Transportation Deployment Casebook/2023/Hong Kong

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The introduction of ferry[edit | edit source]

A ferry is a ship, boat, or amphibious vehicle used to carry passengers, sometimes vehicles and cargo, across water. Ferries are part of the public transportation system of many waterfront cities and islands. There are many stops for small ferries, such as in Venice, Italy, sometimes referred to as water buses or water cabs.

Compared with bridges and tunnels, ferries advantage has a shorter construction period, which are less expensive to build, and can form transportation capacity more quickly. However, the bridges and tunnels are convenient and fast to pass, which is more conducive to increasing the transportation capacity of the whole line. Therefore, with the construction and development of bridges and tunnels, ferries will be gradually replaced in most cases. For example, the Channel Rail Tunnel, which was completed and opened in May 1994, replaced the Channel Rail and road ferries, and connected the UK to the European continent. [1](Bian, 2009) There are widespread applications in Hong Kong, Mumbai, India, Russia and many other places around the world. The design of a ferry depends on the length of the route, the required passenger or vehicle capacity, the speed requirements and the water condition the vessel must cope with.

Ferry technology uses propulsion systems which can typically powered by diesel engines; Navigation equipment needs to withstand the natural environment such as waves and wind, and ensure the safety of passengers and cargo; Automation systems can control parameters such as vessel movement, position and speed, thereby improving operational efficiency, reducing personnel requirements and increasing safety; Aids to navigation to ensure safe navigation, ferry vessels are usually equipped with a variety of aids, such as radar, GPS navigation, and communication equipment, to help the crew monitor the vessel's position and environment, as well as communicate with land and other vessels.

The limitation of the ferry[edit | edit source]

Small boats, rafts, and canoes were the main modes of water transportation before the invention of the ferry. Larger boats, such as galleys and commerce ships, were available and mostly employed for long-distance travel rather than local transit. Land-based alternatives included horse-drawn carriages, wagons, and carts. The condition of the road infrastructure, which was inadequate and difficult to traverse these modes. This made it difficult and time-consuming to carry goods and people over land.

At the same time, the development of steam power and advances in shipbuilding technology made it possible to build larger, more stable vessels that could more efficiently transport people and cargo through bodies of water. These factors, combined with the growing demand for transportation, have prompted interest in the development of ferries and other types of water-based transportation. In addition, the growth of tourism and leisure travel to coastal and island destinations has created a demand for reliable and efficient transportation options. This has led to the development of specialized vessels, such as passenger ferries and sightseeing boats, to meet the needs of travelers and tourists.

Overall, the limitations of existing modes of transportation, coupled with the growing demand for faster and more efficient transportation, have prompted interest in the development of ferries and other types of water-based transportation that offer an innovative way to move goods and people across waters.

The invention of the ferry[edit | edit source]

The invention of the ferry mode dates to ancient times, when humans first began using boats to transport people and goods through bodies of water.[2] However, the modern ferry as we know it today originated in the 19th century, when advances in steam power and shipbuilding technology made it possible to build larger and more reliable vessels. (Bruzzone et al., 2012)

The development of ferries required the integration of multiple expertise, including shipbuilding, steam engine design, navigation and safety systems. Shipbuilders were responsible for designing and building the ferry's hull, while steam engine designers were responsible for developing the propulsion system. Navigation specialists were required to design the route and ensure safe navigation, while safety specialists were responsible for developing systems to protect passengers and crew in the event of an emergency. In addition to hardware, software plays a crucial role in the development of ferry technology. Navigation tools, such as compasses and sextants,

Several distinct types of vessels were employed for transportation in the early days of ferry travel. Sidewheelers, sternwheelers, and propeller boats were among them. Each design had its own set of benefits and drawbacks, and the evolution from the initial concept evolved in the face of early experience. Early sidewheelers, for example, were popular due to their speed and agility, but they were also prone to capsize in heavy waves. As a result, the sternwheeler was developed, which was more stable but slower and less agile.

The invention of the ferry represents a combination of various technical expertise, including ship construction, navigation, propulsion systems, and communication technologies. The evolution of ferry technology demonstrates the continuous improvement of transportation systems throughout history.

The Hong Kong ferry[edit | edit source]

As a part of China, Hong Kong has undergone great historical changes and has a pivotal position in the world. Hong Kong Ferry is one of the most important means of transportation in Hong Kong, mainly used to connect different areas of Hong Kong Island, Kowloon and the New Territories.

Market development[edit | edit source]

The history of Hong Kong's boat market is intertwined with the city's colonial past. Due to the inflow of foreign traders and immigration in the mid-nineteenth century, Hong Kong's population increased fast. The natural port of the city made it a perfect position for marine trade, and ferries were essential in linking different areas of the city and aiding business.

Originally, modest operators providing basic transportation services between various regions of Hong Kong Island and the mainland dominated the ferry business. Customers served by these operations included traders, labourers, and residents. Upgrades were vital in the early phases of the ferry market's development as operators fought to provide better services and attract more consumers. This resulted in larger and more comfortable boats, greater safety features, and more regular and consistent schedules. To cut wait times and improve customer convenience, operators have also built more efficient ticketing and boarding systems. When operators found new market niches and developed their offerings to satisfy rising consumer needs, functional requirements have also played a role in market growth. Some operators, for example, have established night boats to accommodate the expanding entertainment business, whilst others have developed specialised services for visitors and sightseers. The ferry market in Hong Kong is getting increasingly competitive as the city continues to expand and develop, and larger operators are beginning to dominate the business. Nonetheless, the early history of the Hong Kong ferry business demonstrates that functional development and feature research were critical in propelling the market ahead and addressing customers' shifting wants.

Impact of the different policy[edit | edit source]

Birth[edit | edit source]

During the birth of the ferry market in Hong Kong, policy played a critical role in shaping the industry and facilitating its development. Many of the policies implemented during this period borrowed from earlier ferry models, while others were innovated to suit the unique needs and challenges of Hong Kong.

An example of a policy that borrowed from earlier models is the development of ferry routes and schedules. This is based on the experience of other ferry markets that have developed standardized routes and schedules to ensure consistent and reliable service. In Hong Kong, ferry operators work closely with the government to develop routes and schedules that meet the needs of different customers and markets.

Another policy that draws on the precursor model is the development of safety regulations and standards. This is particularly important in Hong Kong, where the city's natural harbor and busy waterways pose significant safety challenges. The government works closely with ferry operators to develop and enforce safety regulations to help ensure the safety of passengers and crew. In addition to policies that build on previous models, the Hong Kong ferry market has innovated new policies specifically tailored to the local environment. For example, Government incentives have been developed to encourage the growth of night boats to service the expanding entertainment market.

The government has implemented or approved other policies, such as fare and tariff setting. The government has played a key role in regulating fares to ensure that they are fair and reasonable for customers, while also allowing operators to generate sufficient revenue to maintain and improve their services. Overall, the policies pursued by the Hong Kong ferry market during its birth phase have been critical to its development and success. Many of these policies built on earlier models, while others innovated to adapt to the unique needs and challenges of the local environment. Some policies were embedded and became part of the industry's infrastructure, while others were imposed or approved by the government. Collectively, these policies have helped shape the industry and laid the foundation for its continued growth and evolution.

The development of the Hong Kong ferry model has been a complex process involving both public and private institutions. The policy environment has had a significant impact on the industry throughout this period.

In the early stages of ferry market growth, the private sector dominated. As ferry operators invested in building larger, more modern vessels, introducing new services and routes, and competing aggressively to capture market share. This has helped drive innovation and improve the quality of service provided to customers.

The public sector has also played a key role in the growth of the ferry market. The government has established a regulatory framework to ensure the safety and reliability of services and has worked with ferry operators to develop standardized routes and schedules. The government also played a role in setting fares and tariffs to ensure affordability and access to services for all customers.

As there are more private shipping companies, they compete. The main issue that arose during this period was the need to balance the interests of ferry operators and customers. As the industry grows and competition intensifies, operators sometimes put profits ahead of service quality and customers can become extremely dissatisfied. Policymakers must develop policies that support the profitability of the industry while protecting the interests of customers in such situations.

Another policy issue is the need to ensure the safety of passengers and staff. This is particularly important for Hong Kong, where the natural harbor and busy waterways pose significant safety challenges. Policymakers worked closely with ferry operators to develop and enforce safety regulations that would help reduce the risk of accidents and incidents.

Overall, the development of Hong Kong ferries during the growth period has been shaped by a complex interplay between the public and private sectors. Policymakers have had to deal with a range of policy issues and challenges, while also responding to the changing needs and expectations of customers and operators. During this period, the policy environment has played a key role in shaping policy development, influencing the direction and content of policy and helping to support the continued growth and success of the industry.

Growth[edit | edit source]

The development of the Hong Kong ferry model has been a complex process involving both public and private institutions. The policy environment has had a significant impact on the industry throughout this period.

In the early stages of ferry market growth, the private sector dominated. As ferry operators invested in building larger, more modern vessels, introducing new services and routes, and competing aggressively to capture market share. This has helped drive innovation and improve the quality of service provided to customers.

The public sector has also played a key role in the growth of the ferry market. The government has established a regulatory framework to ensure the safety and reliability of services and has worked with ferry operators to develop standardized routes and schedules. The government also played a role in setting fares and tariffs to ensure affordability and access to services for all customers.

As there are more private shipping companies, they compete. The main issue that arose during this period was the need to balance the interests of ferry operators and customers. As the industry grows and competition intensifies, operators sometimes put profits ahead of service quality and customers can become extremely dissatisfied. Policymakers must develop policies that support the profitability of the industry while protecting the interests of customers in such situations.

Another policy issue is the need to ensure the safety of passengers and staff. This is particularly important for Hong Kong, where the natural harbor and busy waterways pose significant safety challenges. Policymakers worked closely with ferry operators to develop and enforce safety regulations that would help reduce the risk of accidents and incidents.

Overall, the development of Hong Kong ferries during the growth period has been shaped by a complex interplay between the public and private sectors. Policymakers have had to deal with a range of policy issues and challenges, while also responding to the changing needs and expectations of customers and operators. During this period, the policy environment has played a key role in shaping policy development, influencing the direction and content of policy and helping to support the continued growth and success of the industry.

Mature[edit | edit source]

During the maturity phase of the Hong Kong ferry market, the industry evolved to adapt to changing markets, competitive environments and policy values. This period was characterized by a series of experimentation with models and the challenges associated with lock-in and the need for reinvention.

One of the major challenges during this period was adapting to changing market conditions, including changes in customer preferences, demographic trends, and economic factors. In response to these changes, ferry operators introduced new services and routes, upgraded their vessels, and improved the quality of customer service. For example, some operators have introduced high-speed ferries to cater to speed- and efficiency-conscious customers, while others have focused on developing more luxurious and personalized services for high-end customers.

The competitive environment is also an important factor in the maturing phase of the ferry market. The industry faces increasing competition from other modes of transportation, such as buses, trains and automobiles. This required a focus on improving the speed, reliability and convenience of ferry services in order to remain competitive. Policy also played a role in the development of the ferry market during this period. Policymakers placed greater emphasis on sustainability and environmental protection, leading to the adoption of new technologies and practices to reduce the industry's carbon footprint. For example, some operators have begun to introduce hybrid or electric vessels to reduce their reliance on fossil fuels and improve their environmental performance. (Tsoi & Loo, 2021)

However, the ferry industry's ability to adapt and transform itself was significantly limited during this period. Many of the policies, infrastructure and organizational structures established during the birth and growth phases of the market became entrenched and difficult to introduce significant changes. For example, the standardized routes and schedules established in the early stages of the industry are difficult to modify or replace, even as customer needs, and competitive conditions change.

For these problems, adapting the ferry model to better serve the needs of today and tomorrow is also a way to innovate. One possibility is to focus on developing more sustainable and environmentally friendly services, such as introducing new low-emission vessels or exploring alternative fuels. Another opportunity is to use digital technology to improve the efficiency and convenience of ferry services, such as introducing mobile ticketing and real-time update services.

Thus, the Hong Kong ferry market has reached a mature stage and due to the development of other modes of transport, a number of attempts are required to adapt to the changing market, competitive environment and policy values.

Year passengers(thousands)
1968 129000
1969 135000
1970 162000
1971 186000
1972 201000
1973 210000
1974 214000
1975 228000
1976 247000
1977 264000
1978 281000
1979 297000
1980 306000
1981 314000
1982 325000
1983 334000
1984 353000
1985 334000
1986 365000
1987 403000
1988 415000
1989 413000
1990 406000
1991 394000
1992 391000
The number of passengers from 1986-1992

Quantitative analysis[edit | edit source]

Birth[edit | edit source]

Since its establishment in 1968, according to the official data of Hong Kong Ferry Company. Due to the problem of the early historical development of Hong Kong ferries and the fact that there are many Hong Kong ferry companies, so the data is not accurate. The S-Curve fits the real data probably relevant to reality. According to historical books and records we can find the early development pattern of Hong Kong ferries, in the war era before 1960, the number of passengers taking ferries was chaotic and numerous, the number of Hong Kong ferry passengers in the infancy period was not much, but after 1960, Hong Kong developed rapidly, industrialization and modern equipment were complete, ferries as one of the important transportation modes to communicate between Hong Kong Island and Kowloon, the number of passengers also increased dramatically, in In the short decade of 1955-1965, the number of ferry rides increased by 100 million.

Growth[edit | edit source]

Regression

The two decades between 1970 and 1990 were a period of growth for Hong Kong ferries, when social development stabilized, urban construction intensified rapidly, and the number of ferry riders was on the rise.

Mature[edit | edit source]

After 1995, the development of Hong Kong ferries entered a mature stage, as ferry ride times were slow compared to car bridges, and other modes of transportation partially replaced the ferries. Ferry ridership begins partial decline.

Conclusion[edit | edit source]

The development of transportation has been influenced by a combination of political, environmental, and technological factors. Although ferries are slow and with the completion of the Hong Kong Cross Harbour Tunnel and the development of road bridges, Hong Kong ferries have developed vigorously in modern times mainly as a means of tourism, with some commuting being an integral part of the journey as well.

In Hong Kong, an important phenomenon is the continuous decline of ferry passenger traffic. There are two main reasons for this: Poor service levels and stronger competitors. New roads, bridges and tunnels serve buses and, to some extent, railroads. Firstly, there is no need to promote ferries in a free market environment; What's more, ferries have the best safety record and ferries can only relieve some of the traffic congestion and demand for waterways[3], which is one of the characteristics of Hong Kong. (Ceder, 2006)

References[edit | edit source]

  1. Bian, S. (2009). Encyclopedia of China /Encyclopedia of China. Zhongguo Da Bai Ke Quan Shu Chu Ban She.
  2. Bruzzone, A., National Research Council (U.S.). Transportation Research Board, Transit Cooperative Research Program, United States. Federal Transit Administration, & Transit Development Corporation. (2012). Guidelines for ferry transportation services. Transportation Research Board.
  3. Ceder, A. (Avi). (2006). Planning and Evaluation of Passenger Ferry Service in Hong Kong. Transportation, 33(2), 133–152.
  4. Merritt Roe Smith. (2015). Harpers Ferry Armory and the New Technology. Cornell University Press.
  5. Tsoi, K. H., & Loo, B. P. Y. (2021). Cutting the loss: International benchmarking of a sustainable ferry business model. Transportation Research Part A: Policy and Practice, 145, 167–188.
  1. Bian, S. (2009). Encyclopedia of China /Encyclopedia of China. Zhongguo Da Bai Ke Quan Shu Chu Ban She.
  2. Guidelines for ferry transportation services.
  3. Ceder, A. (Avi). (2006). Planning and Evaluation of Passenger Ferry Service in Hong Kong. Transportation, 33(2), 133–152. https://doi.org/10.1007/s11116-005-3047-1