The number of ride-hailing vehicle licences will be determined based on Hong Kong’s unique conditions and the need to maintain passenger experience, the city’s leader has said, adding that the proposed subsidiary legislation will be submitted for approval on schedule.

Chief Executive John Lee Ka-chiu also said on Tuesday that a mechanism would be established to monitor market operations and data, as well as to conduct dynamic assessments and reviews of quotas.

His remarks were made after authorities revealed details of the regulatory framework last week, but did not specify a cap on the number of vehicles to be approved for the service.

Ride-hailing platform Uber warned that a cap of 15,000 vehicles would lead to higher fares and more unsuccessful ride requests, while some taxi groups said even a few thousand licences would be unacceptable.

Speaking to the press before his weekly Executive Council meeting, Lee said the cap should strike a balance among several factors.

“First, address public travel needs so that the riding experience remains more or less the same,” he said.

He pointed to the city’s unique transport landscape as the second factor, including road capacity and the fact that nearly 90 per cent of trips are made using public transport, with the need for ongoing, dynamic assessments of quota levels as the third factor.