Land Transport Authority

Overview of Vehicle Quota System


What is the Vehicle Quota System?

The Vehicle Quota System (VQS) regulates the rate of growth of vehicles on our roads, at a rate that can be sustained by developments in land transport infrastructure.

We control the number of new vehicles allowed for registration, while the market determines the price of owning a vehicle.

Anyone who wishes to register a new vehicle in Singapore must first obtain a Certificate of Entitlement (COE), which represents the right to own a vehicle for 10 years. 

The VQS classifies vehicles into five COE categories:

COE Category COE obtained before
February 2014 First Bidding Exercise
COE obtained on or after
February 2014 First Bidding Exercise
A Cars with engine capacity 1,600cc and below Cars with engine capacity up to 1,600cc and Maximum Power Output up to 97kW (130bhp)
B Cars with engine capacity 1,601cc and above Cars with engine capacity above 1,600cc or Maximum Power Output above 97kW (130bhp)
C Goods Vehicles and Buses Goods Vehicles and Buses
D Motorcycles Motorcycles
E Open (for any kind of vehicle) Open (for any kind of vehicle)


How is the vehicle quota determined?

The vehicle quota calculation takes into account the following conditions:

  • Actual number of vehicles taken off the roads  (i.e. number of vehicles de-registered)
  • Allowable growth in vehicle population
  • Adjustments to account for changes in taxi population, replacements under Early Turnover Scheme, past over-projections and expired or cancelled temporary COEs, etc.

The COE quota is computed and set every 3 months.

See Quota Allocation (Quota Years 2000-2009)
See Quota Allocation (From April 2010 Bidding Exercise Onwards)


How are the COES allocated?

COEs are allocated through an open bidding process, which is conducted twice a month.

Learn more about COEs.


Why do we need the VQS?

The VQS, together with Electronic Road Pricing (ERP), is one of the key pillars in our traffic management strategies. With Singapore’s limited land resources and increasing demands for vehicle ownership, we need to make sure that our vehicle growth rates do not spiral out of control and lead to gridlock on our roads.

Road construction and public transport projects will be ineffective in the long haul if we do not control the number of vehicles on the road.


Background on the VQS

The VQS was implemented in May 1990 when rising affluence in the country showed that simply increasing ownership taxes were not effective in controlling vehicle population growth.

Before the VQS was introduced, the vehicle population continued to grow despite increasing taxes.  The VQS was then introduced to limit the numbers of new vehicles allowed on the roads each year.