***************************
Following is the transcript of remarks of the media session by the Secretary for Transport and Housing, Professor Anthony Cheung Bing-leung, on the Hong Kong Section of the Guangzhou-Hong Kong-Shenzhen Express Rail Link after attending a radio programme this morning (July 4):
Reporter: Mr Cheung, can you confirm that MTR is asking for $2 billion of extra management fee? And also you've mentioned that you're putting a cap on the budget. Is it possible at all since it's not in the contract without going to court with the MTR?
Secretary for Transport and Housing: As far as I know, the MTR Corporation has indeed included an increased amount of project management fee in its revised cost estimates. But of course as I said previously, the Government will look critically at the revised cost estimates provided by the MTR Corporation. We will be asking critical questions as well as to the basis for the figures. At this stage we reserve our position on whatever figures the MTR Corporation has provided.
Reporter: How about the cap?
Secretary for Transport and Housing: Regarding the cap, what I was referring to is a cap on entrustment fee because the Government is fully aware of the public's great concern about whether cost overrun will continue. We think that since the project, at least up to this stage, is already 70 per cent completed, many of the uncertainties should be better known. So we think it should be necessary for the Government and the Corporation to find a way to cap the entrustment fee. Of course this is the Government's present position. We have yet to discuss in great detail with the Corporation.
(Please also refer to the Chinese portion of the transcript.)
Ends/Saturday, July 4, 2015
Issued at HKT 12:08
NNNN
