Sashidaran Gunathevan
The Singapore VEP fee for foreign cars rises to S$50 a day on 1 January 2027. That is up from S$35, and the free days are going.
Singapore’s Land Transport Authority (LTA) announced the change in February. Drivers heading south also face heavy checkpoint traffic this Deepavali weekend.
Here is what the Singapore VEP fee change means, how the new ERP flat rate works and who is affected. Less than two months remain.
VEP: What changes on 1 January
The Vehicle Entry Permit (VEP) rises from S$35 to S$50 a day. That is about RM197 at the rate in one report.
Next, motorcycles. Their daily VEP goes from S$4 to S$7. That is S$3 more a day.
Overall, a car pays S$15 more a day than it does now. The rise covers every foreign-registered car, whatever the plate.
The Goods Vehicle Permit rises from S$40 to S$70 for each calendar month.
The 10 free VEP days a year will go. So will the free VEP hours on weekdays.
However, weekends and Singapore public holidays are exempt from the new VEP fee. It applies on all other days.
Meanwhile, LTA says the cost gap between foreign and Singapore cars has widened. It wants the cost of using each to be commensurate.
The ERP flat rate and the OBU deadline
From 1 January, foreign vehicles without an On-Board Unit (OBU) pay a flat rate. It is S$10 for most vehicles and S$3 for motorcycles.
The charge applies for every ERP operational day that the vehicle travels on Singapore roads.
Drivers who fit an OBU pay the usual ERP rates instead. The unit is not compulsory for foreign vehicles.
Installation of the unit has been possible since 1 April 2026, so the window is already open.
The OBU costs S$158.70, including GST, until 31 December. Workshops set a separate installation fee.
Meanwhile, only authorised workshops in Singapore can fit the unit. Malaysian taxis must install one.
So frequent drivers may want to compare the OBU cost with the flat rate before the year ends.
31 December is the last day for the lower OBU price.
Who is affected and what to do
First, weekday drivers. They lose the free days and the free weekday hours, so frequent trips cost more.
Next, hauliers. The higher goods vehicle permit adds to costs for trucks that use the Causeway and the Second Link.
Also, the car-free option. The RTS Link is due to start in February 2027, after the fee rise.
Foreign cars must hold a valid VEP before the driver can submit the Singapore Arrival Card.
LTA has not said, in the material we saw, how the flat ERP fee is paid. Check its notices before you drive in.
Overall, Johor drivers have until the end of December to plan their trips. Until then, the current rates still apply.
In short, the bill rises on 1 January. Budget for the higher fee and decide on an OBU before the year ends.
Yalinie Mathan
C. Khor
Amirull Salihing
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