With EVs accounting for over 40% of new car sales in early 2025 and massive government rebates still on offer, many Singapore drivers are wondering: should you buy a petrol car now — or wait for EVs to become more affordable and accessible? At Royal Motor Grandeur, we help you understand the trade-offs so you can make the smartest decision.
EV Adoption Is Accelerating in Singapore
Electric vehicle (EV) adoption in Singapore is growing rapidly. In Q1 2025, EVs accounted for 40.2% of all new car registrations, up from 33.6% in 2024 and 18% in 2023. With BYD leading in sales and rising consumer demand — especially for Category A COE EVs — adoption is expected to exceed 50% soon. By 2040, an estimated 80% of Singapore’s passenger vehicles will be fully electric.
Government Incentives Favor EVs (Until End‑2025)
Singapore offers up to $40,000 in combined EV rebates:
- EV Early Adoption Incentive (EEAI): 45% off ARF, capped at S$15,000
- VES Band A1 rebate: Up to S$25,000 for zero-emission vehicles
Meanwhile, hybrid car rebate drops to S$2,500 in 2025 from $5,000 previously. These financial incentives strongly favour EV adoption — but they expire after December 2025, meaning delays could cost you rebates.
Government Incentives Favor EVs (Until End‑2025)
| Cost Item | Petrol Car (e.g. Toyota Altis) | EV (e.g. BYD Dolphin) |
|---|---|---|
| Purchase + COE | ~$172,888 | ~$158,888 (with rebates) |
| Fuel / Electricity | ~$14,000 | ~$6,000 |
| Maintenance | ~$6,500 | ~$3,000 |
| Road Tax | ~$3,000 | ~$2,000 |
| Estimated 5-year total | ~$191,500 | ~$170,000 |
Even after rebates, EVs can save you over S$20,000 in total ownership cost
Pros & Cons Summary
- Upfront Cost: EVs are still more expensive before rebates
- Running Cost: EVs cost less in fuel, tax, and maintenance
- Infrastructure: By 2025, nearly all HDB towns will have charging points — rapidly reducing “range anxiety”
- Resale Value: EV depreciation is still uncertain; hybrids may hold better value initially
When Should You Wait & When To Buy Petrol?
✅ Consider EV if:
- You qualify for EV rebates before end‑2025
- You drive frequently and want lower running costs
- You have charging access (home/office) or live in a carpark-rich HDB town
- You’re future-oriented, aiming for cleaner driving and long-term savings
✅ Consider petrol if:
- You need a COE package within the next few months
- Hybrid or EV rebates are ending soon
- You lack reliable EV charging access (especially apartment living)
- You prioritize resale certainty
EV adoption in Singapore is real — and growing fast. With a high percentage of new car sales being EVs and attractive rebates still available, 2025 may be the last “sweet spot” to get the best value out of the switch.
That said, petrol remains a viable choice — especially if you’re looking for stability, lower upfront cost, or immediate availability.
At Royal Motor Grandeur, we provide clear guidance, tailored COE packages (both petrol and EV), and honest advice — so you can choose the right car with confidence.
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