UOB bank
January 2022
In recent years, there has been significant acceleration in global momentum towards zero emissions for road transportation. The transition to zero emission transportation as well as phasing-out of Internal Combustion Engine (ICE) cars have been on the roadmap for major economies around the world.
With this, annual electric vehicle (EV) sales have been making progress and EV sales now represent 7.2% of global new car sales in 1H21 vs. 2.6% in 2019 and 4.3% in 2020.
For Singapore, the city aims to phase out all ICE vehicles and have entire road transportation run on cleaner energy by 2040. Under the Singapore Green Plan 2030 (SGP30), a comprehensive EV Roadmap was drawn to accelerate the adoption of EV on the roads, for both private and public sectors. Taking the lead was the public transport segment, where the Land Transport Authority (LTA) has committed to having a 100% cleaner energy fleet by 2040, purchasing only cleaner energy buses moving forward.
This progressive transition to cleaner energy vehicles can also be seen in taxis, commercial vehicles and private car segments, on the back of accelerated new electric car registrations thus far in 2021. This momentum will surely intensify as automotive brands continue to introduce new electric models across the different vehicle segments, while the government continues its efforts in deploying charging points closer to consumers’ reach.
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