Initiatives

Compared to many other cities, construction cost in Hong Kong is high. To closely scrutinise project estimates and strengthen the management of public works projects, the following cost control measures and cost reduction initiatives are to be drawn up.

Design Optimisation

Design optimisation is a sensible way to lower the costs of public works projects. To this end, the “Fitness-for-Purpose, No Frills” principle will be adopted. The objective is to rationalise layout for higher usage efficiency and achieve an optimised site configuration and structural design. Meanwhile, superfluousness such as extensive excavation and unnecessary basement construction should be avoided.

Cost Benchmarking

Benchmarking is an objective way of measuring the performance and health of a project or portfolio of project and is designed to raise the quality of cost estimation and control. Cost data from previous projects of a comparable type / scale is analysed to create sources of reference for observing, comparing or predicting the cost of a particular proposed project.

PCMF 2021 – Cultivating Cost-consciousness in
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