productivity of the Kwai Chung Container Port Basin as a total facility and to examine ways to improve the collaboration between the public and private sector to make the Kwai Chung port more productive.

For future port planning, the review recommended that we need to balance the various factors, such as economic benefits and environmental impacts, when devising a sustainable direction for port development. A follow-up study will be conducted to identify and evaluate the best strategic option for taking forward Hong Kong's post CT 9 port development plans.

The findings of the PDSR will be incorporated into the strategy planning study of Hong Kong 2030: Planning Vision and Strategy Study which is currently being conducted by the Planning Department.

A user survey 2001 on the Hong Kong Shipping Register (HKSR) to identify measures to make the Register more user-friendly and competitive was conducted by the Marine Department and actions had been taken to improve the services for Hong Kong shipping industry.

One of the improvement measures concerns the full enforcement of the International Convention on Standards of Training, Certification and Watchkeeping for Seafarers 1995 (STCW 95) in February 2002. In view of the imminent need of the STCW 95 certification requirements, the department has adopted measures to ensure the smooth transition from STCW 78 system to STCW 95 system without sacrificing the standards under the updated system and to minimize inconvenience and undue delay to both shipowners and seafarers. The department has also decided not to levy additional fee for the replacement issuance of STCW 95 licences to seafarers already holding STCW 95 certification.

The other new measure is the setting up of deposit accounts for individual shipping companies for receiving the payment of licence fees for issuing Hong Kong Licences to their crew working on Hong Kong ships. The measure was implemented in response to some HKSR shipowners' views that arranging payment for issuing Hong

Kong Licences to their crew working on Hong Kong ships was tedious and manpower consuming. To improve the services for the shipowners, the department has made the deposit account as an option to shipowners to effect the payment of licence fees.

The survey also found that major shipowners in Hong Kong and the PRC opined that the HKSR package and the quality services provided are more attractive than the "Flags of Convenience" (FOC), and they will continue to register ships with high tonnage on the HKSR.

To avoid the HKSR from being categorized as FOC by the International Transport Workers Federation, the survey recommended concentrating Hong Kong's efforts for the promotion of the HKSR on Hong Kong and Chinese shipowners. The survey also recommended that PMB should continue to pursue proactively the negotiations of agreements for the avoidance of double taxation with other tax administrations and agreements on preferential port dues.

Participants in the survey included 43 major shipping companies and 22 shipping-related organizations in Hong Kong, and 24 shipping companies or shipping-related organizations in Mainland China, Japan and Korea.