The Environmental Protection Department has proposed spending $316 million to build a 19-hectare EcoPark in Area 38, Tuen Mun, with Phase I works expected to be completed by the end of next year.

In a paper presented to the Legislative Council Panel on the Environmental Affairs Committee today, the department said the EcoPark will promote the growth of the waste recycling and environmental industry in Hong Kong.

The department said as much as 2.4 million tonnes of municipal solid waste is recovered as recyclable material annually, but more than 90% is exported for recycling.

As the recovery rate increases steadily over the years, the proportion of materials recycled locally has dropped from 15% in 1999 to 9% in 2004, the department said, adding it generates a considerable amount of revenue, reaching $3.4 billion last year.

The current over-dependence on export as an outlet for recovered materials makes the local recycling industry insecure in the long run as the market demand for recyclable materials is highly volatile. The international trend is to increasingly restrict trans-boundary movement of waste, even recyclable waste.

To address these problems and to realise recycling's full potential, the department aims to promote the local recycling industry so that recyclable materials can be turned into products that have higher economic value and more stable and reliable markets.

EcoPark will be developed solely for use by the environmental and recycling industry. Individual recycling companies can acquire an area of land at affordable costs with tenures sufficiently long to justify their investments in adding value and for higher-end operations.

Sizes cater to different needs

To provide flexibility for a wide range of companies that have different land area requirements, the lots will be designed and allocated in different sizes, ranging from 400 to more than 8,000 square metres, and with the majority sized at 800 and 1,600 square metres. This would allow companies to rent lots in a modular fashion to meet their own needs and acquire more lots as they expand their business.

The Government will build and fund the EcoPark's basic physical infrastructure, including a road network, drainage, sewers, telecommunication networks, power supplies, berthing facilities, a wastewater treatment plant, a waste collection and management facility, and car parking spaces.

Central to these will be an administration building containing management offices and common facilities including a visitor and education centre, an information centre, training and conference rooms, and other facilities.

The department expected to start Phase I works early next year. It will occupy an area of about 8.4 hectares and contain all the common facilities to enable it to function.

Phase II works, occupying an area of about 11 hectares, will start in 2009.

The department said contract documents are being prepared and tenders will be invited for appointment of an operator by mid-2006. This will allow the operator sufficient lead time to carry out marketing and preparation work before Phase I is occupied.

The department also proposed spending $45.2 million to build construction waste sorting facilities at Tseung Kwan O Area 137 and Tuen Mun Area 38.

It said the proposed facilities had the support of Sai Kung and Tuen Mun District Councils during consultations in 2002 and 2004, while legislators and sector representatives raised no objections.

The facilities will be managed by the Civil Engineering & Development Department.