HK$3b extra spent to force 85,000 polluting diesel vehicles off the road

Greater incentives are now being offered by the government as part of a revised HK$11.7 billion package designed to force 85,000 polluting diesel commercial vehicles off the road by 2020.

The package, which officials said was in the best interests of the public, was generally welcomed by the transport trades. However, it came under fire from clean air advocates unhappy with the Environment Bureau.

"This is in the best public interest as the longer it drags on, the more people will suffer from the pollution. Our primary aim is to ensure that that scheme can secure support from the lawmakers and the trade, and be implemented," said one environment official.

The scheme, along with a proposal to limit operating life of new diesel vehicles at 15 years, will require endorsement from the environmental affairs panel next week, before a funding request is filed. Officials hope it can be rolled out in the first quarter of next year at the earliest.

The new package will cost HK$3 billion more than the original estimate of HK$8.7 billion - though up to HK$10 billion had been earmarked by the Financial Secretary. The compensation will be boosted from 10-33 per cent of new vehicle replacement costs to 27-33 per cent.

Owners will be entitled to the same payment whether or not they buy a new vehicle. They could also use the subsidy to buy a used vehicle. The 19,000 most polluting pre-Euro diesel vehicles, which are at least 18 years old, will be removed as scheduled before 2016. About 64,000 vehicles, of Euro I, II and III emission standards, will have their deadlines extended by one year to 2017, 2018 and 2020.

But green groups were disappointed. "If we follow the carrot and stick principle, it is reasonable for the public to expect that public health will be adequately protected with the HK$11.7 billion taxpayers' money spent," said Melonie Chau Yuet-cheung, from Friends of the Earth.