Carbon Emissions-Based Vehicle Scheme Kicks in 1 January 2013

From 1 January 2013, the new Carbon Emissions-based Vehicle Scheme (CEVS) will apply to all new cars, taxis and newly imported used cars registered with effect from next year.

Car buyers are advised to look out for the mandatory Fuel Economy Labelling Scheme (FELS) labels with LTA’s logo at car showrooms. The FELS label is required to be affixed on cars that have been LTA-approved and provides the carbon emissions and fuel efficiency performance of the car model to assist buyers to make informed decisions. Only cars that are approved by LTA under FELS can be registered for use from 1 January 2013 and low emission models will qualify for CEVS rebates accordingly.

Buyers can also access the FELS online database and fuel cost calculator at the ONEMOTORING website (www.onemotoring.com.sg) to compare the carbon emissions and fuel efficiency performance data across car models that have been approved by LTA.

Brochures on how to read the FELS Label is available at all car showrooms and on the ONE.MOTORING website.

To facilitate the transition to CEVS, LTA has been working with the motor associations to encourage their members to seek FELS approval for their vehicles early. LTA has also sent out several circulars on CEVS and FELS since March this year to the motor industry.

Incentivising Buyers to Shift to Low Emission Models

Under CEVS, all new cars and imported used cars registered from 1 January 2013 with low carbon emissions of less than or equal to 160g carbon emissions per kilometre (CO2/km), will qualify for significant rebates of between $5,000 and $20,000[1] which will be given as an offset against the vehicle’s Additional Registration Fee (ARF) payable. (Please see Annex A for details of CEVS and CEVS bandings)

Cars with high carbon emissions equal to or more than 211g CO2/km, will incur a corresponding registration surcharge between $5,000 and $20,000. The surcharges will only take effect 6 months later, from 1 July 2013 to give consumers and the motor industry more time to adjust.

Taxis generally clock higher mileage than cars. To encourage taxi companies to adopt lower emission models for their fleet, the CEVS rebate and registration surcharge for taxis is set at 50 per cent higher compared to cars, i.e. between $7,500 and $30,000.

As non Euro V-compliant diesel models emit significantly more fine particulate matter, they will not enjoy the ARF rebates under the CEVS even if they fall within the rebate emission bands. However if these models fall within the surcharge bands, the appropriate CEVS surcharge will apply.

The CEVS will be applicable till 31 December 2014. The scheme will be reviewed, taking into consideration its impact on motorists’ purchasing decision, technological advances and the progress in Singapore’s overall mitigation efforts on climate change.

Source: Land Transport Authority