NO more COEs ??

boi86 SG

I went to kahmotor last week, enquring abt the civic.

i talked cock wif one of the salesman. However, when we got down to business, i asked him wat is the future outlook of the automobile industry. He told me tat COE may phase out of singapore in a few years time. However. he added, that wat the government is eaning is not on COEs, he told me tat ERP charges will go up, on top of that, more ERP ganties are coming on thier way,,,

Do u tink wat he said was true ? wat r ur views wif regards to the above topic ??? will COE be phased out in a few years time ??

so if no more COEs, does tat mean i can get to own my rx-8 earlier ??? haha..... Embarassed

stupidjoe SG

Govt will earn more from the many ERPs and road tax then. Everytime u use the road, u pay... if u calculate... it's going to be very costly... no loans too... Rolling Eyes

SeeTees SG

Yes its true. Government is moving towards zero COE system and will profit from ERP charges. Next time the moment your car leaves the multi storey carpark you will start to get charged liao. Becos of such system, OPC will also be phased out. It would be fascinating to observe how OPC cars (which by then are still surviving and running) will fare under this kind of system...

manualisbetter SG

I do not think the COE will be phased out since this is easy money, don't you think so? On the other hand, the PARF may be the one being phased out. In other words, only credit to LTA book account but no debit from the same account.

Presently, we can take back 55% of the PARF derived from the OMV. If this PARF scheme is removed, it will mean the OMV is irrelevant for any new car price registration except for govt own tax computation. For a new car of say 60k of 14k OMV, maybe then the price will drop to 46k. However, dun expect to receive back a single cent (excluding the pro-rated COE) when the car is scrapped later, just as an example.

If your RX8 has a OMV of 36K, maybe you could have it at

Also, i think ERP gantry is packed to the road tax calculation (i.e. using on road). With more ERP gantries will mean lower road tax in the future.

Conclusion:

With a lower new car price and lower road tax => everyone is happy that now new car is getting cheaper (however keep it in the garage to prevent paying ERP Very Happy )

(With more cars registering => more COE money gained) + more ERP gantry collection => LTA is happy that more money is available for them to improve on the SG road network and at the same time fulfil the govt needs allowing citizen to fulfill their dream of owning a car.

Sound more logical? Laughing

pqr SG

Can you tell us on what basis do u say is true leh?
U r from LTA ?

mach10 SG

Gov not stupid.

the plus plus here, minus minus there... still they sure benefit...

No COE means good thing for Gov... coz people will "understand" when more ERP gantries are up. in the long run, ERP will rake in much much more $$ den wat COE can do. Petrol price? haha...

There's a catch everywhere... all ye grown-ups... Very Happy

SeeTees SG

I wished I am from LTA. Then I will be able to strike and buy car at the right time at the right place. But too bad I'm not.

This idea of zero COE was mooted during the recent article in ST that reported some of the speeches by Transport Minister Yeow CT. Obviously it have to be from such credible and heavy weight source which even the authorised dealers' salesman will tell you the same thing... But don't ask me which date that ST article was. I seriously did not keep track. The idea is supposed to be an idea but the possibility of implementing it is very real. Question is when. Now they reducing the ARF gradually; causing your parf value to drop. Literally = your car no resale value. In the meantime they built new gantries. Noticeably the new one in Orchard recently. More will come. Its left-hand-pocket-out-right-hand-pocket-in kinda of mentality. Yes. The government will never do loss making businesses so trust that this new system will even rake in more $ for the coffers. Good luck to all salesman who needs a car to run on the road...

TwinTurbo_Supra SG

i can get my 430 by 25! Mr. Green

LazerLordz SG

I pray we don't reach the levels that London Metropolitan is charging ..8Pounds... Shocked

leddy SG

interest rates coming down in europe

GLX SG

Wah liew, no more PARF, then what will become of ur car's scrap value ?
Assuming price of Integra remains at $90k, and scrap value only becomes that of the value of the COE... Now it is currently $16k .... First day, you get your Integra, it already depreciates by $74k !!!!!

Impossible for any one to change car, once you bought one ... unless you are prepared to lose BIG money .

Of course price, will drop if PARF is removed... but by how much ? ...

Buying Cars is a WIN - LOSE situation to the advantage of the LTA..... =(

SeeTees SG

Your car will not depreciate as if the sky drop on us suddenly. The ARF will be reduced until nothing left. Right now is 110% of OMV. The parf is 55% of this value. So in effect it is approx 60% of OMV. 2 years ago it was 65% of OMV. So this amount will gradually come down. Cannot do overnight. A lot of people will bang tables. No one will change car or buy new cars anymore. Then all the authorised dealers will feel the pinch and start to pull out of Singapore. Then we have another set of crisis-Job losses + no new car on the road = run down feeling of the country cos only old cars are on the road... No way the government will do this. But the trend of car being cheaper and cheaper cannot be avoided. Eventually you will only pay for its OMV which is its production and shipping costs. Affordable? Yes. But you pay like hell for ERP charges. This is what is happening in Japan... In this case, LTA dun even need to set aside the $ to refund u back as PARF as it will virtually be non-existent. Smart huh? How not to win you tell me lah?