The motor industry has made an appeal to the Government to even out fluctuations in the supply of Certificate of Entitlement (COE).

Representing 31 authorised car dealerships in Singapore, the Motor Traders Association (MTA) is also requesting for a more transparent system that requires new cars to be tested for power output before they can be sold.

The Straits Times reported that the association wrote to Transport Minister Lui Tuck Yew last month, and Mr. Lui replied with the suggestion that the association could raise the issues at its next regular meeting with the LTA.

MTA President Glenn Tan commented, "The LTA needs to be more engaging and clearer. The new approval process is costing everyone a lot of money."

The new regulation, which requires Category A cars (those with engines up to 1,600cc and 130bhp) to be physically tested for their power outputs to be verified. This has lengthened the time needed to approve new cars for sale, which is up from two to four weeks previously to up to four months now.

Other concerns about the new measure include the risk of damage as cars need to be revved to their limits during the dynamometer test. 

Another topic that was brought up is the fluctuating pattern of COE supply.

Speaking to the local papers, Mr. Tan said, "The whole point is to avoid the disruptive peak- and-trough pattern. But nothing has been done yet to address this so far, and we're very worried."

The Transport Minister said three years ago that he would like to 'save' some COEs in the coming bumper years for the next dry spell to avoid wild fluctuations in supply. However, Economist Chu Singfat from the National University of Singapore thinks that the suggestion will be hard to implement.