Singapore Warns Foreign Drivers of Soaring Vehicle Entry Permit Fees and Mandatory ERP 2.0 Changes Ahead of 2027 – New Update You Need to Know

If you’re planning a trip to Singapore, there’s important Singapore travel news for anyone driving a vehicle registered outside the country. Starting January 1, 2027, the city-state will update the Vehicle Entry Permit system, meaning that foreign drivers will face higher daily charges, lose long-standing free entry privileges, and need to prepare for new technology on the roads. The Land Transport Authority has confirmed these changes as part of a wider plan to modernize road use and make it fairer for everyone.

What’s Changing for Foreign Drivers

The new rules will affect cars, motorcycles, and commercial vehicles. Here’s the key information for anyone driving foreign-registered vehicles into Singapore:

• Daily charges for vehicles without on-board units:
  • Cars: S$50 per day (up from S$35)
  • Motorcycles: S$7 per day (up from S$4)
• Goods Vehicle Permit fees:
  • Monthly Goods Vehicle Permit (GVP) fees will rise to S$70, up from S$40
  • Existing permits purchased before 2027 will still be valid at current rates
• Changes to free entry days:
  • The 10 free Vehicle Entry Permit days per year will be eliminated
  • Free weekday hours will also be removed
  • Only weekends and Singapore public holidays remain exempt

According to the Land Transport Authority, these adjustments are part of a regular review to make sure that the cost of driving foreign-registered vehicles in Singapore is fair compared with locally registered ones. Over the years, the cost gap had grown, prompting this update.

The Role of ERP 2.0

Another significant update involves Electronic Road Pricing. Singapore will introduce the next-generation ERP 2.0 system starting January 1, 2027. This technology is designed to make road pricing smarter and more efficient, helping reduce congestion and ensure equitable charges for all motorists.

Here’s what drivers need to know:

• Installation of the new ERP 2.0 on-board unit (OBU) is mandatory for Malaysian taxis
• Other foreign-registered vehicles can install the OBU optionally, which may help reduce daily ERP fees
• Vehicles without an OBU will face flat ERP fees: S$3 per day for motorcycles and S$10 per day for cars and other vehicles

Currently, cars without an OBU are only charged S$5 per day when using ERP-priced roads during operating hours. The on-board unit costs S$158.70 until December 31, excluding installation, which can only be done at authorized Singapore workshops. The Land Transport Authority will share more details about installation arrangements closer to the rollout.

How These Updates Affect You

Foreign drivers should prepare for some important changes:

• Weekday travel: All weekdays will now be subject to Vehicle Entry Permit fees, eliminating previous exemptions for after-hours or school holiday travel
• Commercial trips: Businesses using foreign-registered trucks will face higher Goods Vehicle Permit costs
• ERP compliance: Installing the new OBU can help avoid daily flat fees and simplify trips in ERP 2.0 zones

Planning ahead is key. With these changes, motorists can avoid unexpected costs and ensure smooth travel within Singapore.

Why Singapore Is Making These Changes

According to official Singapore travel news updates from the Land Transport Authority, the government’s goals are clear:

• Make road usage charges fair between local and foreign-registered vehicles
• Update the Vehicle Entry Permit fees to reflect current operating costs
• Reduce congestion and improve traffic management using Electronic Road Pricing and ERP 2.0 technology
• Ensure foreign vehicles contribute proportionally to the upkeep of roads and infrastructure

The integration of ERP 2.0 is expected to improve efficiency by automating charges based on distance and road usage while encouraging better travel behavior among motorists.

Quick Recap of Key Changes

• Vehicle Entry Permit fees: Cars S$50, motorcycles S$7
• Goods Vehicle Permit: Monthly fee rises to S$70
• Free VEP days: Fully removed; only weekends and public holidays exempt
• ERP 2.0 rollout: Mandatory for Malaysian taxis, optional for other foreign vehicles
• Flat ERP fees for vehicles without OBU: Motorcycles S$3, cars S$10

These updates mark a major evolution in Singapore’s approach to managing traffic and foreign vehicles. The combination of higher fees and new technology demonstrates a commitment to fairness, efficiency, and long-term urban mobility planning.

Preparing for 2027

As Singapore travel news continues to highlight, foreign motorists need to plan carefully:

• Install the ERP 2.0 on-board unit where applicable
• Factor in weekday Vehicle Entry Permit fees when driving into the city-state
• Budget for higher daily costs and increased Goods Vehicle Permit rates for commercial transport

By understanding these changes now, drivers can avoid penalties and navigate Singapore’s roads with confidence starting in 2027.

Final Thoughts

This latest Singapore travel news reflects the government’s push to modernize road management and balance costs between local and foreign-registered vehicles. The Vehicle Entry Permit fee increases, removal of free days, and introduction of ERP 2.0 all signal a shift toward more structured and equitable road usage.

Whether you’re visiting for leisure or business, keeping up with these official updates ensures your travel plans remain smooth, cost-effective, and compliant with Singapore’s updated road policies.

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