN, G.B.S., J.P. SECRETARY FOR ECONOMIC DEVELOPMENT AND LABOUR DR THE HONOURABLE SARAH LIAO SAU-TUNG, J.P. SECRETARY FOR THE ENVIRONMENT, TRANSPORT AND WORKS THE HONOURABLE STEPHEN LAM SUI-LUNG, J.P. SECRETARY FOR CONSTITUTIONAL AFFAIRS DR THE HONOURABLE YORK CHOW YAT-NGOK, S.B.S., J.P. SECRETARY FOR HEALTH, WELFARE AND FOOD LEGISLATIVE COUNCIL ─ 17 January 2007 3661 CLERKS IN ATTENDANCE: MR RICKY FUNG CHOI-CHEUNG, J.P., SECRETARY GENERAL MRS VIVIAN KAM NG LAI-MAN, ASSISTANT SECRETARY GENERAL MRS JUSTINA LAM CHENG BO-LING, ASSISTANT SECRETARY GENERAL 3662 LEGISLATIVE COUNCIL ─ 17 January 2007 PRESIDENT (in Cantonese): A quorum is lacking. Will the Clerk please ring the bell to summon Members to the Chamber. (After the summoning bell had been rung, a number of Members entered the Chamber) PRESIDENT (in Cantonese): A quorum is present. The meeting shall now start. TABLING OF PAPERS The following papers were laid on the table pursuant to Rule 21(2) of the Rules of Procedure: Subsidiary Legislation/Instruments L.N. No. Designation of Museums (Amendment) Order 2007...... 5/2007 Public Health and Municipal Services Ordinance (Civic Centres) (Amendment of Thirteenth Schedule) Order 2007............................................... 6/2007 Other Papers No. 57 ─ Equal Opportunities Commission Annual Report 2005-2006 No. 58 ─ Hong Kong Arts Development Council Annual Report 2005-2006 No. 59 ─ Legal Aid Services Council Annual Report 2005-2006 ORAL ANSWERS TO QUESTIONS PRESIDENT (in Cantonese): Questions. First question. LEGISLATIVE COUNCIL ─ 17 January 2007 3663 Establishment of Communications Authority 1. MR HOWARD YOUNG (in Cantonese): Madam President, the Government consulted the public in March last year on the proposal to establish a unified regulator, namely, the Communications Authority (CA), to replace the Telecommunications Authority (TA) and the Broadcasting Authority (BA). In this connection, will the Government inform this Council of: (a) the results of the analysis on the views collected in the public consultation exercise; (b) the anticipated impact of the establishment of the new regulator on the industries and the public; and (c) the latest details of the plan and the legislative timetable for establishing the CA? SECRETARY FOR COMMERCE, INDUSTRY AND TECHNOLOGY (in Cantonese): Madam President, in Hong Kong, we need a unified regulator overseeing both the telecommunications and broadcasting sectors to make effective and timely responses in the light of media and technology convergence to enable the sustained development of the broadcasting, telecommunications and the Internet services industries. In mid-2006, we completed public consultation on the proposed setup of the CA by merging the BA and the TA. The new CA will continue to promote innovation and competition in the communications market. It will be tasked, among other things, to consolidate the existing legislation governing the telecommunications and broadcasting sectors to ensure that our regulatory approach is on a par with international practice. The primary objective is to avoid unnecessary intervention in the industries and to bring benefits to the consumers and the public. Regarding parts (a), (b) and (c) of the question, my reply is as follows: (a) During the public consultation between 3 March and 16 June 2006, we received a total of 30 submissions on the proposed establishment of the CA, including those from major broadcasting and 3664 LEGISLATIVE COUNCIL ─ 17 January 2007 telecommunications operators as well as representative bodies of the industries. The submissions have been uploaded to the website of the Communications and Technology Branch of the Commerce, Industry and Technology Bureau. In general, the proposals of merging the BA and the TA into a unified regulator for the electronic communications sector and adopting a committee structure for the new CA were well received by the public and the industries. The public and the industries also strongly supported that the Government should conduct a comprehensive review of the relevant ordinances and regulations governing the broadcasting and telecommunications sectors, with a view to meeting the challenges brought about by technological convergence. We received diverse views on the timetable of the review though. Some maintained that the Government should conduct a comprehensive review of the broadcasting and telecommunications legislation now and propose relevant legislative amendments at the same time when we were to introduce new laws to merge the two existing regulatory authorities. On the other hand, some considered that it would take time to conduct such a comprehensive review of the broadcasting and telecommunications legislation and that amending the legislation concerned would require further consultation with the industries and the public. They were of the view that the Government should not delay the establishment of a unified regulatory body and hinder the development of the industries. Having examined these views, we consider that the proposed staged approach, that is, to first legislate and amalgamate the BA and the TA, and then the newly formed CA and the Administration to review the relevant legislation, best suits the needs of the public and the industries. Such an approach will expedite the establishment of the CA to enforce the relevant legislation on telecommunications and broadcasting immediately. By reviewing and rationalizing the Broadcasting Ordinance and Telecommunications Ordinance together with the Administration, the CA will have ownership and better understanding of the regulatory regime that eventually emerges. LEGISLATIVE COUNCIL ─ 17 January 2007 3665 (b) The CA will be equipped with a broad cross-sectoral perspective and competence to formulate timely and effective response to the converging environment. It will be a one-stop-shop for tackling all electronic communications issues. As a unified regulator, the CA can ensure consistency in regulatory approach and practice in a converging environment, help the industries achieve business synergy, promote their further development, and facilitate the introduction of new technology and services. Consumers stand to gain in these developments. (c) The legislative exercise of setting up the CA mainly involves the statutory establishment, organizational framework and working procedures of the CA in order to take over and perform all the functions of the two existing regulatory authorities, the BA and the TA.