The Chief Executive in Council has approved the Peak Tramways Company’s right to run the Peak Tramway for 10 more years from January 1, 2026.
The company will implement an upgrading plan which includes increasing the tramcar capacity, constructing a covered queuing and waiting area at the Peak Tram’s lower terminus and renovating the upper terminus platform areas.
The company will invest more than $650 million for implementing the upgrading plan, expected to be completed in 2021.
The council has approved granting the company the use of three additional pieces of Government land with an area of about 426 sq m for implementing the upgrade.
The company will continue to pay the Government 12% of its annual revenue to cover the use of the Government land that the tram track and intermediate stations lie on.
It will also set a service pledge on tram frequency.
The Government said it is satisfied with the company’s commitment and capability of implementing an upgrading plan which will be conducive to maintaining the Peak Tramway as an important tourism and recreational facility.
Technical amendments to the Peak Tramway (Safety) Regulations and the Peak Tramway Ordinance will be introduced into the Legislative Council to implement the upgrading plan.