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Red minibuses can choose how, when and where they operate. Photo: Yik Yeung-man
Opinion
Editorial
by SCMP Editorial
Editorial
by SCMP Editorial

Market forces will decide Hong Kong minibuses’ fate

  • The green- and red-top minibuses offer daily symbols of the city’s charm. But their days may be numbered

Minibuses have plied Hong Kong urban streets and rural roadways for more than 50 years, providing swift and inexpensive transport options to the phalanxes of buses, taxis, trams and MTR trains. Ubiquitous, the green- and red-top minibuses also offer daily symbols of the city’s charm, even spawning die-cast models and Christmas ornaments to hang alongside one’s mini Star Ferry or red Crown taxi. It is therefore concerning, from the vantage of nostalgia as well as convenience, that reports again suggest their days may be numbered.

The Covid pandemic, expanding bus and MTR networks, changes in tunnel tolls and higher interest rates have combined to eat into revenues. Passenger numbers fell from 1.76 million a day in 2019 to 1.46 million a day last year. Permit fees also dropped from HK$8 million in 2011 to HK$700,000, undercutting assets used as collateral. Squeezed by loans, operators have faced action by lenders, prompting some to abandon their vehicles at route stops or in the countryside.

Hong Kong’s minibuses are struggling. Will they soon be replaced?

Launched illegally in 1967 when riots led to strikes on public transport, the red minibuses were allowed to operate legally two years later, and a year later the government introduced franchised green-tops. About three quarters of the 4,350 vehicles are green-tops running on fixed routes and schedules with salaried drivers. Less regulated, red-top drivers can largely set their routes, fares, and when to operate. They can stop anywhere, on a dime, to collect or drop off passengers, often providing the only way to swiftly and cheaply reach far-flung areas. Drivers must make up daily rent, so a ride on a red-top – also known as a “desperado minivan” – can easily become a white-knuckle affair as they hurtle along to make as many trips as possible. The city in 2004 required minibuses to install large speedometers visible to the riders to encourage them to slow down.

The inevitable advent of cutting-edge transport like self-driving vehicles as a means to make up a smart last-mile solution for transportation will add to financial pressure on the minibuses, and taxis, now serving that need. Ultimately market forces will decide which routes survive, and indeed, how long the minibuses themselves have before they go the way of the rickshaw.

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