Lower COE premiums drive many people to car showrooms

http://www.channelnewsasia.com/stories/singaporelocalnews/view/260440/1/.html

There are both good and bad things about the COE premium dropping to such a low level in Singapore. Of course it will be good the general public or the consumers. Having a lower COE also means a lower car pricing. This will allow more people to have their own cars and help them in their day-to-day transport. Cars will then no longer be luxury available to the rich but having a car will also now be available to the middle class citizens. Having a car can help these people by a lot. For example, a car will help one to get from one place to another much faster than taking the public transport system. Thus, people will be able to use time for more productive purposes. Furthermore, having a lower car price will also mean that one can spend more on the servicing of the car, thus maintaining it in better condition. Those who buy the cars now will also have to pay less insurance fees in the long run, generating huge savings. Of course, the public will also have to deal with a new menace. Since there will be more cars on the road, the roads around Singapore will definitely get more congested and more traffic jams will happen especially during peak hours. This is the price to pay for having more cars on the road. Pedestrians also have to pay more attention for oncoming traffic when they are crossing the roads.

For the government, there are also good and bad points. Having more people that have cars reduces the burden of the public transport system. Public transport can be made faster as there will be less passengers getting on and off at lesser stops. Thus, transport time can also be reduced. The roads in Singapore can also be more fully utilized as the number of vehicles increase on the road. However, there are also quite a few bad points. As there will be more vehicles, the government has to look into enlarging or adding more roads. This will then solve the congestion. Secondly, there will be more pollution as taking private transport is not the most environmentally friendly way to commute. The public transport industry will also take a toll as there will be less commuters and leading to less business. The URA also has to do more planning in ensuring that the extra number of cars have places to park especially in the Central Business District area where parking as it is now is already a huge problem. It is also harder to have maintenance works on the public roads, as there is a heavier traffic flow.

In conclusion, there is no right or wrong answer when it comes to allowing more cars onto the roads of Singapore. I believe that the government has to look into the long term effects before deciding on the most appropriate action to take for this case.