Frequently Asked Questions

The Ministry of Transport oversees the development and regulation of the following sectors - civil aviation and air transport; maritime and ports as well as land transport.

The main focus of the Ministry is to bring about efficient and cost effective transportation to enhance Singapore's economic competitiveness and quality of life. We also strive to make Singapore an international civil aviation and maritime center for the region.

The operations and regulatory work is spearheaded by the four statutory boards under the Ministry of Transport's charge, namely the Civil Aviation Authority of Singapore (CAAS), the Maritime and Port Authority (MPA) of Singapore, the Land Transport Authority (LTA) and the Public Transport Council (PTC).

The Ministry also oversees the operations of the Air Accident Investigation of Singapore (AAIB).

COE prices are determined by the interaction between demand and supply at each bidding exercise.

Demand can be affected by factors like the economic climate (whether the economy is rapidly growing or in financial recession), launch of new vehicle models, and competition among vehicle manufacturers among others. Supply of COEs is influenced by the allowable vehicle growth rate and the number of replacement COEs from vehicle deregistrations. The latter forms the bulk of the COE quota. Supply and demand are also related in that a significant portion of the demand will come from existing car owners who have or will deregister their existing cars around the same time.

The COE system helps prevent our roads from being gridlocked by setting a quota on the number of new vehicles to be registered in Singapore each year.  Once the COE quota is fixed, the COE price is determined by market forces such that demand can match the supply available. The lower the demand, the lower the COE price and vice versa. To intervene and manage the price of COEs will lead to a situation where we would have to release more COEs if COE prices rise significantly. Doing so would undermine the larger transport aim of having the vehicle population grow at a sustainable rate and preventing gridlock.

There are in total seven divisions in the Ministry of Transport:
(a) Air Transport
(b) Sea Transport
(c) Land Transport
(d) International Relations & Security
(e) Corporate Development
(f) Corporate Communications
(g) Air Accident Investigation of Singapore

To find out more about the roles of these divisions, please visit www.mot.gov.sg.

To view the Ministry's organisational structure, please click here.

The ERP revenue collected goes to the Government’s Consolidated Fund to fund programmes that benefit Singaporeans. The annual amount collected is much less than what the government spends on road improvement projects. For example, the total amount collected for Financial Year 2009 and 2010 is about $149 million and $159 million respectively. In comparison, we have invested more to improve our road networks. The recently completed Woodsville Interchange Upgrading project costs $130 million and the Marina Coastal Expressway, which is currently under construction will cost $4.1 billion. ERP operating hours and charges are set based on traffic conditions. The amounts collected are a function of ERP operating hours and charges, as well as the traffic volume or number of vehicles passing through.