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EPD to launch ex-gratia payment scheme in March to phase out pre-Euro IV diesel commercial vehicles

     To improve roadside air quality and better protect public health, the Environmental Protection Department (EPD) will phase out some 82 000 pre-Euro IV diesel commercial vehicles (DCVs) through an incentive-cum-regulatory approach and will launch an ex-gratia payment scheme on March 1.  

     The ex-gratia payment scheme comes after the Finance Committee of the Legislative Council today (January 10) approved the funding of $11.4 billion for phasing out some 82 000 pre-Euro IV DCVs. Pre-Euro IV DCVs that (i) are registered or have applied for re-registration as of January 10, 2014; and (ii) are scrapped after the launch of the scheme will be eligible to apply for the ex-gratia payment. The application deadlines for different categories of DCV owners applying for the ex-gratia payment are set out below:

DCVs         Application deadlines
Pre-Euro     December 31, 2015
Euro I       December 31, 2016
Euro II      December 31, 2017
Euro III     December 31, 2019

     An EPD spokesman said that the department was drawing up a list of registered vehicle scrapping companies for the administration of the ex-gratia payment scheme so as to prevent abuse and ensure smooth implementation. During the scheme period, eligible vehicle owners can apply for the ex-gratia payment after having their pre-Euro IV DCVs scrapped by registered vehicle scrapping companies and de-registering the vehicles with the Transport Department.

     The spokesman reminded eligible vehicle owners to check details of the application for ex-gratia payment, including the eligibility criteria, the latest list of vehicle scrapping companies registered under the scheme and other application details before scrapping their vehicles. These details will be uploaded to the EPD website ( in early February. The EPD will also inform all eligible vehicle owners by mail before the launch of the scheme.

     The Air Pollution Control (Air Pollutant Emission) (Controlled Vehicles) Regulation (the Regulation) has been enacted for commencement on February 1, 2014. The Regulation stipulates retirement deadlines for pre-Euro IV DCVs with reference to their respective dates of first registration, and also sets a 15-year service limit for newly registered DCVs to ensure timely replacement of vehicles in the long run.

     Phasing out some 82 000 pre-Euro IV DCVs can reduce vehicular emissions of respirable suspended particulates and nitrogen oxides by 80 per cent and 30 per cent respectively.  This would reduce the cancer risk associated with exposure to diesel engine exhaust fumes and contribute towards the attainment of our new Air Quality Objectives that took effect on January 1, 2014.

Ends/Friday, January 10, 2014
Issued at HKT 19:51


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