Motorcycle's COE Price is getting ridiculous.....

[keyxblade]

Its gone up to 4489... Will it go higher? I think so. How to stop this? Make buyers bid their own coe and pay what they bid? So if you bid 10k and the winning bid is at 5k...you pay 10k but your coe value is pegged at the winning bid ie 5k...i think this will make people really think twice..before putting in silly bids....haha!

 

there is no way to stop this unless LTA change the system. The only way to stop it now is people stop buying bikes, then the bike shop wont hold the COE and the bid will drop.

[kaiq]

Today newspaper also states that bike shops are desperately trying to sell off their Euro I bikes before the dateline (in Oct?). How is this going to affect the COE?

 

Quote for last year's source:

http://yourhealth.asiaone.com/content/singapore-rolls-out-plan-make-roads-less-polluted

[drifting_mp3]

there is no way to stop this unless LTA change the system. The only way to stop it now is people stop buying bikes, then the bike shop wont hold the COE and the bid will drop.

 

Another way to bring down the COE is to stop Bike Shops from bidding from COE.

 

Let owners bid their own COE through ATM.

 

The psychology should work as no biker in the right mind would bid so high for the COE.....

[vespaboy]

Ouch..the latest news today is that the quota of motorcycle COE will drop ...a lttle bit ..from 719 to 686 ie abot -33 aor about 4.5% drop...inwonder what will happen to the coe...given that it is already at record levels...sigh! I hope we dont get to the point where the coe price exceeds that actual omv of the vehicle....bikers are a decent people and a practical lot and for most affordability is a key concern...

[duo]

Can be found at SRD.

 

[nsr1980]

Motorshop will be clearing old motors before Oct new emission rules kicks in....

[matthias76]

I am convinced LTA wants to make motorcycles a luxurious item. A further reduction on motorcycle coe but nearly 40 percent average increase in all other vehicle coe? Where's the logic behind coe being a measure to control road congestion?

 

Sent from my GT-I9506 using Tapatalk

[ticks]

Basically the streets of singapore will be like Dubai soon..

[scoobydoo]

Today newspaper also states that bike shops are desperately trying to sell off their Euro I bikes before the dateline (in Oct?). How is this going to affect the COE?

 

Quote for last year's source:

http://yourhealth.asiaone.com/content/singapore-rolls-out-plan-make-roads-less-polluted

IMO, this could be a major reason why COE prices are shooting up in recent months.

Dealers are frantically trying to secure COEs so that they could sell their existing stock of Euro I machines. Once the Euro III emission standard kicks in (scheduled in Oct 2014), all their Euro I leftover stocks can't be sold/registered in Singapore market any more. Although the dealers may still export those bikes to alternative markets, they'ld probably sustain substantial loss as compared to selling those machines here.

 

http://ride.asiaone.com/news/general/story/delay-sought-stricter-m-cycle-emission-standards

... the Singapore Motorcycle Trade Association sent a letter to the National Environment Agency (NEA) to request either a six-month grace period or for new standards to take effect only in June next year. - See more at: http://ride.asiaone.com/news/general/story/delay-sought-stricter-m-cycle-emission-standards#sthash.OojVUysT.dpuf

 

Just guessing... I think the motorcycle market may become quite chaotic when it comes to the penultimate month before Euro I bikes can't be registered anymore.

Will the dealers start slashing machine price to minimise loss? Possible, but don't expect angpow type discounts.

Will they subsidise buyers for the COEs to help clear the "poison" stock? Possible, but don't expect few Ks subsidies as their loss for lapsing a Cat D COE is only $200.

My best guess would be the dealers may roll out "clearance" promotions using package deals... but deals shall unlikely be near the recoverable costs (exporting and TCOE loss).

 

Cat D (motorcycle & scooters) TCOE has to be registered within 6 months, after which it will lapse and bid deposit of $200 will be forfeited.

 

 

• COEs bid in Categories A, B and D are valid for 6 months, while COEs in Categories C and E are valid for 3 months ("Temporary COE"). If the Temporary COE (TCOE) successfully bid for the registration of vehicle is not utilised by its expiry date, the TCOE will lapse and its full bid deposit [ie. $200 for Category D and $10,000 (or $5,000 for bid applications during the COE bidding exercises conducted from October 2009 to September 2010) for Categories A, B, C and E] forfeited.
  

http://www.onemotoring.com.sg/publish/onemotoring/en/lta_information_guidelines/buy_a_new_vehicle/bid_coe.html

 

Just guessing

[Funky]

If you are a Malaysian biker or if SGers can own a Malaysian bike....breakdown of cost of riding to SG to work.

 

(22 work-days a month x 12 months) - 10 days (free entry to SG without paying SG toll for foreign vehicles) - 14 days annual leave = 240 days in year need to pay toll.

 

10 years (assume 10 year COE) x 240 = 2400 workdays for 10 years.

 

2400 x $4.5 (SG toll for foreign vehicles) = $10800

 

Bland new 2B cub kia = RM$7000 (S$2800).

 

Total cost for Malaysia biker = S$13600 (10800 + 2800) over 10 years for commuting to SG to work.

 

Bland new 2B cub kia in SG = S$7000. So if COE > $6600 can consider converting our citizenships.

[nsr1980]

From what i see COE will be shooting up even more and more...no dropping down.

[Jehuty]

If you are a Malaysian biker or if SGers can own a Malaysian bike....breakdown of cost of riding to SG to work.

 

(22 work-days a month x 12 months) - 10 days (free entry to SG without paying SG toll for foreign vehicles) - 14 days annual leave = 240 days in year need to pay toll.

 

10 years (assume 10 year COE) x 240 = 2400 workdays for 10 years.

 

2400 x $4.5 (SG toll for foreign vehicles) = $10800

 

Bland new 2B cub kia = RM$7000 (S$2800).

 

Total cost for Malaysia biker = S$13600 (10800 + 2800) over 10 years for commuting to SG to work.

 

Bland new 2B cub kia in SG = S$7000. So if COE > $6600 can consider converting our citizenships.

 

Bikes are not the only reason for us to change citizenship, minimum price for Msians to be able to sell property to SGporeans now is around 1 million RM, that's about 400k SGD. Keep in mind you're getting something that is worth 1 million SGD or more if it was in Singapore, 400k will get you a shoebox here, 1 room bigger or smaller, depending on location, its all crap anyway.

 

Considering the cost of Singapore is becoming, the hassle is becoming a moot point. Well I don't see the PAP changing for the better, if anything, they are getting worse, using Singaporeans as a buffer for their embezzlement of our money in failed investments by someone who thought they know how to invest.

 

If you didn't notice how deep PM Lee is willing to deepthroat pinoy d!ck.

[kiss29]

I agree those who intend to buy new bikes, can bid for your own COE using the POSB ATM machine.

Each bid charges is $2, if you revise the bid higher each time will incur $2 each revision.

Just need to deposit $200 for bidding your COE.

So you have to have at least $202 in your bank before you can try to bid, as $200 will be deducted immediately.

If you are unsuccessful, the $200 will be refunded to you by Thursday.

If you are successful, the $200 will be held by LTA until the day(within 6months) you register your bike.

Is say the successful COE bid price was $3000. That means you will have to pay the remaining $2800 to LTA for the COE on the day you register your motorcycle.

Don't worry, the motordiam will loan you this amount + bike machine price and help you to register your motorcycle.

 

So if more of us can self bid the COE for ourselves, there will be a very good chance that the motorcycle COE will dropped to $1.

 

Why I say this, is because we don't need to everyone to self bid.

We just need around 150 interested buyers to self bid to achieve the $1 result.

 

Say each fortnight has 350 COEs up for grab. From past history there is around 500+ bids each rounds. Meaning to say we just need these 150 'extra' to self bid at $10, to push the successful price down.

Best if these buyers can 'withhold' not to bid. then the total bids may be lesser than the quota. The outcome will be COE = $1.

 

Its very easy to game the COE bids if everyone cooperate.

 

one good benefits if COE were to dropped to $1.

Those with old motorcycles can renew their COE to just $1 to ride another ten years.

So its a win-win situation for new and existing motorcycle owners.

 

 

But theory is just theory.

Singaporeans are selfish and will never cooperate among each other. If possible it would not lead to the $4,500++ COE now..Kisau to the max.

[mechwira]

Say each fortnight has 350 COEs up for grab. From past history there is around 500+ bids each rounds. Meaning to say we just need these 150 'extra' to self bid at $10, to push the successful price down.

Best if these buyers can 'withhold' not to bid. then the total bids may be lesser than the quota. The outcome will be COE = $1.

 

Its very easy to game the COE bids if everyone cooperate.

 

one good benefits if COE were to dropped to $1.

Those with old motorcycles can renew their COE to just $1 to ride another ten years.

So its a win-win situation for new and existing motorcycle owners.

 

 

But theory is just theory.

Singaporeans are selfish and will never cooperate among each other. If possible it would not lead to the $4,500++ COE now..Kisau to the max.

 

the problem is not singaporeans. the problem is that shops also do this bidding, and they will never cooperate. business is business. if 500 bid, then 150 of these people will NOT get COE. as shops, they must get the COE to do business, so of coz they will bid as high as they can to secure a COE. if you're in the business, you willing to bid $1 for long term benefit and risk not securing any COE to sell bike?

 

but prevent commercial entities from bidding, then yes we might see a change. allow only owner bids, with the COE tagged to ownership of the vehicle to be purchased. no transfers, so you cant even private bid then sell off a successful COE. if 100% bidders are all potential owners, then maybe we can see a change.

[nhyone]

Quote for last year's source:

http://yourhealth.asiaone.com/content/singapore-rolls-out-plan-make-roads-less-polluted

Maybe this is why LTA is drastically reducing the motorcycle COE quota:

 

It will implement a scheme to encourage owners of older vehicles to retire them earlier and upgrade to newer, more environment-friendly models.

 

People will not renew their old bikes if the COE is high.

 

The COE alone now costs more than my class 2B bike -- 10 years ago. To renew is like buying a new bike again -- except I don't get a new bike!

[nhyone]

Say each fortnight has 350 COEs up for grab. From past history there is around 500+ bids each rounds. Meaning to say we just need these 150 'extra' to self bid at $10, to push the successful price down.

Best if these buyers can 'withhold' not to bid. then the total bids may be lesser than the quota. The outcome will be COE = $1.

 

Its very easy to game the COE bids if everyone cooperate.

 

This is not possible. How do the bidders coordinate and co-operate? And if they do, maybe the ringleaders will be fined for 'bid rigging'?

 

An auction like the COE bidding is meant to elicit selfish response from the individual bidder: he bids the maximum that he is willing to pay. That is how it works.

 

Having said that, there are a few problems with the COE bidding.

 

First, the final price is set at the lowest cutoff that fulfills the quota, so people have an incentive to overbid. For example, if I'm willing to pay $10k, I will just bid $10k. In the end, I only pay $4k, since that's what the 300th bidder is willing to pay.

 

(You'll note that in a normal (open ascending price) auction, you pay what the 2nd highest bidder is willing to pay. Food for thought before you get into a bidding war.)

 

Personally, I think pay-what-you-bid is better. However, LTA and "economists" disagree. They say it is "inefficient". But they are WRONG! They don't understand psychology. Nobody wants to pay more for the same thing. Pay-what-you-bid will bring prices down.

 

The second is, the COE price is part of the bike price and can be financed. This lessens the "pain". COE should be cash-only (or at least a significant part of it should be).

 

 

one good benefits if COE were to dropped to $1.

Those with old motorcycles can renew their COE to just $1 to ride another ten years.

So its a win-win situation for new and existing motorcycle owners.

 

This is not true. If nobody deregisters their old bike, there will not be recycled COEs for new bikes.

[rhema83]

Its very easy to game the COE bids if everyone cooperate.

 

one good benefits if COE were to dropped to $1.

Those with old motorcycles can renew their COE to just $1 to ride another ten years.

So its a win-win situation for new and existing motorcycle owners.

 

 

But theory is just theory.

Singaporeans are selfish and will never cooperate among each other. If possible it would not lead to the $4,500++ COE now..Kisau to the max.

 

Many groups and individuals are actually not in favor of renewing the COE of old bikes. NEA would be first to oppose as the older (particularly 2-stroke) bikes are really smokey and polluting. Bike shops will also lobby against it as renewing COE means less business for them. (Repairing and maintaining old bikes is much less profitable than selling new bikes and giving out loans.)

 

You are right on about "selfish". The COE system is based on the economic theory that each individual is selfish and will do whatever it takes (within legal bounds) to achieve his economic objective.

 

the problem is not singaporeans. the problem is that shops also do this bidding, and they will never cooperate. business is business. if 500 bid, then 150 of these people will NOT get COE. as shops, they must get the COE to do business, so of coz they will bid as high as they can to secure a COE. if you're in the business, you willing to bid $1 for long term benefit and risk not securing any COE to sell bike?

 

but prevent commercial entities from bidding, then yes we might see a change. allow only owner bids, with the COE tagged to ownership of the vehicle to be purchased. no transfers, so you cant even private bid then sell off a successful COE. if 100% bidders are all potential owners, then maybe we can see a change.

 

I also hope the system will change such that only vehicle buyers are permitted to bid, e.g. the COE is tagged to the bidder's NRIC number and cannot be transferred. Bike shops will not feel the pressure to secure COEs as it is now the buyer's responsibility to secure his own COE before buying. Owners with limited financial resources (compared to shops, at least) are also more likely to bid responsibly and rationally.

 

This is not possible. How do the bidders coordinate and co-operate? And if they do, maybe the ringleaders will be fined for 'bid rigging'?

 

An auction like the COE bidding is meant to elicit selfish response from the individual bidder: he bids the maximum that he is willing to pay. That is how it works.

 

Having said that, there are a few problems with the COE bidding.

 

First, the final price is set at the lowest cutoff that fulfills the quota, so people have an incentive to overbid. For example, if I'm willing to pay $10k, I will just bid $10k. In the end, I only pay $4k, since that's what the 300th bidder is willing to pay.

 

(You'll note that in a normal (open ascending price) auction, you pay what the 2nd highest bidder is willing to pay. Food for thought before you get into a bidding war.)

 

Personally, I think pay-what-you-bid is better. However, LTA and "economists" disagree. They say it is "inefficient". But they are WRONG! They don't understand psychology. Nobody wants to pay more for the same thing. Pay-what-you-bid will bring prices down.

 

The second is, the COE price is part of the bike price and can be financed. This lessens the "pain". COE should be cash-only (or at least a significant part of it should be).

 

I am ambivalent about paying what you bid. It would be the most efficient if the free-market economic model is true. However, it is not, because people do not have access to all necessary information.

 

I was a supporter of paying COE (and even ARF/PARF) upfront. However, it will create more inequality as rich people can afford the higher cash outlay, but lower-income people who desperately need private transport (e.g. delivery riders, pregnant mums and parents of newborns) will be priced out. Many will turn to the second hand market, and the second hand prices will jump up.

 

In the end, LTA will receive far less revenue from COEs if the price indeed plummet after the implementation of a new system. Do you think they will actually do such a thing?

[Jehuty]

I believe no PAP is the most efficient. COE is simply a limit on the number of vehicles, overall its still a fixed number, you increase one, you have to decrease the other.

 

If COE was to control traffic, why decrease bike COE but increase car COE? Bikes don't cause jams, cars do. It makes no sense which leads to another conclusion, is COE just another ploy to earn money? Sure you decrease the cost of car COE but its still ridiculous, jams aren't going to get better, ERP will only be in more areas, fines will increase, all this for what? I'm not feeling the riches of Singapore. If anything, its just getting more depressing.

 

Dun have to think so much really.

[duo]

I believe no PAP is the most efficient. COE is simply a limit on the number of vehicles, overall its still a fixed number, you increase one, you have to decrease the other.

 

If COE was to control traffic, why decrease bike COE but increase car COE? Bikes don't cause jams, cars do. It makes no sense which leads to another conclusion, is COE just another ploy to earn money? Sure you decrease the cost of car COE but its still ridiculous, jams aren't going to get better, ERP will only be in more areas, fines will increase, all this for what? I'm not feeling the riches of Singapore. If anything, its just getting more depressing.

 

Dun have to think so much really.

I concur.

[rxgn]

to renew in jan 14 @ $1700

to renew in feb 14 @ $1950

to renew in mar 14 @ $2500

to renew in apr 14 @ $3250

to renew in may 14 @ $3970

 

wow

[MR BIKER]

it seems like its all being planned. even thought the new COE has increased and stay around 4k , the planner decide to increase slowly and slowly $700 until it reaches $4k for renew coe. the chances of the new coe price drop in the next 2 years is very slim and so will the PQP. so what are the chances more coe after that. i have seen many buyers renew their coe only 5 years from now which thus take away from the supply meaning new coe will still be few thus it will increase more

[kaiq]

Think it's time to save up enough money to buy coe next time - I only see that's all I can do.

 

Regarding delivery rider, if company provides their own bikes, doubt they are not directly affected - only their company is. That's why I see companies like mac, etc, asked their rider to ride their own bike... smart move to reduce cost...

[nsr1980]

Maybe motor COE will drop slightly next year?

[poorboii]

my guess is after 2 years it starts to drop.

[ezzyoiler]

after october...coe price may soften...

latest emmission std kicks in...

now stockist bikes that do not meet the std...all need to be sold...thus coe price shooting up...

hang in there..coe may drop