Originally Posted by
G-CIVC
The HK GOV could care less about $500k USD. In fact, no new taxi licenses have been issued for the last 20 something years, because the HK policy on transportation is very anti-road-transport. Which is why taxi licenses are as expensive as apartments.
FWIW - Transport Department recently issues several licenses:
http://www.td.gov.hk/en/transport_in...ransport/taxi/
Hong Kong's policy on transportation is not anti-road-transport. The main reason is about government revenue.
Although most operators are private parties, their operations are regulated by the Government. In order to operate, they have to pay significant license/franchising fee to the Government. To the Government, taxi is never a major mode of transportation. Instead, it is used to supplement existing public transportation.
So why is the license as expensive as an apartment? The Government does not get any portion of the income after the license has been issued (except income tax and necessary fees). As the Government controls the number of licenses issued, the heavy license fee is to justify the Government's need in revenue.
Then why is Uber illegal? Regardless what the law says, the main reasons? The Government can't control the situation and get a piece of the pie.