What is COE?

• COE = Certificate of Entitlement
• Required for registration of new vehicles in Singapore
• Valid for 10 years
• After 10 years, pay Prevailing Quota Premium ( = three-month moving average of the Quota Premium) to revalidate COE for either 5 or 10 years
  • 5-year COEs cannot be revalidated (vehicle is automatically deregistered after that 5 years.

Bidding system

• Bid through the COE Open Bidding System
• Twice a month
  • First and third Monday at 12pm
  • Ends on the Wednesday at 4pm
• Quota available for bidding is announced before session starts

Bidding

• Specify reserve price on COE Open Bidding System
• Bid automatically increases until reserve price is reached
• Current COE Price (CCP) must be equal or higher than the reserve price for bid to be in the running
• CCP = highest unsuccessful bid + 1
• At the time that the bidding closes, the CCP becomes the Quota Premium
• All successful bidders pay the Quota Premium
• There is a bid deposit (refunded on unsuccessful bid) of $10000 for categories A, B, C and E. Deposit is $200 for category D.
• There is an admin fee of between $2 and $10 (varies by bank - DBS, OCBC, UOB, MayBank)
• Can revise reserve price upward (not downward). Admin fee applies for each revision.

Rebate

• COE Rebates are available if vehicle is de-registered before COE expires (pro-rated)

Categories

Validity

• Bids in category A, B, D are valid for 6 months. Bids in category C and E are valid for 3 months. If bid is not used, bid deposit is forfeited.

Breakdown of Full Costs

1. Registration Fees
2. Open Market Value (OMV) ( = Determined by )
3. Excise Duty (20% on OMV)
4. GST (7% on Excise Duty + OMV)
5. Additional Registration Fee (ARF) (Tiered, minimum of 100% of OMV)
6. Carbon Emissions (CEVS)

More to come…

References

• Overview from LTA
• Description of Categories
• Breakdown of Car Costs