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$120m for public Internet scheme

Government technologists have earmarked $120 million to set up an Internet system for public service payments and private transactions.

The Electronic Service Delivery scheme is part of Tung Chee-hwa's priority to promote electronic commerce and will be ready in about a year.

'We have obtained $120 million for the first phase of the scheme,' said Alan Siu Yu-bun, Principal Assistant Secretary for Information Technology and Broadcasting. 'The operator will have to make its own investment to link up with the government part of the system.' Six private bidders have been accepted to compete in a tender to operate the system.

Mr Siu declined to reveal the identities of the bidders or how much they would be expected to invest.

The scheme will initially allow 30 to 40 types of transactions, such as paying taxes, registering voters, applying for a driver's licence and paying government bills.

Private companies will be able to join later.

Details about the scheme were announced yesterday with a week-long publicity programme to promote Internet use.

Mr Siu insisted the scheme would not compete with Internet services such as the joint ventures between Cable & Wireless HKT (formerly Hongkong Telecom) and Microsoft, and the Pacific Century Group and Intel.

The two joint ventures aim to deliver Internet contents and entertainment whereas the Government provides mainly for business transactions.

Democratic Party legislator Sin Chung-kai said it would help the Government cut costs and become more efficient.

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