Basically, having six times the population of Hong Kong visit every year is ramping up prices on rent, transport and necessities. This is because with so many people coming through, the upkeep of the town (more rubbish, hospitals fuller, schools overused) is becoming hard to handle and therefore the price heightens.
The limiting of visiting Hong Kong is justifiable from a higher seated perspective. The people that run Hong Kong, clean the place and work in the place don't wanna have to restock/clean/run/work for an influx of visitors because it's for the same lowly price that they do it when no-one's visiting. So that's why now, it's reached the point where they've raised the price so high, that people are complaining about the lack of resources and high cost of living.
Within the article, Micheal Tien (Hong Kong Parliament) claims that it will go through due to what he's:
"heard from very reliable government sources". So no matter how much the other parts of China are going to think this is "Exclusive" and "Arrogant", it's probably going to go forward.
I reckon it's pretty shit, but they can't help it! They are, simply put, over-populated.