LegCo Panel on Planning, Lands and Works and LegCo Panel on Housing

Study of Existing Problems and Suggestion to Review Approval Process and Control Mechanisms in Real Estate Developments in Hong Kong

The following is the Administration's response to the Study Report of the Hong Kong Institute of Real Estate Administration. We have already sent our reply to the Institute separately.

2. The recommendation to establish time frames for major activities is very much in line with the existing policy and practice of the Government. Various departments have already set target completion times for many of the activities listed in the Report. The Town Planning White Bill, the Environment Impact Assessment Ordinance and the recent Practice Note issued by the Director of Lands on land exchanges and lease modifications indicate the Government's effort in this regard. Please refer to the Annex for the target completion times for some of the major activities.

3. We agree that it is important to be consistent in approval standards. Many departments have already issued guidelines and codes of practice covering different areas. We welcome any further suggestions for specific areas where guidelines are considered necessary.

4. It is inevitable that in some cases each department looks into the same subject matter from different perspectives. With the increased use of computerisation, communication among departments is improving. Nevertheless, we will continue to identify areas where there is inconsistency and sort out the differences. It would help if the IREA could provide us with actual examples of inconsistency for our action.

5. Lands Department, in considering applications, have to rely on information supplied by the applicants. The District Lands Officer (DLO) cannot co-ordinate comprehensive comments from concerned departments unless sufficient information is provided. Moreover, it is now the practice of the DLOs to advise rejected applicants of the reason for rejection.

6. As for the environmental issue, various Environmental Impact Assessment (EIA) guidelines have already been clearly communicated to concerned parties including architects, planners, engineers and developers. These guidelines provide a framework for the objective processing of environmental issues. Pursuant to the enactment of the EIA Ordinance, which will affect only a very limited number of residential developments, a technical memorandum will be issued to set out guidelines and criteria for the making of decisions by the Environmental Protection Department and for the project proponents to follow.

7. On planning issue, the established procedures for the processing of Master Layout Plans (MLPs) for development in areas zoned "Comprehensive Development Area" is that, should departments need more time to assess a proposal, the Town Planning Board (the Board) will defer their consideration with reasons provided to the applicants. The Board will only reject applications with good reasons and will only prescribe conditions that are necessary, reasonable and relevant. There are ample safeguards under the Town Planning Ordinance, such as the provision of channels for review and appeal against rejection and approval conditions imposed by the Board which the applicant considers unreasonable. Moreover, the role of the Planning Department in the processing of MLPs under leases might have been misunderstood. The Lands Department is the authority to deal with lease matters although, in the process, it will seek advice from other relevant departments including the Planning Department. The comments on the Town Planning White Bill are being carefully considered together with other submissions and will be taken into account before the proposed new planning legislation is finalised.

8. The Government is conscious of the need to speed up processing to keep pace with the real estate development. The Lands Department has set up a Land Supply and Redevelopment section to fast track projects which will produce 500 or more flats. The Lands Administration Office aims to complete 89 lease modifications and land exchanges in 1996/97, which will produce 25,000 flats. This is a significant improvement as compared with 34 cases in 1995/96. Moreover, the Buildings Department is consulting the Authorised Persons and Registered Structural Engineers' Committee with a view to further improving the Centralised Processing System for building plans. The department has also been streamlining different procedures. A prominent example is the reduction of the processing time of demolition works from 6-9 months to 3 months.

PELB
February 1997


Annex

Activities

Processing Time proposed by HKIREA

(months)

Existing/ Proposed Target Processing Time (months)

% of Target Achieved

Lands Issue

Modification Cases including basic terms (Straightforward case)

6

6.8

97%

Land Exchange Cases including basic terms (Straightforward case)

6+3

9.8

97%

Approval of Master Layout Plan

3

2.8

73%

Approval of Building Plan under Lease Conditions in particular Design, Disposition and Height clause

3

3.5

96%

Issue of the Certificate of Compliance

3

3

98%

Environmental Issue

Application for EIA study brief

-

1.5

NA1

Review of EIA Report

-

2

NA1

Application for Environmental Permit

-

1

NA1

Application for Variation of Permit

-

1

NA1

Planning Issue

Application for Planning Permission considered by TPB

-

3

NA1

Application for Review of TPB's decision on planning application heard by TPB

-

3

NA1

Appeal to Town Planning Appeal Board against TPB's decision on planning application

-

3

NA1

Rezoning Application

-

3

75%


Last Updated on 20 August 1998