The gist: More COE supply over the next few quarters, reforms to maintenance enforcement
Sign up now: Get ST's newsletters delivered to your inbox
The Land Transport Authority said it would redistribute about 6,000 five-year COEs gradually over the next few quarters.
ST PHOTO: NG SOR LUAN
SINGAPORE - A major announcement affecting the supply of certificates of entitlement (COEs) for car ownership
Meanwhile, a new Maintenance Enforcement Process,
Here are some key takeaways:
1. One-off exercise to increase COE supply for Category A and B cars
The Land Transport Authority (LTA) will bring forward and redistribute the supply coming from five-year COEs due to expire in a future period when COE supply is expected to be higher, Transport Minister S. Iswaran announced in Parliament on Monday.
This is a “one-off exercise” to increase the quota, he added.
In a statement, LTA said it would redistribute about 6,000 five-year COEs gradually over the next few quarters, starting from the next bidding exercise that begins on May 15.
Specific vehicles in the vehicle registry with these five-year, non-extendable COEs have been identified by LTA. When these vehicles are deregistered in future, their quota will not be returned to the pool for bidding.
Why it matters
The increase in COE supply comes as their prices have soared. Premiums for Category A and Category B cars have breached $100,000 and $120,000 respectively in recent tenders.
Mr Iswaran noted that many still desire to own a car in Singapore for various reasons. This one-time adjustment will help with supply volatility.
Still, he said Singapore “must expect the long-term trajectory for COE prices to be upwards”, as household incomes rise and the country pursues a zero-growth policy for its car population.
Even as this redistribution takes place, Mr Iswaran maintained that Singapore is committed to becoming a car-lite society through “excellent public transport connectivity and active mobility infrastructure”.
2. Researcher said he was misquoted about number of high-net-worth foreigners to be granted citizenship
A researcher, who was quoted in a news report saying that 3,500 high-net-worth individuals were expected to become Singapore citizens in 2023, said he was misquoted, said Minister for Home Affairs and Law K. Shanmugam.
In April, Chinese-language daily Lianhe Zaobao quoted Mr Andrew Amoils, head of research at wealth intelligence firm New World Wealth, as saying that these high-net-worth individuals were mostly from China. Other media also picked up the report.
The Ministry of Home Affairs (MHA) issued a statement on April 25 to point out that the articles were highly misleading and had no credible basis. Mr Amoils then wrote to MHA to say he had been misquoted by the media.
Mr Shanmugam reiterated that Singapore citizenship applications for the rest of 2023 have not yet been decided.
The minister added that Mr Amoils said he did not track citizenship in his research, and that his projection referred to high-net-worth individuals moving to Singapore in general.
Why it matters
There has been much debate surrounding how citizenship is accorded to individuals, with the Leader of the Opposition Pritam Singh recently advocating that an English test be part of applications for citizenship or permanent residency in Singapore.
Singapore has also seen more super-rich families setting up offices here to manage their wealth.
Mr Shanmugam sought to emphasise that Singapore citizenship is not guaranteed for high-net-worth individuals. Each application is assessed on a broad range of factors, including the number of jobs the applicant or his business may be able to create in Singapore, and the applicant’s commitment to sink roots in Singapore.
Different criteria may apply to different applicants, depending on their background and circumstances, he added.
3. Changes to Family Justice Reform Bill to improve maintenance enforcement
Parliament passed the Family Justice Reform Bill, which includes a new Maintenance Enforcement Process that will smoothen the process for those in family disputes over maintenance orders.
Mr Shanmugam said a stronger deterrent will be in place for those who do not follow maintenance orders, while those who are genuinely unable to pay maintenance will get a more sustainable solution.
The new process will increase access to justice, especially for those who are self-represented, he added.
The Bill empowers a new unit of Maintenance Enforcement Officers to directly obtain information about the opposing parties’ assets and means, as well as from banks and third parties such as government agencies.
He called the creation of this unit a “major step” and “a game changer” in enforcing maintenance.
Why it matters
These amendments to the MEP are meant to make post-divorce proceedings less fraught, said Mr Shanmugam.
From 2017 to 2019, there was an average of 2,700 applications to enforce maintenance orders each year.
He said some people applied three or four times to enforce the same order within a year.
He added: “It is difficult to expect parties to move on when maintenance obligations are breached, especially if repeatedly.”
If you have a few more minutes…
1. Ditched fridge left in forest for over a year due to miscommunication
A miscommunication between agencies resulted in a discarded refrigerator being left in Clementi Forest for more than a year.
Senior Minister of State for National Development Sim Ann said the National Parks Board (NParks) had arranged for the refrigerator to be removed after a hiker first reported it in March 2022 through the OneService app. However, the case was closed prematurely without the refrigerator being removed.
The app, which is owned by the Municipal Service Office (MSO), is a platform for public feedback on municipal issues.
When NParks was notified about the refrigerator again in 2023, it worked with the National Environment Agency to remove it on April 21.
Ms Sim added that there were two instances of feedback, including about the refrigerator, on the improper disposal of bulky electronic waste in forested areas and acted upon by agencies from January 2021 to March 2023.
On how the MSO would handle such cases in the future, Ms Sim said the office is working to strengthen inter-agency coordination through staff training to ensure that feedback involving multiple agencies is referred correctly.
Agencies are also requested to close straightforward cases only when works on the ground have been completed, said Ms Sim.
2. Direct recruitment channel for returning migrant workers under consideration
The Ministry of Manpower (MOM) is looking at how it can facilitate direct recruitment channels for migrant workers who are returning to work in Singapore.
Such workers are more familiar with the Republic’s employment laws and may be less dependent on intermediaries, MOM said, while noting that it is still at an early stage of consideration.
The ministry replied to a question from Mr Leon Perera (Aljunied GRC), who asked if Singapore would look at adopting elements of South Korea’s Employment Permit Scheme for migrant workers to address exploitation and high recruitment fees.
Under South Korea’s programme, the government coordinates the recruitment, training and oversight of low-skilled workers from 16 countries.
MOM said it had studied the scheme in 2018 and found it unsuitable for Singapore, given the higher number of migrant workers here. It also noted that foreign workers wait one to two years to enter South Korea.
Singapore has laws to protect migrant workers, including by limiting recruitment fees paid by migrant workers to employment agencies here.
MOM said it is open to and is exploring ways to reduce the dependence of migrant workers on intermediaries in their home countries, and their fees.
Migrant workers typically incur fees ranging from $2,000 to $10,000, MOM found in interviews with workers in 2019.
The fees depend on factors such as the extent of intermediary involvement in the recruitment process in their home countries, MOM said in reply to another question filed by Mr Perera.
