Anderson Asphalt Ltd and Others v. Town Planning Board and Another
Read the full judgment text of HCAL 61/2003 on BabelCite. This High Court CFI judgment was delivered on 22 March 2006.
1. This is an application for judicial review against the decision of the Rural and New Town Planning Committee of the Town Planning Board (“ the Board ”) made on 4 April 2003. The Board approved an application by Man Fai Tai Enterprise Ltd. (“ Man Fai Tai ”) to use a piece of land in Sha Ling for an asphalt production plant (“ the said plant ”). Leave was given to Man Fai Tai to join as a respondent to this application.
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HCAL 61/2003 IN THE HIGH COURT OF THE HONG KONG SPECIAL ADMINISTRATIVE REGION COURT OF FIRST INSTANCE CONSTITUTIONAL AND ADMINISTRATIVE LAW PROCEEDINGS NO. 61 OF 2003 ____________ BETWEEN
____________ Before: Hon Chung J in Court Dates of Hearing: 14 to 16 December 2004 and 7 October 2005 Date of Handing Down Judgment: 22 March 2006 ______________ J U D G M E N T ______________ Introduction 1.This is an application for judicial review against the decision of the Rural and New Town Planning Committee of the Town Planning Board (“the Board”) made on 4 April 2003. The Board approved an application by Man Fai Tai Enterprise Ltd. (“Man Fai Tai”) to use a piece of land in Sha Ling for an asphalt production plant (“the said plant”). Leave was given to Man Fai Tai to join as a respondent to this application. 2.The grounds of this application, as set out in the “Notice of Application for leave to apply for Judicial Review” (“Form 86A”) are:-
Some of the said grounds are in fact different aspects of the same point, others may be inter-related points. 3.By the time of the hearing of this application, the applicants have focused their arguments on essentially 2 grounds. To facilitate discussion below, these 2 grounds are set out below (adopting the wordings used in the headings in the applicants’ skeleton submissions):-
Further, the respondents dispute the applicants’ locus standi to commence this application. All these will be examined below. Background Facts 4.The following background is undisputed. 5.The applicants are four of the asphalt producers and operators in Hong Kong. Their operations are all located on non-agricultural lots of land which were obtained by tender and on payment of a substantial annual rent. It is not contended that their businesses are located near the said plant or that the said plant impacts on them from a geographically or environmental perspective. 6.One of the methods by which the Government provides land for asphalt production is as follows. The Lands Department would allocate pieces of land considered to be suitable for asphalt production. The public would then be invited to submit tenders. Results of successful tenders would be published in the Gazette. The related tenancies are short-term. 7.The piece of land referred to in para. 1 above (“the subject lot”) is about 2,600 square metres in size and registered in the name of Man Fai Tai. The surrounding land uses are predominantly rural in character. 8.The District Lands Office has granted short term waiver to operate a concrete batching plant on the subject lot from 1988 to 2002 by way of short term waivers. Further, the subject lot (and its adjoining land en bloc) has been approved by the Director for operating a concrete casting factory in July 1991. 9.The subject lot is within an area which has been zoned “Agricultural” in the Fu Tei Au and Sha Ling OZP. According to the Note (vi)(b) of the OZP, temporary use or development of any land or building not exceeding a period of 3 years requires the permission of Board notwithstanding the use or development is not provided in terms of the OZP. 10.Man Fai Tai put forward an application to change the use of the subject from a concrete batching plant into an asphalt production plant. The Director of Planning (“the Director”) considered the proposal could be tolerated for a period of 3 years and so recommended to the Board. The application was approved on 4 April 2003 by the Board on a temporary basis for a period of 3 years. The Application before the Board 11.Man Fai Tai’s application to the Board was made pursuant to s. 16, Town Planning Ordinance (Cap. 131). 12.Man Fai Tai put forth the following reasons to support its application before the Board:-
Further to the above, the Director drew the Board’s attention to the following:-
13.Other Government departments were also consulted and their views on the following aspects were considered:-
14.The reasons given by the Board for permitting the said plant were:-
15.It should also be noted this was the first time Man Fai Tai applied for permission and it has not indicated it would apply for further permission later. 16.Before turning to consider the grounds in support of this application, it is necessary to mention one particular part of the hearing before the Board. 17.This arises from the applicants’ submission to the effect that the Board failed to consider 2 matters (according to the applicants, inter-related matters), that is, whether:-
18.In support of the above submissions, the applicants refer to the following passages. In the Planning Department’s paper to the Board for the purpose of the meeting, it was said:-
Further, the secretary of the Board has filed an affirmation in this application. The applicants also rely on the following part of her affirmation:-
19.On the other hand, Man Fai Tai contends that the above passages should be considered in the light of the applicants’ submissions before the Board. The following passages of their “Submission to the Town Planning Board” are referred to:-
(under the heading “Temporary use”);
(under the heading “The asphalt production plant is not temporary”). Ground (1) The Board Erred in Law and/or Exceeded Its Powers 20.The gist of the applicants’ complaint here is that the Board has failed to satisfy itself the said plant was indeed temporary. It is submitted, pursuant to the Notes to the OZP, the Board only has power to grant permission for temporary use. 21.In this application (but not at the time of the application to the Board), the applicants have adduced evidence regarding why the said plant was designed and constructed to be a permanent installation:-
22.The Form 86A also complains that:-
23.The Board accepts that it has to consider whether the proposed use is truly temporary if there is any basis for thinking that it is not genuine. However, the Board submits, there is no material before it for so thinking. All that has been placed before it was the assertion that the asphalt production plant:-
24.In this connection, the Board relies on the following observation in Miller-Mead v. Minister of Housing and Local Government and Another [1963] 2 QB 196 (an authority cited by the applicants):-
The Miller-Mead case was concerned with the permission to use land “for the parking of caravans”. The landowner used the caravans for human habitation purposes. 25.The applicants also cite the Town Planning Appeal Board’s decisions in Town Planning Appeal Nos. 16 of 1996, 4 of 1997 and 15 of 1996 in support. The Board points out that those decisions are distinguishable on the facts. Appeal No. 16 of 1996 involved the unauthorized use of land for open storage of scrap metal and construction materials for several years (a period long enough to indicate permanent use). In Appeal No. 4 of 1997, there was an admission from the applicant that the permission would be sought as
Appeal No. 15 of 1996 concerned an application allegedly for permission of intensification of an existing use; that was rejected by the Appeal Board. 26.Man Fai Tai disagrees with the applicants based essentially on the same reasons put forth by the Board above. Emphasis has been placed on the manner in which the matter was argued before the Board and the absence at the time of the evidence now adduced by the applicants. 27.I agree with the Board and Man Fai Tai. The manner in which the Board should take into account matters depends on the circumstances of each case. Where there was merely an assertion without the necessary factual basis, it would be imposing on the Board too high a duty to say that it must enquire into the assertion. 28.The applicants’ case before the Board regarding this aspect was in effect a mere assertion that it would not be commercially viable for a plant
to be used for a period of 3 years only. The Board was quite entitled to disregard a complaint like that. If anything, the Board, being a statutory body vested with the powers and duties to consider matters from a town planning perspective, is not equipped to consider
This is especially so when no proper material has been presented to the Board in support. Ground (2) The Board Failed to Enquire or Consider Matters 29.The applicants complain that the Board failed to enquire or consider 2 very relevant (and related) matters:-
30.I consider this argument to be closely related to the one examined under the previous heading. For the reasons set out thereunder, I also find that there is no merit as regards this complaint. The Notes to the OZP confer on the Board a discretionary power. A proper exercise of that power cannot be viewed as an act to frustrate the planning intention. Locus Standi of the Applicants 31.S. 21K(3), High Court Ordinance (Cap. 4) provides:-
The emphasised parts of that provision are mirrored in RHC Ord. 53 r. 3(7). 32.The applicants submit that the current state of law is such that locus standi is by itself effectively no longer a bar to an application for judicial review. Not only is the matter to be approached liberally, subsequent to the leave application stage, the locus standi issue is to be determined as a matter of discretion, and not as a matter of jurisdiction. In other words, after the leave application stage, the court no longer has power to refuse leave on the ground that the applicant lacks locus standi to commence the application. The court can at most refuse to grant relief by way of the exercise of its discretion. 33.The applicants say that such a state of law is consistent with both s. 21K(3), Cap.4 and Ord. 53 r.3(7) both of which
I disagree with the applicants regarding this submission. 34.The actual words used in the provisions are:-
and
unless it considers that sufficient interest has been shown. They do not provide, for example, that:-
(or other similar wordings), it considers that sufficient interest has been shown. 35.The actual wordings used by the provisions show that the legislature must have intended the matter to relate to the court’s jurisdiction. On the other hand, the wordings appearing in the example given in para. 34 above may arguably intend that the court should have different powers at different stages of the proceedings. 36.Even in Hong Kong, where the rules permit leave applications to be heard inter partes, the usual practice is that leave applications are determined on ex parte basis. The commentaries in Hong Kong Civil Procedure 2006, para. 53/14/4 state that, where leave to apply has been granted ex parte it is open to a respondent to apply for the grant of leave to be set aside. No authority has been referred to in support of the statement, but it is likely to be based, for example, on Ord. 32 r. 6. There is no valid reason why, on the respondent’s inter partes application, leave can be discharged on other grounds but not on the ground of lack of sufficient interest. 37.The applicants submit that their contention is supported by textbooks and authorities. The learned authors of de Smith, Woolf & Jowell: Judicial Review of Administrative Action (1995) 5th Ed. state:-
The above passage was endorsed by the court of appeal in Association of Expatriate Civil Servants of Hong Kong v. Secretary for the Civil Service (1996) 6 HKPLR 333, 368H. 38.They also refer to the following passages in the House of Lords decision in R. v. Inland Revenue Commissioners, ex parte National Federation of Self-Employed and Small Businesses Ltd. [1982] AC 617:-
39.The applicants say that, the learned authors of Wade & Forsyth: Administrative Law (2004) 9th Ed., when commenting on the effect of ex parte National Federation of Self-Employed and Small Businesses Ltd., opined that:-
40.But insofar as Lord Diplock can be taken as saying that locus standi is no longer a point worth consideration, his view was not shared by the other law lords in ex parte National Federation of Self-Employed and Small Businesses Ltd.:-
Lord Scarman appeared to agree that locus standi was a matter which needed to be determined in the manner set out by Lord Wilberforce, Lord Fraser and Lord Roskill (quoted above): see pp. 652H-653A, 653B, 653EF-H and 654H-655B. 41.The applicants admit (as they must in the factual context of this application) that their interest which has been affected is commercial in nature. They frankly state:-
A similar statement was made in the applicants’ supporting affirmation. 42.The respondents are clearly correct in contending that the Board should only be concerned with town planning matters. Matters which are only relevant to commercial interests, or to ensuring a commercial “level playing field” among competitors and the like are totally beyond the Board’s powers and duties which are to make decisions in accordance with the relevant provisions of Cap. 131. 43.The applicants also argue that commercial interest is sufficient, relying on decisions such as:-
44.It is unclear if the applicants are arguing that commercial interest confers the sufficient locus standi irrespective of the context with which the judicial review is concerned. Insofar as they so argue, none of the decisions they rely on support such sweeping proposition (which proposition I find to be wrong). The above decisions rather show that locus standi is very much an issue the court must decide because it pertains to jurisdiction: see, for example, ex parte Child Poverty Action Group, at p. 556E-G. They also show that, where necessary, the issue has to be determined after considering the factual and statutory context as a whole. 45.The above decisions can be categorised into the following. 46.First, instances where the applicants’ locus standi arose out of their commercial interest. They involved an allegation that the administrative decision under challenge unlawfully and unfairly favoured their competitors. However, these were instances where the decision-makers ought reasonably, by virtue of the factual and statutory context, to have considered the unlawfulness and unfairness:-
47.Second, instances where the administrative act under challenged has a nation-wide effect (or at least an effect which was locality-wide) and as a result either everyone could become the applicant or no one could:-
48.In some of the instances referred to in para. 47 above, the applicants were bodies which have either a widely recognised status and/or reputation, and/or have a presence (although this may be through their supporters or members):-
49.I regard the proper test for deciding the locus standi issue to have correctly been set out in the speeches of Lord Wilberforce, Lord Fraser and Lord Roskill (quoted in para. 40 above). I do not consider anything said in de Smith, the decision in Association of Expatriate Civil Servants of Hong Kong or Wade & Forsyth (also quoted above) to be inconsistent with those speeches. 50.Applying that test to the factual and statutory context of this application, I conclude that the applicants do not have sufficient interest to make this application. 51.The applicants also contend they have sufficient interest in this application because they have been allowed by the Board to take part in the application before the Board: para. 47, Form 86A. Locus standi in this application is a matter of law to be judged in accordance with the observations set out in para. 40 above. Mere participation in an earlier proceeding which leads to this application cannot confer such interest. Insofar as they should say that Patmor assist this contention, I disagree. Conclusion 52.To conclude, this application is refused. Costs Order Nisi 53.There is no apparent reason to depart from the usual rule that costs should follow the event. There will accordingly be a costs order nisi pursuant to Ord 42 r 5B(6) that the costs of this application (including any reserved costs) be paid by the applicants to the respondents to be taxed if not agreed.
Mr Benjamin Yu, SC leading Mr Anthony Ismail, instructed by Messrs Johnson, Stokes & Master, for the Applicants Mr Simon Westbrook, SC leading Mr Gregory Payne, SGC of Secretary for Justice, for the 1st Respondent Mr Alan Hoo, SC leading Mr Alfred H H Chan, instructed by Messrs Fred Kan & Co., for the 2nd Respondent Appeal allowed: see CACV155/2006 dated 30 March 2007 |
Cases cited in this judgment
Further hearings and rulings under HCAL 61/2003