If your truck or van was purchased between 2012 and 2013, you have 3 options.
- Renew your COE for 5 or 10 years at prevailing rates.
- Scrap / Trade-in to purchase a new vehicle
- Scrap and lease instead.
Credit: coe.sgcharts.com
RENEW COE FOR 5 OR 10 YEARS
The Cat C COE average price in 2012 was $55,100 with the highest price @ $63,034 with a quota of 4,225. As of Aug 2022, the Cat C COE Average price was $50,967 with the highest price @ $59,090 with a quota yield to date of 1,468
From 1st Aug 2022, the Land Transport Authority (LTA) will adjust the method for computing the Certificate of Entitlement (COE) quota available for bidding, to reduce the quarter-on-quarter volatility of COE supply while being responsive to returning the COEs of deregistered vehicles to the bidding pool.
This new measure hopes to stabilize COE prices, which makes it the most ideal time to renew your existing vehicle’s COE for a further 5 or 10 years. However, the owner must factor in wear & tear + replacement parts costs for older vehicles if it is worthwhile to do so.
SCRAP OR TRADE-IN TO PURCHASE NEW
If your older vehicle has ETS and if you are intending to upgrade to either a BEV or Petrol variant commercial vehicle, you can take advantage of the pre-existing CVES grants to get up to $30,000 in rebates when you buy a BEV vehicle.
In addition to the warranty coverage by dealer/agent, Battery Electric Vehicle (BEV) have fewer moving parts and are cheaper to maintain over time. However, the availability of BEV charging stations and the amount of time, required to fully charge a BEV are still the limiting factors why many businesses have not fully converted to BEV.
SCRAP AND LEASE INSTEAD
For many Small and Medium Enterprises (SMEs), leasing remains the most popular choice as if offers business owners the flexibility to rapidly scale up or down their logistical needs without incurring hefty investment costs and overheads.
Leasing helps companies manage costs as it covers the cost of the vehicle, insurance, and all fees such as road tax, licensing, inspections, repairs and general servicing and maintenance of the vehicle. So basically business owners just need to pay a monthly lease and their fuel and parking charges.
Sounds good?
If you are looking to renew your COE, Skylink currently offers a sweet deal for ALL VEHICLES with 1st-month instalment FREE and ZERO Admin Fees (for a limited time offer only).