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OFFICIAL RECORD of PROCEEDINGS Wednesday, 26 LEGISLATIVE COUNCIL ─ 26 November 2014 2495 OFFICIAL RECORD OF PROCEEDINGS Wednesday, 26 November 2014 The Council met at Eleven o'clock MEMBERS PRESENT: THE PRESIDENT THE HONOURABLE JASPER TSANG YOK-SING, G.B.S., J.P. THE HONOURABLE ALBERT HO CHUN-YAN THE HONOURABLE LEE CHEUK-YAN THE HONOURABLE JAMES TO KUN-SUN THE HONOURABLE CHAN KAM-LAM, S.B.S., J.P. THE HONOURABLE LEUNG YIU-CHUNG DR THE HONOURABLE LAU WONG-FAT, G.B.M., G.B.S., J.P. THE HONOURABLE EMILY LAU WAI-HING, J.P. THE HONOURABLE TAM YIU-CHUNG, G.B.S., J.P. THE HONOURABLE ABRAHAM SHEK LAI-HIM, G.B.S., J.P. THE HONOURABLE TOMMY CHEUNG YU-YAN, S.B.S., J.P. THE HONOURABLE FREDERICK FUNG KIN-KEE, S.B.S., J.P. THE HONOURABLE VINCENT FANG KANG, S.B.S., J.P. 2496 LEGISLATIVE COUNCIL ─ 26 November 2014 THE HONOURABLE WONG KWOK-HING, B.B.S., M.H. PROF THE HONOURABLE JOSEPH LEE KOK-LONG, S.B.S., J.P., Ph.D., R.N. THE HONOURABLE JEFFREY LAM KIN-FUNG, G.B.S., J.P. THE HONOURABLE ANDREW LEUNG KWAN-YUEN, G.B.S., J.P. THE HONOURABLE WONG TING-KWONG, S.B.S., J.P. THE HONOURABLE RONNY TONG KA-WAH, S.C. THE HONOURABLE CYD HO SAU-LAN, J.P. THE HONOURABLE STARRY LEE WAI-KING, J.P. DR THE HONOURABLE LAM TAI-FAI, S.B.S., J.P. THE HONOURABLE CHAN HAK-KAN, J.P. THE HONOURABLE CHAN KIN-POR, B.B.S., J.P. THE HONOURABLE WONG KWOK-KIN, S.B.S. THE HONOURABLE IP KWOK-HIM, G.B.S., J.P. THE HONOURABLE MRS REGINA IP LAU SUK-YEE, G.B.S., J.P. THE HONOURABLE ALAN LEONG KAH-KIT, S.C. THE HONOURABLE ALBERT CHAN WAI-YIP THE HONOURABLE CLAUDIA MO THE HONOURABLE MICHAEL TIEN PUK-SUN, B.B.S., J.P. THE HONOURABLE JAMES TIEN PEI-CHUN, G.B.S., J.P. LEGISLATIVE COUNCIL ─ 26 November 2014 2497 THE HONOURABLE NG LEUNG-SING, S.B.S., J.P. THE HONOURABLE STEVEN HO CHUN-YIN THE HONOURABLE FRANKIE YICK CHI-MING THE HONOURABLE WU CHI-WAI, M.H. THE HONOURABLE YIU SI-WING THE HONOURABLE GARY FAN KWOK-WAI THE HONOURABLE MA FUNG-KWOK, S.B.S., J.P. THE HONOURABLE CHARLES PETER MOK, J.P. THE HONOURABLE CHAN CHI-CHUEN THE HONOURABLE CHAN HAN-PAN, J.P. DR THE HONOURABLE KENNETH CHAN KA-LOK THE HONOURABLE CHAN YUEN-HAN, S.B.S., J.P. THE HONOURABLE LEUNG CHE-CHEUNG, B.B.S., M.H., J.P. THE HONOURABLE KENNETH LEUNG THE HONOURABLE ALICE MAK MEI-KUEN, J.P. DR THE HONOURABLE KWOK KA-KI THE HONOURABLE KWOK WAI-KEUNG THE HONOURABLE DENNIS KWOK THE HONOURABLE CHRISTOPHER CHEUNG WAH-FUNG, S.B.S., J.P. DR THE HONOURABLE FERNANDO CHEUNG CHIU-HUNG 2498 LEGISLATIVE COUNCIL ─ 26 November 2014 THE HONOURABLE SIN CHUNG-KAI, S.B.S., J.P. DR THE HONOURABLE HELENA WONG PIK-WAN THE HONOURABLE IP KIN-YUEN DR THE HONOURABLE ELIZABETH QUAT, J.P. THE HONOURABLE MARTIN LIAO CHEUNG-KONG, S.B.S., J.P. THE HONOURABLE POON SIU-PING, B.B.S., M.H. THE HONOURABLE TANG KA-PIU, J.P. DR THE HONOURABLE CHIANG LAI-WAN, J.P. IR DR THE HONOURABLE LO WAI-KWOK, B.B.S., M.H., J.P. THE HONOURABLE CHUNG KWOK-PAN THE HONOURABLE CHRISTOPHER CHUNG SHU-KUN, B.B.S., M.H., J.P. THE HONOURABLE TONY TSE WAI-CHUEN, B.B.S. MEMBERS ABSENT: DR THE HONOURABLE PRISCILLA LEUNG MEI-FUN, S.B.S., J.P. DR THE HONOURABLE LEUNG KA-LAU THE HONOURABLE CHEUNG KWOK-CHE THE HONOURABLE PAUL TSE WAI-CHUN, J.P. THE HONOURABLE LEUNG KWOK-HUNG THE HONOURABLE WONG YUK-MAN LEGISLATIVE COUNCIL ─ 26 November 2014 2499 PUBLIC OFFICERS ATTENDING: THE HONOURABLE RIMSKY YUEN KWOK-KEUNG, S.C., J.P. THE SECRETARY FOR JUSTICE THE HONOURABLE TSANG TAK-SING, G.B.S., J.P. SECRETARY FOR HOME AFFAIRS THE HONOURABLE MATTHEW CHEUNG KIN-CHUNG, G.B.S., J.P. SECRETARY FOR LABOUR AND WELFARE MR GODFREY LEUNG KING-KWOK, J.P. SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT THE HONOURABLE RAYMOND TAM CHI-YUEN, G.B.S., J.P. SECRETARY FOR CONSTITUTIONAL AND MAINLAND AFFAIRS THE HONOURABLE LAI TUNG-KWOK, S.B.S., I.D.S.M., J.P. SECRETARY FOR SECURITY THE HONOURABLE WONG KAM-SING, J.P. SECRETARY FOR THE ENVIRONMENT MR LAU KONG-WAH, J.P. UNDER SECRETARY FOR CONSTITUTIONAL AND MAINLAND AFFAIRS CLERKS IN ATTENDANCE: MR KENNETH CHEN WEI-ON, S.B.S., SECRETARY GENERAL MRS JUSTINA LAM CHENG BO-LING, DEPUTY SECRETARY GENERAL MISS FLORA TAI YIN-PING, ASSISTANT SECRETARY GENERAL MISS ODELIA LEUNG HING-YEE, ASSISTANT SECRETARY GENERAL 2500 LEGISLATIVE COUNCIL ─ 26 November 2014 PRESIDENT (in Cantonese): 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) TABLING OF PAPERS The following papers were laid on the table under Rule 21(2) of the Rules of Procedure: Subsidiary Legislation/Instrument L.N. No. Public Health and Municipal Services Ordinance (Public Pleasure Grounds) (Amendment of Fourth Schedule) (No. 2) Order 2014 ................................................. 140/2014 Other Papers No. 32 ─ Immigration Service Welfare Fund Report on the administration of the Fund prepared by the Director of Immigration Incorporated in accordance with section 12(b) of the Immigration Service (Welfare Fund) Regulation No. 33 ─ Estate Agents Authority Annual Report 2013/14 No. 34 ─ The Commissioner on Interception of Communications and Surveillance Annual Report 2013 to the Chief Executive (together with a statement under section 49(4) of the Interception of Communications and Surveillance Ordinance) No. 35 ─ The Legislative Council Commission Annual Report 2013-2014 LEGISLATIVE COUNCIL ─ 26 November 2014 2501 No. 36 ─ Hong Kong Housing Authority Annual Report 2013/14 No. 37 ─ Hong Kong Housing Authority Financial Statements for the year ended 31 March 2014 Report No. 4/14-15 of the House Committee on Consideration of Subsidiary Legislation and Other Instruments Report of the Bills Committee on Contracts (Rights of Third Parties) Bill Report of the Bills Committee on Statute Law (Miscellaneous Provisions) Bill 2014 ORAL ANSWERS TO QUESTIONS PRESIDENT (in Cantonese): Questions. First question. Financial Position and Operation of Kai Tak Cruise Terminal 1. MR RONNY TONG (in Cantonese): President, the Kai Tak Cruise Terminal (the Terminal), built at a cost of over $8.2 billion by the Government with the aim of developing it into the Asia cruise hub, was commissioned in June last year. The Government has awarded a 10-year tenancy for operating and managing the Terminal to an operator which is required to pay the Government a fixed rent of about $13 million in total, plus a variable rent based on a progressive percentage of the operator's gross receipt. Up to the end of this year, there will be 37 ship calls at the Terminal only, and only 55 ship calls are expected for next year. On the other hand, it has been reported that there were respectively more than 100 ship calls at the cruise terminals in Singapore and Shanghai in the second year after their commissioning in 2012, and quite a number of cruise vessels have chosen to homeport at these two terminals. In this respect, the performance of Hong Kong is poor vis-à-vis the performances of these two places. In this connection, will the Government inform this Council whether it knows: 2502 LEGISLATIVE COUNCIL ─ 26 November 2014 (1) the financial position of the Terminal since its commissioning, including the fixed rent and variable rent paid by the operator to the Government, as well as the various recurrent and non-recurrent expenses; the estimated income and expenditure of the Terminal in the coming 10 years; (2) the berthing fees that the operator currently charges cruise vessels, as well as the annual rental income it derives from leasing the commercial facilities of the Terminal; the amount of annual variable rent that the Government currently receives from the operator, and its percentage in the operator's annual gross receipts; and (3) whether, other than the cruise company, which is one of the shareholders of the operator, that will homeport one of its cruise vessels at the Terminal for a period of four months next year, there are cruise companies planning to choose the Terminal as the homeport for their vessels; whether the authorities had set any targets in respect of the number of cruise vessels to homeport at the Terminal, its annual total number of ship calls and its annual total receipts when they planned to build the Terminal; if they had not, of the reasons; if they had, the details of that? SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT (in Cantonese): President, cruise tourism has been fast developing in the Asia-Pacific region in recent years as rapid increase in the middle-class population in the region spurred an increasing demand for cruise tourism products. As an international metropolis with strategic location and well-developed infrastructure, Hong Kong is well-equipped to become one of the leading international cruise centres in Asia. Building mega cruise vessels has become an international trend. The Ocean Terminal cannot accommodate such large cruise vessels due to site constraints. In the past, Hong Kong lacked cruise terminals of considerable size, and if cruise companies were to include Hong Kong in the itineraries of their large cruise vessels, such vessels had to berth either at a container terminal or operate at mid-stream. Such arrangement was inconvenient for cruise LEGISLATIVE COUNCIL ─ 26 November 2014 2503 passengers and might reduce cruise companies' interest in deploying large cruise vessels to Hong Kong.
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