Vehicle owners have complained that sulfur-free diesel is less environmentally friendly than the ultra-low- sulfur variety as vehicles burn it quicker, meaning they end up using more fuel.
Academics, meanwhile, were divided over the benefits of sulfur-free diesel.
The city's petrol stations stopped selling ultra-low-sulfur diesel when the government cut the tax on Euro V diesel, commonly known as sulfur-free diesel, in half to 56 HK cents a litre in December.
The legislature approved the tax concession in November.
It will be compulsory to use Euro V diesel in Hong Kong from January.
But Yip Wing-ching, the owner of Great Leader Bus Holdings, which has about 140 coaches, said sulfur-free diesel yielded about 10 per cent less energy than ultra-low-sulfur diesel.
