Last month, Macau took charge of a maritime zone of 85 square kilometers. The Chinese State Council confirmed the SAR’s jurisdiction over these new areas and there is a strong possibility that new reclaimed land could be built on them in the future. The most important condition however: no casinos will be allowed in those new territories
In December, the Chinese State Council approved a new resolution for Macau’s territorial map, defining the SAR’s jurisdiction over land and sea. Not only has the city gained control over extra sea area, but also over Canla dos Patos, the small but important water channel separating Macau from Mainland China around the Ilha Verde district, where the new Border Gate has been operating 24 hours-a-day for some time already.
The decision was confirmed on December 20, the sixteenth anniversary of the Handover of Macau back to the PRC in 1999. On the same day, three administrative resolutions also took effect, all considered indispensable by the Chief of Cabinet of the Chief Executive, Ms. O Lam. These resolutions include the sharing of responsibilities between the Central Government and the Macau Government regarding issues such as: regulating the traffic of vessels and their staff in the region; the restructuring of the Maritime Affairs Bureau to face these new challenges; and issues associated with dredging in the new territories.
Ms. O Lam expressed her appreciation to Beijing for the decision to give Macau control over an extra 85 square kilometers of sea, and sees it as an opportunity for Macau’s development.
“It substantially expands the area for the development of the Macau SAR and it gives a new dynamic to sustainable development and economic diversification,” said Chui Sai On’s Chief of Cabinet during a press conference last month. “We’re paying attention to the efficient usage of the sea waters, strictly according to the principle of taking advantage of the sea, based on scientific criteria. For every reclaimed land project, the SAR Government will maintain communication with the Central Government, and following the non-usage of new reclaimed lands for projects associated with the gaming industry,” she added.
The absence of casinos in possible new reclaimed land areas was one of the few guarantees offered by the local Government during December’s press conference. Despite the new sea area under Macau’s jurisdiction opening the chance for new reclaimed areas, Ms. O Lam stressed that at this stage there are no plans to develop new areas, other than the five reclaimed land zones currently being developed.
“It’s too early for us to talk about new reclaimed land areas other than the ones that have already been approved,” she said. “In response to the economic development of Macau, it’s necessary to make applications to the Central Government if the local government wants reclamation,” she explained.
Most of the sea area coming under Macau’s jurisdiction is located next to Coloane and Taipa, but the Inner Harbor waters will most likely be part of it as well.
The Secretary for Economy and Finance, Lionel Leong, thinks the decision by the State Council to enlarge Macau’s maritime area is “a huge stimulus for the development of an economy guided to diversification, in order to create a tourism and leisure centre”.
Leong believes this is an opportunity for Macau to benefit from strong investment in non-gaming activities and an increasing policy of regional cooperation, mainly with Guangdong province. The Secretary gave the sea cruise industry as an example of possible future non-gaming activities.
Where are you going, Macau?
After having harassed the gaming concessionaires last year, sending most of the high-rollers away to other destinations and forcing the SAR Government and local agents to abandon their wonderland-like lifestyles where everything was too easy, finally Beijing has now offered a gesture of tenderness towards Macau.
Last month, Macau won the lottery when the Chinese State Council more than tripled the SAR’s area of jurisdiction – even if the rewards won’t be immediate and seem more like a prize to be collected bit by bit. The more efficient the Government manages to be, the bigger the gains the city can take from the 85 square kilometers handed to Macau, and from what might be built there in the future.
And let there be no doubt: almost everyone believes that this new maritime jurisdiction will be used, in the not too distant future, to build more reclaimed land. The possibility of new reclaimed areas is clear in Beijing’s guidelines, as it comes with a specific requirement, something absolutely key as far as the Central Government’s new strategy for the development of Macau is concerned. Still living under the influence of ten years of dramatic growth, the SAR hasn’t fully digested the new circumstances it is facing. And these new game rules are significant for the gaming operators, for entrepreneurs, investors and even a number of local residents who have been blinded by the Midas touch associated with the gaming industry. Macau is like a widow who refuses to mourn her husband and everyday keeps chatting with her husband’s empty plate, placed right in front of her.
Last month however, Beijing held a definitive wake for the gaming industry, ending all illusions about the future expansion of the sector. By stipulating that no new gaming infrastructure would be permitted on any upcoming reclaimed land born out of this 85 square kilometers of water, the Central Government is restricting the industry’s development to what we’re already familiar with these days. In other words: gaming expansion won’t go further than Cotai.
What might have seemed like an absurdity at the beginning of this decade – almost like an act of hara kiri to Macau 16 years after the Handover – nowadays not only seems like a wise decision, but also the best way to pursue the delayed plan of economic diversification. Without the inevitable greed of the gaming industry landlords, the future reclaimed areas will 'only' face the avidity of the property market viscounts, which by itself won’t be easy.
Still, if the local Government can show the capacity to manage those new areas by prioritizing the common good and have enough lucidity not to repeat the same mistakes of the past, this enlargement of Macau’s jurisdiction could really be a lifeline to a city struggling for too long with a mindset where everything is immediate, where everyone tries to take the best for themselves and where the easy profit paradigm prevails.
In no other area has the easy profit syndrome had such bad results as in urban development. Other than opening a casino, the easiest way of making money in Macau has been to buy an old Chinese-style house, tear it down and build a concrete aberration with three or four stories. This process has been repeated dozens if not hundreds of times in recent years, around the Inner Harbour, Barra, Fai Chi Kei, Patane and Praia do Manduco. The result is a misshapen city, built while removing memory and history.
If these possible new reclaimed land zones can work as a sign of hope for the old city that still remains, then we should thank Beijing. If not, so may the gods have mercy on Macau.
