Journey to Purchasing a New Energy Commercial Vehicle in Singapore
Ready or not, the world is embarking on a journey to a greener future, and it’s only a matter of time you make your first electric commercial vehicle (ECV) purchase. Two years ago, Deputy Prime Minister (DPM) made a life-changing announcement regarding the Budget 2020 plan that Singapore will be phasing out the conventional Internal Combustion Engine (ICE) vehicles and build a full fleet of only EVs on the local roads by 2040. It is a big promise, and it is done so as a commitment to effectively tackle the rising concerns of climate change.
We all know that hybrid and electric vehicles bring about an array of benefits for the environment: reduction of harmful emissions, noise pollution, and aid energy consumption. Though, of the 600,000 private vehicles in Singapore, a small minority (3%) drives EVs or hybrid vehicles. If getting an EV is beneficial, why are there so few making a switch to green driving?
Needless to say, electric cars in Singapore are rather pricey, and can typically cost about S$100,000 to S$140,000 for mass market models. And if you’re looking for higher-end vehicles, you are easily looking at half a million dollars. In addition, some concerns that consumers have for EVs are the performance range and power consumption.
As more and more businesses transit to utilising clean energy commercial vehicles, there has been an increased demand in the production and sales of EVs. To support local efforts to make a real impact on sustainability and create greener delivery services, more automakers have constructed various makes and models.
How do you save costs and keep your business moving?
It is possible to get the best of both worlds, and you don’t have to compromise for the sake of the other. Here is a good illustration of a popular new energy commercial vehicle, DFSK EC35. Crowned as the top-selling commercial ECV in 2021, DFSK provides easy-to-drive, environmentally-friendly ECVs with lower running costs and cheaper maintenance.
What incentives can you get from purchasing an EV in Singapore?
To spur efforts in going green, the Singapore government has rolled out several rebates, namely the ‘Early Adopter Rebate’ (2022 to 2023)’ and Vehicle Emissions Scheme.
From January 2022 to December 2023, Additional Registration Fee (ARF) for electric cars will be reduced from the current minimum requirement of S$5,000 to S$0! As for Vehicle Emissions Scheme, there will be attractive rebates of S$15,000* or S$25,000*, depending on the vehicle make and model.
If you would like to know more about the incentives and schemes, refer to our article: ‘Incentives of owning an Electric Vehicle in Singapore’.
How much money are you actually saving when you make the switch to green?
A major perk of getting an electric vehicle is the savings on energy costs. Here’s an example on the calculation and costs you can actually save:
- Average petrol price per litre: $2.68 (February 2022 – source)
- Average annual mileage: 17,500km (2018 – source)
- Energy tariff rate: 27.22 cents/kWh (Jan – March 2022 – source)
| Vehicle model | DFSK EC35 | Average diesel |
|---|---|---|
| Energy consumption | 14.3kWh/100km | 5.9L/100km |
| Annual energy cost | $3,397.68 | $5,046.62 |
| Yearly running cost | $6,397.68 | $15,166.62 |
| Savings per year | $8,768.94 | – |
Moreover, you can save up on maintenance costs. Electric vehicles run on clean energy as compared to traditional cars that require petrol fuel. You can also expect less wear and tear, and you don’t require as many monthly trips to the workshops.
Thinking of making the switch to green driving today? We are here to help you make better informed choices. Book an appointment with us today to learn more about DFSK EC35 or other commercial electric vehicles. Drop us a message or make an appointment here today.
For a clearer comparison between EV and petrol cars, check out our article: ‘EV vs Petrol Car in Singapore: How different are they?’