According to a recent update by the Land Transport Authority (LTA), the overall supply of Certificates of Entitlement (COE) for the February to April 2025 period is set to rise by 8% compared to the previous quarter. The specific number of COEs available will be 17,133, a notable increase from the 15,834 available in the previous quarter. This is also a significant rise of 16% compared to the same period in the previous year.
As stated by the LTA, “The quota for Category A, B, C, and E will increase by about 10 per cent, while the quota for Category D will remain unchanged.” This suggests adjustments to the allocation strategy to cater to different vehicle categories.
The bidding for the new quota is scheduled to commence on February 3. Additionally, the LTA mentioned that the COE quota for the bidding period of May 2025 to July 2025 will be revealed in April, providing a clear timeline for future updates in this domain.
The COE quota system encompasses various components, as elaborated by the LTA, “25 per cent of the replacement COEs from vehicles deregistered in the 12-month period from January 2024 to December 2024.” This demonstrates the mechanisms in place to regulate COE availability based on existing and upcoming vehicle deregistrations.
Furthermore, the announcement made by the LTA in October last year indicated a proactive approach, stating that “up to 20,000 additional COEs will be progressively injected across all vehicle categories from February over ‘the next few years’.” This initiative was driven by the planned implementation of ERP 2.0, with an aim to optimize the COE system for the future.
The adjustments in the COE quota allocation reflect a dynamic approach by the LTA to balance market demand and supply intricacies, ensuring a calibrated system for vehicle ownership in Singapore.
