Rise of the Electric Car: A Peek into the Next Decade of Green Driving
If you’ve been on the road for a while now, you would’ve probably noticed more Tesla and electric vehicles roaming around — don’t worry, you’re not in an alternate universe. This is normal, and green driving will be the norm for decades to come.
Why electric cars? The answer is simple: Climate change. Electric vehicles (EVs) have become a key technology to efficiently tackle climate change, as they emit less greenhouse gas emissions and curb oil use. Also, it seems cooler to have a Tesla as compared to a conventional sedan car. In Singapore, the number of electric cars has significantly increased from 1,217 (in 2020) to 2,942 last year (2021).
Finance Minister Lawrence Wong also mentioned in the Budget 2022 speech that among the new car registrations last year, about four percent comprised EVs. Whether it’s taking baby steps or huge leaps, the grand plan for the Little Red Dot is to completely phase out internal combustion engine (ICE) vehicles by 2040.
Globally, more governments and automakers have made the switch to green, with the Internal Energy Agency announcing that sales of EVs skyrocketed to a whopping 6.6 million in 2021, and this tripled the market share as a result.
For drivers who don’t quite fancy Tesla cars, there are plenty of other EV options, such as the BMW ix3 Electric, Hyundai Ioniq Electric, Mercedes-Benz EQA Electric, and the Porsche Taycan Electric. Thanks to the attractive EV incentives, and the surge in fuel prices and taxes, there is an increase in demand for a wider variety of electric car models to be brought onto Singapore’s shores. To learn about the current and upcoming EV schemes, check out ‘Incentives of owning an Electric Vehicle in Singapore’.
Besides the EV Early Adoption Incentive (EEA) and the Enhanced Vehicular Emissions Scheme (VES), another widely-talked about gamechanger is the rising number and location of EV charging points. The local government has pledged to build 60,000 electric vehicle charging points across the country by 2030. Another perk about driving in Singapore is the relatively shorter driving distances, which directly results in a huge reduction in carbon dioxide emissions — a win-win for drivers and the environment.
For those looking at purchasing a car soon, there will be a new Additional Registration Fee (ARF) tier for cars, taxis, goods-cum-passenger vehicles whose Open Market Value (OMV) exceeds S$80,000. With this newly added tier, there will now be four ARF tiers and this change is expected to churn out about S$50 million in revenue per year.
In summary, the new tax is unlikely to affect car buyers and automakers, and on this crazy rich sunny island, there will always be a demand for new car makes and models, and vehicles on the road will just keep increasing.
Thinking of getting an electric vehicle for personal use or business? We’ve just the solution for you. Book an appointment today for a free consultation at https://sgmotoringhub.com/ and check out Journey to Purchasing a New Energy Commercial Vehicle in Singapore