Congestion at the Cross-Har bour Tunnel is expected to reach chronic proportions as fees at other crossings rise. There were fears of this yesterday after an originally rejected application for a toll increase for the Eastern Harbour Tunnel was awarded after arbitration. The announcement came the day after the Western Harbour Tunnel opened, charging car drivers $30. The increased costs may mean many motorists choose to use the cheapest route, the Cross-Harbour Tunnel at $10, even though it is already heavily congested. Eastern Harbour Tunnel tolls will increase by $5 to $15 for cars and taxis from January. The Transport Branch, which with the Executive Council rejected the proposal two years ago, said it would not seek an appeal under advice from the Attorney-General and would soon gazette the increase. Eastern Harbour Tunnel general manager Alexander Chan Sing-cheung said that the increase was justified as the company was not making a reasonable return under existing prices. 'Our existing 6.28 per cent rate of return is low and the arbitrator agreed this should not fall below 15 per cent,' he said. Urban Taxi Drivers' Associations Joint Committee chairman Kwok Chi-piu warned users would flock to the cheapest tunnel. 'The next step would likely be a toll increase for the Cross-Harbour Tunnel to ease the increase in congestion - it's a vicious circle.' Hong Kong Automobile Association chief executive Kendy Chan Kin-chung said the company was making a low rate of return due to the 'bottoming out' of the car market in the past two years. He said growth in car ownership plummeted in 1995 from a yearly average of five to six per cent to just 2.2 per cent. Zachary Wong Wai-yin, a Democratic party legislator, said he was concerned other tunnel companies would follow suit and seek arbitration over every rejected application. He urged Transport Secretary Gordon Siu Kwing-chue to consider an appeal. Alexander Chan admitted the increase could see the Eastern Harbour Tunnel's average daily usage of 90,000 vehicles drop by between 3,000 and 4,000, but he maintained that the fall would be temporary. Taxi passengers taking advantage of the Western Harbour Tunnel's two toll-free days this month will have to pay a surcharge of $10 unless they board at cross-harbour taxi stands. The fee is to allow drivers to return to their home districts via one of the two other tunnels.
