The Policy Innovation and Co-ordination Office (PICO) was a creation in Carrie Lam's Policy Address in 2017 to revamp the Central Policy Unit. It has commenced operation since 1 April 2018, and ceased operation from 1 July 2022.
The Policy Innovation and Co-ordination Office is a policy and innovation unit advising the Chief Executive of Hong Kong and coordinates with other areas of the Government of Hong Kong (namely bureaux and departments) to enhance public participation in policy creation.
Functions The Council of Advisers on Innovation and Strategic Development was established in 2018 to replace the two former advisory bodies (Commission on Strategic Development and the Economic Development Commission). In light of the establishment of the new advisory council, PICO would provide the council with secretariat services and research support to facilitate objective and systemic discussions based on evidence.Legislative Council (20 November 2017) Legislative Council Panel on Public Service Review and Revamp of the Central Policy Unit. Retrieved 18 May 2022 at https://www.legco.gov.hk/yr17-18/english/panels/ps/papers/ps20171120cb4-212-4-e.pdf
PICO manages the current two policy research funding schemes in Hong Kong, namely the Strategic Public Policy Research Funding Scheme and the Public Policy Research Funding Scheme.
The "first-stop" and "one-stop" consultation services have been provided by the small dedicated offices in the Development Bureau and later the Chief Secretary for Administration's Office from 2009 to 2017.
Increasing the participation of young people in policy making has been an important reason why PICO was established. Carrie Lam, when she was still the Chief Executive-elect in 2017, had talked about her intention to reorganise the Central Policy Unit to a new organisation to employ 20-30 young people on a non-civil servant contractual basis to nurture them as young and energetic policy designers for around three years. This vision has laid down the framework for the later establishment of the PICO. Before the establishment of PICO, Carrie Lam has also suggested that when the contract concludes, these young people could either return to their original work and training, or they would have nurtured sufficient interest in politics that they could, for instance, participate in District Council elections.
Further, since PICO would formulate different policy research and co-ordination work, PICO would also make different arrangements for engaging the different stakeholders concerned and the general public. For instance, the PICO could arrange engagements of different forms, such as small group meetings with experts, focus groups, workshops and public meetings.
Reorganisation of government structure for sixth term government The PICO is also responsible for drafting the proposal for the reorganisation of government for the 6th-term government. On 17 May, the Executive Council endorsed the proposal for reorganisation. After the government published the package of proposals to reorganise the government structure, neither PICO nor the former CPU was seen in the reorganisation structure. It is uncertain whether the PICO's functions would change in the new government, as well as whether PICO would remain in the new government. Yet, as the Chief Executive-Elect John Lee suggested, policy research and innovation are essential to the government, and if the PICO will no longer exist in the new government, another revamp will be made through the establishment of another new organ in the government structure.
Organisation The structure of the Office is as follows,Item for Establishment Subcommittee of Finance Committee (EC(2017-18)14). Legislative Council . (20 December 2017). Retrieved 12 May 2022, from https://www.legco.gov.hk/yr17-18/english/fc/esc/papers/e17-14e.pdf
Head (Non-Civil Service Appointment (D8-equivalent)/ Administrative Officer Staff Grade A1 (D8) Deputy Head (1) (Administrative Officer Staff Grade B1 (D4) Administration and General Team Assistant Head (1); Assistant Head (2) (Administrative Officer Staff Grade C (D2) Secretariat to CE's Council of Advisers Policy Research and Co-ordination Team Deputy Head (2) (Administrative Officer Staff Grade B (D3) Assistant Head (3) (Administrative Officer Staff Grade C (D2) Project Co-ordination Team Policy Research and Co-ordination Team Deputy Head (3) (Administrative Officer Staff Grade B (D3) Assistant Head (4) (Administrative Officer Staff Grade C (D2) Statistics Team Policy Research and Co-ordination Team Public Policy Research Funding Team
The head of the Office is responsible to the Chief Executive.
The Chief Executive's Council of Advisers on Innovation and Strategic Development was formed alongside the Office in 2018. It replaced two former advisory bodies – the Commission on Strategic Development and the Economic Development Commission, both of which also used to be chaired by the Chief Executive. One of the functions of the Office is to provide secretariat and research support to the Chief Executive's Council of Advisers on Innovation and Strategic Development.
Development The Office was seen as a replacement for the Central Policy Unit (CPU). CPU was formally established in 1989 to supplement the then Government Secretariat's work by researching and examining specific policy issues.Legislative Council. (20 November 2017). For discussion on 20 November 2017 Legislative Council Panel on Public Service Review and Revamp of the Central Policy Unit PUR. Legislative Council Paper. Retrieved 12 May 2022, from https://www.legco.gov.hk/yr17-18/english/panels/ps/papers/ps20171120cb4-212-4-e.pdf
On 27 February 2017, the then-CE candidate Carrie Lam suggested in her Election Manifesto to transform the Central Policy Unit into a policy and project coordination unit that looks after cross-bureau and cross-department projects and fosters public participation in policy formulation and policy research and innovation. It was also suggested that the new unit would no longer be involved in the appointment of members of statutory bodies and Government committees.
In October 2017, Chief Executive Carrie Lam announced in her Policy Address that the Policy Innovation and Coordination Office would be established to revamp the CPU. Young people who aspire to be engaged in policy research and policy and project coordination would be recruited to join the Office as non-civil service contract staff. In her Policy Address, Lam also announced the establishment of the Chief Executive's Council of Advisers on Innovation and Strategic Development, which would replace the Economic Development Commission and Commission on Strategic Development. The Policy Innovation and Coordination Office would provide secretarial support for the council and conduct evidence-based policy research in light of the council's suggestions.
On 23 February 2018, the Finance Committee of the Legislative Council approved the funding, i.e. the addition of four permanent posts in the civil service, for the establishment of the Office.
On 1 April 2018, the Policy Innovation and Coordination Office was officially established.Item for Finance Committee: Recommendation of the Establishment Committee . (2018). Retrieved 18 May 2022, from https://www.legco.gov.hk/yr17-18/english/fc/fc/papers/f17-60e.pdf
Dissolution and uncertainties In January 2022, Chief Executive Carrie Lam announced her proposed government restructuring plan during her attendance at the Chief Executive's Q&A session at the Legislative Council. In the documents submitted to the Legislative Council, the Policy Innovation and Coordination Office was not listed in the organisational chart of the proposed restructured government. This aroused speculation from the public that the Policy Innovation and Coordination Office would be disbanded in the coming government administration. According to some government insiders, since the Policy Innovation and Coordination Office reported directly to the Chief Executive, the Lam administration would not put forward any proposals regarding the Office at that moment and its future would be decided by the next Chief Executive, such that if he sees fit, he may rename it as the "Development and Policy Reform Group". Starry Lee, the chairperson of DAB, which is the largest political party in Hong Kong, likewise pushed for the establishment of a "Development and Policy Reform Group". She was of the view that the formation of such a Unit would enable long-term planning and tighten cooperation with its Mainland counterpart, viz, the "National Development and Reform Commission".
After announcing his intention to run for the Chief Executive election, John Lee Ka-chiu suggested that he would deliberate with the incumbent administration over the prospect of the Policy Innovation and Coordination Office. On 17 May 2022, upon John Lee's successful election, the Executive Council endorsed Chief Executive-elect John Lee's proposal to reorganise government structure for his coming administration. The proposal affirmed most of the recommendations put forward in Carrie Lam's policy address. However, both the Policy Innovation and Coordination Office and the Central Policy Unit which was speculated to be re-established, were not mentioned in the restructuring proposal. It has thus been observed that regardless of the format of the new policy research department, the Policy Innovation and Coordination Office would cease to exist.
Lee said that he was inclined to develop a working group for conducting policy research, and would actively study the specific format for establishing such a "policy research group" after forming his "cabinet", which was still in progress. During a press release, Lee put emphasis on "strengthening" policy research and pledged to take into account different perspectives and views outside the government to facilitate a better understanding of different views in the society. He added that the proposed policy research group would also study issues relating to international affairs.
On 1 July 2022, the website of PICO stated that the Office has ceased operation from 1 July 2022.
Comparison Between CPU and PICO
Differences in target audience CPU was an "internal think tank" for the top echelon of the government, namely, the Chief Executive, the Chief Secretary for Administration and the Financial Secretary. The CPU rarely provided research services for other policy bureaus. In fact, the heads of the policy bureau did not have access to the reports produced by CPU. Thus, the CPU was described as one of the most opaque bodies in the government. There had been proposals requesting the government to increase the transparency of CPU.
In contrast, Head of the Office, Betty Fung explained in 2017 that PICO would become a more transparent organisation involving various stakeholders. Within the government, PICO would coordinate among policy bureaus and provide policy recommendations for them. This is because policy bureaus are often preoccupied with their statutory, administrative tasks and ad hoc duties. Thus, they might lack the capacity to conduct comprehensive policy research.
Outside of the government, PICO had collaborated with over 10 think tanks and universities. In the Legislative Council document explaining the function of PICO, it was specifically mentioned that the policy research carried out by PICO would collaborate with local and external academia and think tanks.
However, the expansion of PICO's target audience also means that it is no longer one of the most important sources of policy analysis of the CE. In previous years, CPU has been regarded as the inner "Executive Council" of the CE.
Differences in roles