Quality Housing Consultative Document

Executive Summary



1.
The construction industry has been the locomotive of Hong Kong's economic and social development. It has assisted the Housing Authority (HA) to deliver a massive public housing programme which accommodates nearly half of the population. Hong Kong needs to have a world-class construction industry to meet the challenges of the new millennium. (Chapter 1)


2. The HA has entered into a production peak. It has work underway on 140 sites, comprising 190,000 new housing units. This level of housing production is unprecedented and has put much pressure on all those in the housing supply chain. (Chapter 2)


3. There has been deep concern on public housing quality. The particular pressure arising from the recent production peak has exposed weaknesses within our housing production system as well as the industry. The HA has discussed the issue with various stakeholders extensively to identify problems and potential solutions. The perceived problems undermining building quality are as follows : heavy workload and fluctuating production; lack of a common drive to deliver quality housing; confusion of roles and responsibilities amongst stakeholders; fragmented production process; lack of partnering between developers and contractors; labour-intensive operations and inadequate training, multi-layered sub-contracting; inadequate project supervision; little investment in research and the Housing Department's overly rigid systems and cumbersome practices. (Chapter 2)


4. The HA is committed to delivering quality housing for customers. As the largest public housing provider, we will contribute to and facilitate this housing quality reform. Our reform vision is : "To provide quality housing together with all stakeholders through partnering and sustained improvement such that the community can take pride in our housing construction." We have developed a 4 "P" strategy to enhance building quality : partnering; product quality; professionalism; and productivity. (Chapter 3)


5. The HA will build up a partnering framework to hold all stakeholders together. A Quality Partnering Charter will be drawn up to commit all stakeholders to this quality-driven agenda. We will clearly define the roles and responsibilities of key stakeholders to remove grey areas. We will revise contractual arrangements with contractors to achieve equitable risk-sharing. The HA will further strengthen the communication channels with contractors and consultants to improve the production process and to resolve disputes speedily. We will also tap customer feedback more proactively to make further improvements. (Chapter 4)


6. The new partnering framework will also feature a more objective and comprehensive performance appraisal system for both consultants and contractors. The HA's disciplinary mechanism will become more efficient and open by including non-officials in the process and establishing a separate review mechanism. Besides, the tendering system will put greater emphasis on tenderers' technical capabilities and eliminate unhealthy cut-throat price competition. Consistent top performers will become the HA's strategic partners and enjoy more favourable tendering opportunities. (Chapter 4)


7. We will strengthen quality supervision throughout the construction process. Designated sample flats will provide clear quality benchmarks for contractors and workers. The introduction of Quality Supervision Plans and milestone check-points will draw upon greater commitments from the industry to deliver quality works at all stages. In addition, resident professionals will be deployed to strengthen on-site project supervision. Sufficient and competent supervisory staff will be provided on sites. (Chapter 5)


8. Tenants and owners will secure greater quality assurance. We will provide a 10-year structural guarantee to all Home Ownership Scheme and Private Sector Participation Scheme developments from the date of completion. Besides, contractors' dedicated defect rectification teams will respond speedily to repair calls during in-take. To enhance the objectivity of its building control standards, the HA intends to put public housing under the scrutiny of the Buildings Ordinance. (Chapter 5)


9. To enable the industry to realize its full potential, the HA will contribute positively to build up a professional workforce. We will support the Construction Workers' Registration System and encourage the use of direct labour by contractors. We will work closely with training authorities to develop a visionary training strategy to meet the industry's operational needs. The HA will recognize fully the value of training by raising the professional qualifications of site supervisory staff and the proportion of trade-tested workers through contract requirements. We will step up our site safety measures to provide workers with a decent working environment. (Chapter 6)


10. As sustained improvement is the key to future success, we will work with the industry together to strive for greater efficiency and productivity in housing construction. The HA will promote mechanization of the building process through the wider use of prefabricated building components and system formwork. We will promote research in new technologies by establishing a research fund and an award scheme. We will also facilitate the industry to develop an integrated production process by revising our procurement policies, introducing a pilot "design-and-build" project and widening the use of "non-standard" building designs. We will initiate a consultancy study to examine the causes of relatively high construction costs in Hong Kong. (Chapter 7)


11. We will work with the industry to combat un-restrained multi-layered sub-contracting through the formation of an Organized Specialist Sub-contractors System and the wider use of contract workers. We will extend the normal construction period of new piling and building works by 1 and 2 months respectively to allow contractors to take on board all the reinforced quality-assurance requirements. The HA will also contribute towards sustainable development by introducing a "Green Estate" project and reducing waste generation through a series of environmental conservation initiatives. (Chapter 7)


12. The Housing Department will implement organizational reforms to streamline decision-making mechanisms and to define clearly the roles and responsibilities of different units clearly. The internal check-and-balance system will be reinforced by setting aside all regulatory and performance evaluation functions apart from project implementation. A more efficient and responsive organizational culture and system will be developed to promote partnering with the industry. (Chapter 7)


13. The HA will address existing public concerns on the quality of piling works. We are strengthening our supervision by deploying resident engineers to all piling projects and re-checking the performance of all uncompleted projects. We will review and tighten up the use of pre-cast pre-stressed concrete piles and make provision for 100% checking for large diameter bored piles upon works completion. We will put greater control on sub-contracting activities of piling works and introduce more independent checking during the completion stage. We will tighten up the qualification requirements for piling contractors' site staff and establish the HA's own lists of piling and geotechnical investigation contractors. The HA will work with the Government and other stakeholders closely to uphold the industry's professional ethics and integrity. To meet the current production peak, we will conduct more surprise checks on site and outsource final flat inspection work to independent monitoring professionals for upholding building quality. (Chapter 8)


14. The HA is committed to enhancing building quality with the Government and the industry through partnering and sustained improvement. We welcome views from the industry and the community on our recommendations. We will refine our recommendations having regard to public feedback and draw up concrete implementation plans. (Chapter 9)

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