Hong Kong government defends electric vehicle transition pace, rejects deadline extensions
Hong Kong's government says 1,152 electric taxis have been licensed under a subsidy scheme targeting 3,000 by end-2027. It rejects calls to extend ordering and licensing deadlines, citing cautious investment sentiment and stable progress. The government also refuses to extend a scrappage scheme for
Hong Kong's government has defended the pace of its green transport transition, revealing that 1,152 electric taxis have been licensed under a subsidy scheme that aims to put 3,000 on the road by the end of 2027. In a legislative council written reply on 7 October 2026, the government rejected calls to extend ordering and licensing deadlines for the taxi subsidy programme or for electric bus purchases, and also declined to extend the application period for a scrappage scheme covering older diesel commercial vehicles.
The government launched the Electric Taxi Subsidy Scheme in December 2024, offering HK$45,000 per vehicle to replace ageing taxis with electric models. As of August 2026, the government had sent five rounds of invitation letters to owners of the 8,448 oldest qualifying taxis. Of these, 3,578 owners accepted a subsidy quota, and 1,152 had completed licensing. A total of 3,527 owners either declined to participate or did not respond to the first four rounds. In the latest round, 1,343 owners had not responded by early October.
The government said it understands from the taxi trade that many owners who decided not to participate did so because of a cautious investment attitude amid recent economic changes, rather than issues with ordering deadlines or vehicle choice. The subsidy programme requires owners to order an electric taxi within six months of accepting a quota and to complete licensing within 12 months of ordering, though the government said it handles extension requests on a case-by-case basis.
For franchised buses, the government noted that all bus operators confirmed participation in a subsidy scheme in August 2025, covering about 600 electric buses. They are required to order electric buses by end-2027 and complete delivery and registration by end-2029. The government said it has no plans to change these deadlines.
On the scrappage of Euro IV diesel commercial vehicles, the government reported that as of August 2026, 310 non-franchised buses and 82 minibuses that meet the Euro IV standard had not yet been scrapped. The government said the scheme has already retired over 33,700 vehicles, or about 85 per cent of the target. It argued that extending the deadline would delay improvements to roadside air quality and undermine binding targets to cut PM2.5 concentrations below 14 micrograms per cubic metre by 2030. Compared with Euro IV models, Euro VI heavy diesel vehicles produce about 89 per cent less nitrogen oxides and 50 per cent less particulate matter, the government said.