LCQ21: Housing supply

     Following is a question by the Hon Kwok Wai-keung and a written reply by the Secretary for Development, Mr Michael Wong, in the Legislative Council today (April 21):
 
Question:
 
     Regarding housing supply, will the Government inform this Council:

(1) of the number of public rental housing (PRH) units completed in each of the past five years and, among them, the number of those which were subsequently converted into subsidised sale housing units, with a breakdown of the relevant numbers and percentages by the type of such units (i.e. Type A (about 14 square metres), Type B (about 21 sq m), Type C (about 31 sq m) and Type D (about 35 sq m));

(2) of the respective numbers of housing units expected to be completed in the following sites in 2025-2026 financial year and each of the subsequent four years: (i) the sites provided under the Tung Chung New Town Extension project, (ii) the agricultural land and brownfield sites in Kwu Tung North/Fanling North New Development Area, (iii) the agricultural land and brownfield sites in Hung Shui Kiu/Ha Tsuen New Development Area, (iv) the relevant site of the Fanling Golf Course, (v) the sites of three urban squatter areas located at Cha Kwo Ling, Ngau Chi Wan and Chuk Yuen United Village respectively, (vi) the sites of three factory estates of the Hong Kong Housing Authority, and (vii) the eight brownfield clusters with housing development potential (set out in Table 1);

Table 1

Sites Financial year
2025-26 2026-27 2027-28 2028-29 2029-30
(i)          
         
(vii)          

(3) among the some 20 000 housing units that may be provided by the topside development of the MTR Siu Ho Wan Depot site, of the respective (i) numbers and (ii) percentages of those which will be (a) private housing units, (b) subsidised sale housing units (excluding those under the Green Form Subsidised Home Ownership Scheme (GSH)), (c) GSH units and (d) PRH units, with a breakdown by the anticipated year of completion (set out in Table 2); and

Table 2

Type of units (i) (ii)
(a)    
   
(d)    

(4) as the Government indicated last month that it was close to completing the work on reviewing those private lands which had been zoned for high-density housing development but without concrete development plans, when the review results are expected to be announced?

Reply:
 
     The Government has been striving to boost land and housing supply through a multi-pronged strategy. My reply to various parts of the question is as follows:

(1) Based on the information provided by the Transport and Housing Bureau, at present, new public rental housing (PRH)/Green Form Subsidised Home Ownership Scheme (GSH) projects of the Hong Kong Housing Authority (HA) mainly provide four types of units, namely Type A units (for one to two persons), Type B units (for two to three persons), Type C units (for three to four persons) and Type D units (for four to five persons) to meet the needs of different household sizes. 
 
     The number and percentage of PRH units newly completed by HA from 2015-16 to 2019-20 by flat type are set out in the following table:

Table 1: Number of HA's newly-completed PRH units by flat type (2015-16 to 2019-20)

Flat Type 2015-16 2016-17 2017-18 2018-19 2019-20
Type A 2 543
(18%)
2 314
(20%)
2 205
(16%)
2 925
(17%)
1 701
(17%)
Type B 4 276
(30%)
1 771
(16%)
3 213
(24%)
3 716
(21%)
3 019
(30%)
Type C 5 718
(40%)
5 891
(52%)
4 370
(33%)
5 308
(30%)
3 244
(32%)
Type D 1 727
(12%)
1 300
(12%)
3 625
(27%)
5 697
(32%)
2 143
(21%)
Total 14 264
(100%)
11 276
(100%)
13 413
(100%)
17 658*
(100%)
10 107
(100%)

*Including 12 Type E units (for 5 persons or above)

     When HA regularised GSH in January 2018, HA also established the principle of selecting suitable PRH projects for conversion to GSH projects. From 2015-16 to 2019-20, HA has completed two GSH projects. Details are set out as follows:

Table 2: Number of units in completed GSH projects (2015-16 to 2019-20)

GSH Project Year of Completion                   Flat Type Total
Type A Type B Type C Type D
King Tai Court (Wong Tai Sin) 2016/17 125
(15%)
234
(27%)
254
(30%)
244
(28%)
857
(100%)
Lai Tsui Court
(Sham Shui Po)
2018/19 300
(12%)
600
(24%)
898
(35%)
747
(29%)
2 545 (100%)

Remarks: The above GSH units are not counted in the newly-completed PRH units in Table 1.

(2) The Government has been actively taking forward various initiatives to increase land supply. As far as the Tung Chung New Town Extension is concerned, the Tung Chung East reclamation works commenced in end 2017 and has been progressing well. The first parcel of reclaimed land was handed over to HA for housing development in March 2020, and the first batch of 10 000 housing units are expected to be completed in 2024. The whole extension project will be completed in 2030 and is expected to provide about 62 100 housing units (including 44 700 public and 17 400 private housing units).

     For the New Development Areas (NDAs), Kwu Tung North/Fanling North NDA will provide a total of about 71 800 housing units (including 48 500 public and 23 300 private housing units), and the first batch of about 800 private units are expected to be completed in 2023 (the actual number of housing units and the completion time frame are subject to the respective private developer). The whole NDA project is anticipated to be completed in phases by 2031-32. The Hung Shui Kiu/Ha Tsuen NDA will provide about 61 000 housing units (including 31 200 public and 29 800 private housing units for now), with the first batch of Dedicated Rehousing Estate providing about 700 units to be completed in 2024. The whole NDA project is anticipated to be completed in phases by 2038.
 
     Regarding the partial development of Fanling Golf Course Site, subject to study findings, it is estimated that about 9 000 public housing units can be provided in 2029.
 
     Besides, the engineering feasibility studies (EFSs) on redeveloping three urban squatter areas at Cha Kwo Ling, Ngau Chi Wan and Chuk Yuen United Village into high-density public housing are expected to be completed within 2021, followed by rezoning, site formation, etc. Subject to study findings, these three projects are expected to provide a total of 6 300 public housing units.
 
     As regards HA's factory estates, as mentioned in the Chief Executive's 2020 Policy Address, part of the six factory estates under HA can be redeveloped as public housing. It is estimated that a total of over 3 000 public housing units will be provided in 2031.
 
     For brownfield, the Planning Department completed in 2019 the first phase review on 160 hectares (ha) of brownfield sites closer to the existing infrastructures, and shortlisted and promulgated eight brownfield clusters located in Yuen Long, Tuen Mun and Tai Po for higher density public housing development in the short to medium term. The Civil Engineering and Development Department has progressively commenced EFSs for these brownfield clusters from June 2020 onwards. Subject to the outcome of the EFSs, it is roughly estimated that these eight brownfield clusters may produce over 20 000 public housing units. At this stage, we expect to complete the EFSs, rezoning, detailed design, land resumption, clearance, land decontamination and site formation works, and hand over the sites to the relevant authority for construction of public housing in about six years or less, with a view to progressively completing the production of the first batch of housing units within ten years approximately from the commencement of EFS (i.e. starting from 2030-31).
 
     For projects with completion dates scheduled for 2025-26 and beyond, they are mostly at "land production" stage and the availability of sites are subject to various factors such as rezoning, infrastructure construction and site formation works, etc. Moreover, in many cases, the sites are still subject to feasibility studies or investigation. Some of these sites also involve land resumption, clearance, or reprovisioning of affected facilities. For projects involving Government-funded works, funding approval from the Legislative Council is also required. As these projects are subject to changes, it is difficult to provide detailed information and timetable at this stage. Relevant information will be provided in a timely manner according to the rolling production programme.
 
     As for private housing, the Government will, in accordance with the existing mechanism, announce private housing supply of the next financial year in the Annual Land Sale Programme. As the relevant mechanism and Land Sale Programme involve market-sensitive information, we generally do not conduct forecasts on the Programme of other years.

(3) The Siu Ho Wan Depot Site is expected to provide about 20 000 housing units in the medium to long term, of which around 50% will be public housing (the current plan is mainly subsidised sale flats), forming a new community with public and private housing, various community facilities, and also a new railway station.
 
     The Government has drawn up the Outline Zoning Plan for the Site. The MTR Corporation Limited and government departments are pressing ahead with this development, including taking forward the detailed design of the project, layout plan preparation, and gazettal procedures for the works. In view of the scale of the development, and the need for in-situ reconfiguration of existing railway facilities for topside development while ensuring that railway operations are not affected, the development will be completed by phase. The target is to have the first batch of about 6 000 public and private housing gradually ready for intake in around 2030. The layout plan for the development is expected to be submitted to the Town Planning Board within this year to provide further details on the project.

(4) The Development Bureau (DEVB) has identified ten private land parcels for the relevant review in order to assess their suitability for public housing development. The relevant review is close to completion and DEVB will announce the review results shortly. For land parcels assessed to be suitable for public housing development, the Government will resume the private land involved by invoking the Lands Resumption Ordinance (Cap.124) in accordance with the existing mechanism.




LCQ11: Services of the accident and emergency departments of public hospitals

     Following is a question by Dr the Hon Chiang Lai-wan and a written reply by the Secretary for Food and Health, Professor Sophia Chan, in the Legislative Council today (April 21):
 
Question:
 
     It has been reported that in October last year, a male patient who had been suffering from anti-phospholipid syndrome and taking anticoagulant Warfarin for a long period attended the accident and emergency (A&E) department of a public hospital for treatment and was triaged as a patient of the "semi-urgent" category. After waiting for about two and a half hours for diagnosis and treatment at the A&E department, he was found by his family members to have stopped breathing. He was immediately given emergency treatment by healthcare personnel, but he eventually died from severe intracranial haemorrhage. In this connection, will the Government inform this Council if it knows:
 
(1) the overall average time for which patients waited for diagnoses and treatments at the A&E departments of public hospitals, and set out the relevant average waiting time by hospital and triage category, in each of the past two financial years;
 
(2) whether the Hospital Authority (HA) will step up the training for those nurses responsible for triaging patients at A&E departments, so as to assist them in making triage decisions that are more accurate; if HA will, of the details; if not, the reasons for that;
 
(3) whether HA will stipulate specifically in the guidelines for the triage system those clinical presentations requiring attention when triaging patients who are taking Warfarin, so as to avoid underestimation of their conditions; if HA will, of the details; if not, the reasons for that;
 
(4) whether HA will, through (i) deploying nurses to conduct regular reviews and (ii) connecting patients to monitoring devices, monitor if the conditions of those "urgent" and "semi-urgent" patients waiting for diagnoses and treatments have worsened; if HA will, of the details; if not, the reasons for that; and
 
(5) the current establishment of healthcare personnel at each A&E department of public hospitals; whether HA has assessed if such manpower is sufficient to ensure that all patients at A&E departments can receive timely diagnoses and treatments?
 
Reply:
 
President,
 
     My reply to the various parts of the question raised by Dr the Hon Chiang Lai-wan is as follows:
 
(1) The tables below set out the average waiting time for Accident and Emergency (A&E) services by triage category in each hospital under the Hospital Authority (HA) in 2018-19 and 2019-20.
 
2018-19

Cluster Hospital Average waiting time (minutes) for A&E services
Triage I
(Critical)
Triage II (Emergency) Triage III
(Urgent)
Triage IV
(Semi-
urgent)
Triage V
(Non-
urgent)
HKEC PYNEH 0 5 16 110 138
RH 0 7 16 81 136
SJH 0 7 13 25 34
HKWC QMH 0 9 25 90 149
KCC KWH 0 7 35 133 131
QEH 0 8 33 165 193
KEC TKOH 0 8 23 135 151
UCH 0 10 30 183 246
KWC CMC 0 7 19 61 57
NLTH 0 8 15 36 53
PMH 0 8 19 119 149
YCH 0 5 17 109 140
NTEC AHNH 0 7 26 71 72
NDH 0 8 25 123 165
PWH 0 11 45 178 163
NTWC POH 0 5 17 100 107
TMH 0 5 24 142 156
TSWH (Note) 0 4 13 70 79
HA Overall 0 8 26 111 125

 
2019-20

Cluster Hospital Average waiting time (minutes) for A&E services
Triage I
(Critical)
Triage II (Emergency) Triage III
(Urgent)
Triage IV
(Semi-
urgent)
Triage V
(Non-
urgent)
HKEC PYNEH 0 5 18 139 168
RH 0 8 21 106 165
SJH 0 8 15 26 29
HKWC QMH 0 9 24 82 137
KCC KWH 0 8 42 168 166
QEH 0 8 29 140 155
KEC TKOH 0 7 23 124 139
UCH 0 10 33 230 277
KWC CMC 0 5 20 70 71
NLTH 0 8 16 48 68
PMH 0 8 18 107 132
YCH 0 5 18 100 132
NTEC AHNH 0 8 25 73 73
NDH 0 7 25 138 185
PWH 0 11 43 156 145
NTWC POH 0 6 19 123 141
TMH 0 5 21 129 137
TSWH (Note) 0 4 12 66 72
HA Overall 0 7 25 113 125

Note:
(1) TSWH has commenced A&E services since March 2017 in phases, initially with eight-hour A&E services daily (from 8am to 4pm), then extended to 12-hour daily (from 8am to 8pm) since March 2018. The operating hours have been further extended to 24-hour since November 2018.
 
(2) and (3) To ensure that patients can be diagnosed and assessed as early as possible, the HA has established triage guidelines, under which an experienced and specially trained nurse will first assess patients' conditions and set priorities for treatment according to the severity. Patients are classified into five categories based on their clinical conditions, namely Triage I (critical), Triage II (emergency), Triage III (urgent), Triage IV (semi-urgent) and Triage V (non-urgent). The HA has set performance pledge to ensure that patients who need urgent medical attention are treated within a reasonable time. Patients triaged as critical will be treated immediately by healthcare staff without having to wait, while those with non-urgent conditions may have to wait longer.
 
     According to the HA's triage guidelines, a triage nurse will classify patients into the five categories based on objective (e.g. vital signs of patients) and subjective (e.g. major symptoms reported by patients) information as well as findings of targeted assessments (e.g. electrocardiogram, blood glucose or urine test, etc). Triage nurses at the A&E departments must be specially trained and experienced in A&E work. The A&E Nursing Development Sub-committee under the HA's Central Coordinating Committee (A&E) will also conduct triage audit at A&E departments of all public hospitals on a regular basis to ensure the quality of triage services.
 
(4) Healthcare staff of A&E departments will put patients under appropriate monitoring and care in different designated areas of the A&E departments according to their triage categories, clinical conditions as well as the stage of medical examination and treatment. In general, the healthcare staff would also arrange patients to rest on stretchers subject to their conditions. They will regularly attend to patients waiting in the A&E departments and provide appropriate care based on patients' needs. Family members are encouraged to accompany the patients where possible, and maintain communication with the healthcare staff while waiting in the A&E departments to ensure that appropriate assistance could be given to the patients.
 
(5) A&E departments under the HA will deploy manpower having regard to their operational needs, while the deployment arrangements may vary between hospitals depending on various factors such as the sizes, service needs and provision of individual A&E departments. The HA is committed to improving the overall quality of A&E services by implementing various measures, including increasing manpower of doctors, nurses, allied health professionals and supporting staff in A&E departments, as well as further augmenting A&E manpower through the provision of special honorarium and leave encashment. The HA has also launched the A&E Support Session Programme to recruit additional healthcare staff to assist in handling urgent, semi-urgent and non-urgent cases, with a view to relieving the pressure and workload of the A&E healthcare staff, thus allowing them to focus on the more urgent cases.
 
     The numbers of A&E doctors and nurses in each hospital under the HA in 2020-21 (as at February 2021) are set out below:
 
Doctors

Hospital Number of A&E doctors
on a full-time equivalent basis in 2020-21
(as at February 2021)
PYNEH 38
RH 19
SJH 6
QMH 32
KWH 30
QEH 48
TKOH 27
UCH 47
CMC 29
NLTH 31
PMH 35
YCH 33
AHNH 23
NDH 21
PWH 33
POH 24
TMH 43
TSWH 26
HA Overall 545

Note:
(1) The manpower figures are calculated on a full-time equivalent basis including permanent, contract and temporary staff in the HA. Individual figures may not add up to the total due to rounding.
(2) Doctors exclude Interns and Dental Officers.
(3) The A&E department of TSWH has commenced services in phases since March 2017.
 
Nurses

Hospital Number of A&E nurses
on a full-time equivalent basis in 2020-21
(as at February 2021)
PYNEH 102
RH 43
QMH 54
KWH 56
QEH 131
TKOH 65
UCH 103
CMC 68
NLTH 85
PMH 64
YCH 55
AHNH 59
NDH 76
PWH 101
POH 74
TMH 106
TSWH 73
HA Overall 1 315#

Note:
(1) The manpower figures are calculated on a full-time equivalent basis including permanent, contract and temporary staff in the HA. Individual figures may not add up to the total due to rounding.
(2) The A&E department of TSWH has commenced services in phases since March 2017.
(3) Nursing manpower in SJH is calculated on hospital basis.
# Including a Nurse Consultant employed by the HKEC Office.
 
Abbreviations:
 
Cluster
HKEC – Hong Kong East Cluster
HKWC – Hong Kong West Cluster
KCC – Kowloon Central Cluster
KEC – Kowloon East Cluster
KWC – Kowloon West Cluster
NTEC – New Territories East Cluster
NTWC – New Territories West Cluster
 
Hospital
AHNH – Alice Ho Miu Ling Nethersole Hospital
CMC – Caritas Medical Centre
KWH – Kwong Wah Hospital
NDH – North District Hospital
NLTH – North Lantau Hospital
PMH – Princess Margaret Hospital
POH – Pok Oi Hospital
PWH – Prince of Wales Hospital
PYNEH – Pamela Youde Nethersole Eastern Hospital
QEH – Queen Elizabeth Hospital
QMH – Queen Mary Hospital
RH – Ruttonjee Hospital
SJH – St. John Hospital
TKOH – Tseung Kwan O Hospital
TMH – Tuen Mun Hospital
TSWH – Tin Shui Wai Hospital
UCH – United Christian Hospital
YCH – Yan Chai Hospital




Music fountains at Kwun Tong Promenade to open tomorrow (with photos)

     The Home Affairs Department (HAD) announced today (April 21) that the music fountains at Kwun Tong Promenade (near the entrance of How Ming Street) will be opened tomorrow (April 22). The music fountains belong to a project recommended by the fourth term of the Kwun Tong District Council under the Signature Project Scheme. The facility, built with the concerted efforts of the HAD, the Architectural Services Department and the Leisure and Cultural Services Department, will further promote the Kwun Tong Promenade as a leisure hot spot and will enrich public enjoyment.

     With an area of about 3 740 square metres, the site comprises music fountains, interactive wet play areas and an amenity lawn (location map). The computer programmed music fountains feature not only a background display with water jets in different patterns, but also the presentation of musical masterpieces during daily performance sessions, including one of the music pieces performed by the Hong Kong Philharmonic Orchestra. The night shows further synchronise the music with kaleidoscopic beams. 

     There are three interactive wet play zones equipped with sensory devices, through which visitors can interact with water jets of various effects, providing a fresh experience for the visitors.  

     The service hours of the music fountains and interactive wet play areas are from 8.30am to 10.30pm daily. Three music fountains performance sessions are available from Monday to Friday, starting at 1.30pm, 7.30pm and 8.30pm. Apart from the aforesaid three performance sessions, additional sessions will be available at 10.30am and 9.30pm (five sessions in total) on Saturdays, Sundays and public holidays (sessions may be adjusted subject to relevant circumstances without prior notice). 

     In view of the latest situation of COVID-19, the Government reminds the public to maintain personal and environmental hygiene, and maintain social distancing when enjoying the wet play area and the music fountain shows.

Photo  Photo  Photo  Photo  



LCQ1: Impacts of investment losses incurred by investment funds

     Following is a question by the Hon Christopher Cheung and a written reply by the Acting Secretary for Financial Services and the Treasury, Mr Joseph Chan, in the Legislative Council today (April 21):
 
Question:
 
     It has been reported that Archegos Capital Management (ACM), a family office fund based in the United States, failed to meet the margin calls after plunges in the prices of a number of United States-listed stocks in which it had invested in a highly leveraged way. As a result, ACM was forced to close out the securities contracts (commonly known as "forced liquidation") and dump the stocks concerned of value amounting to almost US$30 billion. Besides, a number of international investment banks which provided brokerage services for ACM suffered significant losses. In this connection, will the Government inform this Council:
 
(1) whether it has assessed the impacts of ACM's forced liquidation on the capital market of Hong Kong, and how the incident affects the development of family offices' wealth management business in Hong Kong;
 
(2) given that the incident has revealed the enormous risk involved in investment banks' provision of highly leveraged loans for hedge funds, of the Government's measures in place to prevent local investment banks from providing such funds with excessive amounts of loans;
 
(3) of the mechanism in place to guard the financial system of Hong Kong against the impacts arising from the investment losses suffered by sizable international financial institutions; and
 
(4) whether it will take measures to raise investors' vigilance about the possible risk of failure of sizable funds in times of high market volatility; if so, of the details; if not, the reasons for that?
 
Reply:
 
President,
 
     My response to the various parts of the question, in consultation with the Securities and Futures Commission (SFC), is as follows:
 
(1) The SFC has noted that Archegos Capital Management (ACM), a family office in the US and prime brokerage client of many global banks, defaulted on margin calls. The SFC has been closely monitoring the situation and made enquiries with prime brokers in Hong Kong, with a view to procuring an orderly wind-down of ACM's positions to avoid any adverse impact on the Hong Kong securities market.
 
     Meanwhile, the unwinding of ACM's positions globally has prompted regulators to raise scrutiny on family office funds and prime brokers' risk management. In Hong Kong, all players in the market carrying on financial businesses which are subject to the regulation of Hong Kong laws, regardless of the form of business, have to comply with the law and regulations and come under financial regulators' supervision. For the above-mentioned activities, the SFC is enhancing its monitoring of prime brokers' exposures to highly leveraged funds to mitigate the risks posed to the market and to the brokers in the event of defaults.
 
     At the macro-policy level, the Government and financial regulators will strive to perfect our risk management system and propel the orderly development of our financial market under a proper legal framework. Noting that family office business is gathering speed in recent years and forms an important growth component of the wealth and asset management sector, the Government will continue its efforts to attract more family offices to set up and operate in Hong Kong. Additional resources have been provided by the Financial Services and the Treasury Bureau to InvestHK for setting up a dedicated team to step up promotional efforts in local and other major markets, and provide one-stop-shop service to family offices interested in setting up presence in Hong Kong. The dedicated team is expected to commence operation in the second quarter of 2021.
 
(2) Some prime brokers would lend securities or cash to investment funds for trading, the risk management of which is subject to the SFC's regulation. The SFC issued a circular in June 2019 to intermediaries, setting out the standards of conduct and internal controls the SFC expects of prime brokers. In particular, prime brokers are expected to: (a) maintain effective policies and procedures for proper risk management and ensure adequate information is provided to allow the management to take appropriate and timely action to contain or manage risks; and (b) establish appropriate risk limits for on-going monitoring and periodical assessment of their appropriateness. The SFC has been monitoring regularly prime brokers' compliance with the circular requirements.
 
(3) and (4) Economic security forms an important part of the national security system; and financial security serves as the cornerstone of our economic security. The Government strives to safeguard the financial security of Hong Kong through putting in place a stringent and effective regulatory regime (which includes alert and emergency response mechanisms) with a view to controlling cross-sectoral market risks. For this purpose, the Government has raised with financial regulators the need to closely monitor the market situation and to employ measures to control the systemic risks of the market when appropriate. Financial regulators ascertain through stress tests from time to time that the regulated bodies can withstand market risks amidst market volatilities.
 
     Moreover, the Government and financial regulators have set up various platforms to deliberate on the latest developments of financial markets and regulations, as well as to monitor regularly the operation of Hong Kong's financial system with a view to upholding our financial stability. These platforms include the Council of Financial Regulators chaired by the Financial Secretary and Financial Stability Committee chaired by the Secretary for Financial Services and the Treasury.
 
     Concerning the securities market, Hong Kong has developed a comprehensive monitoring framework and a set of indicators to identify potential systemic risks or other specific risks in the stock and derivatives markets (including over-the-counter derivatives transaction), such as reporting requirements of building up of large positions, restricting covered short selling to designated securities and requiring the reporting of such.
 
     We will continue to closely monitor the dynamics of global and local financial markets and adopt effective and timely measures as appropriate with a view to ensuring financial stability.
 
     In respect of investor education, the Investor and Financial Education Council has been organising various educational and promotional activities to enhance investors' understanding of the financial market and products and assist them in acquiring the knowledge and know-how required of financial investments. Meanwhile, the SFC will continue to monitor the situation in relation to hedge funds and their prime brokers, and will alert investors of the relevant risks if deemed necessary.




LCQ7: Small House Policy

     Following is a question by the Hon Kenneth Lau and a written reply by the Secretary for Development, Mr Michael Wong, in the Legislative Council today (April 21):

Question:

     According to the Small House Policy (the Policy), a New Territories male indigenous villager over 18 years old is entitled to one concessionary grant during his lifetime to build one small house. However, following a judgment handed down by the Court of First Instance of the High Court on April 8, 2019 on a judicial review case of the Policy, the Government suspended the receipt and processing of applications for building small houses on government land by way of Private Treaty Grant (PTG) and Land Exchange. In a judgment handed down on January 13, 2021 on the appeals against the ruling of the said case, the Court of Appeal ruled that the arrangements of Free Building Licence, PTG and Land Exchange under the Policy are lawful traditional rights and interests of the indigenous villagers of the New Territories within the meaning of Article 40 of the Basic Law, and are lawful and constitutional. The Government subsequently resumed on February 22, 2021 the receipt and processing of the aforesaid applications. In this connection, will the Government inform this Council:

(1) of the respective numbers of applications for building small houses which were (i) received, (ii) approved, (iii) rejected and (iv) being processed by the Government in each of the past ten years, and set out in the table below a breakdown by the aforesaid three ways of small house grant; 
 

Year Free Building Licence PTG Land Exchange
(i) (ii) (iii) (iv) (i) (ii) (iii) (iv) (i) (ii) (iii) (iv)
                         

 
(2) of a breakdown of the number of rejected applications mentioned in (1) by reason; if such figures are unavailable, whether it will compile such statistics; 

(3) of the respective numbers of applications for building small houses awaiting to be processed which were submitted to the Government (i) within the period from April 8, 2019 to February 21, 2021 and (ii) on or after February 22, 2021, with a breakdown by the aforesaid three ways of small house grant; and 

(4) of the measures in place to expedite the vetting and approval of applications for building small houses?

Reply:
 
President,

(1) The statistics of various small house applications in the past 10 years is set out in the table below:
 

Year Free Building Licence
(Note 1-4)
Private Treary Grant (PTG)(Note 1-4) Land Exchange
(Note 1-4)
(i) (ii) (iii) (iv) (i) (ii) (iii) (iv) (i) (ii) (iii) (iv)
2011 1736 935 667 4330 629 89 368 2482 9 17 7 83
2012 2074 935 681 4834 553 159 496 2230 63 27 13 111
2013 2012 836 664 4828 520 147 290 2240 34 28 26 108
2014 2031 980 818 6228 457 109 358 2256 34 25 17 85
2015 1944 848 817 6528 583 125 432 2180 20 16 14 92
2016 878 728 707 6911 396 104 362 2148 23 26 11 86
2017 785 720 782 6301 309 74 268 2171 35 24 11 76
2018 973 724 751 5981 372 86 326 2173 5 20 3 69
2019 (Note 5) 1637 547 674 6396 517 13 133 0 21 5 8 23
2020 (Note 5) 814 277 553 7091 0 0 11 0 0 1 3 22

Note 1: (i) the number of small house applications received, (ii) the number of small house applications approved, (iii) the number of small house applications rejected, and (iv) the number of small house applications being processed as at December 31 in that year.

Note 2: As the processing of applications received in a year may not be completed in the same year, the applications approved, rejected and being processed in a year may not correspond with the applications received during the same year.

Note 3: The figures in item (iii) include the number of small house applications withdrawn by the applicants.

Note 4: The figures in item (iv) exclude the number of applications received but pending processing. 

Note 5: In light of the judgment handed down by the Court of First Instance (CFI) on April 8, 2019 on the judicial review of the Small House Policy, the Lands Department (LandsD) suspended the receipt and processing of applications for government land to build small houses by way of PTG and Land Exchange between April 8, 2019 and February 21, 2021. 

(2) In general, the main reasons for rejecting small house applications include the applicant not being the sole legal registered owner of the lot under application, the lot involving land title/boundary problems or the land registration process pending completion, or the application failing to fulfil the technical requirements under the regulatory regimes of other government departments, etc. The LandsD at present does not compile statistics on the reasons for rejecting small house applications, but will actively consider compiling such statistics on applications rejected in future.

(3) The breakdown of the number of small house applications received by the LandsD within the two periods specified below are listed as follows:
 

  Free Building Licence PTG Land Exchange
From April 1, 2019 to February 21, 2021 1670 0 (Note 6) 1 (Note 6)
From February 22, 2021 to March 31, 2021 70 30 0

Note 6: In light of the judgment handed down by the CFI on the judicial review of the Small House Policy, the LandsD suspended the receipt and processing of applications for government land to build small houses by way of PTG and Land Exchange between April 8, 2019 and February 21, 2021. Therefore, the small house applications received in the period does not include these two types of applications.

(4) The time taken by the LandsD to process each small house application will vary depending on the complexity of issues involved in each application, such as whether there are local objection, land title or boundary problems, or whether there are requirements to be fulfilled in advance under other regulatory regimes. The LandsD, through the standing communication channel with the Heung Yee Kuk, will continue to keep in view its work in processing small house applications and streamline the process where necessary with a view to shortening the time required.