COE quota for category A and B cars to rise as LTA makes one-time adjustment to reduce supply volatility

SINGAPORE: The Certificate of Entitlement (COE) quota for cars in categories A and B will go up over the next few quarters as the Land Transport Authority (LTA) makes a one-time adjustment to reduce the supply volatility.

For the current quarter from May to July, the COE quota will increase from 9,575 to 10,431, LTA announced on Monday (May 8).

There will be a 24 per cent increase in quota for Category A, while Category B will see an increase of 15 per cent for the remaining five bidding exercises for this quarter.

“LTA will bring forward the guaranteed deregistrations of five-year non-extendable COEs which are due to expire when supply is projected to be higher and distribute them over the next few quarters,” the agency said in a media release.

A total of about 6,000 such COEs will be redistributed gradually over the next few quarters, starting from the bidding exercise that opens on May 15. 

LTA said that this does not change the zero Vehicle Growth Rate (VGR) on the overall car population. 

“LTA has identified the specific vehicles in the vehicle registry with these five-year non-extendable COEs. When the identified vehicles are deregistered in future, their quota will not be returned to the pool for bidding,” it added. 

Details of the quota for each COE category are as follows: