CMS Expert Guide to Electric Vehicles Singapore - 1 | Singapore CMS Legal Services - CMS Law

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CMS Expert Guide to Electric Vehicles Singapore - 1 | Singapore CMS Legal Services - CMS Law
CMS Expert Guide to Electric Vehicles

 Singapore

1 | Singapore                            CMS Legal Services
Table of contents

         1      What EVs have been deployed in your jurisdiction to date?
         2      Is there any specific legislation for/regulation of EVs in your
                jurisdiction?
         3      What measures promote EVs in your jurisdiction?
         4      Who are the main entities (e.g. developers, government, System
                Operator) and what are their roles in the deployment of EVs in
                your jurisdiction?
         5      What are the main challenges to further deployment of EVs in
                your jurisdiction? How have EV developers sought to overcome
                these challenges to date?

2 | Singapore                                                       CMS Legal Services
Since 2011, the Singapore government has launched a series of initiatives – led largely
 by the Land Transport Authority (LTA) – to determine whether EVs are suitable for
 Singapore. Some key initiatives are set out below.

 In June 2011, an inter-agency EV taskforce led by LTA announced the launch of the EV
 test-bed. The objective was to test and gauge different EV prototypes and charging
 technologies, and gather data to guide the planning of future EV development.

 In December 2014, the LTA and the Economic Development Board (EDB) announced
 plans to trial an EV car-sharing programme which would see the introduction of up to
 1,000 EVs and the charging infrastructure to support their use. The primary aim of the
 trial was to enable the government to gain a deeper understanding of the operating
 models and support required for EVs to succeed on a larger scale in Singapore.

 In June 2016, the government announced the launch of an EV car sharing programme
 in collaboration with the Bolloré Group to operate BlueSG, a nationwide car sharing
 programme (the “BlueSG Program”) with a fleet of 1,000 EVs.

 These initiatives form part of the government’s wider aim to develop a “car-lite” society
 to reduce urban congestion and to assist it in meeting its emission targets under the
 Paris Agreement.

1. What EVs have been deployed in your
   jurisdiction to date?
 The EV market in Singapore is still relatively underdeveloped. At the end of 2017, there
 were only 520 EVs in Singapore (including plug-in hybrid vehicles). A majority of these
 EVs (298 units) were registered by car-sharing services such as BlueSG.

 However, it is anticipated that these numbers will increase significantly in the near
 future.

 Under the BlueSG Program, BlueSG Pte Ltd (a subsidiary of the Bolloré Group) will roll
 out a total of 500 charging stations equipped with 2,000 charging points island-wide
 and a fleet of 1,000 EVs. Approximately 80 cars and 32 charging stations have already
 been implemented.

3 | Singapore                                                             CMS Legal Services
HDT Singapore Taxi (HDT Singapore), a company which operates 100 electric-powered
 taxis, applied in January 2018 to the LTA to add another 800 electric taxis to its fleet.
 The status of the application is currently unclear. However, if approved, this would
 more than double the number of existing EVs in Singapore.

 It is expected that 50 Volvo diesel hybrid buses will be in service in the second half of
 2018. This is part of LTA’s efforts to build a more environmentally-friendly public bus
 fleet. According to LTA, these low-emission buses will help LTA better understand the
 operational and technical challenges that come with their deployment. It is also
 anticipated that LTA will be calling a tender to procure 60 electric buses, and that the
 public can expect to see the deployment of electric buses by 2019.

2. Is there any specific legislation
    for/regulation of EVs in your jurisdiction?
 There is no specific, comprehensive legislation governing EVs in Singapore. The
 legislation applicable to EVs exists in a myriad of subsidiary legislation under the Road
 Traffic Act (Chapter 276). This subsidiary legislation includes:

       the Road Traffic (Vehicular Emissions) Tax Rules 2017, governing the
       calculation of the vehicular emission tax for taxable vehicles (including
       EVs)
       the Road Traffic (Motor Vehicles, Quota System) Rules, governing the
       issuance of certificates of entitlement for vehicles (including EVs)
       the Road Traffic (Motor Vehicles, Registration and Licensing) Rules, which
       covers licensing fees and rebates for EVs
       the Road Traffic (Motor Vehicle, Construction and Use) Rules, governing
       the construction and installation of electrical apparatus and circuits in an
       EV.

3. What measures promote EVs in your
   jurisdiction?
 The government has implemented the following measures to promote EVs in
 Singapore:

       Provision of charging infrastructure – through the BlueSG Program,

4 | Singapore                                                              CMS Legal Services
2,000 charging points will be installed in Singapore, including 400
       available for public use. It is intended that this will form the foundation
       of a nationwide EV charging infrastructure to support wider adoption of
       EVs in Singapore.
       New Vehicular Emission Scheme – During the 2017 national budget
       announcement, the LTA announced the Vehicular Emission Scheme
       (VES), to run from 1 January 2018 to 31 December 2019. The VES sets out
       a rebate and surcharge system for all new cars, taxis and newly imported
       used cars with effect from 1 January 2018. The VES covers five different
       pollutants. Whether a car or a taxi will enjoy a rebate or be penalised
       with a surcharge is determined by its worst-performing pollutant. In June
       2017, in a bid to improve the commercial viability of EVs, LTA announced
       the reduction of the carbon emission factor of EVs by 20 percent. This
       made it slightly easier for EVs to enjoy the rebates under the VES.

4. Who are the main entities (e.g. developers,
   government, System Operator) and what
   are their roles in the deployment of EVs in
   your jurisdiction?
 The main entities and their roles are:

       Regulators and governmental bodies – The key governmental bodies
       which play a role in the deployment of EVs are the LTA, the National
       Environmental Agency (NEA), the Energy Market Authority (EMA) and the
       EDB.LTA is the key regulator and policy maker and driver concerning EVs.
       It is responsible for planning Singapore’s long-term transportation needs
       and spearheads land transport developments.The remaining bodies play
       a more ancillary and supporting role. For example, the NEA is
       responsible for the implementation of the VES, which has an impact on
       the price of EVs and, accordingly, their commercial viability. The EDB is
       the lead government agency for planning and executing strategies to
       position Singapore for the future. Part of EDB’s role includes co-leading
       the Electro-Mobility Singapore taskforce together with the LTA. The EMA
       is responsible for identifying strategic partners for test bedding,
       reviewing power grid regulations and licensing requirements for EV
       charging systems, and developing codes and standards.
       Operators of car-sharing and taxi services – Until EVs become more
       mainstream for consumers, commercial operators like BlueSG Pte Ltd

5 | Singapore                                                          CMS Legal Services
and HDT Singapore will play a larger role in shaping the EV landscape in
       Singapore. Apart from physically deploying EVs on the roads, their role
       also includes the installation of the charging infrastructure for the
       development of EVs in Singapore.
       Property developers – One of the key challenges to the proliferation of
       EVs is the lack of charging infrastructure. This issue could be alleviated if
       property developers for residential, commercial and industrial projects
       start installing charging stations within their projects. However, this may
       be an unrealistic expectation unless there is a demand for charging
       stations or developers are properly incentivised by the government to
       carry out these installations.

5. What are the main challenges to further
   deployment of EVs in your jurisdiction?
   How have EV developers sought to
   overcome these challenges to date?
 The key challenges and how the relevant EV developers have sought to overcome
 them are:

       Cost of EVs – Generally, the cost of EVs remain higher than ICE vehicles.
       This deters consumers from purchasing EVs. The introduction of the VES
       rebate is meant to address this issue by bridging the difference in costs
       between EVs and ICE vehicles.
       Lack of charging infrastructure – The charging infrastructure in
       Singapore is still largely underdeveloped. This problem is exacerbated
       because approximately 80% of Singaporeans stay in non-landed, strata
       public housing, which usually does not contain any charging stations. This
       also means that potential EV owners who live in public housing will be
       unable to install any charging stations even if they are willing to pay for
       them. The LTA is seeking to overcome this problem through the
       implementation of the BlueSG Program.

6 | Singapore                                                            CMS Legal Services
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