How to Lower the Cost of Car Ownership

In my previous articles, we talked about the cost breakdown of car ownership in Singapore, together with what to look out for when purchasing a car. The articles have highlighted the high cost of car ownership in Singapore, due to the various taxes and duties levied upon the car not forgetting the cost of maintaining the upkeep of the vehicle. In this post, I am going to show you how to lower the cost of car ownership in Singapore.

According the data published by the Singapore government, the volume of new registrations for off peak cars is trending higher since year 2015. This could be due to the high cost of maintaining a full license car in Singapore, the craziness of the roads during the peak travelling period and the convenience of public transport system.

Read: The Cost of Owning a Car in Singapore

Off-Peak Car Scheme

What is the Off-Peak Car Scheme?

How to Lower the Cost of Car Ownership

Who is it suitable for?

  • Drivers who don’t drive during office hours
  • Drivers who intend to use the car during weekends and at night
  • Drivers who own a second car

Why is this scheme introduced?

  • To reduce the number of cars on the road to ease congestion

What is the catch?

  • Up to SGD$17,000 rebate offset against the Quota Premium for a Certificate of Entitlement (COE) and the Additional Registration Fee (ARF)
  • Substantial cost saving given that the price of Category A COE price┬áis SGD$33,199 as of April 2019
  • Flat discount of up to SGD$500 on annual road tax, subject to a minimum road tax payment of SGD$70 per year.
  • Cost savings for petrol and car maintenance

What if I want to drive my car during the restricted hours?

  • Driver to purchase an electronic day license
  • Costs SGD$20 for a full day usage

Modes of Purchasing:

If you forget to purchase the e day license, you have until 2359 the next day to do so.

How to Sign up for the Off-Peak Car Scheme?

  • Inform your car dealer that you wish to register your car under the OPC Scheme
  • Arrange to have license plate sealed at any LTA-authorised inspection centre.
  • The background colour of your number plates will be red with white lettering
  • When the car is registered successfully, LTA will send a notification letter to the registered address of the car owner.
How to Lower the Cost of Car Ownership

Read: What to Look Out for When Buying a Car

Source: LTA, One Motoring, SG Car Mart

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