Study to Assess Impact of Stable COE Supply on COE Prices

Ms Hazel Poa asked the Minister for Transport (a) whether the Ministry has done any simulation or studies to assess the impact on COE prices if the supply of COE has been stable; and (b) if so, what are the results.

Mr S Iswaran: The Land Transport Authority studies all potential changes to the Certificate of Entitlement (COE) system carefully, including conducting sensitivity analysis where appropriate. Multiple factors can have an impact on COE prices, including but not limited to the general economic climate, changes in commuting patterns, and trends in consumer preferences. We are, therefore, mindful of the limitations of such analysis and cautious in drawing conclusions.