ABSTRACT
Hong Kong has secured a long history of launching PPP projects. The first and most famous PPP project in Hong Kong is the Cross Harbour Tunnel which was delivered by Build-Operate-Transfer model in the late sixties (Chan et al. 2007a). Although this project experienced immediate success, a few other less successful attempts suggested that this model was not easy to follow. Hence the government slowed down as there was never any desperate urge to adopt PPP anyway. In recent years, PPP has been popularly used worldwide. Apart from the obvious financial advantages of adopting PPP, other drivers of this relatively new approach were also observed. As such, the Hong Kong government has been increasingly more interested in pursuing public projects via PPP scheme. Recently, a number of massive public sector projects have already been confirmed that the PPP model would be used for their procurement. For example, the Shatin to Central rail link and the Kwun Tong rail extension. The new metro line will consist of nine stations. Construction will start in 2010 and the two phases of the line will be completed by 2015 and 2019 (Information Services Department 2008).
