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)030







Question Serial No.







1164




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 :
The Administration looks forward to the smooth operation of Ngong Ping 360. Will the Administration inform this Committee:
(a) of the patronage of Ngong Ping 360 and the amount of fare revenue, the number of visitors to Ngong Ping Village and the amount of rent revenue for the past year;

(b) of the details of the estimated operational expenditure of Ngong Ping 360 and of its operation, and the estimated operational expenditure of Ngong Ping Village and details of the operation for 2012-13;



(c) regarding the several service interruptions of Ngong Ping 360 in 2011 rendering visitors unable to make their trips to Ngong Ping Village, whether the Administration has assessed the number of visitors affected and the reduction in revenue, if it has, of the details and whether the Administration has taken appropriate measures to assist the shop tenants affected, if it has, of the details and the amount involved.
Asked by : Hon. IP Wai-ming
Reply :
(a)-(b) In 2011, Ngong Ping 360 (including the cable car system and the Ngong Ping village) recorded a total number of 1.69 million guests and total revenue of around $270 million, which included both cable car fares and rental income from Ngong Ping Village.
The Ngong Ping 360 Limited is a subsidiary of the MTR Corporation Limited (MTRCL). In accordance with the Tung Chung Cable Car Ordinance, the MTRCL has been granted a franchise to operate, manage and maintain the cable car system, and to determine and collect fares during the franchise period. The operating expenditure of the cable car system and the Ngong Ping Village is the commercial decision of the Board of Ngong Ping 360 Limited. The Government does not subvent the operation of Ngong Ping 360, and does not have any information in this regard.
(c) Ngong Ping Village tenants are important and close business partners of Ngong Ping 360. The Ngong Ping 360 Limited understands that the tenants’ operation has been affected by the suspension of the cable car service. The company has held discussions with tenants on the payment of special allowances, which are meant to subsidise the tenants’ operating cost during the suspension period and enable them to continue their operations. Besides, the Ngong Ping 360 Limited has contacted New Lantao Bus Co. (1973) Ltd. to increase the frequency of bus service between Tung Chung and Ngong Ping to facilitate guests wishing to visit Ngong Ping Village, Po Lin Monastery, Big Buddha and the other attractions.
The Ngong Ping 360 Limited has also arranged promotion for the Village during this period. Guests who spend $60 or more can redeem, free of charge, a MTR single journey ticket from Tung Chung to MTR lines. In addition, the Ngong Ping 360 Limited will offer guests on group tours arranged by tour operators and tour guides free admission to the Village’s two multimedia attractions, namely “Walking with Buddha” and “Monkey’s Tale Theatre”.


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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