| Business was good at the Airport and Vehicle
Engineering Division in 2005/06, as a result of the growth
and expansion of the Hong Kong International Airport and
its adjunct facilities, as well as a successful turnaround
of the Division's vehicle business which achieved breakeven
after focused efforts to consolidate costs and grow revenue
over the past few years. |
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| Despite fierce competition, the Division
did well in its business with the Hong Kong Airport Authority
(AA), winning new contracts such as the design, supply
and installation of a localised motor control centre that
provides backup control to enhance the reliability of
the Baggage Handling System. Besides, the Division has
completed the Radio Frequency Identification (RFID) installations
in the Baggage Handling System, which it also maintains.
The Division also secured works to modify two aircraft
loading bridges to receive the new Airbus A380, the world's
largest aircraft. During the year, the Division won two
major maintenance contracts put to tender by the AA, namely
the Chek Lap Kok Wastewater Treatment Plant and Airfield
Ground Lighting Installation maintenance contracts. |
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| Work for government facilities at the airport
also brought in better-than-expected revenue. A 5-year
Service Level Agreement (SLA) was secured to cover maintenance
work at the Government VIP lounge at the airport on behalf
of the Protocol Division, Government Secretariat, and
another SLA secured with the Architectural Services Department
to operate and maintain E&M systems in Penny's Bay
Development Area. |
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| The key achievement of the Division's vehicle
engineering business in 2005/06 was securing a milestone
10-year SLA with the Fire Services Department, adding
stability to the business. The year also saw no vehicle
business lost. All the Division's major vehicle workshops
in Kowloon were successfully relocated to the new EMSD
headquarters in August 2005 and subsequently underwent
a full-scale reorganisation. |
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| The Division continued to deploy new technologies
to help clients improve performance and energy efficiency.
Examples include a pilot project to improve surge protection
for the Hong Kong Observatory's hilltop anemometer masts
to reduce downtime caused by lightning; the deployment
of a state-of-the-art fleet management system in ambulances;
and the continuing promotion of the use of hybrid vehicles.
It has also embarked on the design of the first automated
helicopter-washing system for Government Flying Service
and a rooftop solar energy system for the Hong Kong Police
Force. |
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| Prospects for 2006/07 are positive. The
airport Terminal 2 is scheduled to open in late 2006 and
this will boost E&M maintenance business for the Customs
and Excise Department, Immigration Department and the
Hong Kong Police Force. Thriving business at the airport
itself also means opportunities for the Division to help
enhance AA's major engineering systems such as the Baggage
Handling System. At the same time, the vehicle business
will continue to leverage its unique strengths in specialist
vehicle procurement to tap business opportunities arising
from clients' need for a wide variety of specialist vehicles.
These include mountain rescue vehicles, foam tenders,
specialist vehicles for the Route 8 control area, and
mobile X-ray vehicle scanning systems. The Division is
optimistic about business in 2006/07. |
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| During the year, the Division continued
to win the approval of its clients. AA's contract performance
appraisals are up by an average of 10%. The Division also
won a Bronze Award in the 2006 Hong Kong Airport Authority
Technical Services Contractors Safety Performance Competition. |
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