Taxis to be taken out of COE bidding process: LTA
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The news release is poorly done. On one hand, it says cab companies need only pay the PQP CAT A prices when they buy new taxis, regardless whether it is to replace an existing taxi or add to their fleet.
On the other hand, it says taxis for "fleet expansion" will come from the CAT E COE, which has to go through the bidding process.
Boggles the mind. I must be getting stupid. -
too much $Lui$ liao
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ChiefKiasu:
You're not alone...The news release is poorly done. On one hand, it says cab companies need only pay the PQP CAT A prices when they buy new taxis, regardless whether it is to replace an existing taxi or add to their fleet.
On the other hand, it says taxis for \"fleet expansion\" will come from the CAT E COE, which has to go through the bidding process.
Boggles the mind. I must be getting stupid.
Must be LTA scholar standard in order to decode their logic...
They scared kena $1 COE later... -
ChiefKiasu:
Pay Cat A price but draw from Cat E quota?The news release is poorly done. On one hand, it says cab companies need only pay the PQP CAT A prices when they buy new taxis, regardless whether it is to replace an existing taxi or add to their fleet.
On the other hand, it says taxis for \"fleet expansion\" will come from the CAT E COE, which has to go through the bidding process.
Boggles the mind. I must be getting stupid.
Dunno, in the first place not sure how the whole thing works.
Can't convince them confuse them.
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The way I read it, they are freeing up more COEs in the small car category and the taxi companies will have to take the COEs from the big car category. Nett effect is that people who buy the smaller cars will theoretically have more COEs (presumably meaning that COE prices for small cars will fall), while those who buy the big cars will have to pay more.
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[quote]Taxi operators will then pay for COEs based on the Prevailing Quota Premiums (PQP) of CAT A, under the Vehicle Quota System, irrespective of whether the new taxis are intended to replace deregistered taxis or add to the existing fleets.
Currently, taxi companies can bid for a new COE or pay PQP to register a taxi, with the latter only allowed in the case of a new taxi that replaces a deregistered one within six months.
In addition, the COEs used for taxi fleet expansion will be taken from the Open Category, which can be used to register vehicles in any COE category. [/quote]Ok, I think I get it now.
Previously, taxi companies will have to bid under Cat A COE to register for new taxis adding to their fleet but would only need to pay the PQP to replace deregistered taxis.
Now, regardless is for addition or replacement, taxi companies will only pay PQP. However, for new taxis, they COE paid with Cat A PQP will be taken from the quota of Cat E instead.
Net effect - Cat A COE will now be competed among car owners buying 1600cc and below. Taxi companies then pay the amount of that successful bid. So the effected ones are car dealers bidding for Cat E, they would have lesser to bid for now. -
AC_Power:
Herein lies the confusion...
Previously, taxi companies will have to bid under Cat A COE to register for new taxis adding to their fleet but would only need to pay the PQP to replace deregistered taxis.
Now, regardless is for addition or replacement, taxi companies will only pay PQP. However, for new taxis, they COE paid with Cat A PQP will be taken from the quota of Cat E instead.
...
... if only need to pay PQP to ADD taxis, why do taxi companies need to bid for Cat E COEs for new taxis?
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ChiefKiasu:
No Chief, they don't bid for Cat E CoEs. They will only be paying PQP Cat A to obtain the COE from Cat E quota.
Herein lies the confusionAC_Power:
...
Previously, taxi companies will have to bid under Cat A COE to register for new taxis adding to their fleet but would only need to pay the PQP to replace deregistered taxis.
Now, regardless is for addition or replacement, taxi companies will only pay PQP. However, for new taxis, they COE paid with Cat A PQP will be taken from the quota of Cat E instead.
... ... if only need to pay PQP to ADD taxis, why do taxi companies need to bid for Cat E COEs for new taxis?
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