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SINGAPORE: The Ministry of Transport (MOT) is considering a review to advance its 2040 target for all vehicles in Singapore to be low-emission vehicles, Transport Minister Ong Ye Kung said on Friday (December 11).
Several factors must be considered, including increasing the capacity of the charging infrastructure, he added.
Deputy Prime Minister and Finance Minister Heng Swee Keat said in his budget speech in February that the government’s vision is to phase out internal combustion engine vehicles and make all vehicles run on cleaner energy by 2040.
READ: Budget 2020: Additional incentives to encourage the use of greener vehicles
The government will introduce the Electric Vehicle Early Adoption Incentive (EEAI), where those who buy fully electric cars and taxis will receive a refund of up to 45 percent in the additional registration fee, Heng said in February. This reimbursement is capped at S $ 20,000.
The Land Transportation Authority (LTA) said the initiative will run from January 1, 2021 to January 31, 2023 and cost the government around S $ 71 million over the next three years.
BUILDING CHARGE POINT INFRASTRUCTURE
When asked if Singapore is pushing forward its 2040 target, Mr Ong said on Friday it was “something to review.”
He added that Singapore could also be “more ambitious” in its goal of building 28,000 charging points by 2030.
In a written response to Parliament in October, Mr Ong said that 28,000 public charging points would be equivalent to a ratio of eight cars per charging point, which is “not ideal”.
He told CNA on Friday that the country should be working towards a minimum ratio of five cars to one charging point.
“Look at the typical battery size and the range the battery can carry, and then the average mileage in Singapore, it probably needs a full charge, on average, once every five days,” Ong said.
READ: 28,000 electric car charging stations are possible, but where? Industry players say
“Not all properties, not all cities, not all developments have charging points and sometimes people can hog a charging point more than they should … so it can even work up to four (vehicles ) to one (charging point), three to one. I think these are issues that we need to review. “
He said the slow adoption of electric vehicles is not unexpected, adding that Singapore needs to “build” its network of charging points.
“To get it off the ground, it’s easier to start with an overnight charge, a slower charge: lower voltage or lower power rating. It only needs 3.57 kilowatts, it can start and many places have enough capacity to handle it, ”said Mr. Ong.
“As we take off, more electric vehicles enter the market, so it will attract investment to build the infrastructure for fast charging.
“I’ll do it in that sequence, but in the end, there will be a place for fast and slow loading.”
Mr Ong added that private sector actors are vital and “at the center” of Singapore’s electrification plans by helping, among other things, to build the charging infrastructure.
READ: More discounts for cleaner vehicles, higher surcharges for more polluting models from 2021
“It should not be an initiative initiated, directed and promoted by the government,” said the minister.
“We should set the parameters so that private sector actors come in and find the incentive to build their infrastructure.”
In addition to having the right policies to “harness technology”, Singapore is a “dense urban city”, which makes it well positioned to embrace electric vehicles.
COVID-19 IS AN OPPORTUNITY TO SHAPE PUBLIC TRANSPORTATION
The number of public transportation users has dropped to about 70 percent from pre-COVID-19 levels, as more people work from home during the pandemic.
Ong said there will likely be a permanent change in travel patterns after the pandemic, adding that he sees this as an opportunity to “shape” travel patterns.
READ: Incentives likely to encourage EV adoption in Singapore, but questions remain, analysts say
“The fact that the volume has dropped is not a good thing, but the way it is distributed now, outside of peak hours, is a good thing,” Ong said.
It added that passenger volume during off-peak hours has increased to 60 percent from 50 percent previously, meaning less “squash” during peak-hour travel.
“I think as the economy recovers … rather than work from home being the default, the default future may be a mixed bag, at least for office workers,” Ong said, adding that workers office accounts represent about 30 percent of the country’s passenger traffic. .
“I don’t think we will go back to 100% passenger traffic volume … because more people will be working from home, but maybe we can go back to 85%, and 65% of them will be traveling outside of peak hours.
“That is a tremendous improvement in productivity.”
READ: Comment: Electric vehicles will take over Singapore. But this is what must happen first
This means that there will be no need to “over-provision” capacity during peak hours, and that there will be underutilization of public transport during non-peak hours, Mr. Ong said.
He added that he is willing to work with the Ministry of Human Resources and other ministries to see how it can materialize.
When asked if there would be an increase in subsidies for public transport operators amid COVID-19, Ong said it was a “banner year” due to the pandemic.
“It doesn’t make sense” to have a system where public transportation is cheap but with service levels so high that it costs “billions and billions of dollars in taxpayer money.”
Calling it a “great equation” to be solved, the minister said it was important that the system be affordable for travelers.
“How do you solve this puzzle? I mentioned three things. Good enough service level and reliability, affordable for the traveler, but as a system, we can sustain and maintain.
“I think it should first come from the operators running the system productively, efficiently and reliably. And this is a great opportunity for them to improve their game by reshaping passenger traffic patterns.”
There could also be rate adjustments and the government will continue to provide the necessary operating subsidies, he added.
READ: Incentives likely to encourage EV adoption in Singapore, but questions remain, analysts say
AVIATION IN A “DEEP CRISIS” AMIDST COVID-19
The aviation and tourism sectors have been hit hard by the COVID-19 pandemic, with countries and regions closing their borders.
Aviation is “still in deep crisis,” Ong said.
“We are still fighting. It will deepen in the next year, perhaps even further,” added the minister.
“It is affected everywhere, in all airlines, in all airports in the world.”
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