Ensuring proper implementation of diesel subsidy through “pay later” arrangement

Source: Hong Kong Government special administrative region – 4

The spokesperson for the Environment and Ecology Bureau said today (May 22) that to ensure the proper implementation of the diesel subsidy, the Government has been enforcing the “pay later” arrangement for reimbursing the price difference to oil companies in order to ensure the proper use of public funds.
 
The Government has, since April 30, been implementing the Diesel Subsidy Scheme, which runs for a period of two months, with a view to supporting public and commercial vehicles and vessels and related industries that use diesel as fuel. Under the Subsidy Scheme, users who consume diesel locally may receive a subsidy of HK$3 per litre of diesel when they purchase diesel to reduce the selling price by HK$3 per litre accordingly.
 
Recently, there have been views suggesting that the increase in diesel prices is due to oil companies and distributors profiteering from the subsidy scheme by increasing prices in advance since the announcement of the Subsidy Scheme on April 10. There are also claims that the pump price of diesel had already increased by almost HK$3 per litre within the intervening 20 days. The spokesperson emphasised that these claims do not correspond with the facts, and it is necessary for the Government to make clarifications to set the record straight.
 
Firstly, the prices of fossil fuels have been rising around the world, as affected by the situation in the Middle East, and the price rises are by no means unique to Hong Kong. It is necessary to consider the broader picture and the situation in other regions instead of inferring that oil companies might increase their prices in advance to profiteer merely based on the fact that fuel prices are on the rise. If compared with the position before the conflict in the Middle East, the international refined oil product price (including Means of Platts Singapore) for diesel had increased by around HK$10 per litre at most, whilst the maximum increase of the local diesel pump price was HK$7.5. From mid-April to now, the international refined oil product price has increased by around HK$0.5 (+6.67%). Over the same period, the maximum retail price of diesel in the Chinese Mainland had increased twice by a total of around HK$0.4 (+4.0%), while the local diesel pump prices had increased by HK$0.6 (+1.66%). Furthermore, some oil companies have reduced their diesel retail pump prices as of today, but it is expected that the diesel price may fluctuate as affected by the conflict in the Middle East.
 
Secondly, it is the Government’s responsibility to ensure the proper use of public funds. In designing the Subsidy Scheme, the Government has introduced multiple layers of safeguards to ensure that users will benefit from the subsidy. Among the safeguards, the Subsidy Scheme has introduced a “pay later” arrangement, where oil companies and distributors must first sell subsidised diesel to consumers at a price reduced by HK$3 per litre, and specify the subsidy amount and the selling price on the receipts issued to their customers. Oil companies and distributors must then submit a report to the Government one week later to apply for reimbursement of the amounts they have advanced. The Government will then verify the reports, sales records and invoices submitted by the oil companies and distributors, and will only reimburse the price difference if the information provided is confirmed to be accurate. Should there be issues arising, the Government reserves the right to refuse to reimburse the price difference, and to refer the case to law enforcement agencies for follow-up. Therefore, should oil companies attempt to profiteer, they will not be reimbursed the price difference they have advanced. The operation of the Subsidy Scheme has been largely normal and smooth since its implementation. The Government is receiving weekly reports from the oil companies and distributors, and is conducting the necessary checks.
 
Thirdly, upon the completion of the Subsidy Scheme, oil companies and distributors will need to submit to the Government an audited audit report, which will require them to state the comparison of the change in the average retail price after deducting all discounts (excluding the HK$3 per litre subsidy) with the corresponding import prices before and during the subsidy period. Should there be changes in this ratio, these may suggest profiteering which can be easily detected by auditors. The Government may then use the audit report to take the necessary follow-up action with the oil companies and distributors.
 
The Government will spare no effort to implement the above arrangements by gatekeeping to ensure that the Subsidy Scheme will benefit users who are affected by surging diesel prices.  

GBA joint emergency response and rescue exercise “Liancheng-2026” successfully concludes in Macao

Source: Hong Kong Government special administrative region

GBA joint emergency response and rescue exercise “Liancheng-2026” successfully concludes in Macao  
     The Deputy Director (Operations) of the HKFSD, Mr Derek Armstrong Chan, who acted as the commander of the Hong Kong cross-border rescue team in the exercise, was responsible for the command and deployment of rescue team personnel and resources to assist Macao in the emergency response and rescue work in multiple simulated incidents. 
 
     Mr Chan said, “The exercise effectively strengthened the overall abilities of the three places to handle complex disasters, showcasing the continuous improvement of their professional rescue teams in technical standard, application of equipment, and command and dispatch. The three places will comprehensively deepen co-operation in emergency response and rescue, and continue to enhance firefighting and rescue capabilities under extreme conditions, including those in skyscrapers, through a knowledge exchange and resource sharing mechanism.”
 
     The exercise simulated Macao experiencing extreme weather conditions, including a super typhoon and torrential rain, resulting in severe incidents such as fires, landslides, building collapses, serious flooding and multiple traffic accidents in various districts. The Macao Special Administrative Region Government requested assistance from the People’s Government of Guangdong Province and the Hong Kong Special Administrative Region Government according to the mechanism under the Operational Plan.
 
     The Fire and Rescue Corps of Guangdong Province promptly deployed 70 members, 12 fire appliances and over 900 items of rescue equipment, while the HKFSD deployed 40 members, 10 fire appliances and over 600 items of rescue equipment to render assistance to Macao. The two teams respectively entered Macao through the Gongbei Port and the port of the Hong Kong-Zhuhai-Macao Bridge through the dedicated cross-boundary Green Channel to participate in the exercise.

    Funded by the Hong Kong Jockey Club Charities Trust, the HKFSD participated in “Liancheng-2026”, which was hosted and co-ordinated by the Macao Fire Services Bureau. A locally led joint emergency response command mechanism was established based on the territoriality principle and tasks were assigned at the incident scenes. The exercise was mainly conducted at the former Taipa Racecourse and a construction site on Avenida Wai Long, with the Macao Fire Services Bureau leading the joint emergency response command mechanism to co-ordinate the deployment of personnel and resources. The three rescue teams jointly participated in operations such as high-angle rescue, chemical decontamination, traffic accidents, building collapses and flooding. The Macao Fire Services Bureau also demonstrated its standard procedures, including those for firefighting and rescue and emergency evacuation in high-rise buildings, to Guangdong and Hong Kong participants.
 
     In addition, the fire departments from the three places held a symposium on firefighting and rescue in high-rise buildings in the GBA. Through experience and case sharing, they discussed co-ordination among the three places in areas including incident command, equipment standard, radio communications, and firefighting and rescue procedures.
Issued at HKT 19:10

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SCED calls on APEC member economies to join hands in promoting regional economic integration

Source: Hong Kong Government special administrative region

SCED calls on APEC member economies to join hands in promoting regional economic integration       
     Speaking at the session entitled “Build an Open and Predictable Regional and Multilateral Trade and Economic Order”, Mr Yau said that against the backdrop of uncertainty and rising protectionism, the multilateral trading system with the World Trade Organization (WTO) at its core provides the much-needed stability, transparency and predictability to international trade.
  
     Mr Yau called on fellow trade ministers to build upon the progress achieved at the WTO 14th Ministerial Conference and expedite follow-up work on those important outstanding issues, such as WTO reform, the extension of the moratorium on customs duties on electronic transmissions and the continuation of the Work Programme on Electronic Commerce. He also encouraged all APEC member economies to join the Agreement on Electronic Commerce so as to build the momentum for its eventual incorporation into the WTO legal framework.
 
     Mr Yau noted that APEC member economies have been pursuing trade liberalisation through various means, and the Free Trade Area of the Asia-Pacific (FTAAP) is one of the long-term visions for deepening economic integration in the region. As the global trade landscape has undergone unprecedented changes since the idea of the FTAAP was first discussed some 20 years ago, Hong Kong fully supports the country’s efforts this year to develop an FTAAP document to inject new impetus into the initiative and to demonstrate APEC’s ability to lead by example.
  
     Mr Yau stressed that as part of its efforts to contribute to the FTAAP agenda, Hong Kong is actively seeking early accession to the Regional Comprehensive Economic Partnership (RCEP).
 
     He said he looks forward to RCEP’s next major milestone in setting up the Accession Working Group for Hong Kong as soon as possible within 2026, and to the continued support in Hong Kong’s accession bid. Hong Kong’s accession to RCEP would add concrete impetus to regional economic integration and help advance the FTAAP agenda.
 
     On the sidelines of the MRT meeting, Mr Yau met with the China International Trade Representative and Vice Minister of Commerce, Mr Li Chenggan, and the Deputy Minister of Trade of Indonesia, Ms Dyah Roro Esti Widya Putri, separately to exchange views on issues of mutual concern. He also met with the Mayor of Suzhou, Mr Wang Wei, and briefed him on Hong Kong’s latest initiatives to drive economic development.
      
     Mr Yau will continue to join the MRT Meeting tomorrow (May 23).
Issued at HKT 19:35

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LegCo to debate motion on “Developing a strategic tax regime to consolidate Hong Kong’s status as an international financial centre”

Source: Hong Kong Government special administrative region – 4

The following is issued on behalf of the Legislative Council Secretariat:

The Legislative Council (LegCo) will hold a meeting next Wednesday (May 27) at 11am in the Chamber of the LegCo Complex.  During the meeting, Members will debate a motion on “Developing a strategic tax regime to consolidate Hong Kong’s status as an international financial centre”. The motion, moved by Dr Webster Ng, is set out in Appendix 1. Mr Rock Chen and Mr Lothair Lam will move separate amendments to Dr Ng’s motion.

Mr Chan Pok-chi will move a motion on “Aligning with the Outline of the National 15th Five-Year Plan to drive the agriculture and fisheries industries towards high-quality development”. The motion is set out in Appendix 2. Mr Jonathan Leung and Mr Aaron Bok will move separate amendments to Mr Chan’s motion.

Members will also ask the Government 22 questions on various policy areas, six of which require oral replies.

The agenda of the above meeting is available on the LegCo Website (www.legco.gov.hk). Members of the public can watch or listen to the meeting via the “Webcast” system on the LegCo Website. To observe the proceedings of the meeting at the LegCo Complex, members of the public may call 3919 3399 during office hours to reserve seats.

Diesel subsidy explained

Source: Hong Kong Information Services

The Environment & Ecology Bureau today said that to ensure the proper implementation of the diesel subsidy, the Government has been enforcing the “pay later” arrangement for reimbursing the price difference to oil companies in order to ensure the proper use of public funds.

The Government has, since April 30, been implementing the Diesel Subsidy Scheme, which runs for a period of two months, with a view to supporting public and commercial vehicles and vessels and related industries that use diesel as fuel.

Under the subsidy scheme, users who consume diesel locally may receive a subsidy of HK$3 per litre of diesel when they purchase diesel to reduce the selling price by HK$3 per litre accordingly.

Recently, there have been views suggesting that the increase in diesel prices is due to oil companies and distributors profiteering from the subsidy scheme by increasing prices in advance since the announcement of the subsidy scheme on April 10.

There are also claims that the pump price of diesel had already increased by almost HK$3 per litre within the intervening 20 days.

The Government emphasised that these claims do not correspond with the facts, and it is necessary for the Government to make clarifications to set the record straight.

Global prices
Firstly, the prices of fossil fuels have been rising around the world, as affected by the situation in the Middle East, and the price rises are by no means unique to Hong Kong. It is necessary to consider the broader picture and the situation in other regions instead of inferring that oil companies might increase their prices in advance to profiteer merely based on the fact that fuel prices are on the rise.

If compared with the position before the conflict in the Middle East, the international refined oil product price for diesel had increased by around HK$10 per litre at most, whilst the maximum increase of the local diesel pump price was HK$7.5. From mid-April to now, the international refined oil product price has increased by around HK$0.5 (+6.67%).

Over the same period, the maximum retail price of diesel in the Chinese Mainland had increased twice by a total of around HK$0.4 (+4.0%), while the local diesel pump prices had increased by HK$0.6 (+1.66%).

Furthermore, some oil companies have reduced their diesel retail pump prices as of today, but it is expected that the diesel price may fluctuate as affected by the conflict in the Middle East.

‘Pay later’ arrangement
Secondly, it is the Government’s responsibility to ensure the proper use of public funds. In designing the subsidy scheme, the Government has introduced multiple layers of safeguards to ensure that users will benefit from the subsidy.

Among the safeguards, the subsidy scheme has introduced a “pay later” arrangement, where oil companies and distributors must first sell subsidised diesel to consumers at a price reduced by HK$3 per litre, and specify the subsidy amount and the selling price on the receipts issued to their customers.

Oil companies and distributors must then submit a report to the Government one week later to apply for reimbursement of the amounts they have advanced.

The Government will then verify the reports, sales records and invoices submitted by the oil companies and distributors, and will only reimburse the price difference if the information provided is confirmed to be accurate.

Should there be issues arising, the Government reserves the right to refuse to reimburse the price difference, and to refer the case to law enforcement agencies for follow-up. Therefore, should oil companies attempt to profiteer, they will not be reimbursed the price difference they have advanced.

The operation of the subsidy scheme has been largely normal and smooth since its implementation. The Government is receiving weekly reports from the oil companies and distributors, and is conducting the necessary checks.

Audit report
Thirdly, upon the completion of the subsidy scheme, oil companies and distributors will need to submit to the Government an audited audit report, which will require them to state the comparison of the change in the average retail price after deducting all discounts, excluding the HK$3 per litre subsidy, with the corresponding import prices before and during the subsidy period.

Should there be changes in this ratio, these may suggest profiteering which can be easily detected by auditors. The Government may then use the audit report to take the necessary follow-up action with the oil companies and distributors.

The Government reiterated that it will spare no effort to implement the arrangements by gatekeeping to ensure that the subsidy scheme will benefit users who are affected by surging diesel prices. 

MOFA strongly protests Nauruan government directive that distorts Taiwan’s sovereignty

Source: Republic of China Taiwan

MOFA strongly protests Nauruan government directive that distorts Taiwan’s sovereignty

Date:2026-05-21
Data Source:Department of East Asian and Pacific Affairs

May 21, 2026  
No. 224  
 
The Ministry of Foreign Affairs (MOFA) strongly protests the May 15 decision by the government of the Republic of Nauru to order all personnel representing the government and state-owned enterprises to observe the “one China principle.” MOFA expresses great displeasure at this policy, which is not in keeping with the facts. 
 
MOFA solemnly states that the Republic of China (Taiwan) is a sovereign nation of 23 million people. Neither it nor the People’s Republic of China is subordinate to the other. The PRC has never governed Taiwan, and Taiwan is not a part of the PRC.
 
As is widely known, UN General Assembly Resolution 2758 addresses only the issue of China’s representation. The resolution does not mention Taiwan, nor does it recognize Taiwan as part of the PRC. These are established facts and the objective situation on which there is international consensus. The Nauruan government’s attempt to distort Taiwan’s sovereign status is therefore fundamentally flawed.
 
MOFA emphasizes that Taiwan has long held to the principles of mutual respect, transparent cooperation, and shared democratic values in pursuing stronger partnerships with Pacific nations. In the future, Taiwan will continue to further deepen cooperation and jointly address such challenges as climate change, disaster resilience, sustainable development, and maritime security to ensure a free, open, peaceful, and prosperous Indo-Pacific region. (E)

MOFA response to European Parliament recommendation supporting Taiwan’s meaningful international participation

Source: Republic of China Taiwan

MOFA response to European Parliament recommendation supporting Taiwan’s meaningful international participation

Date:2026-05-21
Data Source:Department of European Affairs

May 21, 2026  Minister of Foreign Affairs Lin Chia-lung warmly welcomes a recommendation adopted by the European Parliament on May 20 that reiterates support for Taiwan’s meaningful participation in international organizations, expresses concern over the situation in the Taiwan Strait and the South China Sea, and opposes any unilateral change to the status quo by coercion or force. The text is a recommendation on the European Union’s position on the 81st session of the United Nations General Assembly (UNGA) for the European Council, European Commission, and vice president of the European Commission and high representative of the EU for foreign affairs and security policy. It is a further concrete demonstration of support by the European Parliament for Taiwan’s international engagement and for the maintenance of peace and stability across the Taiwan Strait.The recommendation highlights the European Parliament’s 2024 resolution on the misinterpretation of UNGA Resolution 2758 by the People’s Republic of China and its continuous military provocations around Taiwan. It underlines that UNGA Resolution 2758 neither determines the sovereignty of Taiwan nor mentions Taiwan, and cannot be used to exclude Taiwan from the international system. It urges the EU to step up support for Taiwan’s meaningful participation in international organizations for the benefit of the international community. The adopted text recommends that the EU engage in diplomatic efforts to prevent further escalation in the Taiwan Strait and the South China Sea and oppose any unilateral change to the status quo by coercion or force. It encourages the EU to work more closely with like-minded partners to reinforce stability and security in the region around the Taiwan Strait and strengthen deterrence against coercive or military actions. It also urges further endeavors to defend the principle of the prohibition of the use of force codified in the UN Charter. Moreover, the recommendation calls for the UN to grant access to its events to activists, civil society representatives, and journalists holding Taiwan passports. The Ministry of Foreign Affairs thanks the European Parliament for continuing to advocate for Taiwan’s international participation. Taiwan will further strengthen coordination with the EU and other like-minded partners to jointly uphold the rules-based international order and defend the values of democracy, freedom, and human rights. It will continue to actively contribute to the international community and strive for peace, security, and prosperity in the Indo-Pacific and around the world.

MOFA solemnly refutes false claims regarding Taiwan in joint statement by China and Russia

Source: Republic of China Taiwan

MOFA solemnly refutes false claims regarding Taiwan in joint statement by China and Russia

Date:2026-05-21
Data Source:Department of West Asian and African Affairs

May 21, 2026    
No. 222  

The Ministry of Foreign Affairs (MOFA) strongly refutes false claims made in a joint statement between the People’s Republic of China (PRC) and the Russian Federation. The statement, signed on May 20, misleadingly refers to United Nations General Assembly Resolution 2758, with Russia reiterating its adherence to the so-called “one China principle.” These claims contradict the facts and seek to undermine Taiwan’s sovereignty.
 
MOFA also expresses great regret at the PRC government engaging in international collusion to further disseminate erroneous narratives that denigrate Taiwan’s sovereignty and escalate tensions across the Taiwan Strait, and at Russia’s subservience to authoritarian China.
 
MOFA reiterates that the Republic of China (Taiwan) is a sovereign and independent country and that neither the ROC (Taiwan) nor the PRC is subordinate to the other. All attempts to distort Taiwan’s sovereign status are acts of bullying that disrupt international peace and stability. No number of falsehoods can alter the internationally recognized status quo across the Taiwan Strait.
 
MOFA appreciates that diplomatic allies and friendly countries continue to express concern over Taiwan Strait issues at international events and demonstrate firm positions in support of peace and stability across the Taiwan Strait. Taiwan will continue to enhance its self-defense capabilities, build whole-of-society defense resilience, and work closely with such nations to jointly ensure freedom, openness, peace, and prosperity for Taiwan and the Indo-Pacific region. (E)

MOFA solemnly refutes absurd claims by China’s Foreign Ministry and Taiwan Affairs Office following President Lai’s address on second anniversary of inauguration

Source: Republic of China Taiwan

MOFA solemnly refutes absurd claims by China’s Foreign Ministry and Taiwan Affairs Office following President Lai’s address on second anniversary of inauguration

Date:2026-05-21
Data Source:Department of Policy Planning

May 21, 2026  
No. 221   

The Ministry of Foreign Affairs (MOFA) solemnly condemns and refutes the absurd remarks made by China’s Ministry of Foreign Affairs and Taiwan Affairs Office on May 20 following President Lai Ching-te’s speech marking the second anniversary of his inauguration. They again falsely claimed that Taiwan was part of China and stated that Taiwan was soliciting external support and pursuing military buildup to seek Taiwan independence.

MOFA reiterates that the Republic of China (Taiwan) is a sovereign and independent democratic country and that neither it nor the People’s Republic of China is subordinate to the other. Taiwan has long upheld a democratic constitutional system and a free way of life. This is the status quo that Taiwan is determined to defend and the greatest consensus of the 23 million people of Taiwan. Regardless of how the Beijing authorities attempt to distort history or push certain legal narratives, they cannot change this internationally recognized status quo.

Taiwan is a guardian of democracy and the status quo. It remains committed to maintaining peace and stability across the Taiwan Strait, but under no circumstances will it yield national sovereignty and dignity to coercion or pressure. Taiwan will do everything in its power to protect its democratic and free way of life.

To preserve cross-strait peace and stability, Taiwan will steadily bolster its self-defense capabilities and leverage its economic, trade, and technological advantages to become a pivotal force for promoting regional peace and stability. Taiwan calls on China to cease its military expansionism and gray-zone tactics across the Taiwan Strait and surrounding areas. Such actions are not supported by the people of Taiwan, and they underscore to the international community that China is the true troublemaker, disruptor of peace, and changer of the status quo in the region.

MOFA urges the Beijing authorities to acknowledge the objective fact of the existence of the ROC (Taiwan), respect the Taiwan people’s choice of a democratic and free system, stop repeated efforts to mislead the international community, and avoid further provocation and conflict. 

Taiwan will continue to work closely with the United States and other like-minded countries to jointly safeguard the rules-based international order and ensure peace, stability, and prosperity in the Indo-Pacific. (E)

MOFA condemns China’s efforts to distort UNGA Resolution 2758 and WHA Resolution 25.1 with regard to Taiwan’s participation in WHA

Source: Republic of China Taiwan

MOFA condemns China’s efforts to distort UNGA Resolution 2758 and WHA Resolution 25.1 with regard to Taiwan’s participation in WHA

Date:2026-05-19
Data Source:Department of International Organizations

May 19, 2026  
No. 219  

The Ministry of Foreign Affairs (MOFA) strongly condemns and protests China’s Ministry of Foreign Affairs for issuing yet another false and misleading statement on May 18 regarding Taiwan’s engagement in the 79th World Health Assembly (WHA). China has continued to politicize Taiwan’s participation, exposing international public health cooperation and disease prevention systems to high risks.
 
In attempting to put politics above public health interests, China has repeatedly made the false claim that Taiwan’s participation in the World Health Organization (WHO) requires its approval. It is common knowledge that United Nations General Assembly (UNGA) Resolution 2758 and WHA Resolution 25.1 only address the issue of China’s representation and do not mention Taiwan. The resolutions neither authorize the People’s Republic of China to represent Taiwan in the UN system nor assert that Taiwan is part of the PRC. China has long tried to distort the texts to create a legal basis for its “one China principle,” conflating the resolutions with the issue of Taiwan’s sovereignty and restricting Taiwan’s space for international engagement. China’s wholesale deviation from the original texts and the principles of international law has elicited criticism and opposition from the United States, other like-minded countries, diplomatic allies, and the European Union.
 
As the primary international public health agency, WHO has a mission to promote the health and well-being of people everywhere. Consideration of Taiwan’s entry should be guided by global public health interests and professional requirements. Regrettably, WHO has refused to invite Taiwan to attend the WHA due to China’s political demands. China has long meddled in WHO’s handling of Taiwan’s equal engagement in technical meetings and mechanisms, even spreading disinformation that proper arrangements have already been made for Taiwan’s participation in technical meetings. These actions blatantly disregard the importance of international exchanges of public health information and transnational cooperation on disease prevention.
 
Taiwan’s bid to participate in the WHA is integral to the right to health of every human being and the integrity of the global public health system. Taiwan has considerable expertise and rich experience in such areas as communicable disease prevention and control, universal health insurance, digital health, and medical and health assistance. Over the years, Taiwan has achieved outstanding results in assisting allies and friendly countries to enhance medical resilience through transnational medical health cooperation, public health capacity building, and other approaches. China may succeed in preventing WHO from issuing an invitation to Taiwan, but it cannot stop Taiwan from contributing to global health and disease prevention and receiving widespread acclaim from the international community for its medical capabilities and democratic values.
 
In global health governance, no one should be left behind. MOFA will continue to deepen relations with diplomatic allies and like-minded countries through integrated diplomacy, public-private partnerships, and Taiwan’s technological strengths. To resolutely defend the legitimate right to international participation of the 23 million people of Taiwan, MOFA will actively promote global medical health cooperation and the model of healthcare-driven industrial growth. (E)