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Tax Break Set For Electric Vehicles

February 25, 2009 – Environment News.gov.hk

The First Registration Tax exemption for electric vehicles will be extended five more years to promote their use. The exemption is due to expire March 31, but will be extended five years instead of three years as in the past.

In his 2009-10 Budget today Financial Secretary John Tsang said promoting the use of vehicles which are more energy efficient and emit no exhaust will create business opportunities.

He will lead a steering committee to study their wider use in Hong Kong, conduct in-depth studies and make recommendations from the perspectives of economic development, town planning, industry, technology, environmental protection and transport.

The Government will study the feasibility of jointly promoting electric vehicles with manufacturers, and be actively involved in testing them to introduce them into the local market early.

“We will also consider introducing such vehicles into the government fleet when the related technology has matured and the vehicles are available on the market,” Mr Tsang said.

The Government will study the feasibility of providing recharging facilities in public multi-storey car parks and explore ways of encouraging the business sector, including property developers and private car park operators, to set up such facilities.

Saving energy

Noting buildings account for 90% of Hong Kong’s total power consumption, Mr Tsang said the Environment & Conservation Fund will allocate $450 million for private building owners to conduct energy- carbon audits and energy efficiency improvement projects. More than 1,600 projects will be subsidised.

Another $450 million will be allocated to conduct minor works in government buildings in the next two years to install energy-efficient lighting, retrofit plumbing with water-saving devices and incorporate energy-efficient features in air-conditioning, elevator and escalator systems.

Going green

In the coming year Greening Master Plan projects undertaken by the Civil Engineering & Development Department will cover the whole of Hong Kong Island and urban Kowloon.

Landscaping features will be provided on 500 old slopes and greening work on the rooftops of 40 government buildings through additional funding for minor works. Schools and other non-profit-making organisations will also be subsidised to conduct greening work.

Mr Tsang said Hong Kong will co-operate with Guangdong to transform the Pearl River Delta region into a green and quality-living area with a cluster of high-tech, low-pollution and low-energy-consumption cities.

“We will further develop regional high-tech recycling industries, and encourage enterprises to adopt advanced technologies for cleaner production, energy saving and emission reduction,” Mr Tsang said, noting promoting a green economy will enhance Hong Kong’s overall competitiveness and make it a more liveable city.

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