Will more COEs bring down prices? | Deep Dive podcast

Up to 20,000 additional Certificates of Entitlement (COEs) will be progressively injected across all vehicle categories from February 2025. Why is the government making this move and will this bring COE premiums down?

Steven Chia and Crispina Robert speak to Walter Theseira from the Singapore University of Social Sciences and Arthur Wong, managing director of ACM Automobiles.

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[Themidlifeinvestor]

Why isn't there an additional coe surcharge for addresses with more than 1 car

1.5x for 2nd car
2x for 3rd car
Etc

[Kevinpsh]

Minister Chee, it’s crucial to recognise that foreign and corporate bidders, although they represent a minor segment of the market, can substantially influence COE prices due to their capability to place higher bids. The absence of detailed data on their bids makes it challenging to gauge their overall impact fully. Utilising the existing Open Category specifically for these groups could address this issue. By introducing a dedicated COE category for foreign and corporate bidders, we can ensure fairer competition and more effective price management, securing a balanced market for all participants.

[ttkoh]

How can you effectively control road traffic if the population is allowed to increase? How can the Quality of Life for Local Singaporeans not be affected by this Policy?.
Good time to recall what LKY said;
Mr Lee KY said that we’ve grown in the last five years by just importing labour. Now the people feel uncomfortable, there are too many foreigners. Trains are overcrowded with foreigners. Buses, too. Property Prices have gone up because foreigners with PR visas are buying into the market. [Ref: 15 March 2010]

[ibatawi]

People who seriously don’t need cars are all the speakers in this forum, armed with mouths is all u need, no heavy baggages of equipments to go work, no standby peripheral you may not or may need during the course when you conduct your businesses, or the need to transport people and goods to multiple places .

[avatart]

How come new measures to curb car congestion was added over time? Why is the gov not looking at the effectiveness of each measures, whether it still make sense for the situation and removed(just like the case where radio and TV license were removed) some older measures 😢?

[denisechan]

Get to the root of the problem. Road congestion will not be solved if the government keeps on increasing foreign population. If the govt can cut down the Extra 3 million foreigners by 1 million, all issues would be solved. Be it shortage of infrastructure, essentials like water etc. There would not be even a need for COE, ERP etc to suck up the public money.
Seriously, to come out with suggestions like deferring the time a person entering the gallantry by an hour is not efficient time management.

[Black_Sun_Dark_Star]

There is no actual opposition view even in this "chat". Everyone is just circling the symptoms.
1. 20, 000 COEs will lower the certificate prices in the short term, but it will be back to normal in a few cycle.
2. Aren't we supposed to lessen more auto traffic?
3. Why build more roads if there are going to be lesser vehicles on the road?
4. ERP 2.0 is just going to squeeze more out of car "owners" in Singapore.
5. Asking the public to take more public transport but the transportation fees keep hiking. Where is the economy of scale?
6. Why are NEA allowing vegetation-trimming on the sides and in the middle of the expressway, on the weekends when the traffic is the highest?
7. Traffic fines are increasing, are the merits too? Why are we being punished but not rewarded?

[temuchen]

The Michelin Guide was invented by a French motorist to rate restaurants along highway routes. Because food lovers were often well rounded and had spare tyres around their waists, he wanted to name the guide after a car tyre. One look at his car tyres and he decided to call it The Michelin Guide.

[vincecarlo]

PHV vehicles should ONLY Bid in OPEN Cat as they Are Making $$ For the Company like GRAB
Else how Anthony Tan can Afford his GSB ?

[LonganLee]

I hope singaporeanz don't question what is the Actual Logic in totality how COE published valuation comes about. We must not demand for independent audit by non-establishment people whom we trust. We must blindly believe. Yes, its a virtue

[nicklee]

Congestion is directly proportional to population size. Demand for goods & services will definitely increases; accomodation, food, transport, leisure, utilities and waste will definitely increases.

[jj.t]

Car dealers bid higher and higher to earn from the loan

Rental companies charge higher and charge to earn from the rent

Govt earn from higher COE, GST, collect more taxes.

[LonganLee]

It seems that the people on the job don't really know what's going on and finding excuses for flawed policy. Why do I hear they are like not really sure what's the real cause? You make the policy, you make the system, you collect all the data who are the buyers

[LiXianYang]

Will more opposition MPs bring up quality of debate in Parliament and have legislations written to benefit Singaporeans?

[justgameit]

No matter how many COE is being supplied, it will never come down to what we have in the past few years, it will still cost more than the car itself which is ridiculous for those who really need for fetching elderly and kids, its for the family. And the corporate bidder doesn't care, they bid higher, and make the fare higher (with their so called fair/fare system for peak vs off peak) and customer pay the price for that. Can u imagine, an elderly taking grab for a distance of 2 mrt stations cost more than $20 during a rainy day.

[heng-yewlim]

Separate COE category for rental PHV!!! Otherwise these fleet owners will just makan all the extra quota. Shoule be the same as taxis.

[sleepy_dobe]

11:21 Sorry to correct you there, for a COE compared to prices now is a good run, but those were not the lowest levels seen in recent history. If my memory serves me correctly, somewhere between 2005-2010, COEs were around the levels of just under $20k. Those were really low, and car buyers back then didn't even give a thought about the COE when buying a car. As in, the cost of the COE was never seen as an additional cost to buying a car. The moment it went above $50k, it became like a separate item, a separate cost to buying a car like insurance and season parking etc.

[M_views]

More COE means more money for government, more year end bonuses for the civil more cars buying commitment means people have to work harder, cannot retire, work till masuk else? 😮

[roystonling]

Not dream of owning a car, it is actually a need. Try handling kids, the elderly and balancing the time. Pluus now flats are closer to mrt. Wasnt the case in the past.

For CTE issues, you just have to look at the number of towns it serve and the options of routes that one can take to reach towns like woodlands, sembawang or yishun.

Actually if we say that owning a car is for the privileged, why are we giving subsidies to people who stay in HDB but own a car?

[DerrickNinon]

Increase coe so can earn more from erp, season parking etc. Simple. Nothing about solving problems.