Chief Secretary for Administration Rafael Hui says the Government will consider the need to specify the maximum gross floor area of a site in land transactions.

It would consult lawmakers, the industry, and concerned professionals and stakeholders before determining the way forward, he added.

Responding to the Legislative Council's Public Accounts Committee report on Sai Wan Ho Grand Promenade incident, Mr Hui said the Government accepted all the recommendations put forward by the committee and the Audit Commission.

The Government also accepts the Independent Committee of Inquiry on Sai Wan Ho Development's conclusions and recommendations concerning the exercise of discretion by the Building Authority in the subject development.

Noting the committee operated independently, Mr Hui said the focus of its inquiry was different from that of the Director of Audit and the hearings of the Public Accounts Committee.

"In spite of that, these studies have provided many useful observations and similar recommendations, for instance, in relation to the need to enhance communication among government departments and examine the issue of specifying maximum gross floor area in land leases. We have already implemented or will actively consider these recommendations."

Improvements made

He said the Government had revised the relevant internal instructions defining the types of information given to an enquirer in the pre-land sale stage pertaining to the development parameters.

Regarding projects that require community facilities to be provided by the developers, the Architectural Services Department will co-ordinate with other departments to ensure that the design requirements of such facilities are feasible and are properly specified in the conditions of sale for reference by potential bidders.

The Government has also clarified the definition of "street" for site classification purposes by amending the Building (Planning) Regulations.

Mr Hui added that the Buildings Department had amended its relevant practice note on granting of gross floor area exemption and bonus area.

On the Building Authority's exercise of discretionary powers, Mr Hui said the authority had issued practice notes to the industry on the criteria that the authority would adopt in the exercise of such discretion on various subjects.

Internal guidelines on factors to be considered in the exercise of discretion have also been issued to serve as general guidance for relevant officers. 

"I would like to emphasise that the BA and officers authorised by him to exercise such discretion have to act in good faith, follow the law and the criteria promulgated in the practice notes and take into account all factors relevant to the issue under consideration in the exercise of discretion.