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LCQ1: Use of trade plates
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    Following is a question by the Hon Albert Cheng and a reply by the Secretary for Transport and Housing, Ms Eva Cheng, at the Legislative Council meeting today (December 5):

Question:

     Some members of the public have reflected to me that trade licences and trade plates ("T plates") are originally used in the delivery of vehicles, presale demonstration of vehicles to potential customers by motor dealers, and testing of serviced vehicles by vehicle repairers, but there is a trend of misuse of T plates in recent years. In this connection, will the Government inform this Council:

(a)  whether it has prescribed the intervals of the day in which T plates may be used; if so, of the details;

(b)  whether the authorities have uncovered any cases of misuse of T plates (e.g. using such plates for evading the vehicle first registration tax or vehicle licence fees, or for driving vehicles which have not been tested by the authorities on their safety and whether they comply with environmental protection specifications); and

(c)  whether it has examined if it is against the law for car dealers to lease their T plates to customers for them to display on their vehicles for prolonged use; if it is, whether the authorities have instituted prosecutions in this regard; if it is not, whether the authorities will amend the relevant legislation to plug loopholes such as tax evasion and avoidance of the requirements for fittings of vehicles to comply with safety and environmental protection specifications?

Reply:

Madam President,

     Under the Road Traffic (Registration and Licensing of Vehicles) Regulations (the Regulations), trade plates and trade licences (T-licences) are issued to a manufacturer or a repairer of or a dealer in vehicles for use in the course of his business. They are valid for a maximum of one year.

     As T-licences are issued to facilitate the operation of the trade, the Regulations impose no restrictions on the periods of the day in which T-licences may be used.  However, there are restrictions on the use and various aspects of T-licences. These include:

(1)  a T-licence may be used only for driving an unregistered vehicle in the course of delivery to a motor dealer or exhibitor, or a vehicle for the purpose of presale demonstration to a potential customer, or a vehicle under mechanical test;

(2)  a T-licence shall not be used unless its holder or an authorised person under his employment is present and in charge of the vehicle, e.g. a customer accompanied by the T-licence holder's employee during a test-drive;

(3)  when a vehicle is being used under a T-licence, the number of passengers carried on the vehicle shall not exceed two;

(4)  every T-licence holder shall maintain a register of all journeys made by the vehicles in use under the T-licences showing the date, time and place of each journey, as well as relevant particulars of the vehicle, such as its registration mark (if any). The licence holder shall produce the register for inspection on request by any police officer or the Transport Department (TD).

     It is an offence for a car dealer to lease his T-licence to a customer for his long-term use. According to the Police, the numbers of prosecutions involving "allowing use of T-licence by another person" were two in 2004, two in 2005, four in 2006, and one in the period of January to October this year. We have not identified any cases involving the use of T-licences on vehicles failing to meet road safety or emission standards. Furthermore, a T-licence shall not be used on vehicle that fails to comply with the construction, maintenance and exhaust emission requirements under the Road Traffic (Construction and Maintenance of Vehicles) Regulations.

     To reduce the chance of abuse in the use of T-licences, we have tightened the control on T-licences in various ways. On issue of T-licences, apart from examining in detail the applicant's supporting documents to ensure that he is in the relevant business, TD will conduct further investigation on doubtful cases. TD has also strengthened its random checking on T-licence registers. On the enforcement side, apart from enhancing the awareness of the frontline officers and conducting checks on suspicious vehicles, the Police have conducted special operations on reported black spots. The Police have also strengthened their liaison with TD, and will provide TD with the information on successful prosecutions. TD will take follow-up action as appropriate having regard to the situation of each case, including consideration of cancellation of the T-licence concerned, in order to combat against abuse in the use of T-licences.

Ends/Wednesday, December 5, 2007
Issued at HKT 18:02

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