Replies to initial written questions raised by Finance Committee Members in examining the Estimates of Expenditure 2012-13 Director of Bureau : Secretary for Commerce and Economic Development Session No. 12 File name : cedb(cit)- doc



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Examination of Estimates of Expenditure 2012-13


Reply Serial No.




CONTROLLING OFFICER’S REPLY TO
INITIAL WRITTEN QUESTION


CEDB(CIT)054







Question Serial No.







1778




Head :

152 Government Secretariat:

Commerce and Economic

Development Bureau (Commerce,

Industry and Tourism Branch)



Subhead (No. & title) :







Programme :

(6) Travel and Tourism




Controlling Officer :

Permanent Secretary for Commerce and Economic Development
(Commerce, Industry and Tourism)







Director of Bureau :

Secretary for Commerce and Economic Development








Question :
According to paragraph 130 of the Budget Speech, the Government estimates that the total number of hotels will increase by nearly 50 to close to 240 in 2016, supplying over 71 000 rooms, an increase of 9 000 rooms. Please provide the following data:
(a) the average hotel room occupancy rates in Hong Kong during the low and peak seasons in the past three years;

(b) the respective percentages of visitor patronage for hotels/guesthouses of different ratings;

(c) the number of additional hotels of various star ratings (the highest being six-star) to be built between 2012 to 2016, as well as the districts they are in; and

(d) crude estimation on the growth of visitor arrivals between 2011 and 2016. What are the estimated changes in the percentage of overnight visitors?



Asked by : Hon. LEE Wai-king, Starry
Reply :
(a) The monthly average occupancy rates of hotel rooms in Hong Kong over the past three years are as follows –


%
Year


Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

2009

79

76

82

79

64

61

71

82

76

84

89

90

2010

87

79

88

86

84

82

88

88

82

89

93

93

2011

87

85

91

88

88

87

93

92

84

89

94

93

(b) We do not have the data on the number of visitors living in each category of hotels and guesthouses. The number of hotel and guesthouse rooms and their corresponding average occupancy rates are provided for reference.


The number of hotel and guesthouse rooms in Hong Kong over the past three years


Rooms
Year


High Tariff A Hotels

High Tariff B Hotels

Medium Tariff Hotels

All Hotels

Guesthouses

2009

15 116

21 638

17 342

59 627

5 759

2010

16 052

21 432

17 591

60 428

5 926

2011

17 181

24 218

16 945

62 830

6 211


The average occupancy rates for hotel and guesthouse rooms in Hong Kong over the past three years


%
Year


High Tariff A Hotels

High Tariff B Hotels

Medium Tariff Hotels

All Hotels

Guesthouses

2009

72

81

80

78

70

2010

81

88

90

87

82

2011

85

91

93

89

86

(c) There is no star classification system for hotels in Hong Kong. In 2001, the Hong Kong Tourism Board (HKTB) modified the hotel classification system. It contains five key indicators including hotel achieved room rates, staff to room ratio, location, facilities and business mix of hotels. A composite score of a hotel is compiled based on the scores obtained for these five indicators and the weights of the indicators. Based on the composite score, all hotels are classified into three categories namely high tariff A hotels, high tariff B hotels and medium tariff hotels. Since some of the aforementioned indicators are not yet available for the new hotels expected for completion between 2012 and 2016, we are not able to classify them into different categories.


Based on the HKTB’s information up to end-December 2011, the geographical distribution of new hotels between 2012 and 2016 is as follows –


Location

Estimated number of new hotel between 2012

and 2016 (estimated new hotel rooms)

Hong Kong Island

+24 (+3,639 rooms)

Kowloon

+22 (+3,623 rooms)

New Territories

+8 (+2,536 rooms)

Total

+54 (+9,798 rooms)

(d) According to the HKTB’s estimates, total visitor arrivals growth rate is expected to decline from 16.4% in 2011 to 5.5% in 2012. The proportion for overnight visitors is expected to decline slightly from 53.2% in 2011 to 52.2% in 2012, yet the number of overnight visitors is expected to increase by 3.4% in 2012. According to the earlier forecast made by the United Nations World Tourism Organisation, the annual average growth rate for Hong Kong between now and before 2020 is estimated at 7.1% per annum.


The HKTB does not have specific estimates for total visitor arrivals growth rate and the proportion of overnight visitor arrivals between 2013 and 2016. The corresponding data for the past three years is provided for reference.


Year

Overall visitor arrivals growth rate as compared to preceding year

Proportion of overnight visitor arrivals among total visitor arrivals

2009

+0.3%

57.2%

2010

+21.8%

55.7%

2011

+16.4%

53.2%

Average annual growth rate between 2009 and 2011

+12.4%

N/A



Signature










Name in block letters

Andrew HY WONG







Post Title

Permanent Secretary for Commerce and
Economic Development
(Commerce, Industry and Tourism)







Date

29.2.2012


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