Legislative Council Question 6 : "Building management and maintenance" by the Hon Ho Chung-tai and a reply by the Secretary for Housing, Planning and Lands, Mr Michael Suen, in the Legislative Council

    Following is a question by the Hon Ho Chung-tai and a reply by the Secretary for Housing, Planning and Lands, Mr Michael Suen, in the Legislative Council today (June 1):

 

Question:

 

    The Government consulted the public last year on building management and maintenance, and the results revealed that the public considered the introduction of mandatory building inspection was a practicable and effective long-term solution for arresting building decay. The authorities are currently working towards a second stage public consultation, focusing on the feasibility of introducing mandatory building inspection.  In this connection, will the Government inform this Council:

 

(a) whether it knows if Singapore or other countries have formulated any policies on mandatory building inspection; if so, of a brief account of the major features of such policies;

 

(b) when it will launch the second stage public consultation, and how the contents of the mandatory building inspection scheme to be proposed differ from those in the first stage; and whether it will focus on the options on how to require property owners to fulfil their responsibilities for ensuring the safety of their buildings; and

 

(c) as owners of dilapidated buildings may not be able to have their properties underwritten by insurance companies, how the authorities will assist them in taking out the necessary insurance?

 

Reply:

 

Madam President,

 

    My reply to the three-part question is as follows:

 

(a)  According to the information we collected, the Singapore Government requires property owners to engage qualified persons to inspect the structural conditions of their buildings at regular intervals. Non-domestic premises have to be inspected every five years and domestic premises every ten years. Such inspection comprises two stages. The first stage involves visual inspection. Whether property owners need to carry out the second stage comprehensive structural inspection depends on the results of the first stage inspection. If only minor defects are found at the first stage, property owners only need to undertake the necessary rectification works. However, if major structural defects are found, the Government may require property owners to conduct the second stage comprehensive structural inspection and to carry out the necessary rectification works. Offenders are liable to a maximum fine of 10,000 Singapore dollars (about HK$47,000) and maximum imprisonment for 6 months.

 

    According to available information, apart from Singapore, other places like the New York City of the United States requires property owners of buildings of more than six storeys to appoint qualified persons to inspect and maintain external walls and appurtenances thereof every five years. The necessary rectification works must also be carried out within the stipulated time limit. Offenders are liable to a maximum fine of US$1,000 (about HK$7,800) and maximum imprisonment for 6 months.

 

    The implementation details of mandatory building inspection schemes vary from place to place according to their different building care culture and socio-economic conditions. In formulating the proposal for the mandatory building inspection scheme, we will make reference to the experience of other places as appropriate, taking into account the circumstances of Hong Kong.

 

(b)  In order to put in place a long-term solution to the long-standing building neglect problem, we have already carried out the first stage public consultation on building management and maintenance, and released the consultation report in January this year. The results of the consultation indicate that the community generally supports that it is the owners' ultimate responsibility to keep their buildings in good repair. The Government should provide a legal framework for ensuring the proper upkeep of buildings, provide assistance to the owners in need and carry out enforcement actions. Besides, the public generally supports that mandatory building inspection is an effective measure to ensure property owners to maintain their buildings properly. The introduction of any mandatory requirements should be well justified, carefully planned and supported by the community. Guided by the public preference, we are therefore in the process of formulating the implementation details of the mandatory building inspection scheme and support measures for the purpose of launching the second stage public consultation towards the end of this year.

 

    The second stage public consultation will cover the implementation details of the proposed mandatory building inspection scheme, including the selection criteria for target buildings, setting of inspection standards and the inspection cycle. Related support measures including establishing an independent arbitration mechanism and providing appropriate assistance to owners in genuine need in discharging their responsibility will also be covered. Subject to a general community consensus on the implementation details and support measures for the mandatory building inspection scheme, we will take forward the follow-up legislative work.

 

(c)  The Home Affairs Bureau and the Home Affairs Department (HAD) have been, through various means and channels, encouraging owners' corporations and property owners to procure third party risks insurance to safeguard owners' interests. The Building Management (Amendment) Ordinance 2000 stipulates that owners' corporations shall procure third party insurance in relation to the common parts of buildings. Through the Hong Kong Federation of Insurers, HAD has been in active discussion with the insurance industry with a view to formulating the subsidiary legislation specifying the implementation details for third party risks insurance. The implementation details are fairly complicated. Nonetheless, HAD has already submitted the draft subsidiary legislation, together with the Building Management (Amendment) Bill 2005, to the Legislative Council for scrutiny in April this year.

 

    HAD has been discussing with the Hong Kong Federation of Insurers to work out the specific terms of building insurance coverage so as to facilitate the procurement of insurance for buildings which lack proper management and maintenance. The Buildings Department will also consider, on a case-by-case basis, issuing removal orders to assist buildings which have difficulties in procuring third party insurance due to the existence of unauthorised building works. In addition, in order to encourage owners to secure third party risks insurance, the Urban Renewal Authority and the Hong Kong Housing Society will provide subsidies in this regard to owners' corporations of buildings that have completed rehabilitation works under their rehabilitation programmes.

 

 

Ends/Wednesday, June 1, 2005

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