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Emission thresholds to be tightened in rebate, surcharge scheme to encourage purchase of 'cleaner' cars

A file photograph of an electric vehicle charging station.
A file photograph of an electric vehicle charging station.
A scheme that offers tiered rebates and surcharges to car buyers, with the amounts based on how clean or polluting the emissions from the car model are, will have its pollutant thresholds tightened from January 2024 onwards.

However, transport economists and analysts who spoke to TODAY said that although the changes to the Vehicular Emissions Scheme (VES) are a step in the right direction, it is unlikely to drive mass adoption of electric vehicles (EVs) in the near future.

This is due to other factors such as insufficient infrastructural support — charging stations, for example — and an inability to fulfil the needs of buyers. 

In a joint press release on Thursday (June 30), the National Environment Agency (NEA) and the Land Transport Authority (LTA) announced that "only cars with zero tailpipe emissions" such as EVs will qualify for the revised A1 band. 

Under the A1 band, car buyers are now entitled to a rebate of S$25,000, or S$37,500 for taxis. The amount applying from Jan 1, 2024 is yet to be announced.

Examples of A1 band cars falling under the tightened emission standards applying from 2024 include the Renault Zoe, Nissan Leaf, Hyundai Ioniq EV and Tesla Model 3.

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