10 October 2008

 

Dear Residents and Owners,

 

Following the dispatch of the questionnaire survey on Discovery Bay Ferry Service Revamp on 7 October 2008, we, the Discovery Bay Transportation Services Limited (DBTPL), have received questions and comments from the DB community. In response, we would like to provide the following supplementary information to clarify the issues raised and help you complete the questionnaire.

 

1. Fuel prices –The fuel prices in DBTPL's financial projection are calculated with reference to the average price level in the past 6 months. For your information, during the 6 months ended 30 September 2008, DBTPL spent approximately HK$40 million on fuels.

 

2. Financial figures – Please be assured that all accounts of DBTPL have been audited by independent accountants and we have to submit financial returns to the Transport Department who has direct supervision of our operations and finances.

 

3. Load factor in morning peak – During the morning peak from 7:00am to 9:00am, the load factors for outbound trip (from DB) and inbound trip are 53% and 8% respectively, making an average of 31% as stated in our previous letter.

 

4. The Bounty – The Bounty was purchased and is operated by Hong Kong Resort Company Limited (HKR). It is totally separated from DBTPL's accounts. Therefore, the financial losses incurred by DBTPL have nothing to do with The Bounty.

 

5. Free ferry tickets offered by D Deck and in property sales campaigns – HKR has paid fare in full without discount to DBTPL for every single ticket given to D Deck customers, as well as property buyers during promotional campaigns. In fact, these promotional activities of HKR have contributed revenue to DBTPL's ferry operations.

6. Night coaches – DBTPL has detailed statistics of ferry passengers’ number and travelling pattern at night and will surely arrange adequate coaches accordingly to meet your demand. We believe the night coach service of higher frequency will bring you added convenience at night.

7. Laid-up vessels – Questions have been asked on whether the depreciation costs of laid-up vessels have significantly increased our operating loss. The answer is “NO”. The depreciation costs of laid-up vessels account for only about 1% of the expenses.

 

8. Proposed options and direct consultation – DBTPL has come up with 4 proposed options as the foundation for further discussion. Since the ferry service has direct impact on the daily lives of all residents, in addition to having the usual dialogue with the Passenger Liaison Group, we have chosen to also directly communicate with and survey all residents and owners which are estimated to represent over 90% of DBTPL’s customers.

 

No other public transport company has ever consulted their passengers directly in such a large scale on any fare adjustment or service revamp and at the same time provided so much information for passengers’ reference. Therefore, please take this opportunity to voice out your opinions by filling in and returning the questionnaire to us, so that we can work out a solution to cater to your needs. You are also welcome to send us additional comments, views, questions about our 4 proposals by email (ferry@dbay.hk), mail (Unit 101, Discovery Bay Office Centre, No.2 Plaza Lane, Discovery Bay, Lantau), fax (at 2987-5246) and phone (at 2987-7351).

 

9. Subsidy by HKR – HKR has been subsidizing and supporting the DB ferry service for years. The proposed options only seek to achieve break-even for the ferry operations in future. They are not intended to recover any losses incurred by DBTPL in the past.  

 

In fact, DBTPL is very committed to providing quality ferry service to the community and has been doing so even under a deficit for many years. We have not adjusted our fares in the past 7 years while other outlying islands ferry operators have raised their fares more than once. We cannot continue to suffer the huge losses due to the soaring fuel prices and diminished ridership.

 

It is a difficult moment for all. And it is a difficult decision to adjust the fare and revamp the service now. But we appeal for your understanding. We sincerely hope that the above would help address the concerns / questions you may have in relation to the Survey and please don’t give up your right and opportunity to respond to us directly.

 

Complete and return the questionnaire today. Email, call or write to us should you have additional comments.