Introducing Alternative Fuel Vehicles in Hong Kong: Views from the Public Light Bus Industry

Document Type

Journal Article

Publication Date


Subject Area

infrastructure - vehicle, ridership - elasticity, technology - alternative fuels, mode - bus, mode - mass transit


Transportation policy, Transit, Stated preferences, Public transit, Multinomial logits, Minibuses, Miniature buses, Mass transit, Market segmented groups, Local transit, Intracity bus transportation, Hong Kong (China), Government funding, Elasticity (Economics), Bus transit, Bus lines, Alternative fuels, Alternate fuels


In 2000, the Hong Kong government implemented a trial scheme to introduce alternative fuel vehicles in the public light bus (PLB) industry. The scheme, however, was opposed by the local PLB industry. Since light buses running on alternative fuels still are not widely available in the Hong Kong market, a stated preference (SP) survey was conducted to solicit the preferences of PLB operators on eight commercial vehicle attributes and seven forms of government support. The SP data are analyzed by multinomial logit models. Detailed analyses on market segmentation and price elasticities are included. Results in general show a strong disincentive among PLB operators to shift to alternative fuels. Much incentive, either in the form of monetary or non-monetary support, will have to be provided by the government to induce PLB operators to shift to alternative fuel vehicles voluntarily.