Tougher penalties for drivers providing unlicensed point-to-point services under new rules

SINGAPORE – Drivers who use unlicensed vehicles to provide point-to-point (P2P) transportation can face higher fines of up to $10,000 under changes to rules to curb such illegal services.

It will also be illegal to publish, forward or share advertisements for illegal P2P services, including on messaging platforms such as Telegram.

Minister of State for Transport Baey Yam Keng, speaking in Parliament on Oct 7, said illegal P2P services pose safety risks to passengers and undermine the livelihoods of licensed drivers.

He urged commuters not to use such services, which may not have valid insurance coverage.

“We have not introduced specific penalties against commuters for the use of illegal P2P services for now. But we may do so in future,” he said at the second reading of the Land Transport and Related Matters Bill, which was passed at the end of the sitting.

Offenders can be fined up to $3,000 for providing P2P transport services using unlicensed vehicles, under existing rules.

Baey also said advertisers will be ordered to remove advertisements for illegal P2P services under the new law, and online platforms will be required to provide information on who is behind the advertisements.

Since July 2025, the Land Transport Authority (LTA) has impounded about 240 vehicles used to provide illegal P2P services.

Baey said: “Investigations take around three to four months, exceeding the current one-month period before a seized unlicensed vehicle must be released in the absence of prosecution.

“Therefore, we will lengthen this mandatory release timeline to three months. This will give LTA sufficient time to investigate and build a complete case.”

Rules governing the sale of active mobility devices have also been tightened, including for online sellers.

Laws that now apply to bricks-and-mortar retailers will extend to online sellers, who will be required to display warning notices and usage rules. They will also be barred from advertising or selling non-compliant devices.

“As online sales become common, consumers should likewise have confidence that their online purchases are compliant,” Baey said.

The changes will also make it an offence to falsely claim that a device or battery is compliant, or to advertise illegal modification services. LTA will be able to order sellers to amend or remove online listings and advertisements that flout the rules.

The law also addresses fire risks posed by lithium-ion batteries used in active mobility devices.

There were 55 fires involving active mobility devices in 2023, 67 in 2024 and 49 in 2025. One cause is the use of incompatible batteries, which can pose safety risks even when installed in compliant power-assisted bicycles (PABs) and motorised personal mobility devices (PMDs).

With the changes to the law, sellers will have to make clear battery compatibility, voltage and capacity. Advertising, selling or using a battery with an incompatible device will be an offence.

“This approach places responsibilities on both the seller and the user,” Baey said.

The new rules for online sales, advertising and battery safety are expected to take effect in the second quarter of 2027.

Penalties for illegally importing PABs and motorised PMDs will also be beefed up later in 2026.

For individuals, the maximum penalty will double from a $5,000 fine, six months’ jail or both, to a $10,000 fine, 12 months’ jail or both. For companies and other groups, the maximum fine will rise from $10,000 to $40,000.

As for blue seal PABs, they will no longer be allowed on public paths and roads from Jan 1, 2028.

These PABs were approved before the more comprehensive EN15194 safety standard became mandatory in 2016, which means those still in use are at least 10 years old.

Baey said ageing electrical components could increase fire risks, while suitable original replacement parts for older models may also be harder to obtain.

Existing users will have more than a year to switch to compliant devices, while LTA will work with national e-waste recycler Alba to step up collection drives for the safe disposal of blue seal PABs.

The law also now gives LTA stronger powers to keep deregistered vehicles off Singapore’s roads.

Although more than 99 per cent of deregistered vehicles are disposed of properly, about 1,900 were not properly disposed of over the past five years and could still be in circulation.

Some have been linked to serious crimes such as drug trafficking, Baey said. The number of deregistered vehicles detected on the roads rose from 75 in 2024 to 245 in 2025.

Penalties for keeping or using deregistered vehicles were raised earlier in 2026. First-time offenders can now be fined up to $20,000, jailed for up to two years, or both.

The latest changes are aimed at ensuring newly deregistered vehicles are properly disposed of, while clearing the existing pool of vehicles that have not been disposed of.

One measure is a new Authorised Exporter Scheme, which LTA aims to introduce in the fourth quarter of 2027 after consulting the industry.

Under the scheme, vehicles meant for export must be handed to an LTA-authorised exporter, instead of owners arranging their export themselves or through motor dealers or freight services. Authorised exporters will have to meet requirements on how the vehicles are stored and processed.

The new rules also extend the regulatory sandbox for autonomous vehicles (AVs) on roads until the end of 2028, allowing existing deployments to continue while a new law governing AVs is developed.

The Government aims to introduce the new Autonomous Vehicles Act in about a year, Baey said.

Separately, a new sandbox will be introduced for autonomous mobile robots operating on public paths, such as delivery robots and larger autonomous cleaning machines.

Under the sandbox, LTA will regulate these robots according to their size and risk, with three pathways for deployment.

Public agencies will be able to designate areas they manage as testbeds, allowing AVs to be deployed for different uses. One example is the JTC-managed Punggol Digital District.

Smaller, lower-risk robots that meet specified limits on speed, weight and dimensions will face lighter regulation and can be deployed more quickly. These include a Delta Electronics robot that delivers groceries and medicine to seniors across three blocks in Bendemeer.

Larger or higher-risk robots, such as autonomous road sweepers, will continue to undergo testing and require LTA approval before they can be deployed.

LTA will also be able to impose penalties, including fines, for breaches of the sandbox rules.

As for owners of EV chargers in landed homes, they will no longer have to send them for mandatory inspections every two years.

Baey said such chargers pose lower public safety risks, as access is restricted and they are typically used by only one household. Removing the requirement will also reduce recurring compliance costs for owners.

Owners will remain responsible for maintaining their chargers, while LTA can still require an inspection if specific safety concerns arise.

The new rules will make it easier for LTA to take enforcement action against illegal EV charging, including the use of unregistered chargers, charging at prohibited locations or using chargers in unauthorised ways.

Labour MP Yeo Wan Ling (Punggol GRC) said stronger deterrence and enforcement against irresponsible sellers of non-compliant active mobility devices and incompatible batteries was a good move.

However, enforcement must go together with education, she added.

Yeo, who is also NTUC assistant secretary-general, said: “Can LTA work closely with the National Delivery Champions Association, platform operators and community partners to help riders and members of the public recognise unsafe listings, know what information to verify before purchasing, and easily report suspicious products?

“If we can intervene before the purchase is made, that is better for consumers, workers and public safety.”

The National Delivery Champions Association represents freelancers whose main source of income is from food delivery or package delivery, regardless of the mode of transport.

On stronger penalties for drivers providing unlicensed P2P transport services, Melvin Yong (Radin Mas) said passengers who book a P2P service should be able to expect that the vehicle and driver meet Singapore’s safety and licensing requirements.

They should also be able to expect that the necessary insurance and regulatory protections are in place.

“Illegal cross-border services may not provide the same safeguards,” said Yong, who is also NTUC assistant secretary-general.

He added that Singapore taxi and private-hire car drivers incur licensing, insurance and other compliance costs to operate legally. Effective enforcement should protect their livelihoods from unfair competition, he said.