SINGAPORE - As expected, there will be slightly fewer certificates of entitlement (COEs) for the February-April quota period.
Around 6,350 COEs will be available for bidding each month, down from 6,830 in the current quota period, the Land Transport Authority said on Tuesday (Jan 14).
The COE supply for cars up to 1,600cc and 130bhp will be at an average of 1,945 a month, down from 2,036. The supply for cars above 1,600cc or 130bhp will average 1,966, down from 2,023.
There will be 655 COEs a month for the Open category, down from 754.
COEs in this category can be used for any vehicle type except motorcycles, but end up almost exclusively for bigger cars.
Commercial vehicle COE bidders will have 629 certificates a month, down from 635. The motorcycle COE supply will shrink from 1,382 to 1,155.
The drop in supply in all categories has partly to do with more people extending the lifespan of their vehicles instead of scrapping them by the 10th year. It is only when a vehicle is scrapped that a fresh COE is released.
There were 49,726 COEs revalidated (or renewed) in the first nine months of 2019, almost matching the 52,960 revalidated for the whole of 2018.
Motor traders do not expect COE premiums to soar with the smaller quota as the weaker economic outlook this year will temper demand for new cars.