KUALA LUMPUR - Singapore will raise the Vehicle Entry Permit (VEP) fees for foreign-registered cars and motorcycles, as well as the Goods Vehicle Permit (GVP) fee for foreign-registered goods vehicles from January 1 next year.

The Land Transport Authority (LTA) announced on February 6 that the annual 10 free VEP days and free weekday entry hours will also be abolished, as reported by The Straits Times.

It said the fees are reviewed periodically to ensure that the cost of owning and using a foreign-registered vehicle in Singapore remains comparable to that of locally registered vehicles.

“The cost difference has widened in recent years, giving rise to the need to increase the fees,” the authority said.

Under the revised structure, the daily VEP fee for foreign-registered cars will increase from $35 to $50, while the fee for motorcycles will rise from $4 to $7.

From Jan 1, 2027, the VEP will be charged on all days, except weekends and Singapore public holidays. Currently, motorists are entitled to 10 free VEP days annually and benefit from free entry during certain off-peak hours and school holiday periods.

At present, foreign-registered vehicles are exempt from VEP charges if they enter Singapore from 5pm and exit by 2am the following day, or from 12pm to 2am during the June and December school holidays. These concessions will be removed under the new policy.

Meanwhile, the monthly GVP fee for foreign-registered goods vehicles will be increased from $40 to $70.

LTA said vehicle owners may continue to purchase GVPs at the current rate before the new fees take effect. However, permits with validity periods starting from Jan 1, 2027, will be charged at the revised rate.

In preparation for Singapore’s new Electronic Road Pricing (ERP) system, scheduled to be introduced on Jan 1, 2027, foreign motorists will be able to install the new ERP 2.0 on-board units (OBUs) from April 1.

Installation of the OBU will be mandatory for Malaysian taxis for monitoring and enforcement purposes, while it remains optional for other foreign-registered vehicles.

From Jan 1, foreign vehicles entering Singapore without an OBU will be required to pay a flat-rate ERP charge of $3 for motorcycles and $10 for all other vehicles on each day that ERP is in operation.

Currently, foreign-registered cars without in-vehicle units are charged $5 daily when using ERP-priced roads during operating hours.

Motorists may install the OBU at a cost of $158.70 until December 31, excluding installation fees. Installation can only be carried out by authorised workshops and technicians in Singapore.

LTA advised interested motorists to consult authorised service centres for installation charges, adding that further details for foreign motorists will be announced in due course.