Editorial | Prudence the watchword in U-turn over air mail centre redevelopment
Moving away from redeveloping the centre is likely wise, but with the scheduled commissioning so close, the timing is open to question
To be fair, the government could not have envisaged the intensifying tussles between the United States and China and other global conflicts when the upgrading of the existing mail facilities went ahead in 2021. Citing an almost 70 per cent drop in the projected air mail volume, the Commerce and Economic Development Bureau said the redevelopment was no longer cost-effective.
With the projected air mail volume down almost 70 per cent from the original forecast for 2046, officials said they would opt for alternatives, such as refurbishing the existing centre to enhance its facilities. Considering the project had only spent HK$136 million on consultancy and contractor services, or less than 3 per cent of the budget approved so far, an early termination is arguably a prudent step. But with the scheduled commissioning just two years away, the decision and the timing are also open to question.
The upgrading was part of a plan to meet demand from the booming e-commerce industry for cross-border postal services and contribute to developing the Greater Bay Area into a postal and logistics hub for the country. Given the prevailing economic and political volatility, there might well be a need for the government to readjust its strategy should postal volumes pick up again.