The bureau will present the proposal to the Legislative Council and the Central and Western District Council later this month. It expects the new heliport to be in operation by 2008 or earlier.

Deputy Secretary for Economic Development Wilson Fung Wing-yip told the meeting 11 sites had been considered and the Sheung Wan site was the only feasible one.

'We have considered the Golden Bauhinia Square, but that may involve additional reclamation of the waterfront and the Legco has rejected the idea,' he said.

Mr Fung said the heliport had to be built near the business area and near the waterfront. 'The new heliport at Sheung Wan can cater for businessmen who need to get to Central as quickly as possible from Chek Lap Kok airport,' he said adding more tourists would enjoy helicopter sightseeing over the city.

The heliport is to replace the temporary pad at West Kowloon, which Mr Fung said had to cease operations once the West Kowloon cultural district went ahead.

Alvin Kwok Ngai-kuen, of the Conservancy Association, said the noise barrier would block the views of the harbour. 'The public will be deprived of the right to see the harbour as the barriers are like walls,' he said.

Central and Western District Council chairman Chan Tak-chor said the plan only benefited businessmen and tourists, while local residents suffered.

'The residents have already been complaining about noise of the air flights; now they are forced to endure more noise,' he said.

Institute of Architects representative Vincent Ng Wing-shun said the heliport could block improvements to the waterfront.

'We are now planning a corridor along the coastline of Hong Kong Island, but the new heliport has already broken the planned corridor,' he said.