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Budget 2021: S’pore To Set Aside $30M For EV-Related Initiatives – Raises Petrol Duty Rate

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February 16, 2021
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As part of the inter-ministerial Singapore Green Plan 2030 announced on Wednesday (February 10), the government said it would “make it easier to buy and own” electric vehicles (EV).

The government has also highlighted its plans to expand the EV charging infrastructure to 60,000 by the end of 2030. This is double the original target it set of 28,000.

During his Budget 2021 speech today (February 16), Deputy Prime Minister Heng Swee Keat announced that S$30 million will be set aside over the next five years for EV-related initiatives.

Since Budget 2020, measures have been laid out to promote the use of EV.

For example, an early adoption incentive scheme was rolled out for EV buyers from 2021 to 2023, offering a 45 per cent rebate on the ARF, capped at $20,000 per vehicle.

Today, Mr Heng announced that the Additional Registration Fee (ARF) floor will be lowered to zero for electric cars from January 2022 to December 2023.

This is to narrow the cost differential between electric cars and internal combustion engine cars.

The ARF is paid when registering a vehicle and the rate is determined by the vehicle’s open market value.

Petrol Duty To Be Raised

petrol duty raised
Image Credit:  bunyarit via Shutterstock

Petrol duty will be raised with immediate effect, said Mr Heng.

For premium petrol, duty will be raised by 15 cents per litre and for intermediate petrol, duty will be raised by 10 cents per litre.

Featured Image Credit: Motorist.sg

Also Read

Budget 2021: Eligible S’poreans To Get $200 GST Vouchers – Households To Get $100 CDC Vouchers

The post Budget 2021: S’pore To Set Aside $30M For EV-Related Initiatives – Raises Petrol Duty Rate appeared first on Vulcan Post.

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