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LTA lowers vehicle growth for the next 3 yrs


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http://www.sgcarmart.com/news/article.php?AID=4880

 

The annual vehicle population growth rate will be lowered from the current 1.5% to 1.0% in 2012, and then to 0.5% in 2013 and 2014. For 2012, the 1% p.a. growth will be front-loaded, with the current 1.5% p.a. growth rate maintained for the first half of the quota year (February 2012 to July 2012), followed by 0.5% p.a. growth rate for the remaining half of the quota year (August 2012 to January 2013). Overall, the growth rate for the new 3-year quota period is therefore 1.5% p.a. for the first 6 months, followed by 0.5% p.a. growth rate for the remaining 2.5 years.

 

According to the LTA, the current annual vehicle population growth rate of 1.5% has outstripped the average annual road growth of about 1% in recent years. As road growth is expected to slow down to about 0.5% p.a. on average over the next decade, it is not sustainable to maintain the vehicle growth rate at 1.5%. The lower vehicle growth rate will be more closely aligned to the pace of road growth going forward.

 

The lower vehicle growth rate is not expected to have a large impact on the COE supply in the next few years, especially in the context of an expected uptrend in vehicle de-registration numbers. The annual vehicle population growth rate will be reviewed after three years, and the COE quota for the COE bidding period from February 2012 to July 2012 will be announced in mid-January 2012.

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Everything oso got ups and downs.. supply up or down, coe price oso got up and down. people who bought cars 2 year ago now happy... sell can make $$ or just hold one for few more years. Those who need to change cars soon, kao pei. In life you win some u lose some

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Isn't it sad when cars can only be the toys of the rich? At present, cars are expensive but we still have choice to suit our budget. Can buy cheaper car if we don't want to spend so much. Unfortunately, with the tightening of COE supply, the COE premium will make up a large percentage of the car price, hence negating whatever savings one gets by choosing cheaper cars. In the end, it makes little sense to get a cheap car, like MIC cars, when the OMV is only a small part of the overall price. Doesn't make sense to choose a MIC car at say, $80k vs an entry level Japanese car at say, $90k

 

Having said that, I guess it's not possible for the Gov to continue allowing car population to grow and grow at a few % a year. Driving will be such a nightmare.

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our govt do things very monotone one leh. Keep increasing COE prices only, why don't they offer benefit for scrapping cars also. Offer something that people won't feel so much pain when scrapping their cars. I believe this way will reduce car growth more effectively.

 

First, they make people pay such high COE price then encourage people to scrap but return so little, it's painful in both ways.

 

It used to be high COE price but high parf rebate. People are willing and happy to scrap their cars. Now is high coe price low parf rebate, where got people want to scrap like this, only if bo bian and bo gam guan then scrap and more tulan towards govt nia.

 

If a small fry nobody like me can think of this, what are those highly educated ministers doing on top of their high horses?

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Supercharged

our govt do things very monotone one leh. Keep increasing COE prices only, why don't they offer benefit for scrapping cars also. Offer something that people won't feel so much pain when scrapping their cars. I believe this way will reduce car growth more effectively.

 

First, they make people pay such high COE price then encourage people to scrap but return so little, it's painful in both ways.

 

It used to be high COE price but high parf rebate. People are willing and happy to scrap their cars. Now is high coe price low parf rebate, where got people want to scrap like this, only if bo bian and bo gam guan then scrap and more tulan towards govt nia.

 

If a small fry nobody like me can think of this, what are those highly educated ministers doing on top of their high horses?

 

Why not u email to Teck Yew and PM Lee? Can also include Opp party inside too.

 

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It used to be high COE price but high parf rebate. People are willing and happy to scrap their cars. Now is high coe price low parf rebate, where got people want to scrap like this, only if bo bian and bo gam guan then scrap and more tulan towards govt nia.

 

If a small fry nobody like me can think of this, what are those highly educated ministers doing on top of their high horses?

 

You must be quite young, the parf rebate has actually improved over the years

 

It used to be high rebate of 80%, but the ARF when you buy the car new was 150% of OMV

 

Then due to world trade agreements, they had to lower the ARF - it went down to 130%, then 110% and now is 100%

 

While the Parf rebate drop correspondingly from 80% to 65% to 55% and now 50%

 

So if you assume OMV of 100k, long time ago they tax you ARF 150k and rebate you 80k

 

Now 100k , they tax you 100k and rebate you 50k

 

So cannot anyhow blame minister

 

 

 

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