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Enhancements for the OPC scheme

Article courtesy of the Land Transport Authority, pictures by Azfar Hashim - 31 Aug 2009

Update to scheme include better monetary returns for owner who convert their car to an OPC

By end January 2010, the OPC scheme will be revised to allow unrestricted usage on Saturdays and the eves of 5 public holidays...

The Land Transport Authority (LTA) has completed its review of the Off-Peak Car (OPC) scheme and will be implementing the following three initiatives to enhance the OPC scheme:

(a) e-Day Licence to replace the current paper licence, which offers greater flexibility with more channels for purchase and post usage payment.

(b) Revisions to the OPC scheme to allow unrestricted usage on Saturdays and on the eves of 5 public holidays

(c) Cash Rebates for conversion of normal cars to the new OPC scheme - up to $1,100 for every six months' registration as an OPC.

These new initiatives follow Minister for Transport, Mr Raymond Lim, who made an announcement - on 12 February 2009 - the LTA would study how to make the OPC scheme more convenient and attractive so as to encourage more car owners to opt into the scheme. These enhancements are the result of extensive consultations with various groups, including existing OPC owners.

e-Day Licence

From 23 November 2009, the electronic day licence (e-Day Licence) will replace the existing paper supplementary licence when the OPC is used during the restricted hours. The new e-Day Licences can be bought online via ONE.MOTORING portal, AXS stations and using mobile-SMS service, in addition to Singapore Post outlets and Automobile Association of Singapore (AAS) offices. The new channels of purchase give OPC users the added flexibility of making purchases anytime between 6am and midnight daily.

Besides the benefits of extended hours and more alternative channels of purchase, motorists now have the option of buying the e-Day Licence after using the OPC during restricted hours, as long as they do so before 2359 hours the next day. Currently, the paper licence must be purchased before the use of the vehicle.

With the e-Day Licence, OPC drivers no longer need to be inconvenienced by LTA's enforcement officers stopping their vehicles to check for a valid paper licence. LTA's enforcement officers will instead note down the vehicle registration number of the OPC and subsequently verify against the system records if a valid e-Day Licence had been purchased for the car, for that particular day.

LTA will be sending to all existing OPC owners a notification letter and an accompanying guide book on the e-Day Licence system by September 2009. Information on the e-Day Licence system will also be made available on the portal www.onemotoring.com.sg from 1st September 2009 onwards.

Revised OPC Scheme

The existing OPC scheme is such that owners of OPCs will have to display a supplementary licence (or purchase an e-Day Licence come 23rd November 2009) if they wish to drive their OPC between 7am and 3pm on Saturdays. By end January 2010, the OPC scheme will be revised to allow unrestricted usage on Saturdays and the eves of 5 public holidays - namely the New Year, Lunar New Year, Hari Raya Puasa, Deepavali and Christmas.

Existing OPC owners can choose to opt into this revised scheme to enjoy the extended hours in exchange for reduced tax discounts and an administrative fee of $100.

With the extended usage, the annual road tax discount will be correspondingly reduced from $800 to $500. The minimum annual road tax will be $70, instead of $50 under the existing OPC scheme.

This means that existing OPC owners who opt for the revised OPC scheme will have their annual road tax increased by between $20 and $300. As the tax concessions given to OPC owners were computed taking into consideration the restricted usage periods, hence, the removal of Saturday restrictions and 5 public holiday eves will have to be accompanied by corresponding adjustments to the tax concessions.

Index
Have your say
 
- Stefano Singapore. 21 Sep 2009 1:57AM
 
in the first place, why ones need to have an OPC? is it a way to save money or for needs or luxury? am considering buyin an OPC hybrid SUV or coupe for my wify since am driving a luxury car now..shld i or shldnt i? i feel damn good when being picked up by lady drivers, but feel scary when am inside their cars...hahaaaaaaaaa
- pass09 Singapore. 16 Sep 2009 11:47AM
 





Quote:
"Formerly posted by Sagaman: Azfar, with the new enhanced scheme aleady attracted so many negative comments from normal plate owners somemore half day coupons?Wait till some red eyes motorists who got nothin to do took photos of every single OPC driving during peak periods for personal vengence"


Take photos lor, no need scared if you bought the daily licence. =) I would even flash a grin at anyone taking picture for me, maybe ask him to send me a copy. Hahahahaha
- zeenie , Singapore. 15 Sep 2009 10:41AM
 Azfar, with the new enhanced scheme aleady attracted so many negative comments from normal plate owners somemore half day coupons?Wait till some red eyes motorists who got nothin to do took photos of every single OPC driving during peak periods for personal vengence
- Sagaman , Singapore. 14 Sep 2009 2:11PM
 





Quote:
"Formerly posted by wilswong:








Vince,

You are right.  So the question remains "Do you really need ALL the saturdays or just those few Saturdays?"

Considerations

-  Saturday morning now can do more things. But would you have done the same without the car? If yes then the change is worth it since you can use the car now.

-  Nature of work. For me I cover weddings and events on Saturdays thus I only use car only for those days.  It will only be worthwhile if I get 12 jobs on those days to cover the difference.  So this is my criteria.  Still will be good as I can go out and have a swim on Saturday mornings liao


 "


Yes a healthy lifestyle is priceless!

- vinceyeo , Singapore. 6 Sep 2009 4:12PM
 





Quote:
"Formerly posted by vinceyeo:






Quote:
"Formerly posted by ic3boi: my current 1.5 roadtax is $50 per year, if i opt for the new scheme, it would be $292 per year. madness... wat sort of enhancement is tis.."


Aiyo bro if you need to use every saturday morning then its worth it lor. 292-50 = 242 / 20 ~ 12 OPC coupons. Correct me if I am wrong but 1 yr got 52 saturdays + 5 eve holidays = 57 free OPC coupons.

Its really not that bad since your breakeven is just 12 of 57 days. I would go for it without a doubt if I was still on OPC.
"


Vince,

You are right.  So the question remains "Do you really need ALL the saturdays or just those few Saturdays?"

Considerations

-  Saturday morning now can do more things. But would you have done the same without the car? If yes then the change is worth it since you can use the car now.

-  Nature of work. For me I cover weddings and events on Saturdays thus I only use car only for those days.  It will only be worthwhile if I get 12 jobs on those days to cover the difference.  So this is my criteria.  Still will be good as I can go out and have a swim on Saturday mornings liao


 
- wilswong , Singapore. 5 Sep 2009 12:29PM
 





Quote:
"Formerly posted by ic3boi: my current 1.5 roadtax is $50 per year, if i opt for the new scheme, it would be $292 per year. madness... wat sort of enhancement is tis.."


Aiyo bro if you need to use every saturday morning then its worth it lor. 292-50 = 242 / 20 ~ 12 OPC coupons. Correct me if I am wrong but 1 yr got 52 saturdays + 5 eve holidays = 57 free OPC coupons.

Its really not that bad since your breakeven is just 12 of 57 days. I would go for it without a doubt if I was still on OPC.

- vinceyeo , Singapore. 4 Sep 2009 9:58PM
 theres no free lunch in the world.
- ic3boi , Singapore. 4 Sep 2009 3:44PM
 my current 1.5 roadtax is $50 per year, if i opt for the new scheme, it would be $292 per year. madness... wat sort of enhancement is tis..
- ic3boi , Singapore. 4 Sep 2009 3:43PM
 My post in TALK2LTA






Generally positive step forward. Here are the kinks that people are who are now OPC owners like me, are complaining.

a) We fail to see the rationale behind the $100 admin fee. It is like double taxation because we are charged higher for the new scheme + admin fee.

Common logic dictates that it is better to maintain one system rather than 2 systems that is pretty similar except for timing.

If it is technologically simple to maintain the two systems, then the $100 admin fee shouldn't even be featured since it is just one click of the button to effect the change.

Marketing point of view: To help LTA sell the idea that the new scheme works, why create more hurdles for the current OPC drivers who are already bought into the idea of limited usage? Aren't LTA shooting yourself in the foot by not enticing more current OPC to change thus further enhancing the allure of the new scheme?

b) The tax discount is huge and in fact, it encourages small car to go off the road during working hours when more people uses the small car due to location of work place and the nature of work. Contrast this with the more important big/luxury cars where these cares are more discretionary in nature.

The normal tax structure would tax those who has bigger cars (in size, not engine displacement. But the OPC should be the opposite of the normal tax structure where the bigger cars should be given more benefits to go off the roads during office hours.

This tax discount hence leads to point (c)

c) The tax structure between 1.5 to 1.3 litre car (same size car mind you) is huge and the interesting thing is that they are in the same tax structure band.

1.5 = $182 (264% increase from old tax)
1.3 = $66.95 (33.95% increase from old tax) but this is subject to minimum $70 tax (thus 40% increase)

One can justify that the number of coupons used will be saved but one can also reject the scheme because of the huge disparity due to engine size. More so when the car is of the same size and take up the same road space and yet the larger capacity pay much much more. There ought to be a more gradual increase of tax instead as compared to the current steep increase.

If the aim is to take cars off the streets during working days then the bigger the car, the better. But the current structure obviously favours the smaller cars more so the bigger cars got lesser tax benefits and hence lesser the number of big cars leaving the road. 
 
- wilswong , Singapore. 4 Sep 2009 12:04PM
 They will definately deploy more enforcement officer equip with electronic plate reader cum infrared video as told by one of the officer.It's just a matter of time where you will meet these guys.There;s no point cheating and jeopardise your fate.The 5k fine should be well spent withing yourself not to them..
- Sagaman , Singapore. 4 Sep 2009 10:02AM
 





Quote:
"Formerly posted by sumo:
It's easy for the LTA to check. Just do a matching between the online application system and the ERP gantries. Any inconsistencies will warrant a fine. Soon, whole of Singapore will be covered with gantries at each town."


Gantry for ERP maybe be used for OPC enforcement but one do not need a gantry to take videos of red plated cars.

an OCR software mated to video footage will churn out licence plate numbers for a check with database of paid up cars.

 
- wilswong , Singapore. 2 Sep 2009 4:00PM
 





Quote:
"Formerly posted by jasontang: it seem like the scheme will encouage more cheater..i mean what is the chances of being check ..even kana check then buy also can..what a big loop hole "


Jason if you read MCF you would know this was discuss quite extensively as well. This "loophole" actually serves to fully eliminate any possible lamers from using the excuse of forgetting to pay in advance or had some life and death emergency and did not have the time to pay later.

So if you were driving and just didnt notice a law enforcer due to blind spot or worst an unmarked LTA vehicle who is recording vehicles silently, after a few weeks a letter came with a fine of $5k you are done for le since no excuse to forgot for so long. Nobody except the really desperate will take this kind of risk IMO.

- vinceyeo , Singapore. 1 Sep 2009 9:12PM
 
It's easy for the LTA to check. Just do a matching between the online application system and the ERP gantries. Any inconsistencies will warrant a fine. Soon, whole of Singapore will be covered with gantries at each town.
- sumo , CCK, Singapore. 1 Sep 2009 5:52PM
 Gentlemen, they will check if you pay your car park or not.  But to check OPC is really a bit on the extreme side.

If that is so, I wonder why there are so many video cam on expressways and roads.  If they are no confident of enforcement, then i don't think they will come out with the scheme


- wilswong , Singapore. 1 Sep 2009 5:00PM
 
Wow,Hope those kookoo enforcement officer dont frequently patrol Multi storey car park leh,You know some OPC owners love to switch parking lots leh.AshamedFightingBTW for my 1332cc car road tax will be $86.
- Sagaman , Singapore. 1 Sep 2009 2:23PM
 it seem like the scheme will encouage more cheater..i mean what is the chances of being check ..even kana check then buy also can..what a big loop hole
- jasontang , Singapore. 1 Sep 2009 11:26AM
 Of course...if don't change, then don't convert to new OPC scheme.

If you don't need to travel on Saturday morning, this would be ideal.  For me, saturday can go out means a lot more things can be done without feeling short changed because the $20 covers only till 3pm (if you want to be anal about it).



- wilswong , Singapore. 1 Sep 2009 10:43AM
 
Quote:
"Formerly posted by wilswong:
Here's my reaction as an OPC owner now

Welcomed:
a)  Saturday driving.  At last when I cover weddings or events on Saturdays no need to pay for day license anymore.
b)  Holiday Eve driving.  Quite ok IF it is before Chinese New Year and New Years Eve.  Can do more lah instead of waiting for the holiday to come.
c)  If come back from Malaysia, can come back earlier on Saturday instead of planning the car to enter at 3pm or at public holiday (both of which means massive jams when people are rushing back home in the evenings)
d) Given the IT hub status of Singapore, not having the electronic day license is bordering on unforgivable sin.   At least in one bang, it allows SMS and online application.  Better yet, post usage application.  Only problem would be to remember to get the day license.

Calculation:
So for the extra 52 saturdays + 5 eves = 57 days of usage or 57 x 20 = $1140 worth of day coupons.

My road tax per year = { [250 + 0.375 (1497-1000)] x  0.782 } x 2 = 682 (round off)

So with the new tax structure, I have to pay for 2010 = 100 (admin fee) + 682 - 500 (new tax discount) = 282 (my annual road tax will be $182)

Conclusion:

High chance will change because if Saturday mornings I can go out, I can conduct class earlier rather than in the late afternoons + wedding and event photography, I don't need to pay for day license.  This itself is a good compromise already.

However I think the discount rate change from 800 to 500 is pretty steep.  To encourage more people to change to OPC, the discount rate changes should be more gradual perhaps 200 dollars.

Day license - Have to make extra effort to remember to update it on the phone or online.
 
"



Is there an option of no changing? lol
- zeenie , Singapore. 1 Sep 2009 9:57AM
 To me these changes are more to catch those cheaters. The rest of the changes like whole Sat is just something they want to encourage more to switch over to OPC.

- vinceyeo , Singapore. 1 Sep 2009 7:55AM
 I think a few minutes is still acceptable.
- kkchai , Singapore. 1 Sep 2009 2:16AM
 the thing is this- they may have people at the main road to spot check but to be at the car park is stretching a bit too far.

As for time synchronization, I think it is only fair that one just need to go off like 5 min later.

Worse come to worse, fix your time to the computer time so when there's a dispute at least there is something you can rely on to state your case.
- wilswong , Singapore. 31 Aug 2009 10:08PM
 Happy with most new changes except they don't intercept you to spot check. How this is being enforced is questionable. Will we be sabotaged? Say

Scenario 1: They go around carpark and anyhow take down OPC numbers and bogus report when these are parked/not used on the road.

Scenario 2: OPC driver's time is synchorized and accurate. OPC driver drives out at 7.02 pm and one kuku enforcement officer with inaccurate watch (say 6.59 pm) recorded down the OPC number as user of that day. 
- Kangadrool , Singapore. 31 Aug 2009 4:18PM
 I think we can rely more local public transport since it is so convinient and "effiecient" (to some aspect). If those who need car due to work commitment such as sales personal, could op for it, others can used it for enjoyment. Is good for consumer and environment. I think I would rather have a OPC then daily car for weekend and night time travelling.

- kkchai , Singapore. 31 Aug 2009 3:10PM
 Here's my reaction as an OPC owner now

Welcomed:
a)  Saturday driving.  At last when I cover weddings or events on Saturdays no need to pay for day license anymore.
b)  Holiday Eve driving.  Quite ok IF it is before Chinese New Year and New Years Eve.  Can do more lah instead of waiting for the holiday to come.
c)  If come back from Malaysia, can come back earlier on Saturday instead of planning the car to enter at 3pm or at public holiday (both of which means massive jams when people are rushing back home in the evenings)
d) Given the IT hub status of Singapore, not having the electronic day license is bordering on unforgivable sin.   At least in one bang, it allows SMS and online application.  Better yet, post usage application.  Only problem would be to remember to get the day license.

Calculation:
So for the extra 52 saturdays + 5 eves = 57 days of usage or 57 x 20 = $1140 worth of day coupons.

My road tax per year = { [250 + 0.375 (1497-1000)] x  0.782 } x 2 = 682 (round off)

So with the new tax structure, I have to pay for 2010 = 100 (admin fee) + 682 - 500 (new tax discount) = 282 (my annual road tax will be $182)

Conclusion:

High chance will change because if Saturday mornings I can go out, I can conduct class earlier rather than in the late afternoons + wedding and event photography, I don't need to pay for day license.  This itself is a good compromise already.

However I think the discount rate change from 800 to 500 is pretty steep.  To encourage more people to change to OPC, the discount rate changes should be more gradual perhaps 200 dollars.

Day license - Have to make extra effort to remember to update it on the phone or online.
 

- wilswong , Singapore. 31 Aug 2009 12:29PM
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