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Civic Party legislator Kwok Ka-ki

HK$8.7b is 'final cost overrun' for border crossing to Shenzhen - but who knows?

Government 'confident' it will not need more than the extra HK$17.5 billion it is seeking for crossing to Shenzhen, but offers no guarantee

Timmy Sung

A senior official of the Development Bureau has told lawmakers it is "quite confident" the extra HK$17.5 billion it is seeking for the over-budget seventh border crossing to Shenzhen will be the last, although he cannot guarantee that for sure because of uncertainties.

The government needs an extra HK$8.7 billion for the Liantang-Heung Yuen Wai crossing in the northeastern New Territories after the works, which began in 2013, busted the HK$24.5 billion it was allocated.

It is also seeking a separate HK$8.8 billion for the first time to build a passenger terminal and other facilities.

Both funding requests were put to the Legislative Council's Finance Committee yesterday, despite Legco's public works subcommittee having voted them down early this year.

Legislators asked why the budget had risen significantly just 18 months after Legco's development panel discussed it.

Permanent secretary for development Hon Chi-keung admitted officials failed to "feel the pulse" of the market when they estimated the project costs.

Poor ground conditions for tunnelling work also contributed to the inflated price, Hon said.

But he added the administration was confident it would be the last time funding was sought for this project, though it could not make any promises.

"There will be uncertainties in construction projects," Hon said. "But we are quite confident that we do not need to come back for more funding unless there is something that is totally beyond our expectations."

He also said no one need be held responsible for the budget overrun of HK$8.7 billion, meant for site formation and other work.

The border-crossing project was presented to Legco yesterday in place of a multipurpose sports complex at Kai Tak, which the government withdrew from the meeting agenda, citing the "great urgency" of the current funding requests instead.

It is Legco convention for government funding requests to secure the subcommittee's endorsement before they are put to the committee, whose vote decides if the money will be granted.

Pan-democratic legislators criticised the government for disrespecting the convention.

"The practice not only disrespects Legco, it has also done irreparable damage to the relationship between the legislature and the administration," Civic Party lawmaker Kwok Ka-ki said.

Officials warned that if the money is not granted before current tenders expire in July and August, they will have to seek fresh tenders, which is likely to mean higher prices. That could mean an extra bill of HK$70 million per month, they said.

This article appeared in the South China Morning Post print edition as: Final cost of border post not certain
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