More COEs will be available in the coming quarter
The Lion City is set to witness a significant increase in the number of Certificates of Entitlement (COEs) available in the upcoming quarter, from November 2023 to January 2024, with the overall quota growing by 13%.
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The Land Transport Authority (LTA) made this announcement on 13 October, revealing that a total of 12,774 COEs will be available for the quarter.
The largest increases are in categories A and C. For Category A, primarily used for smaller mass-market cars, the quota will be 22% higher than the previous quarter and 81% higher than the same quarter last year.
“This is facilitated by bringing forward 1,570 guaranteed deregistrations of vehicles on five-year renewal,” said the LTA.
In Category C, which covers goods vehicles and buses, the quota will increase by 35% compared to the previous quarter and a remarkable 124% more than the same quarter last year.
As for larger cars in Category B, the supply will rise by approximately 4% compared to the previous quarter.
Meanwhile, the Open Category will see an 8% increase in its quota, while the supply of motorcycle COEs will grow by 5%.
Bidding under the new quota is set to commence on 6 November. The LTA also anticipates that the supply for categories A, B, and C will continue to increase into the next year, while the Category D quota for next year is expected to be “comparable” to 2023.
Recent weeks have seen a surge in COE prices, with the Open Category premium reaching an unprecedented S$150,000 (US$109,615) on 4 October. Prices for Category B cars also soared to a record high of S$146,002 in the same tender.
The COE supply for the quarter comprises three components:
- 25% of replacement COEs from vehicles deregistered in the 12-month period from October 2022 to September 2023.
- Provision for 0.25% per annum growth for Category C, based on the Category C vehicle population as of December 31, 2022.
- Adjustments for changes in the taxi population, expired COEs, the Early Turnover Scheme for commercial vehicles, and redistribution from guaranteed deregistrations for Category A and Category B.
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