Lower COE premiums incoming? More quotas to be made available from August to October

The LTA has announced that COE quotas for the next quarter (August to October) will be 11,019. This is a 5.6 per cent increase over the previous quarter (May to July).

The increase comes from the continued redistribution of the five-year COEs that are due to expire in the next projected supply peak. For this round, all 1,025 such COEs are designated for passenger cars.

Here's a breakdown of the COE supply by category:

Bidding under this quota will start on Aug 7, 2023. As a refresher, the COE quota consists of:

25per cent of the replacement COEs from vehicles deregistered in the twelve-month period from July 2022 to June 2023;

Provision for 0.25 per cent per annum growth for Category C based on the Category C vehicle population as at Dec 31, 2022; and

Adjustments for changes in the taxi population, expired COEs, Early Turnover Scheme for commercial vehicles and redistribution from guaranteed deregistrations for Category A and Category B.

The next quota announcement for the bidding period of November 2023 to January 2024 will be made in October 2023.

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This article was first published in Motorist.