Tag: COE

  • What Will It Take For Singaporeans To Give Up Cars

    What Will It Take For Singaporeans To Give Up Cars

    Many foreigners are baffled as to why a Singaporean would want to buy a car, paying several times the price of a car in their own home countries. After all, they insist, the MRT system is fantastic and so much better than the subway in New York or the Tube in London. Others argue that car ownership takes on an aspirational veneer in Singapore, and people are willing to pay a lot of money to realise the dream.

    However, as any Singaporean knows, public transport can only get you so far if you don’t live near an MRT station and don’t go out after midnight. In order to really change Singaporeans’ attitude to car ownership, some changes need to happen first, like the following.

    Increased accessibility to public transport

    The occasional breakdown and daily shoving matches not withstanding, the MRT is fairly efficient. While it pales in comparison to its counterparts in Hong Kong, Tokyo and Taipei, it does offer the quickest way to get from Jurong East MRT station to Bugis MRT station, especially considering the jams on the road.

    But the problem is that most Singaporeans live in suburban areas quite a distance from the central zone, and unless you actually live within wallking distance of Jurong East MRT in the above example, getting to the station can be a big headache in itself. I can’t pretend I’m not just a little bitter about this, as I live in an area with only one bus, which has taken up to 1 hour to arrive in the past.

    When you think about all that lost time spent waiting for the bus in order to get to the MRT station, it’s not hard to see why many Singaporeans don’t mind shelling out the cash to buy a car. Either driving to work or using the park and ride scheme to get to an MRT station can save you more than an hour each day—a life saver if you have to work long hours.

    Cheaper late night transport options

    While raising the prices of cars can deter people from buying them, those who routinely travel after midnight save much less, which then increases the attractiveness of having your own transport. Taxi fares in Singapore have risen quite a bit over the last ten years, and taking a 30 minute cab ride after midnight can easily cost you more than $25.

    If you go out for late night suppers a lot, get the urge to shop at Mustafa at 3am or work the graveyard shift but have a meagre transport allowance, getting a car makes a lot of sense. While we do have NightRider and Night Owl bus services, these are limited and operate only only Fridays and Saturdays and the eve of public holidays, presumably to cater to partygoers.

    I personally think the NightRider services are great, and if they could be extended to the other days of the week and serve a wider range of areas, going out at night would be a lot more affordable, considering the cost of two beers and a cab ride home with midnight surcharge could easily set you back $50.

    More independence and free time for kids

    Many Singaporeans I’ve spoken to seem to be of the opinion that a car becomes a necessity when you have kids. However, unless you ferry your kids around every single day, the odd taxi ride to the zoo or the clinic would probably still cost much less than a car.

    The problem is that many Singaporeans actually do ferry their kids around every single day. I live just outside a primary school, and every morning and afternoon the road gets jameed by an insane number of parental cars just waiting to drop their offspring off at the school gates. Many parents prefer to get stuck in a neverending queue of parents’ cars than to drop their kids off a 5 minute walk away.

    Singapore is one of the safest countries in the world and actually the perfect place for kids to learn how to use public transport on their own, since there’s little fear of their being kidnapped and sold as slaves.

    On the other hand, very often it’s not that kids aren’t able to take public transport on their own—but rather that they have too many after school activities. Parents need cars so they can drive frantically from tuition centres to piano lessons to Young Genius seminars.

    If kids are allowed to be independent and free up enough time in their schedule to remove the need for parents to become chauffeurs, more people might realise that it is indeed possible to parent without a car.

    Greater comfort on public transport

    If you’ve ever had a migraine, been pregnant or just damned tired after another 12 hour work day, you’ve probably sworn that you would either quit your job or buy a car. For many people, their biggest bugbear about having to rely on public transport isn’t commuting time—it’s comfort level.

    To be fair, the MRT and buses in Singapore are actually quite comfortable on their own. Nobody’s asking for velvet cushions or free foot massages during their commute. But when the trains and buses are packed to bursting point, you have to stand throughout an hour-long commute and you’ve got armpits in your face and heels stabbing at your feet, a car looks that much more appealing.

    Unfortunately, even if SMRT started being more generous about the air con on the trains and hiring smiling greeters to wish passengers a pleasant commute, the crux of the matter is that for those with a long commute, standing for an hour or more causes enough discomfort to send them running to car dealers. When you’re already exhausted from work, trying to balance on the steps of an overcrowded bus or having to grab for the poles as the driver makes yet another emergency stop can take its toll.

    With office decentralisation already starting to happen and the government making efforts to improve the capacity of the public transport infrastructure, let’s hope this problem gets solved someday.

    Do you have a car and why did you buy one despite the high cost? Share your reasons in the comments!

    Source:http://blog.moneysmart.sg

  • Car Buyers Adopt Wait And See Attitude

    Car Buyers Adopt Wait And See Attitude

    It is the first weekend of the Chinese Lunar New Year and some showrooms saw a steady flow of prospective buyers on Saturday (Feb 21).

    Despite Certificate of Entitlement (COE) premiums, especially for small cars, going down recently due to a higher number of de-registrations, car dealers said many buyers were still taking a “wait-and-see” approach.

    And although market demand is growing, many hope the COE will slide further before they commit to a purchase.

    Neo Nam Heng, president of the Automobile Importer & Exporter Association, said: “We’re projecting more COEs coming into the market because from January figures, you can see there are already 5,000 or more deregistered vehicles.”

    Mr Neo added: “Besides the supply-demand issues, there are other factors like currency exchange rates and the CEV (carbon emissions-based vehicle scheme) rebates. Euro and yen are so weak that there are substantial savings for importers to support the COE price. So COE prices will be softened, but not collapse.”

     

    Source: www.channelnewsasia.com

  • Bikers Can Only Blame Themselves For Rising COE Prices

    Bikers Can Only Blame Themselves For Rising COE Prices

    Dear editor,

    I am a rider but I keep hearing complaints from riders that PAP is a bloodsucker and they are going to vote out PAP because they cannot afford $5,500 COE. I am sick and tired of hearing it.

    Cannot afford COE? How about the illegal exhaust and mods made to their bikes? I know one dispatch rider who always complain about bike COE but owns 3 motorcycles and he spent more than $3,000 on modifications to his hayabusa alone. He always complain things are expensive in Singapore but did not take into account of their own income level and moderate his spending habits.

    I know another dispatch rider who spent more than $500 for a helmet and more than $1,500 for a titanium exhaust without batting an eyelid. But he almost got into a serious accident when his bike stalled on the PIE because his engine oil dried up. He bitches to me often about bike COE.

    I realised when riders complain about bike COE, they did not factor in the dealers who are very much responsible for jacking up COE prices.

    When you purchase a vehicle, you sign the sales agreement and put down the deposit. The dealer then tells you that he will factor in a certain amount as the COE. That amount is probably based on the average value in the last couple of month. If it was 900, then 1300, he’ll probably put in 1K.

    Right now with the COEs in the 4000 to 5000 region, a dealer will price it at 5K average. Then he’ll place his bid anyway. If you get the COE under 5K, he’ll refund you the difference. If over, you top up the diff. Then you settle your down payment.

    Most whiners fail to realised this: the dealers and their salesmen want to make the sale, and will be willing to place insanely high bids just to close the deal. YOU are the sucker. The dealers are the one inflating the COE premium because of their panic bidding response to supply being cut. That was what happened a few months back when LTA cut the supply by 25%. They bid higher, wanting to make sure they got the COE to cover their sales. It’s not going down because the average value has gone up. Unless you get a fluke situation where there are less bids than the actual supply, and some lucky mofo puts a bid of $1.

    So who are to be blamed for high COEs? Put simply. Bike dealers.

    Why don’t whiners who’re buying bikes start telling the dealers “I’m only willing to pay COE $2,000 max. Any more, screw the deal.” Don’t sign on the sales agreement unless they add that in writing.

    At this point, some of you might be thinking “But COE goes to PAP. The dealers don’t get the 5.5K what…..” Yes, and no. You ALWAYS have a down payment you’re willing to pay. Let’s say 5K on a 16Kbike (not incl COE). If the COE is at 1K, then the total price will be 17K (insurance let’s not include yet ok?) You made a downpayment of 5K, and your loan quantum will be 12K. Now if the COE was at 5K, the bike is gonna be 21K in all. Your loan quantum: 16K. The government gets the 5K, but the shop/finance isgonna get the interest out of that because you took a larger loan.

    So who says that they don’t earn more from higher COEs?? The government has got to disallow dealers from bidding for COEs. Make the buyers log into the system themselves and place the bid instead.

    Only then will COE premiums start to fall. Because as buyers ourselves, we will not place stupid bids. The dealers don’t give a crap about riders. They’re just interested in the sale. And you, the buyers, have to tell them “Fcuk off” When you go out to buy a new bike today, or tomorrow.

    Go ahead and tell your dealer “I only want to bid COE max 1K, or else I’m not signing” See what they say. If everyone does it, see how the COE goes.

    Source: www.allsingaporestuff.com

  • Is PAP the solution or the problem?

    0% of the population voted for PAP during 2011 elections. The PAP vaingloriously considers this achievement as an indication that they have gotten a HUGE majority of support from the citizens as compared to other democratic nations. As we know, this figure belies the actual truth. Taking into consideration that the climate of fear still plays a crucial role in punching up the percentage, Im pretty sure their think-tank have its own analysis as to what the actual support is.

    We had seen how support for PAP has been sliding south at each general election. Again, I’m sure they conducted extensive research on why this is happening. While the frugal Lee Kuan Yew (LKY) was very fortunate to have a docile population whom he can twiddle with his imaginary hatchet, his prodigal son, Lee Hsien Loong (LHL) had to content with an electorate equipped with plethora of information from the emergence of the social media.

    Make no mistake. The PAP has absolute control over our print media. Those who think that our newspapers provide unbiased reporting, must have been living in ‘Batu Cave’ and have no other sources of information except receiving news via a subscription plan from SPH.

    Unable to control the outflow of information which has been fastidiously guarded during LKY’s term, the people are now beginning to realise that PAP is not the solution to the problems that the country is facing. In fact, they are the problem. Policies were passed down without extensive deliberations and they are reactive rather than proactive.

    Often times, when problems start to appear, it was not promptly addressed. They make it a habit of ignoring valid small feedbacks from the public as being inconsequential. Thus problems regularly get compounded.

    Now let’s examine a few bread and butter issues to ascertain the facts on whether im blowing hot air.

    Public housing – We have seen prices skyrocketing. The scholars from PAP were the one that peg new public housing prices to the open market. This is now almost irreversible as detaching it will only have dire consequences to existing owners. What’s the solution from PAP then? Except meaningless tweaking and more taxes implemented, PAP has offered no long term solution to this predicament. In fact, they are compounding it by bringing in more immigrants without building adequate supply.

    Public transport (SMRT) – Who’s the genius one who decided to privatize our public transportation? Although this process is still reversible, it will take insane amount of tax payers’ money to nationalise it again. The citizens are now at the mercy of these big organizations as and when they decide to increase the fares. What’s the solution from PAP to keep transportation cost down? Nothing except throwing in tax payer’s money to fund part of SBS and SMRT’s expenditure to keep cost from rising while tax payers were made to pay for their mistakes. For how long are we going to inject billions of public funds to feed these big organizations?

    Healthcare – Who’s the smart aleck who created this severe brain drain of doctors in Singapore when he capped the number of students allowed to take medicine at NUS? Singapore now has to attract doctors from all over to come and practice here, paying premium salaries to them. Inevitably, part of the cost is passed on to patients. We also heard many stories of how a family is burden with hospital bills amounting to hundreds of thousands of dollars after a patient is diagnosed with terminal illness. Obviously our 3M has failed to provide adequate coverage to prevent such situation from happening. What’s the solution to these?

    COE – It is now a luxury to own a car in Singapore. At the present moment, Cat A and B quota premium is $85k and $93k respectively. The main purpose of implementing the COE system was to curb vehicle population growth. It had to a certain degree met its objectives albeit at the expense of the average citizen when COE prices shoot up to almost 30 times of the median income. It’s not rocket science to know that with an impending population increase and more affluent foreigners being converted into citizens, this regressive tax system will only impose a greater burden on the poor. Being a reactive government rather than proactive one, we can expect this problem will not be approaching any solution soon.

    It’s time that citizens think critically without prejudice on various issues that is affecting Singaporeans. Many of the problems were the result of bad decisions and policies. Achieving economic success alone is never a true measure of how successful a nation is. Citizen’s welfare and well-being should be placed in tandem with any economic progress.

    PAP has shown that its problem solving skills are limited to only imposing additional taxes on the citizens without any concrete solutions. It has failed the acid test and it is now time for a new holistic government to take it over for the next lap.

    Regards,
    Osman Sulaiman

    Source: http://www.facebook.com/notes/osman-sulaiman/is-pap-the-solution-or-the-problem/10151696941793372