LCQ15: Development and regulation of autonomous vehicle technology
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     Following is a question by the Hon Lau Ka-keung and a written reply by the Secretary for Transport and Logistics, Ms Mable Chan, in the Legislative Council today (October 7):

Question:

     Since the implementation of the regulatory regime for autonomous vehicles (AVs) on March 1, 2024, the Government has issued a number of pilot licences to date, and it proposed in the 2025 Policy Address and the 2026-2027 Budget to accelerate the large-scale development of driverless autonomous driving in Hong Kong, expediting its transition to commercial operations. In this connection, will the Government inform this Council:

(1) whether the authorities will consider specifying, according to the level of vehicle automation and the actual control exercised at the time of an accident, the legal liabilities of operators, registered vehicle owners, vehicle manufacturers and software developers, etc under circumstances such as full driving automation, remote operation, system failure and cyber attacks; if so, of the timetable for drafting the relevant legal framework; if not, the reasons for that;

(2) as it has been reported that some drivers of the Southbound Travel for Guangdong Vehicles Scheme (the Southbound Travel Scheme) are suspected of activating the unapproved advanced driver assistance system (ADAS) on Hong Kong roads; how the authorities verify whether vehicles are equipped with ADAS during the vehicle inspection and approval process under the Southbound Travel Scheme, and how they monitor and investigate whether drivers have activated or deactivated ADAS during their stay in Hong Kong; of the relevant penalties and follow-up measures if drivers are found to have violated the requirement;

(3) as the Government has applied the mandatory requirement of taking out third party risk insurance policy under the Motor Vehicles Insurance (Third Party Risks) Ordinance (Cap. 272) to AVs, and it has indicated that it will adopt a data-drive approach to keep the insurance requirements for AVs at various stages of trials and application under review, and assist the relevant sectors in formulating insurance arrangements specifically for the application of more advanced levels of AVs; of the current progress in this regard; if a vehicle under the Southbound Travel Scheme activates ADAS without approval and an accident occurs, whether the existing third party risks insurance is applicable; if not, whether other protection arrangements will be provided for the affected third parties; and

(4) as there are views pointing out that some drivers may not clearly understand ADAS, which still require continuous monitoring by the relevant drivers who must be ready to take over vehicle control at any time, how the authorities will strengthen publicity and public education to enable members of the public to clearly distinguish between "driver assistance system" (Level 2 or below) and "automated driving system" (Level 3 or above), and understand their respective scopes of application, operational limitations and drivers' responsibilities; whether the authorities will consider incorporating the relevant knowledge into the driving test and driving training materials, and requiring drivers using the relevant systems to complete related e-learning programmes when renewing their driving licences or upon first registration of the relevant vehicles; if so, of the details; if not, the reasons for that?

Reply:

President,

     The Government has been promoting the development of autonomous vehicles (AVs) in Hong Kong in an active and orderly manner through tripartite efforts by providing policy support, regulatory backing, and financial subsidy. Having consulted the Financial Services and the Treasury Bureau and the Hong Kong Police Force, the reply to the question raised by the Member is as follows:

(1) AVs, same as conventional motor vehicles, are governed by the Road Traffic Ordinance (Cap. 374) and its subsidiary legislation. Accordingly, the existing vehicle registration and licensing regime applies equally to AVs, and the legal liabilities of registered vehicle owners and licensees are likewise applicable in the case of AVs. As regards the definition of "driver" under section 2 of the Road Traffic Ordinance (Cap. 374), it also applies to backup operators of an AV who are inside the AV, in its vicinity, or in a remote control room. When operating an AV, these personnel shall also assume the existing legal liabilities of a "driver". 

     Furthermore, the responsible person who is issued with a pilot licence by the Transport Department (TD) to implement an AV pilot scheme (i.e. the pilot proprietor) must, pursuant to the Road Traffic (Autonomous Vehicles) Regulation (Cap. 374AA) and the Code of Practice for Trial and Pilot Use of Autonomous Vehicles, ensure that the AV is maintained in a good and serviceable condition, and that its autonomous driving system is operating properly. The Road Traffic (Autonomous Vehicles) Regulation (Cap. 374AA) also sets out requirements on various risk management-related matters, including insurance, maintenance, retention of journey data and operation records, as well as the reporting and investigation of incidents or accidents involving the pilot AVs. If an operator of an AV pilot licence operates an AV in a manner that is not in compliance with the pilot licence and its conditions, the operator may be held liable.

     Under the regulatory framework for AVs, AVs must comply with the insurance requirements under the Motor Vehicles Insurance (Third Party Risks) Ordinance (Cap. 272) to safeguard the safety of the public, passengers, and pedestrians. In addition, AVs must be equipped with a journey recorder to record operational data. In the event of an accident, relevant personnel may inspect the relevant operational data during the investigation to analyse whether the AV was operating properly at the material time, thereby facilitating the determination of liabilities. Generally speaking, depending on the cause of the occurrence and the proof adduced, liability (whether criminal or civil) will be borne by the operator, the vehicle owner, or the supplier of the vehicle. The party bearing such liability may also raise a defense in accordance with the common law, and the matter will be adjudicated by the court.

(2) The Government attaches great importance to vehicle and road safety. On the one hand, it ensures through strict vehicle examination procedures that all vehicles on road comply with the relevant road safety and environmental standards; on the other hand, it also safeguards the safety of road users through publicity and education. Regarding the Southbound Travel for Guangdong Vehicles (STGV) scheme, all such vehicles entering Hong Kong must pass a vehicle examination at a Mainland vehicle inspection center designated by the TD, in accordance with Hong Kong's requirements, to ensure such vehicles are in compliance with relevant standards and can be used safely on Hong Kong roads. The TD is also distributing road safety information to applicants of the STGV scheme through multiple channels, and has made it clear that any Advanced Driver Assistance Systems (ADAS) not approved by the TD must not be activated on Hong Kong roads. These channels include having staff at the designated vehicle inspection centers in Mainland to remind applicants of the relevant requirements in person during vehicle inspections, distributing notices to applicants, and sending reminder emails.

     The Hong Kong Police Force has been closely monitoring road safety and cases of suspected traffic law violations. Through routine on-beat patrols and intelligence gathering, if any suspected violations are detected or relevant traffic complaints are received, the Force will proactively follow up and investigate to safeguard the safety of road users.

     Any driver who uses an unapproved driver assistance system on Hong Kong roads, or who takes their hands off the steering wheel while the vehicle is in motion due to reliance on such system(s), may be in breach of relevant traffic regulations (such as careless driving or dangerous driving). Upon conviction, they may be subject to fines, revocation of their driving licence, or even imprisonment. In addition to enforcement actions taken by the Hong Kong Police Force, the TD will also seriously follow up on violations under the STGV scheme, including reporting the cases to the Guangdong Provincial Government and suspending or revoking the travel eligibility of the vehicles involved.

(3) As mentioned above, under the current regulatory framework, AVs must comply with the insurance requirements under the Motor Vehicles Insurance (Third Party Risks) Ordinance (Cap. 272) to protect the safety of the general public, passengers, and pedestrians. As AV technology develops, the TD has been maintaining communication with the insurance industry to formulate suitable insurance arrangements for AVs as they progress to a more mature stage (namely, where there is no backup operator on board, but only remote backup operators). The TD will continue to further discuss the application of AVs with the insurance industry so as to make early preparations for suitable insurance arrangements. 

     At present, if any vehicle travelling on Hong Kong roads (including vehicles under the STGV scheme) causes an accident while using an ADAS unauthorised by the TD, third-party liability for bodily injury or death is generally covered by statutory protection. Even if the act of activating an unauthorised ADAS is determined to fall within the specific events and losses for which the insurance company bears no liability to pay compensation or benefits under the express terms of the policy (also known as "exclusions" or "excluded items"), the insurance company must still compensate the affected third party first, and may subsequently recover the relevant amount from the insured. As for third-party property damage, this will be handled in accordance with the individual policy terms and the circumstances of the accident.

(4) The TD has been working closely with the Hong Kong Police Force and the Road Safety Council to promote road safety through various channels, such as the publication of Road Safety Bulletin and social media platforms. These efforts include reminding drivers of the points to note when using the driver assistance system, the necessity of reading the vehicle owner's handbook to understand the functions and limitations of the system, and the need to be attentive to road conditions and to hold the steering wheel firmly at all times. Relevant reminders are also provided in the Road Users' Code. The TD will continue to carry out various publicity and educational initiatives to remind drivers of the matters requiring attention when using the driver assistance system. 

     Currently, in TD's driving tests, written test questions are set based on the Road Users' Code. The Code is distributed upon first application for a learner's driving licence or a non-commercial driving test, and the assessment content includes the proper use of driver assistance systems. Regarding the road test, although the use of driver assistance systems is not part of the assessment, the TD will consider incorporating relevant application skills into induction and refresher courses for driving instructors, enabling them to teach these skills to learners according to their needs.

Ends/Wednesday, October 7, 2026
Issued at HKT 14:10

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