The Development Bureau will establish a multi-disciplinary office to conduct a comprehensive review of the guidelines on public works.
Briefing legislators on his 2016-17 Budget today Financial Secretary John Tsang said the office will scrutinise the cost estimates of 300 major new projects in the next three years and report their progress to him on a regular basis.
He said the move is to strengthen the overall cost control of public works and will not focus on any single project.
Noting there is no fixed target in reducing expenses, he said if the move can lower project costs by several billion dollars then he would be happy.
Responding to a question on the reasons why the Government will no longer subsidise the rent for tenants living in public rental housing units in the coming financial year, Mr Tsang said his adjustment to the waiving of rates will help these residents.
Many public housing residents have to pay $700 in rates per quarter. Increasing the waiver from two to four quarters will allow them to save more money, despite lowering the cap from $2,500 to $1,000 per quarter.
The move will cut government revenue by $11 billion, which is more than the previous year, he added.
