Opening Speech by Minister of State for Transport and for Culture, Community and Youth, Mr Baey Yam Keng, at the Land Transport and Related Matters (No. 2) Bill Second Reading

1.             Mr Speaker, I beg to move, "That the Bill be now read a second time."

2.            The proposed amendments aim to keep our land transport regulations relevant and effective. The Bill cuts across multiple land transport areas, and reflects two complementary principles that have consistently guided our approach:

a.             One, strengthening public safety where risks have grown or evolved, and

b.             Two, streamlining rules where we can responsibly reduce regulatory burden on individuals and businesses.

3.             I will now go through the five key areas of amendments.

Enforcing Against Deregistered Vehicles

4.             First, we will strengthen our efforts to stem unlawful use of deregistered vehicles.

5.             Deregistered vehicles pose a risk to road safety as they are no longer covered by insurance, or subject to LTA’s periodic inspections. It is thus illegal to keep or use deregistered vehicles on our roads.

6.             More than 99% of deregistered vehicles are properly disposed of. However, a small number of vehicles, about 1,900 over the past five years, have not been properly disposed of and may still be in circulation.

7.             A small number of these vehicles have been used for serious crimes, such as drug trafficking, with 245 detected in 2025.

8.             To address this problem, earlier this year, we stiffened penalties for keeping or using deregistered vehicles. First-time offenders now face fines of up to $20,000, imprisonment of up to two years, or both.

9.             The LTA and the Traffic Police have been working closely together to conduct joint enforcement operations.

10.          The current Bill will amend the Road Traffic Act to strengthen LTA’s enforcement powers.

a.             First, to ensure timely and proper disposal of deregistered vehicles to reduce the flow of new deregistered vehicles on our roads; and

b.             Second, to remove the remaining pool of undisposed deregistered vehicles and prevent their circulation.

11.            Allow me to elaborate:

a.             First, we will introduce the new Authorised Exporter Scheme.

 i.             Today, the export process involves multiple intermediaries. This makes it more difficult to hold anyone accountable when something goes wrong.

ii.             The new scheme will require deregistered vehicles intended for export to be disposed of only through LTA-Authorised Exporters, who will be subject to compliance requirements.

iii.            This reduces the risk of deregistered vehicles remaining in Singapore despite being declared as exported.

iv.            LTA aims to implement this scheme in the fourth quarter of 2027, after consulting the industry.

v.             For avoidance of doubt, vehicles owners who are not intending to immediately export their deregistered vehicles may also hand them over to LTA-Authorised Scrapyards or Export Processing Zone Operators.

b.             Second, we will shorten the grace period for owners of deregistered vehicles to fulfil the disposal requirements from the current 1 month to 14 days.

 i.             With the new Authorised Exporter Scheme, the disposal process for vehicle owners will be simplified.

ii.             Vehicle owners no longer have to submit disposal documents to LTA themselves.

iii.            Instead, they have 14 days to hand over their deregistered vehicles to an LTA-Authorised Exporter, Scrapyard or Export Processing Zone Operator, who will then be responsible for document submission.

iv.            This shortened grace period also lowers the risk of deregistered vehicles being misused before they are properly disposed of.

c.             Third, the amendments ensure offenders remain liable for prosecution for as long as they fail to fulfil the disposal requirements after conviction.

 i.             They will face a daily fine of up to $500 until the vehicle is properly disposed of.

d.             Fourth, we will have the powers to prevent new or used vehicles from being registered by or transferred to individuals with precedents, or at high risk of misusing deregistered vehicles.

 i.             This includes those who have previously kept deregistered vehicles, or juveniles under 18 years old, who may be exploited by bad actors.

12.          We also need to deal with the remaining pool of deregistered vehicles already circulating illegally. The amendments allow us to criminalise the sale or supply of deregistered vehicles by persons who are aware that such vehicles will be illegally kept or used on our roads.

a.             This targets supply chain and holds bad actors accountable for circulating deregistered vehicles.

b.             Offenders will face fines of up to $20,000, imprisonment of up to two years, or both; with penalties doubled for repeat offenders.

13.          The Government takes a serious view of the use, keeping, sale or purchase of deregistered vehicles. They put public safety at risk.

14.          Taken together, the tightened laws will help to keep deregistered vehicles off our roads and keep our roads safe.

Enhancing Active Mobility Regulatory Framework

15.          Mr Speaker, the second area of amendments in this Bill is on active mobility.

16.          Earlier this year, this House passed amendments to address misuse of Personal Mobility Aids. As the market evolves, we will update our rules in five ways to keep active mobility devices and our paths safe.

17.          First, we will extend retailer rules in the Active Mobility Act to also cover online sales and advertising.

a.            Our rules today were largely designed for physical retailers. As online sales become common, consumers should likewise have confidence that their online purchases are compliant.

b.             It will be an offence to sell or advertise non-compliant active mobility devices online, and sellers must display warning notices on device listings, informing buyers of device and usage rules.

 i.             The rules will apply to online sale listings and advertisements that one, originate in Singapore, or two, are made by a Singapore-connected person and accessible here.

ii.             The rules will not be able to apply to foreign-based sellers with no Singapore presence, who fall outside our jurisdiction. Import controls will continue to mitigate this risk.

c.             As online content can spread quickly, LTA will be empowered to direct sellers to amend or remove offending online listings or advertisements promoting non-compliant devices.

18.          Second, we will tighten advertising restrictions to protect consumers from unknowingly purchasing non-compliant devices.

a.             It will be an offence to make false or misleading representations of an active mobility device or battery – for example, to misrepresent a non-compliant device as compliant.

b.             We will also prohibit advertisements for illegal modification services.

19.          Third, to reduce the fire risks arising from batteries in active mobility devices, we will introduce new battery safety rules.

a.             Fires caused by active mobility devices can have devastating consequences. There were 55 such fires in 2023, 67 in 2024, and 49 in 2025. One cause is the use of non-compatible batteries, which can compromise safety even when fitted onto compliant Power-Assisted Bicycles (PABs) and motorised Personal Mobility Devices (PMDs).

b.             We will therefore prohibit the fitting and using of non-compatible batteries in PABs, motorised PMDs and mobility vehicles.

c.             To help users identify suitable batteries, sellers must display specification notices on the battery’s compatibility, voltage and capacity.

d.             Sellers are also prohibited from selling a battery knowing that it will be fitted to a non-compatible device, or advertising a battery for use with a non-compatible device.

e.             This approach places responsibilities on both the seller and the user.

20.          We intend to commence the new rules on online sales, advertising and battery safety in the second quarter of 2027, giving affected parties time to prepare.

21.          Fourth, to strengthen deterrence against illegal imports, starting later this year, we will increase the penalties for illegally importing PABs and motorised PMDs.

a.             For individuals, the maximum penalty will be doubled from a fine of $5,000, imprisonment of 6 months, or both, to a fine of $10,000, imprisonment of 12 months, or both.

b.             If the illegal import is made by a corporation or any other type of entity, the maximum fine will increase from $10,000 to $40,000. This aligns with penalties for severe offences involving the sale and illegal modification of non-compliant devices.

22.          Fifth, from 1 January 2028 onwards, we will phase out the remaining Blue Seal PABs, which pre-date our current PAB safety standard.

a.             Blue Seal PABs were approved before the more comprehensive EN15194 safety standard became mandatory in 2016. Existing Blue Seal PABs are now at least 10 years old, and suitable original replacement parts for older models may be harder to obtain.

b.             It is therefore prudent to retire these older generation of PABs, as ageing electrical components may increase fire risk.

c.             As such, existing Blue Seal PABs can no longer be kept or used legally from 1 January 2028. We are giving existing users more than one year to transition to a compliant device, and working with ALBA, the national e-waste recycler, to step up collection drives for safe disposal.

Strengthening Enforcement against Illegal Point-to-Point Transport Services

23.          I will now move on to the third area on illegal point-to-point transport (P2P) services.

24.          Such services pose safety risks to passengers, and undermine the livelihoods of licensed P2P drivers.

25.          Therefore, we will strengthen deterrence and bolster our ability to enforce against such illegal services.

a.             First, we will increase the maximum fine for the use of unlicensed public service vehicles (PSV) to provide P2P services from $3,000 to $10,000.

b.             Second, we will make it an offence to publish advertisements that promote such illegal services, including the forwarding and sharing of such advertisements via online messaging platforms.

c.             Third, LTA will be empowered to direct advertisers to take down such advertisements, and require platforms to provide information on the advertisers. Non-compliance with any LTA direction will be an offence.

26.          Commuters should not engage these services as they often lack valid insurance coverage. We have not introduced specific penalties against commuters for the use of illegal P2P services for now. But we may do so in future.

27.          LTA has stepped up enforcement efforts and impounded around 240 vehicles since July 2025.

a.             Investigations take around three to four months, exceeding the current one-month period before a seized unlicensed PSV must be released in the absence of prosecution.

b.             Therefore, we will lengthen this mandatory release timeline to three months.

c.             This will give LTA sufficient time to investigate and build a complete case.

Facilitating Autonomous Vehicles Deployments through Sandboxes

28.          This Bill is not just about tightening rules. We are also streamlining requirements to reduce regulatory burden and facilitate innovation.

29.          This brings me to the fourth area: autonomous vehicles (AVs). AVs have the potential to enhance our operational efficiency and overcome manpower constraints in the transport sector.

30.          We are deploying AVs in different ways, on roads and public paths.

31.          The existing sandbox under the Road Traffic Act for deploying AVs on roads has worked well, and we will extend it till end-2028.

a.             We are developing a new piece of legislation to govern AVs used on roads more holistically. We target to introduce the AV Act in a year’s time. The sandbox extension will allow ongoing deployments to continue until the new Act is in force.

32.          We are also introducing a new sandbox under the Active Mobility Act to streamline regulatory processes and facilitate the progressive scale-up of autonomous mobile robots deployed on public paths (or AVPP).

a.             Modelled after the existing sandbox, it will commence in early-2027 and is valid for an initial period of 5 years. We may consider extending the new sandbox closer to 2031 if found useful.

b.             The current approach of individual exemption order(s) for each AVPP is onerous, hard to scale, and challenging to enforce safety requirements.

c.              Under the new sandbox, LTA can impose targeted regulatory measures like fines for non-compliance. We will also take a risk-calibrated approach with three pathways.

 i.              First, public authorities can apply to designate areas under their purview as AVPP testbeds, which allows them to nimbly deploy AVs for various demand use cases. An example is the Punggol Digital District testbed that is managed by JTC.

ii.              Second, lower-risk AVPPs within the specified speed, weight and dimension limits will be subject to lighter-touch regulations and can be deployed quickly. An example is the robot by Delta Electronics that delivers groceries and medicine to seniors across three blocks in Bendemeer.

iii.             All other AVPPs, such as larger robosweepers, will go through the standard pathway where LTA would test and authorise them for safe operations.

Streamlining Electric Vehicles Charging Regulations

33.          Lastly, the fifth area of key amendments is on electric vehicle (EV) charging.

34.          Since the Electric Vehicles Charging Act was introduced in 2023, EV adoption and the charging ecosystem have grown significantly. We are updating EV charging regulations to manage compliance burden while ensuring safety.

35.          First, we will remove the mandatory two-yearly inspections for EV chargers installed in landed homes.

a.              These chargers pose lower public safety risks, because they have restricted access, and tend to have a lower utilisation rate, as they serve a single household.

b.              With this change, we can reduce recurring compliance costs on these EV charger owners.

c.              Owners of chargers will remain responsible for maintenance, and LTA still has the powers to require inspections of the charger where specific safety concerns arise.

36.          Second, we will make it easier to enforce against illegal charging of an EV, such as using an unregistered charger, using chargers at banned locations or in non-permissible ways.

a.             Illegal charging of an EV poses safety risks. For example, even where a charger is type-approved, there are safety risks if it is unregistered, as LTA will not have the sight of unregistered chargers if it needs to be recalled due to safety concerns.

b.             Moving forward, if proven that a person connected a charger, it will be presumed that the person has charged the EV using the charger, unless proven otherwise.

c.              This presumption is necessary as it is often difficult to ascertain that electricity was actually transferred from a charger to a vehicle, especially for chargers located within private premises.

37.          Mr Speaker, I will now say a few words in Mandarin.

38.          为了提高公路安全，政府将进一步加强执法力度，防止已经注销的车辆在公路上行驶。

39.          第一，我们将推行“授权出口商计划”，确保已注销车辆得到及时和妥善的处理。

40.          第二，车主处理已注销车辆的宽限期， 将从目前的1个月缩短至14天。

41.          第三，如果车主被定罪后，未能完成相关的处置要求，拖延的每一天都会面对额外的罚款，直到他提交有效的处置证明。

42.          第四，我们将防止高风险人士注册新车或接手二手车，以防他们盗用已注销车辆。

43.          第五，任何人如果明知已注销车辆会被非法持有或开上马路，却仍然售卖或供应这些车辆，这将构成刑事罪行。

44.          政府对使用、持有及买卖已注销车辆的行为绝不姑息。

45.          对于任何知法犯法者，我们一定会依法严惩。

46.          现在，让我谈谈活跃通勤工具的安全问题。

47.          目前，有越来越多消费者上网购买活跃通勤工具和电池。无论是在实体店还是在网络平台上购买，他们的消费权益都应该得到同等的保障。因此，我们将扩大现有监管范围，让线上卖家和实体零售业者一样受到管制。他们不得在网上推销或售卖不符合规定的活跃通勤工具，也不得提供虚假或误导性的信息。

48.          同时，我们会加强电池安全的条例。近年来，每年都有数十起涉及活跃通勤工具的火患。禁止使用不兼容的电池将可降低风险。

49.          我们将要求商家注明电池适用的设备型号、电压和容量等关键的信息。销售商不能够浑水摸鱼，把不兼容的电池，作为可供有关工具使用的电池出售。使用者也不能安装或使用与工具不兼容的电池。

50.          陆交局也将加强公众教育，协助使用者了解电池安全，并教导他们如何选择兼容电池。

51.          陆交局预计将从明年第二季度起实施这些新规定。我们会给商家和使用者充足的时间做好准备，以符合这些新的条例。我们希望这些措施能让消费者在网购或更换电池时，掌握更清楚和准确的信息，买得安心、用得更安心。

52.          此外，政府将继续严厉打击非法点对点载客服务，保障乘客安全以及持牌司机的生计。

53.          这些非法业者和司机往往缺乏有效的保险保障，一旦发生意外，后果可能不堪设想。因此，我们呼吁公众，为了自身安全，不要使用这些非法的服务。

54.          政府已经加大日常执法力度，而这项法案将进一步加强我们的执法权力，遏制这类非法服务。这包括增强对无牌载客行为的最高罚款额。

55.          此外，发布、转发或分享这类非法服务的广告，也属于违法行为。这包括通过个人账号在网络通讯平台上转发或分享这些广告。这些行为会助长非法点对点载客服务，让更多消费者更容易接触并误用这类服务。

Conclusion

56.          Sir, finally, I would like to highlight that MOT will be moving a Notice of Amendments during the Committee stage to address clerical errors in clauses 51, 74 and 80 of the Bill.

a.             The amendment to clause 51 corrects a cross-reference error, the amendment to clause 74 corrects a formatting error, and the amendment to clause 80 reinstates a cross-reference that was accidentally deleted.

57.          Mr Speaker, the amendments in this Bill reflect a regulatory approach that is responsive, calibrated, and forward-looking.

58.           This Bill gives us stronger tools to act against deregistered vehicles, unsafe active mobility devices and batteries, and illegal point-to-point services.

59.          At the same time, where possible, we streamline rules and foster innovation, as we have done for AV deployments and EV charging.

60.          Ultimately, the Government cannot do this alone. Individuals should make responsible choices, and businesses must uphold their obligations. We need to work together to make the difference.

61.           Sir, I beg to move.