Buzz
According to Bloomberg, Singapore is famously known as the most expensive city in the world to live in. Therefore, motorcycles are considered one of the most practical means of transportation for residents. However, recent data from the Land Transport Authority reveals that the cost of owning a motorcycle license (COE) has reached a record high this month. This has led to license prices skyrocketing several times over the cost of new bikes in the country.
Specifically, a 10-year motorcycle ownership license has hit a record $8,984 this month, more than a 200% increase over the past 4 years. Additionally, to limit the number of vehicles and motorcycles on the roads, Singapore has also imposed restrictions on the number of ownership certificates issued. As of the end of September, Singapore has capped the number of motorcycles at around 142,000. To own a motorcycle in Singapore, drivers will have to fork out around $14,000 to purchase and operate a $5,000 bike.
Nathan Peng, a political science lecturer at Singapore Management University, believes that this cost increase will ultimately have a significant impact on delivery drivers in the low-priced bike segment of the country.Currently, the cost of a license for delivery riders is around $7,822. Although this figure is nearly six times higher than a decade ago, it is still considerably cheaper than the price of a new license.Rental fees are also expected to rise, with many motorcycle rental companies considering alternative measures to cope with this situation. Additionally, Grab and other ride-hailing companies are beginning to consider fare increases due to the rising COE prices.According to East Coast Daily
