The Constitutional & Mainland Affairs Bureau has suggested injecting $2 billion into a proposed trust fund to support reconstruction in Sichuan quake-stricken areas.

In a paper to Legislative Council Finance Committee today, the bureau said Hong Kong may help in rebuilding public services facilities in the province's hard-hit counties, key elements of specific infrastructural projects, and the Wolong Giant Panda Reserve.

The bureau will follow up with Sichuan on the scope, mode, contents and priorities regarding Hong Kong's support work. The post-quake reconstruction work is expected to last about three to five years.

Liaison mechanism

To ensure efficient co-ordination of the reconstruction support work, Hong Kong and Sichuan will set up a liaison mechanism to take forward implementation of the concrete post-quake reconstruction works. A vice governor will lead the Sichuan side, while the Chief Secretary will lead the the Hong Kong side.

Meanwhile, a steering committee headed up by the Chief Secretary has also been formed to oversee and co-ordinate the Government's efforts in supporting reconstruction works, and liaise with its Mainland counterparts.

On the proposed trust fund, the bureau said it will serve as a channel to receive government funding and public donations. At the initial stage, $2 billion will be injected to the fund. After off-setting donations, the Government's funding commitment will be less than $10 billion.

The bureau will submit funding proposals to lawmakers in stages. The funding-injection arrangement will be decided having regard to the use of funds, amount of public donation received, and the cost estimate, progress and needs of individual reconstruction projects.