LEGISLATIVE COUNCIL ― 5 December 2018 3715 OFFICIAL RECORD OF PROCEEDINGS Wednesday, 5 December 2018 The Council met at half-past Eleven o'clock MEMBERS PRESENT: THE PRESIDENT THE HONOURABLE ANDREW LEUNG KWAN-YUEN, G.B.S., J.P. THE HONOURABLE LEUNG YIU-CHUNG THE HONOURABLE ABRAHAM SHEK LAI-HIM, G.B.S., J.P. THE HONOURABLE TOMMY CHEUNG YU-YAN, G.B.S., J.P. PROF THE HONOURABLE JOSEPH LEE KOK-LONG, S.B.S., J.P. THE HONOURABLE JEFFREY LAM KIN-FUNG, G.B.S., J.P. THE HONOURABLE WONG TING-KWONG, G.B.S., J.P. THE HONOURABLE STARRY LEE WAI-KING, S.B.S., J.P. THE HONOURABLE CHAN HAK-KAN, B.B.S., J.P. THE HONOURABLE CHAN KIN-POR, G.B.S., J.P. DR THE HONOURABLE PRISCILLA LEUNG MEI-FUN, S.B.S., J.P. THE HONOURABLE WONG KWOK-KIN, S.B.S., J.P. THE HONOURABLE MRS REGINA IP LAU SUK-YEE, G.B.S., J.P. 3716 LEGISLATIVE COUNCIL ― 5 December 2018 THE HONOURABLE PAUL TSE WAI-CHUN, J.P. THE HONOURABLE CLAUDIA MO THE HONOURABLE MICHAEL TIEN PUK-SUN, B.B.S., J.P. THE HONOURABLE STEVEN HO CHUN-YIN, B.B.S. THE HONOURABLE FRANKIE YICK CHI-MING, S.B.S., J.P. THE HONOURABLE WU CHI-WAI, M.H. THE HONOURABLE YIU SI-WING, B.B.S. 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, B.B.S., J.P. THE HONOURABLE LEUNG CHE-CHEUNG, S.B.S., M.H., J.P. THE HONOURABLE KENNETH LEUNG THE HONOURABLE ALICE MAK MEI-KUEN, B.B.S., J.P. DR THE HONOURABLE KWOK KA-KI THE HONOURABLE KWOK WAI-KEUNG, J.P. THE HONOURABLE DENNIS KWOK WING-HANG THE HONOURABLE CHRISTOPHER CHEUNG WAH-FUNG, S.B.S., J.P. DR THE HONOURABLE FERNANDO CHEUNG CHIU-HUNG LEGISLATIVE COUNCIL ― 5 December 2018 3717 DR THE HONOURABLE HELENA WONG PIK-WAN THE HONOURABLE IP KIN-YUEN DR THE HONOURABLE ELIZABETH QUAT, B.B.S., J.P. THE HONOURABLE MARTIN LIAO CHEUNG-KONG, S.B.S., J.P. THE HONOURABLE POON SIU-PING, B.B.S., M.H. DR THE HONOURABLE CHIANG LAI-WAN, S.B.S., J.P. IR DR THE HONOURABLE LO WAI-KWOK, S.B.S., M.H., J.P. THE HONOURABLE CHUNG KWOK-PAN THE HONOURABLE ALVIN YEUNG THE HONOURABLE ANDREW WAN SIU-KIN THE HONOURABLE CHU HOI-DICK THE HONOURABLE JIMMY NG WING-KA, J.P. DR THE HONOURABLE JUNIUS HO KWAN-YIU, J.P. THE HONOURABLE HO KAI-MING THE HONOURABLE LAM CHEUK-TING THE HONOURABLE SHIU KA-FAI THE HONOURABLE SHIU KA-CHUN THE HONOURABLE WILSON OR CHONG-SHING, M.H. THE HONOURABLE YUNG HOI-YAN 3718 LEGISLATIVE COUNCIL ― 5 December 2018 DR THE HONOURABLE PIERRE CHAN THE HONOURABLE CHAN CHUN-YING, J.P. THE HONOURABLE TANYA CHAN THE HONOURABLE CHEUNG KWOK-KWAN, J.P. THE HONOURABLE HUI CHI-FUNG THE HONOURABLE LUK CHUNG-HUNG, J.P. THE HONOURABLE LAU KWOK-FAN, M.H. THE HONOURABLE KENNETH LAU IP-KEUNG, B.B.S., M.H., J.P. DR THE HONOURABLE CHENG CHUNG-TAI THE HONOURABLE KWONG CHUN-YU THE HONOURABLE JEREMY TAM MAN-HO THE HONOURABLE GARY FAN KWOK-WAI THE HONOURABLE AU NOK-HIN THE HONOURABLE VINCENT CHENG WING-SHUN, M.H. THE HONOURABLE TONY TSE WAI-CHUEN, B.B.S. THE HONOURABLE CHAN HOI-YAN MEMBERS ABSENT: THE HONOURABLE JAMES TO KUN-SUN THE HONOURABLE HOLDEN CHOW HO-DING LEGISLATIVE COUNCIL ― 5 December 2018 3719 PUBLIC OFFICERS ATTENDING: THE HONOURABLE MATTHEW CHEUNG KIN-CHUNG, G.B.M., G.B.S., J.P. CHIEF SECRETARY FOR ADMINISTRATION THE HONOURABLE MS TERESA CHENG YEUK-WAH, G.B.S., S.C., J.P. SECRETARY FOR JUSTICE DR DAVID CHUNG WAI-KEUNG, J.P. UNDER SECRETARY FOR INNOVATION AND TECHNOLOGY, AND SECRETARY FOR INNOVATION AND TECHNOLOGY THE HONOURABLE JOHN LEE KA-CHIU, S.B.S., P.D.S.M., J.P. SECRETARY FOR SECURITY THE HONOURABLE FRANK CHAN FAN, J.P. SECRETARY FOR TRANSPORT AND HOUSING THE HONOURABLE EDWARD YAU TANG-WAH, G.B.S., J.P. SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT THE HONOURABLE MICHAEL WONG WAI-LUN, J.P. SECRETARY FOR DEVELOPMENT THE HONOURABLE KEVIN YEUNG YUN-HUNG, J.P. SECRETARY FOR EDUCATION MR SONNY AU CHI-KWONG, P.D.S.M., J.P. UNDER SECRETARY FOR SECURITY MR CASPAR TSUI YING-WAI, J.P. UNDER SECRETARY FOR LABOUR AND WELFARE DR RAYMOND SO WAI-MAN, B.B.S., J.P. UNDER SECRETARY FOR TRANSPORT AND HOUSING 3720 LEGISLATIVE COUNCIL ― 5 December 2018 CLERKS IN ATTENDANCE: MR KENNETH CHEN WEI-ON, S.B.S., SECRETARY GENERAL MISS ODELIA LEUNG HING-YEE, DEPUTY SECRETARY GENERAL MS ANITA SIT, ASSISTANT SECRETARY GENERAL MS DORA WAI, ASSISTANT SECRETARY GENERAL LEGISLATIVE COUNCIL ― 5 December 2018 3721 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/Instruments L.N. No. Road Tunnels (Government) (Amendment) (No. 2) Regulation 2018 ...................................................... 237/2018 Tsing Ma Control Area (Tolls, Fees and Charges) (Amendment) Regulation 2018 .............................. 238/2018 Tsing Sha Control Area (Tolls, Fees and Charges) (Amendment) Regulation 2018 .............................. 239/2018 Fugitive Offenders (France) Order ..................................... 240/2018 Other Papers No. 45 ― Independent Police Complaints Council Report 2017/18 (including Financial statements and Independent auditor's report) No. 46 ― Report of changes made to the approved Estimates of Expenditure during the second quarter of 2018-19 Public Finance Ordinance : Section 8 Report No. 6/18-19 of the House Committee on Consideration of Subsidiary Legislation and Other Instruments 3722 LEGISLATIVE COUNCIL ― 5 December 2018 ORAL ANSWERS TO QUESTIONS PRESIDENT (in Cantonese): Questions. First question. Impacts on Hong Kong of a report recently published by the United States-China Economic and Security Review Commission 1. MR WU CHI-WAI (in Cantonese): The United States-China Economic and Security Review Commission, created by the United States ("US") Congress, has alleged in a report published last month that the Central Authorities have been running counter to the promise of implementing "one country, two systems" and "a high degree of autonomy" in the Hong Kong Special Administrative Region ("SAR"). The Commission has therefore recommended that the Congress direct the Department of Commerce and other relevant government agencies to prepare a report to examine and assess the adequacy of the US export control policy for dual-use technology as it relates to the treatment of Hong Kong and China as two customs areas. Moreover, it has been reported that the Mainland authorities are building a nationwide video surveillance network called "Skynet", and some countries in Europe and America have recently ceased issuing licences for exporting components critical for the network to Hong Kong for re-export to the Mainland. In this connection, will the Government inform this Council: (1) whether it has gained an understanding if the coverage of the aforesaid dual-use technology includes the items listed in the two lists as set out in Schedule 1 to the Import and Export (Strategic Commodities) Regulations, components related to Skynet, as well as the software and data necessary for the development of a smart city; (2) whether it has assessed, in the event that the US authorities tighten the control on export to Hong Kong, cease to treat Hong Kong as a separate customs area or repeal the Hong Kong Policy Act, the impacts of these three changes of different levels on Hong Kong in those aspects such as its development of innovation and technology as well as into a smart city, and the immigration treatments for Hong Kong residents when entering the US for visits or studies; of the Government's measures to mitigate such impacts; and LEGISLATIVE COUNCIL ― 5 December 2018 3723 (3) whether it will request the Central People's Government to once again instruct the offices set up in Hong Kong by the Central Authorities to strictly comply with the stipulation that they may not interfere in the affairs which SAR administers on its own as provided under Article 22 of the Basic Law, with a view to making the US authorities believe that the Central Authorities have all along honoured its promise of implementing "one country, two systems" and "a high degree of autonomy" in SAR, and thus continue to treat Hong Kong as a separate customs area, such that Hong Kong can leverage its distinctive edge in the Guangdong-Hong Kong-Macao Bay Area which has a condition of "one country, two systems and three customs areas"? SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT (in Cantonese): President, I thank Mr WU Chi-wai for his main question. Since the return to the Motherland, the Hong Kong Special Administrative Region ("HKSAR") has been exercising "Hong Kong people administering Hong Kong" and "a high degree of autonomy" in strict accordance with the Basic Law. The "one country, two systems" principle has been fully and successfully implemented. Article 116 of the Basic Law provides that HKSAR is a separate customs territory. Pursuant to Article 151 of the Basic Law, Hong Kong may, using the name "Hong Kong, China", participate in international organizations, such as the World Trade Organization ("WTO") and the Asia-Pacific Economic Cooperation, as a separate member and maintain economic and trade relationships with the other 163 members of WTO. Hong Kong's unique status and advantages under "one country, two systems", a right conferred on SAR by the Motherland through the Basic Law, have all along been widely recognized and respected by the international community, allowing Hong Kong to establish mutually beneficial collaboration relationship with economies around the world at bilateral and multilateral international trade and economic levels.