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Fares too high so ferry routes to be retendered
Scarlett Chiang
Feb 15, 2008

Four ferry routes will be put up for tender again next month with revised conditions after fares proposed in the initial bids were too high.

The Transport Department said the proposed fare increases for the four routes, from Central to Mui Wo, Peng Chau, Yung Shue Wan and Sok Kwu Wan, ranged from more than 30 per cent to 50 per cent, which residents would not accept.

At the same time, the department announced it had awarded the Central-Cheung Chau and inter-island routes to existing operator New World First Ferry, which has proposed fare increases ranging from 0.5 to 20 per cent.

For the other four, less profitable, routes, the department said it would waive "vessel-related" fees, including fuel duty, pier rental and vessel licence fees, during the three-year term of the new licences, due to start in July, in an effort to contain the fare rises. It would also separate the routes - originally offered in two packages - into four separate packages to make them more attractive to small operators.

Residents would be asked to accept greater intervals between sailings and overnight sailings may be cancelled to save fuel.

Without revealing the bidders, the department said it had received just one bid for each package in the tendering exercise between September and October last year.

New World First Ferry now runs the Mui Wo and Peng Chau routes, while the Hong Kong and Kowloon Ferry Company operates the two Lamma Island routes.

Islands District Council chairman Daniel Lam Wai-keung welcomed the retendering because more small operators would be attracted.

"It is good for the long-term development of the ferry service," he said.

Legislative Council transport panel chairman Andrew Cheng Kar-foo said the measures to curb the fare increases would not be effective.

"Cancelling the overnight sailings will cause inconvenience to the residents but the impact on the fare rise will be minor," he said.

A department spokesman said separating the four routes could attract small operators because only three or four ferries were required to operate the Central-Mui Wo and Central-Peng Chau routes.

The Transport Panel of Legislative Council and Transport Department will be meeting this Friday (22 Feb) to discuss this matter, act quick if you wish to say something. Tendering will start March!!

Inviting Lamma residents to join this facebook group

http://www.facebook.com/group.php?gid=10042377387

Having admitted there was only one tender for each package I can't see any incentive for ferry companys to change their tender price. Theres just no competition.

While the fare has risen roughly 6 % annually for the past 17 year the service has changed remarkably (better). Perhaps HKKF are justified in asking their 30% increase particularly with the fuel cost impact. At least we'd get the same level of service.

And that would be an extra 50$ a week for commuters on the fast.

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Email from the Living Islands Movement (www.LivingIslands.org.hk), seeing this issue from the Lantau perspective, but facing the same problems as Lamma:

Dear Members and Friends

You will have read that the government intends to re-tender for islands ferry services because the previous exercise produced higher fares which it concluded were not acceptable by the population -- although they never asked us!!

They will split up the route so that Lantau and Peng Chau will each be served by one ferry company. The thinking behind this is that these routes could be operated by smaller companies with just a few, smaller vessels (whoever they might be!!)

This situation has come about because there is a 'voice' that claims to speak for the whole community that demands a zero fare increase. They also base it upon a irrelevant survey, 18 months ago, in which they asked questions like "would you like lower fares?'.

Your committee is objecting to this but it would be very helpful of if everyone, individually, would write to the government protesting about this decision.

The outcomes of accepting the cheapest tender based upon what government is doing is likely to be:

- significantly reduced services during the day and overnight
- old, uncomfortable and bumpy vessels similar to those that served us when fast ferries started (do you remember?) Perhaps even all slow ferries or Kaidos.
- fares will rise anyway. It is inconceivable that with rising costs, fares can be maintained at present levels. The choice will be in the degree of price increase related to service quality and the cheapest will be the worst.

We suspect that you, the reader, will not welcome any of this. If you don't want to suffer this serious downgrade in your quality of llife and be 'at the bottom of the pack', write now expressing your opposition to any reduction in service frequency or quality.

Write to some or all of the following:

The Commissioner of Transport. tdenq@td.gov.hk
The Secretary for Environment and Housing. enquiry@thb.gov.hk
The District Officer (Islands) isdcadm@isdc.had.gov.hk
The Legco transport panel (send to pi@legco.com and request copying to members of it)

Our elected representatives in Legco (NT West):

Hon Albert CHAN Wai-yip albert.wychan@yahoo.com.hk
Hon Albert HO Chun-yan hotsewai@netvigator.com
Hon LEE Cheuk-yan yanlee@hkctu.org.hk
Hon Mrs Selina CHOW LIANG Shuk-yee selina@selinachow.com
Hon TAM Yiu-chung yctam@dab.org.hk
Hon LEE Wing-tat kwaifong56@yahoo.com.hk
Hon CHEUNG Hok-ming hokming@ntas.org

Thank you.

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Submitted by Oliver Armistead: (also on the home page, in the Lamma-zine, Feb 24, 2008)

I would like your opinion on an idea I've been thinking about.

The Transport Department has been meeting on Friday, Feb 22, to discuss the fate of our ferries.

I don't know about you but I personally don't want to lose the fast ferries - we have a pretty lousy ferry service already without it going back to the old days of 45-minute ferries and noodles with fried eggs on top (Actually, I do sort of miss those.) Please take a look at my solution to our problem, and please feel free to give me some stick if you think it has serious flaws.

CURRENT VIEW:

Rising fuel costs are making the Lamma ferry uneconomical - hence unprofitable.

Our Local District Councilors and other village elders are apparently in total opposition to any fare increases whatsoever (the term 'screaming like a stuck pig at the thought' has been used.)

The Government's solution is to reduce the frequency of the service and eliminate fast ferry services altogether so as to maintain fares at close to their present levels.

Eliminating fast ferries also allows more operators to compete for the license.

MY VIEW: THINKING OUTSIDE THE BOX:

We actually need less ferries not more!

The ferry company uses far more more boats than it actually needs to maintain the current service. One major reason for this is they use slow ferries. The current schedule requires that there is always a ferry parked waiting in Central when one is leaving Lamma and vice versa, also the government requires additional vessels to be on standby all day.

I propose that the ferry company should be encouraged to buy MUCH FASTER FERRIES - not slower ones. Faster ferries mean that they can make the journey in far less than half an hour - they would need fewer boats overall and hence fewer crews to maintain our existing service (or even perhaps a better service).

Fuel Costs:
From an environmental standpoint the existing ferries are a floating disaster zone. The engines they use are shockingly polluting, inefficient and painfully slow. New ferries equipped with modern hulls and efficient engines are far better.

Extend the period of licensing:
The real problem with the current scheme is that any ferry company that gets the license is very unlikely to put any serious investment in new boats if they have only three years to recoup. Buying better ferries costs serious money. My suggestion is to either increase fares significantly or more importantly allow the licensing period to be longer than 3 years.

Alright, we would probably still need to increase fares - but at least we should start thinking our way out of the box!!!

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The ferry fares are very good value and have been for many years. Instead of complaining about fare increases we should pay more and accept a reduced service during off peak times.
It will reduce emissions and may make people question their need to travel so frequently to HK side.
There is no need for a late night party boat.They put one on for a while and nobody used it.

I agree 100% with Geno's comments, apart from the emissions bit - it's like airplanes - they'll be going whether you're on them or not.

I've said on this forum before that the Isle of White ferry, which also takes about half-an-hour, costs 13-quid each way (ie about HK$200)

And a reduced crap ferry service will hopefully keep the rents and property prices down to more affordable levels.

But then again, I don't commute ...

Lack of video games, comfortable lounges and specious sun decks notwithstanding, I still think our ferries are very good value