The COE prices has increased sharply due to a reduction in COE available for bidding, and has been exaggerated by greed and fear.
We have to accept that COE prices will be high, due to limited supply and high demand, but we should try to avoid the large fluctuation in prices caused by the current bidding system. The system should be changed to reduce the volatility.
Some people have suggested the "pay as you bid" approach. I think that it has merits. The other change is to make it easier for consumers to bid for COEs directly, instead of relying on the motor dealers to do the bidding. Their profit on the COE increases the cost of ownership.
A better long term strategy is to reduce the demand for private car ownership by improving public transport and the use of taxis.
We have to improve the feeder service to bring commuters from their homes to the MRT stations or bus interchanges. The feeder services should have a waiting time of less than 5 minutes and be affordable (say 40 cetns).
We should also reduce the cost of taxi fares and increase the supply, so that more people can use taxis instead of cars. Each additional taxi on the road can reduce the demand for cars by 5 to 10 times. The cost of taxi fares can come down by reducing the taxis and levies on taxis and by removing unnecessary regulations that add to the cost of operations. If more people uses taxis instead of private cars, there will be less demand for parking spaces.
Tan Kin Lian
- ► 2013 (302)
- ► 2012 (1270)
- ► 2011 (1873)
04/11 - 04/18
- Existing life insurance policies
- Tips for young people
- Bid for COE
- Escalating COE prices
- Tips on how to solve Tangram
- Dental health
- Property market in USA and China
- Why Life Insurance Is Not an Investment
- Develop thinking skills with puzzles
- Singapore Talking - COE, 10.30 pm Sunday 18 April...
- Confrontational politics
- Interactive Health Tutorials
- Good signages to show directions
- Consumers can force reforms
- Send an email to TKL
- New MRT interchange stations
- Polite drivers
- Autograph session for Financial Planning Book
- Land banking story on Channel NewsAsia
- Adjudication in FIDREC
- Transport woes in Singapore
- Selling life insurance
- Experience of an insurance agent
- How to spot a ponzi scheme
- Retirement savings
- Confidence in leaders
- Financial Planning for a young person
- Asian economies urged to raise interest rate
- Survey - expenses of a retired couple
- Defamation and fear
- The future for our country
- Gold investment scheme
- Who shot the lion?
- Bursting of a property bubble
- Anonymous comments in websites
- HK: BOC staff charged over Lehman sales
- China property bubble
- Liberal arts education
- Licenced moneylenders
- Escalating property prices
- Avoid all land banking products
- Role of Parliament
- Bad advice on switching
- ▼ 04/11 - 04/18 (44)
- ► 2009 (1655)
- ► 2008 (2105)
- ► 2007 (1803)
- ► 2006 (696)
- ► 2005 (159)