(Photo: iStock)
Singapore announced on July 10 that starting from 2025, new registrations for diesel vehicles and taxis will no longer be permitted as part of its goal to achieve all vehicles using clean energy by 2040. Existing diesel vehicle owners who wish to continue using their vehicles will face higher road taxes to renew their ownership permits, aiming to reduce the national proportion of diesel vehicles.
Higher road taxes for diesel cars starting 2025
As of May 2024, Singapore has a total of 164,759 diesel vehicles, including 19,972 private cars and taxis. Starting next year, these vehicles may incur higher road taxes. Most of the remaining diesel vehicles are trucks and buses, which will not be affected for the time being. Under current Singaporean regulations, vehicles older than 10 years are subject to additional road tax ranging from 10% to 50% based on their age.
Due to clear government policies, diesel taxis currently account for only 16.8% of the total taxi fleet, a successful reversal from their previous majority. Taxi operators, particularly the largest one, ComfortDelgro, have been preparing since 2019 by ceasing diesel vehicle registrations and planning to reduce their diesel vehicle fleet to below 1% by the end of 2025, having recently acquired 1,000 hybrid vehicles in 2023.
Volt Singapore, a subsidiary of Keppel, announced that it will construct a fast-charging hub for electric vehicles in the city-state, catering to both commercial and passenger vehicles. (Photo: Volt Singapore)
Singapore to build largest Southeast Asia charging station
Since 2013, Singapore has implemented the Early Turnover Scheme (ETS) to incentivize vehicle owners to replace older commercial vehicles with higher emissions. Additionally, the Commercial Vehicle Emissions Scheme (CEVS), launched in 2021, offers subsidies to encourage the purchase of lower emission light goods vehicles, both extended until March 31, 2025, due to their effective outcomes.
While phasing out fuel-powered vehicles gradually, Singapore is actively promoting electric vehicles (EVs) through the EV Early Adoption Incentive (EEAI) and the Vehicular Emissions Scheme (VES). These schemes can provide up to SGD 40,000 (about 29,000 USD ) in savings for EV owners.
Regarding charging infrastructure, Singapore aims to increase the number of charging points from the current 7,100 to 60,000 by 2030. Keppel, Singapore's largest multinational company, announced on the 8th that its electric vehicle charging subsidiary, Volt Singapore, will construct Southeast Asia's largest public charging station. Expected to be operational by the first half of 2026, it will feature 80 charging points, further promoting the widespread adoption of electric vehicles.
Source: Straits Times, Lianhe Zaobao, Business Times, Nikkei Asia
