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Singapore welcomes new car-sharing app

Image credit: vulcanpost.com

In Singapore, there are already seven car-sharing players and it is about to get even more heated with the entry of a new player that promises to adapt to accelerated changes brought on by COVID-19 and provide the next evolution of carsharing in the country. The company has launched a fleet of 400 cars across 300 locations and it hopes to expand the fleet size to 1,000 vehicles across over 600 locations island-wide by the end of 2021, making it the country’s largest carsharing service provider.

With the app, users can book, unlock and lock the vehicles without the need for an access card or retrieve a physical key. Their vehicles feature keyless ignitions, users simply need to push a button to start the engine and drive. Users need to be at least 19 years old and have at least one year of driving experience with a valid Class 3, 3A, or 3C driving licence.

Furthermore, the company’s entire fleet is equipped with advanced telematics which enables predictive maintenance and refuelling operations. Since petrol is taken care of by the company, it means that users do not have to pay for petrol and waste time refuelling vehicles for every single trip.

It is also worthy to note that the car-sharing service operates on an A-to-A return trip car-sharing model, which allows users to collect and return the vehicle at the same point. The developer reasoned that “an A-to-B service is not financially viable” without significant operational scale and user adoption. The company also adopts a “pay-as-you-go pricing model”, which means that users are charged after each trip for the duration and mileage charges incurred.

When it comes to encouraging responsible usage, the company penalises users who cause inconvenience to other users. They may be fined, or in more severe cases, get banned from using the service.

As reported by OpenGov Asia, as part of the initiative to move on from the negative effects brought upon by the pandemic, the government further encouraged the early adoption of shifting from traditional petrol-fuelled vehicles to electric vehicles or EVs. The Government will allocate S$30 million for projects and initiatives supporting the shift.

They will also introduce more incentives to narrow the “cost differential” between electric cars and internal combustion engine cars, announced Finance Minister Heng Swee Keat in his Budget speech. Accordingly, the new car-sharing service provider’s current fleet already has a significant number of hybrid vehicles, but they have plans to progressively “electrify” it. As such, the company is looking at working with more fleet partners, including potential strategic partners, that are keen to provide electric vehicles.

In the long run, the company said that they also aim to reduce the demand for vehicle ownership by 100,000. By taking vehicles off the roads, they intend to help the country free up its economic resources for more productive pursuits and protect the environment, in line with the government’s car-lite masterplan.

The country has made a good start in planning for a “car-lite” city. Since their first Concept Plan in 1971, planners have consciously applied a transit-oriented urban planning approach to ensure that all new towns and commercial centres are well connected by a comprehensive bus rail public transport system. Since then, the government introduced measures such as the Certificate of Entitlement (COE) and the Electronic Road Pricing (ERP) to control the ownership and usage of private vehicles.

Moreover, the company’s service and platform has been designed and built to tackle specific pain points for existing car-sharing users and to remove any barriers for potential new adopters. They believe that a simple, flexible, and accessible car-sharing service, operated at a significant scale, will be a legitimate and serious alternative to car ownership.

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