>> ASIAONE / NEWS / THE STRAITS TIMES / STORY

Policy of taxing more on usage is flawed
Fri, Feb 01, 2008 The Straits Times
WITH reference to the changes announced by Minister for Transport Raymond Lim, I welcome the ministry's efforts to bring about a smoother transport system for all. For many Singaporeans, owning a car is more than about convenience; it is also about status. I know many car owners that are willing to spend more on the car than on their child's education. The only way to reduce road congestion is to reduce the number of new car owners; once you are seen driving a car, taking public transport is viewed as downgrading or losing face. This is why cars here have the highest usage (21,000km per year) in the world. Thus the policy of taxing more on usage than on ownership is flawed. The ministry should place equal weightage on ownership and usage. To most motorists, any savings from owning a car will be used to pay for more petrol to use it on the road. Thus road tax and ARF should have remained unchanged.

Will tax revenue from the rest of the population be used to build these roads? Or will income taxes be increased to satisfy the need of private car owners?

We are a land-scarce country, and even multi-storey carparks need land. How much land in Singapore is being used for parking cars? More land can be used to build residences and offices instead of multi-storey carparks. HDB should start selling parking lots instead of charging a low (subsidised) monthly rental. Luxury items like cars should not be subsidised.

The minister should also consider the impact on our environment when the car population increased 40 per cent (from 370,000 in 1997 to 515,000 today). The increased pollution will greatly affect health-care cost. Motorists should bear the costs for polluting and contributing to global warming.

When the roads are congested, you have to pay more when taking a taxi, and wait longer to reach your destination when taking a bus. Vehicle population growth (COEs) should keep pace with growth in road infrastructure.

Why should the non-car owning public have to pay for the penalty (of increased pollution, land prices, taxes, etc) brought about by motorists?

Syu Ying Kwok