IT IS EASY TO forget how spoilt we have become as a result of the city's mass transit railway system. After all, three minutes spent waiting for a train is considered a long wait for Hong Kong people, whose lives are a frenzied rush all the time. But if you think a bit deeper about the state of our transport system, you will realise how blessed we are to be commuters in Hong Kong.
Our MTR system is the envy of large cities like London and New York, even though their train systems have been in place for many, many years.
While they struggle to run safe, clean and efficient underground railways, Hong Kong epitomises just that. Its system is hygienic and exceptionally punctual. Reports of breakdowns are rare and graffiti and violence are virtually unheard of. No wonder countries are looking to Hong Kong's MTR as a model of excellence.
Perhaps even more astonishing is the fact that, while overseas governments have been subsidising their inefficient rail operators for years, the MTR has not cost Hong Kong taxpayers a single cent, and remains one of the few unsubsidised rail companies.
So what exactly is the MTR Corporation doing right?
The secret of its success is its rail and property business model. It works this way: the government gives the MTR Corporation negotiated rights to develop property complexes alongside its rail stations and depots. The administration is then able to obtain full market value for the land, while the MTR Corporation develops the sites with other developers, shares the profits, and then invests back into its rail system. Clearly it is a win-win situation and it has been at work for more than two decades.
