As Hong Kong marks the 29th anniversary of its return to Chinese rule on July 1, the South China Morning Post talks to the city’s senior officials about the administration’s achievements so far and what may lie ahead.
Hong Kong’s next Kai Tak Cruise Terminal operator must be “very visionary” and do far more than simply manage cruise berthing operations, the city’s tourism minister has said, revealing that prospective bidders sought extra time to work on their proposals before the government extended the tender deadline by more than a month earlier this year.
Secretary for Culture, Sports and Tourism Rosanna Law Shuk-pui said interested parties had approached the Tourism Commission to seek extra time because of the expanded scope of responsibilities under the new contract, prompting authorities to push back the deadline from May 22 to June 26.
“The Tourism Commission made the recommendation that maybe we should [extend the deadline],” she told the South China Morning Post.
The government announced the extension in March, saying bidders needed more time to prepare submissions because of broader management responsibilities and new performance targets introduced under the tender.
Law said the administration was no longer looking for an operator focused solely on cruise berthing operations, but one capable of maximising the entire site’s value.
“We just don’t want to have merely an operator ... that makes sure the ships are berthing nicely, the CIQ [customs, immigration and quarantine] are doing nicely, and that’s it,” she said.
“That is, of course, important, but that is a given.
“What we want is [for] ... the facilities and the space in the cruise terminal area to be better utilised.”
Under the tender terms launched last December, the next operator will not only manage cruise operations but also take responsibility for the terminal’s rooftop park, podium gardens and ancillary commercial areas.
It will be assessed against a series of key performance indicators covering ship calls, non-cruise events, visitor footfall and occupancy rates for retail and commercial spaces, with financial penalties for underperformance.
The successful bidder will take over from June 2028 under a 10-year contract.
Law said the government was deliberately pushing for a long-term vision because Kai Tak itself was likely to look dramatically different by the end of that contract.
“I can’t even start to imagine what changes Kai Tak as a district would encounter,” she said.
The minister pointed to Kai Tak Sports Park, the growing residential population in the area and the planned smart and green mass transit system linking the cruise terminal to Kai Tak MTR station as examples of developments that would reshape the district.
“The light rail will be completed. That will change the whole ball game of Kai Tak,” she said.
“We have Kai Tak Cruise Terminal, Kai Tak Sports Park and Kai Tak station all being linked together, so that’s a major change.”
Approved earlier this year, the 3.5km (2.17 miles) elevated transit system is expected to begin operation in 2031, and will connect the cruise terminal, sports park and surrounding developments in about 10 minutes.
“That means the operator will also have to be, first of all, very aware of the potential change in the area,” Law said.
“Second of all, be very visionary in what can be done with their own space, not just the operation of cruise berthing.”
“And that requires proper planning and proper business plans.”
The terminal has long faced criticism over transport links and underused commercial space since opening on the former Kai Tak airport runway in 2013 at a cost of about HK$8.2 billion (US$1.05 billion).
Pressure intensified in August 2023 when passengers arriving aboard Royal Caribbean’s Spectrum of the Seas – the first major cruise ship to dock after the Covid-19 pandemic – complained of long waits for taxis and public transport, prompting the government to introduce emergency measures and launch a review of the facility’s management.
Officials later moved to overhaul the operating model, expanding the operator’s responsibilities and introducing stricter performance indicators aimed at encouraging year-round use of the site.
Despite the extended deadline, Law said authorities still expected to complete the tender process and announce a successful bidder by the end of the year. -- SOUTH CHINA MORNING POST
