The 2010-11 Budget
I voted for the 2010-11 Budget. Following is an extract of my remarks made at the 14 April 2010 LegCo meeting:

I welcome the government's continued commitment in investing heavily in infrastructure. The government must make sure that local infrastructure projects are given the same priority as the cross-boundary projects. Volumes of works should be evenly distributed so as to ensure a steady flow of work for the local construction industry. The government needs to dish out more medium and small-sized projects which will allow the involvement of local companies of all sizes. The government should encourage more involvement of the private sector in public works projects through public-private partnerships (PPP) and private finance initiatives (PFI). I support the government's initiatives in strengthening the manpower resources in the construction industry. The government must also allow adequate involvement of stakeholders as well as members of the public in the public works projects from the early stages to ensure their smooth implementation.

I welcome the government's recent initiatives in promoting innovation and technology including the "R&D Cash Rebate Scheme", which will be launched in April this year. The government's plan to implement the Hong Kong Science Park Phase 3 is also a correct decision. We need to attract the right talents in related areas to work in Hong Kong.

Cleaning up our environment would bring Hong Kong in line with national policy in developing a green economy. I support the government's proposal on setting up a HK$300 million Pilot Green Transport Fund. Poor water quality of Victoria Harbour is always a major public concern. As HATS Stage 2A is under way, the government should proceed with the implementation of HATS Stage 2B without further delay. It is encouraging to see that the recently signed Framework Agreement on Hong Kong-Guangdong Co-operation has covered amongst other areas to implement a regional ecology and environment protection regime to create a high quality living area.

The Hong Kong Council for Testing and Certification has submitted its report to the Chief Executive with detailed recommendations. I hope that it will not take too long for the government to act on it if the study leads to a positive conclusion.

According to the 2010 medium range forecast provided by the Financial Secretary, Mr John Tsang, fiscal reserves as number of months of government expenditure range from 18 to 15 for 2010-11 and 2014-15 respectively, with a declining trend in between. I do not see why we need such a large buffer in our fiscal reserve and I wonder if Mr Tsang is too conservative in this respect. The government should make good use of them in increasing the spending in education and social welfare for the benefit of those in need.

Launch of Landslip Preventive and Mitigation Programme
I have been asking the government for years to strengthen its slope upgrading works. In April this year, the Geotechnical Engineering Office of the Civil Engineering and Development Department launched a Landslip Preventive and Mitigation Programme to dovetail with the Landslip Preventive Measures Programme in order to deal with landslide risks associated with the remaining man-made slopes and natural hillside catchments after 2010.

The Subcommittee to Study Issues Arising from Lehman Brothers-related Minibonds and Structured Financial Products
The Subcommittee, of which I am the Chairman, commenced to summon senior management staff of six banks. In April, representatives of DBS Bank (Hong Kong) including its Chief Executive Officer, Ms Amy Y T Yip, attended four open hearings to give evidence and would be followed by Mr Benjamin P C Hung, Executive Director & Chief Executive Officers of Standard Chartered Bank (Hong Kong). He attended the first hearing on 7 May 2010. Representatives of Citibank (Hong Kong) will be the next to be summoned. It is expected that they will finish giving evidence by this summer and representatives of other banks will testify before the Subcommittee sometime after September.

Oral question on excavation permits issued by Highways Department
It has been reported recently that a telecommunications service company, after obtaining Excavation Permits from the Highways Department (HyD) only but without the approval from the Lands Department, had erected suddenly more than 500 iron poles on certain pedestrian walkways for installation of fixed telecommunications network services equipment. Some of these poles are on the point of falling down. In this connection, I raised an oral question at the 5 May 2010 LegCo meeting. In her reply, the Secretary for Transport and Housing, Ms Eva Cheng, indicated that there was an improper use of the simplified application mechanism. The HyD is now considering to tighten the application requirements under the simplified application mechanism for excavation permits in order to prevent improper use. In addition, it has explicitly requested the concerned fixed telecommunication network service provider to remove all the iron poles that it has installed.

As the fixed telecommunication network service provider has not complied with and disputed the HyD's request to remove the iron poles, the Lands Department and the HyD are now seeking legal advice.