Up to 20,000 additional certificates of entitlement (COE) will be injected across the five vehicle categories over the next few years from February 2025.

The announcement, made by Land Transport Authority on Oct 29, has sparked much discussion among many. The LTA says the move reflects recent trends in vehicle usage, the upcoming and improved ERP 2.0 system and significant investments in Singapore’s public transport network. Could a boost in COE supply lead to a drop in COE premiums and ease car ownership costs?

Lee Nian Tjoe, Senior Transport Correspondent, The Straits Times, weighs in on the impact of this latest development.