Lower tenders save $34 million
THE Regional Council has saved $34 million in five capital works projects due to a drop in the tender price index in recent months.
The tender prices for five projects, mainly the construction of district open space in five locations, were $199 million instead of the original estimates of $233 million, a saving of 15 per cent on the original estimates.
Chairman of the Capital Works Select Committee, Mr Tso Shiu-wai, said at yesterday's monthly meeting that the council's two works agencies - the Architectural Services Department and the Territory Development Department - had been able to secure contractprices lower than expected.
The select committee would therefore consider carrying out some of its capital works projects ahead of schedule in view of a drop in the tender prices for recent construction contracts.
Mr Tso said that in the past months, the Regional Services Department tried to speed up a number of projects so that tenders could be awarded as soon as possible.
The department had asked the two works agencies to help identify projects which could be speeded up in the near future.
Mr Tso added that the tender price index might rise again, depending on inflationary rates, so the department would review the situation from time to time.