Project update: Secretary for Constitutional & Mainland Affairs Stephen Lam talks with Sichuan's Executive Vice-governor Wei Hong in Chengdu.

Hong Kong and Sichuan today signed the Letter of Intent on Hong Kong's Second Stage Work in Support of Restoration & Reconstruction in the Sichuan Earthquake Stricken Areas in Chengdu.

The signing was attested by Secretary for Constitutional & Mainland Affairs Stephen Lam and Sichuan's Executive Vice-governor Wei Hong. Both side also exchanged copies of Project Co-operation Arrangements for 13 of the first stage projects.

The 103 reconstruction support projects initially identified for implementation in the second stage cover 52 education, 21 medical and rehabilitation, seven social welfare and 23 Wolong Nature Reserve related projects. Hong Kong's maximum total commitment for the second stage projects is about $3.8 billion.

The Government has reserved $150 million from the Legislative Council's approved additional commitment of $4 billion for the Trust Fund in Support of Reconstruction in the Sichuan Earthquake Stricken Areas.

Hong Kong non-governmental organisations can apply for grants from the fund to take forward their proposed reconstruction projects. The next round of application assessment is expected to start mid-May.

Mr Wei also updated Mr Lam on the progress of reconstruction work in the earthquake-stricken areas, and the project management and auditing work relating to the reconstruction projects.