The cost of building Hong Kong’s third international runway is likely to overshoot the original budget by more than half to come in at over HK$200 billion, the Hong Kong Economic Journal reported Tuesday.
The Airport Authority and the Transport and Housing Bureau are looking for ways to tackle the costs, which were originally expected to be HK$136.2 billion, the report said.
The runway overrun is the latest addition to the list of mismanaged mega infrastructure projects, including the Hong Kong link of the national high-speed railway.
One way to bridge the cost gap could be to raise charges, sources said. The tariff hikes, including those on passengers and airlines, could raise an extra HK$31 billion over the next eight years.
The figures were based on the assumption that the Airport Authority will charge each traveler leaving the city HK$100, a document from the bureau disclosed.
A total of HK$28 billion could come from passenger charges, with another HK$3 billion coming from various fees on airlines over the eight-year period.
The authority is also planning to lift income from its retail business, which is estimated at about HK$7.5 billion to HK$8 billion per year over the eight years the third runway will take to build.
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