Commercial EV use needs boost after car owner tax break ends, green groups say
Environmentalists back move to end first registration tax concessions for private electric cars, say focus must pivot to businesses
The scheme offers car owners a higher FRT concession of up to HK$172,500 (US$22,056) when they scrap and deregister an eligible older private car in exchange for a new electric vehicle (EV) purchase.
Chan said in his address that about 70 per cent of newly registered cars in Hong Kong were EVs and the need for the concession no longer existed.
“From a modest variety of electric vehicles with higher prices to a larger variety of models with heightened comfort and better features, and a steady drop in prices, we believe electric cars have become competitive enough,” he said.
In response to queries from the South China Morning Post, the Transport Department revealed that more than 128,000 vehicles had received the tax incentives since 2018.