Other1 min read

ERP 2 transition: Over 26,000 foreign vehicles have opted to install OBU ahead of Jan 1 switchover

By · Published by Everything Blog

In short

The installation surge represents a jump from 14,000 units in mid-September to more than 26,000, yet it still covers only a small share of the 77,000 foreign vehicles entering daily in 2024. Across Singapore, 121 authorised workshops are offering the hardware, charging upward of $262.25 for motorcycles and at least $420.30 for cars and commercial vehicles. Domestic preparations are simultaneously progressing, though roughly 12,000 mandated Singapore-registered vehicles have yet to complete their required installations.

Key points

  • Adoption among cross-border motorists is accelerating, but the current volume covers only…: Adoption among cross-border motorists is accelerating, but the current volume covers only a fraction of daily incoming traffic.
  • Failing to install the hardware will result in higher daily travel expenses for regular f…: Failing to install the hardware will result in higher daily travel expenses for regular foreign motorists from 2027.
  • Singapore is nearing full domestic compliance while preparing widespread road changes and…: Singapore is nearing full domestic compliance while preparing widespread road changes and physical gantry removals.

Sources checked by our analysis pipeline: 1

- More than 26,000 foreign-registered vehicles have installed OBUs before Singapore’s ERP 2 switch on Jan 1, showing growing urgency among cross-border commuters.

- Foreign vehicles do not have to fit an OBU, but without one they will pay a $3 daily ERP fee from Jan 1, 2027, plus a higher $7 VEP charge.

- Singapore is preparing for ERP 2 with new road signs and markings, while 12,000 Singapore-registered vehicles still have not installed the OBU.

AI generated

SINGAPORE - On his day off in October, 32-year-old Malaysian Muhammad Shamsul Naim rode his motorcycle from Johor Bahru to a workshop in Ang Mo Kio to install an on-board unit (OBU).

His motorcycle was among the 26,000 foreign-registered vehicles to have been installed with an OBU as at October.

This is nearly double the 14,000 such vehicles from mid-September, suggesting that those who need to commute to Singapore are feeling the urgency to have OBUs fitted before the Jan 1 transition to the next-generation road pricing system, or ERP 2.

Foreign-registered vehicles have been able to install OBUs at 121…

Other