BUDGET 2023: Hong Kong to allot $200m for New Energy Transport Fund

The government also plans a $350m subsidy to four in-harbour operators.

Hong Kong plans to earmark $200m under the New Energy Transport Fund to support the market’s target to deploy electric vehicles.

Financial Secretary Paul Chan said the amount will be used to progressively commence trials of hydrogen fuel cell electric double-deck buses and heavy vehicles within the year. This will be done in collaboration with franchised bus companies and stakeholders.

The government aims to introduce around 700 eclectic buses and 3,000 electric taxis by the end-2027.

READ MORE: BUDGET 2023: New spending plan backs Hong Kong’s recovery

Chan added that they plan to appropriate $350m for subsidies to four in-harbour ferry operators to develop and trial electric ferries and charging facilities. The trials are expected to start in 2024.

Hong Kong will also look into implementing a loan scheme which may involve about $62.b with a 100% guarantee for the taxi trade to incentivise taxi owners to replace their existing taxis with battery electric taxis.

The market aims to achieve carbon neutrality before 2050 and reduce carbon emissions by 50% before 2035 from 2005 levels.