Annual Financial Report

1 TABLE OF CONTENTS 1. CREATION, MISSION AND PEOPLE 2 2. THE SARS CHALLENGE 10 3. HONG KONG AND ITS POLITICS 12 4. THE POLITICS OF MAINLAND CHINA AND ASIA 16 5. SEARCH FOR THE LIVEABLE CITY 22 6. THE CHALLENGE OF AIR POLLUTION 28 7. THE 2010 HARVEST 32 2 WORDS FROM DIRECTORS STEPHEN BROWN GLADYS LI, SC PETER THOMPSON “Civic Exchange was established to promote “The aphorism ‘Small is beautiful’ to my “Being a director of Civic Exchange has taught the development of Civic Society, and the mind most aptly describes Civic Exchange me a great deal about civil society and the use of research and rational debate in the in its first ten years. An organisation born way the government works in Hong Kong. formation of public policy. Looking back over out of Christine’s intense frustration with I’m proud that Civic Exchange has become the last ten years, I think Hong Kong has seen a conventional politics and choosing a different such a major force in local civil society – the real awakening in its sense of ‘ownership’, with way by presenting cogent arguments based team has brought issues of great importance people of all views and hues developing their upon solid research, Civic Exchange has into the public discourse, and my experience own voices. Hong Kong is very much the better matured into a well-respected and influential working with everyone has been inspiring. Hong for this and, if Civic Exchange has played any think-tank which punches above its weight. Kong is indeed fortunate to have someone of role in this blossoming, it will have more than With limited resources, Civic Exchange’s Christine’s talent, with the excellent team she achieved Christine’s original vision.” superb team have drawn on experts from a has gathered, to address these vital issues.” wide range of disciplines to present reports WINSTON CHU on diverse topics of utmost importance; from our political system to the air we breathe, to “Civic Exchange has achieved a lot in the our sources of water and energy and to the past despite extremely limited resources. planning of our built environment. The list and The success of Civic Exchange is due to two the work goes on. Long may it do so.” attributes externally: first, it is able to win over the trust and confidence of the community. DR. ANTHONY NG A think tank is measured by the regard of the community as well as the quality of its work. “I’ve been proud to work with Civic Exchange They have produced so much on so many and to see the way it’s grown into the expert important topics in such a short time that and respected organisation it is today. It I’m filled with disbelief even as a director. really is going from strength to strength, and I Its second attribute is that it has extremely believe it’s working in the interests of all Hong capable administrators Christine, Kylie and Yan Kong people.” Yan bring the best out of those working with Civic Exchange.” 1 “While Lisa and I founded Civic Exchange and we have watched it grow, it now has its own organizational personality that are not just extensions of the founders. Our vision was to do CREATION, good quality, evidence-based policy research and create a think tank with an open and MISSION AND collaborative attitude. I think after ten years, the essential DNA 1PEOPLE that defines Civic Exchange is there. My greatest pleasure is of course working with all the people who are part of the now quite large Civic Exchange family. Christine Loh Civic Exchange was founded in 2000 by I know now that they will take the Chief Executive Officer Christine Loh, who had just stepped down organization forward and our from the Hong Kong Legislative Council, current work shows the amazing capacity that has been built-up by and Lisa Hopkinson, a former environmental their energy and vision.” campaigner and Loh’s chief legislative aide. The two were concerned by the dearth of evidence-based public policy solutions in “Setting up and working at Hong Kong, and during their time in politics Civic Exchange was incredibly had broken new ground by conducting satisfying to me, particularly in extensive research to formulate alternative making connections between issues and bringing people policy addresses and budgets, as well as together. I was lucky to work publish policy papers in many areas. They with Christine, who is fantastic left frontline politics in order to create an at getting professionals out independent, non-profit research body built of their individual ‘silos’ and helping them collaborate to on their belief that there must be a ‘thinking move issues forward. This has side’ to politics, and that unpopular issues not only helped with particular also need to be tackled. issues, it’s shown that debate is healthy and brings new ideas.” Lisa Hopkinson Co-founder 2 With this vision Civic Exchange was born, and with the support of many people over the past decade, it has conceived and realised policy innovations in areas including air quality management, climate change, urban planning, good governance and political reform. Yan-yan Yip Hopkinson and Loh were joined by founding Chief Operating Officer directors who were close collaborators Yan-yan Yip joined Civic Exchange in 2001. She had on various policy issues during their time Kylie Uebergang, who has been Civic been a junior legislative aide to Christine Loh and in frontline politics. Lawyer Winston Chu Exchange’s Chief Financial Officer from its administrator for Citizens Party, before going to England to do a postgraduate degree at the London worked with Loh on harbour reclamation early days, came from the financial services School of Economics. Over the past nine years, Yip has from 1995; fellow lawyer Peter Thompson, sector but was motivated by environmental worked on political and social development projects, an old family friend of Loh’s, was interested issues to work with Civic Exchange. Others written and published a significant amount of Civic in good governance and constitutional had been associated with Loh in her Exchange’s work and now, as Chief Operating Officer, manages much of the day-to-day running of the development issues. Economists Stephen legislative days. Yan-yan Yip had been a junior organisation as well as the internship programme. Brown and Bill Barron had provided insights legislative aide to Loh before joining Civic on economic and land policy issues and Exchange in 2001. Today she is the Chief Yip is also now the co-trainer for Civic Exchange’s social on environmental economics respectively. Operating Officer, and in addition to ensuring risk management project in Mainland China and India, conducted in collaboration with the Plowshares In subsequent years, the board was the smooth running of the organisation, she Institute. The training programme includes mediation, expanded to include barrister Gladys Li and also manages key projects. Michele Weldon, interactive teaching and key communication skills. surgeon Anthony Ng, who brought strong the first full-time environmental programme Beginning with demonstration sessions in Nanjing backgrounds in law, public health and manager, stepped down in 2008 and moved and Shanghai in 2008, the project has progressed to involve training in both cities as well as Beijing and communications technology. While Professor to Spain, but remains a close member of most recently to training of trainers in order to seed Barron stepped down from the board the family. Initial office manager Esther Lam and further grow the programme; these new trainers in 2005, he switched to being an active worked hard to hold the small office on are organising their own training sessions around researcher on transport and other issues Wyndham Street together and was succeeded the country. Hosts have included universities and civil society groups. The programme has been very successful and remains very much a part of the Civic by Iris Chan after she retired in 2008. Since and Yip is now conducting similar training in India. Exchange family—as does Hopkinson, who leaving, Lam has returned each year to lend a lives in England today. helping hand whenever possible. See page 14 for further information on the programme. 3 Another great asset is Civic Exchange’s intern alumni, some of whom have done extensive work with the organisation. Veronica Booth started as an intern in 2003 and is now heavily involved in the organisation’s environmental work. Carine Lai was an undergraduate intern and worked as a Civic Exchange researcher for some years after graduation before furthering her studies at graduate school. Rachel Stern, an undergraduate summer intern in the early years of Civic Exchange, also worked for the organisation after graduation and is a Junior Fellow at Harvard University today. A number of past and current interns are featured on pages 24–27 of this report. Civic Exchange began its life with substantial intellectual, reputational and network capital. To make the most of this, Loh and Hopkinson decided that rather than a focus Back row: Andrew Lawson, Anna Beech on raising funds for overheads, effort was Middle row: Iris Chan, Michelle Wong, Rita Leung, Rita Li, Kylie Uebergang, Mike Kilburn Front row: Yan-yan Yip, Su Liu, Jonas Chau shifted to acquiring project funding so that they could develop policy solutions immediately. Civic Exchange’s first research project was to contribute a chapter on The core management team today includes environmental NGOs in a book financed Mike Kilburn, a conservation expert; by the Asian Development Bank. From Andrew Lawson, an expert in land and that small beginning, the think tank has agriculture; Veronica Booth (nee Galbraith), a produced and published a large number of specialist in corporate stakeholder relations; reports, papers and books, most of which Simon Ng, a transport specialist and Civic are available on the Civic Exchange website.

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