Lack of space: No more extra cars allowed in Singapore from 2018

Lack of space: No more extra cars allowed in Singapore from 2018”

Singapore's Land Transport Authority (LTA) has announced that the growth rate for cars and motorcycles in categories A, B and D will be zero from February 2018, down from the current 0.25%.

This group of vehicles, which belong in the A, B and D certificate of entitlement (COE) categories, will have their growth rate cut from the current level of 0.25 per cent per annum. The limit on vehicle growth rate will be reviewed again in 2020.

Singapore tightly controls vehicle numbers by setting an annual growth rate and through a system of bidding for the right to own and use a vehicle for a limited number of years.

However, the growth rate for Category C vehicles (commercial vehicles and buses) remains unchanged at 0.25% until 2021. Roads already account for 12 percent of Singapore's total land area, it said. The city-state has expanded its rail network by 30 percent and added new routes and capacity to its bus network. This means an average monthly quota of 8,635, continuing a decline that started last quarter.

While owning a auto remains an aspiration for some, higher prices that could result from a tighter vehicle supply could mean more consumers ultimately keeping to the more economical option of taking public transport.

As one of the world's most expensive places to own a vehicle, Singapore is to cap the number of vehicles on its streets next year due to lack of space.

It applies to private cars and motorcycles, but not to goods vehicles and buses.

"Raising the reliability and quality of public transport would also help a car-lite society to take shape here", said urban transport expert Park Byung Joon from the Singapore University of Social Sciences (SUSS).

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