ITEM FOR PUBLIC WORKS SUBCOMMITTEEOF FINANCE COMMITTEE

HEAD 707 - NEW TOWNS AND URBAN AREA DEVELOPMENT

New Territories North Development

(Civil Engineering - Drainage and erosion protection)

53CD - New Territories North East development - main drainage channels for Fanling, Sheung Shui and hinterland

Members are invited to recommend to Finance Committee -

(a) the upgrading of part of 53CD, entitled "Main drainage channels for Fanling, Sheung Shui and hinterland - site investigations and consultants' fees", to Category A at an estimated cost of $41.2 million in money-of-the-day prices; and

(b) the retention of the remainder of 53CD in Category B.

PROBLEM
PROPOSAL
PROJECT SCOPE AND NATURE
JUSTIFICATION
FINANCIAL IMPLICATIONS
PUBLIC CONSULTATION
ENVIRONMENTAL IMPLICATIONS
LAND ACQUISITION
BACKGROUND INFORMATION
Breakdown of the estimates for consultant's fees

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PROBLEM

We do not have the necessary in-house resources to carry out the site investigations, environmental impact assessment (EIA) and detailed design for the proposed river training works required to alleviate flooding problems in the low-lying flood plain area of the River Indus and Beas River at Fanling, Sheung Shui and hinterland.

PROPOSAL

2. The Director of Territory Development (DTD), with the support of the Secretary for Planning, Environment and Lands, proposes to upgrade part of 53CD to Category A at an estimated cost of $41.2 million in money-of-the-day (MOD) prices for carrying out the necessary site investigations, environmental impact assessment (EIA) and detailed design for the main drainage channels for Fanling, Sheung Shui and hinterland.

PROJECT SCOPE AND NATURE

3. The scope of 53CD comprises river training works throughout major portions of the River Indus, Beas River and the River Sutlej. These will provide flood protection to the surrounding low-lying flood plain areas. The project also includes construction of maintenance access roads and the provision of sewerage alongside the trained river channels to improve pollution control.

4. The part of the project we now propose to upgrade to Category A comprises -

1. site investigations;
2. an environmental impact assessment (EIA);
3. detailed design of the proposed river training works for the River Indus and Beas River including a review of existing planning and hydraulic data, and an assessment of opportunities for optimisation of the works to minimise land resumption; and
4. preparation of tender documents and assessment of tenders.

JUSTIFICATION

5. The courses of both the River Indus and Beas River are meandering and severely constricted. These features prevent the rivers from discharging effectively into the Shenzhen River. As a result, the villages and farmland in the
Indus basin are prone to flooding during typhoons or heavy rainstorms. On a number of occasions, houses and other properties in the vicinity have been flooded, resulting in economic loss, and disruption in transport, communication, social and commercial activities.

6. We completed a River Indus Study in May 1989. The Study recommended that we carry out full scale river training works in the Indus basin in conjunction with the Shenzhen River regulation project. Project 52CD "Land drainage and flood control study, phase II - consultants' fees and investigations", completed in June 1993, also confirmed the recommendation of the River Indus Study.

7. The main drainage channel works now proposed will straighten, widen and deepen both the Indus and Beas Rivers and increase their hydraulic capacity. Before implementing these works, we need to carry out site investigations and detailed design work for the proposed main drainage channels. We also need to conduct an EIA to assess the potential environmental impacts arising from the proposed works and to recommend appropriate mitigation measures.

8. The Administration, in collaboration with the Shenzhen Municipal Government, started the Shenzhen River regulation project in May 1995 for completion by end 2000. The detailed design of the main drainage channels for Fanling, Sheung Shui and hinterland need to start now to tie in with the implementation programme for the Shenzhen River regulation project.

9. DTD proposes to engage consultants to undertake supervision of the site investigations, to conduct the EIA and to carry out detailed design work due to insufficient in-house resources.

FINANCIAL IMPLICATIONS

10. We estimate the capital cost of the project to be $41.2 million in MOD prices (see paragraph 11 below), made up as follows -

A breakdown by man months of the estimate for consultants' fees is at the Enclosure.

11. Subject to approval, we will phase the expenditure as follows -

12. We have derived the MOD estimate on the basis of the Government's forecasts of trend labour and construction prices for the period 1996 to 2000. We will award the proposed consultancy on a lump-sum basis with provision for inflation adjustment as the consultancy will exceed 12 months.

13. The proposed consultancy has no recurrent financial implications.

PUBLIC CONSULTATION

14. We presented the North District Development Programme to the North District Board in October 1995. As part of this process, we briefed Members on the programme for the proposed river training works. The Board supported the proposal.

ENVIRONMENTAL IMPLICATIONS

15. In the course of their work, the consultants will conduct an EIA to identify and assess the potential environmental impacts arising from the proposed river training works. They will also identify and propose the necessary environmental mitigation measures during the construction and operational phases of the project, and will include these in the detailed design. The estimated cost of the EIA is $2 million. This is part of the overall cost of the proposed consultancy.

LAND ACQUISITION

16. The proposed consultancy does not require land acquisition.

BACKGROUND INFORMATION

17. We upgraded 53CD to Category B in November 1992. On 29 July 1995, Finance Committee approved the upgrading of part of 53CD to Category A as 72CD "Village flood protection for Tsung Pak Long and Tai Tau Leng, New Territories" for flood protection works in the low-lying flood plain area of the River Sutlej. We started the relevant works in February 1996 for completion in mid 1998.

18. The detailed design works under the proposed consultancy are scheduled to start in June 1996 for completion in late 1998. We will then implement the proposed river training works in phases for overall completion in late 2001.

(DD1005)

53CD - New Territories North East development - main drainage channels for Fanling, Sheung Shui and hinterland

Breakdown of the estimates for consultant's fees

*MPS = Master Pay Scale

Notes

(1) A multiplier factor of 3 is applied to the average MPS point to arrive at the full staff costs including the consultant's overheads and profit, as the staff will be employed in the consultant's offices. (At 1.4.95, MPS pt. 40 = $51,440 p.m. and MPS pt. 16 = $17,270 p.m.)

(2) The figures given above are based on estimates prepared by the Director of Territory Development. We will only know the actual man months and fees when we have appointed the consultants through the usual competitive system.

(DD1005)

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