An incentive encouraging people to adopt electric vehicles (EVs) in Singapore was first launched in 2021. Under this incentive, those who buy fully electric cars and taxi will receive a rebate of up to 45% on the Additional Registration Fee (ARF). In addition to giving rebates, Singapore has been accelerating the development of its charging infrastructure to better support the growth of electric vehicles in the next decade.
The incentive was initially due to end in Dec of 2023. However, Singapore has decided to extend this incentive by 2 years, to Dec 31, 2025 with a reduced rebate. Currently, the rebate is capped at $20,000. From 2024 onwards, the rebate will be reduced to $15,000 instead. The move is said to encourage people to switch to electric cars while ensuring the EV Early Adoption Incentive remains progressive.
One of the primary objectives of the EV adoption incentive program is to reduce vehicular emissions in Singapore. By offering financial incentives and reducing the ARF for EVs, the government aims to encourage consumers to make environmentally responsible choices. According to Channel News Asia, this program has successfully increased the adoption of electric vehicles in the country.
With the success of Singapore’s EV adoption incentive program, this is a step towards a greener and more sustainable future. By reducing the cost barrier associated with EVs and offering financial incentives, this not only helps reduce vehicular emissions but also drives technological innovation. The shift towards cleaner transportation options is expected to contribute substantially to reducing carbon emissions from the transportation sector.