XN000022-1995-09-19 — Page 3

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Consultation on diesel to petrol proposals begins

The Government announced today (Tuesday) for public consultation proposals to encourage early conversion of light duty diesel vehicles to cleaner petrol vehicles as further measures to fight the air pollution problem.

The main features of the conversion scheme were outlined by the Secretary for Planning, Environment and Lands, Mr Bowen Leung, at a press conference as follows:

(a) Financial incentives will be provided to encourage operators of light duty diesel vehicles to have an early conversion from diesel to petrol and to minimise the cost impact to both users and operators. They are as follows:

Reduce petrol duty for taxis, public light buses and small school buses. In the first year of conversion the petrol duty for these vehicles will be only $0.10 per litre compared with the general petrol duty of $5.25.

Waive first registration tax for petrol taxis and petrol public light buses during the five-year conversion period.

Reduce first registration taxes for petrol light vans, small trucks and small buses, ranging from a 55 per cent discount in the first year to 11 per

cent in the fifth year.

Reduce annual licence fees for all light duty petrol vehicles other than private cars, ranging from a 100 per cent discount in the first year to 20 per cent in the fifth year.

(b) All light duty diesel vehicles of four tonnes and below, including taxis, public light buses, small buses, light vans and small trucks, will be replaced by petrol vehicles within five years. This means that new diesel vehicles of four tonnes and below will not be registered, preferably from an early date, say in late 1996. After a five-year conversion period, no light duty diesel vehicles will be licensed.

In parallel, the Government proposes to impose more stringent emission control on medium and heavy goods vehicles, coaches and large buses which have to continue using diesel. Mr Leung said: "The scheme will reduce diesel emissions significantly and bring about immediate and visible improvement to our air quality.