My TakeJekyll and Hyde policy on electric cars
If the aim is to reduce roadside pollution, then it makes no sense to end the waiver for first registration tax on battery-powered vehicles
Elon Musk’s Tesla has a well-deserved reputation for squeezing subsidies and concessions out of governments. So it was the case in Hong Kong. I agree as a business practice, it’s not a flattering picture of one of the world’s most celebrated hi-tech entrepreneurs. But surely the question is not so much whether it benefits Tesla but whether promoting electric cars helps to reduce air pollution and improve public health.
Another way to phrase the question is whether the government wants to promote zero-emissions vehicles as a matter of policy. My sense is that the government actually has no such commitment. About a year ago, it ended a full waiver for the first registration tax on electric cars. Predictably, sales collapsed. Since Tesla has dominated the market with roughly a 70 per cent share, it’s hit the hardest.
The company reportedly approached Chief Executive Carrie Lam Cheng Yuet-ngor to ask for reinstating the waiver and hinted that it might scale back local operations if sales did not improve.
When asked by a Post reporter what the government’s policy was, a spokesman fell back on the old and absurd line about promoting free enterprise. “The fact is that Hong Kong is a free market,” he said. “The government’s policy on promoting electric vehicles is mainly to encourage and facilitate market development.”