The Land Transport Authority (LTA) has announced that the Vehicle Growth Rate for cars will remain at zero till 31 January 2022.
To be specific, the zero growth rate applies to vehicles in COE categories A, B and D. This has been the case since February 2018. The cap was originally going to expire in January 2021.
Only commercial vehicles are exempted from this. Their cap is set at 0.25 percent per annum.
The cap on private vehicle growth is to help ensure a sustainable and livable environment for Singaporeans. It also takes into account Singapore’s land constraints and continual improvements to the public transport system.
LTA cited “uncertainty over how travel patterns will evolve amidst the COVID-19 situation” as the main reason for extending the zero growth rate.
It also said that the growth rate will not have any impact on the supply of COEs, as the quotas for certificates are largely determined by vehicle deregistrations.