Malaysia to conduct study on possible raise of VEP to amount charged by Singapore

Transport Minister Datuk Seri Liow Tiong Lai told reporters on Wednesday (18 January) that the Malaysian government will conduct a study first whether to raise the Vehicle Entry Permit fee to be equivalent to the amount charged by Singapore.
According to Bernama, Mr Liow said that the matter would have to be discussed with various parties, saying, “We will study from time to time if there is a need to increase the amount of the VEP charge.
Singapore has announced that all foreign-registered cars will have to pay a Reciprocal Road Charge (RRC) of S$6.40 per-entry when they enter Singapore via the Tuas or Woodlands Checkpoint starting from 15 February 2017, noting that the RRC mirrors Malaysia’s Road Charge of RM20 per entry for non-Malaysia registered cars entering Johor, which was implemented on 1 November 2016.
Therefore, Malaysian-registered vehicles will have to pay for the RRC and VEP at S$35.
“Singapore has been charging RC on us for decades. We are only about to start now. There is no discrimination. We will impose the road charge not only at our border with Singapore, but also our borders with Thailand, Brunei and Indonesia with a similar charge of RM20 per car,” Mr Liow earlier told reporters in Segamat on 29 October.
According to Mr Liow, the state government would receive 25 percent or RM5 from the RM20 charge imposed on foreign-registered vehicles from Singapore, in contrast to the oppositions’ claim that the state government would incur a loss with the implementation.
An average of 20,000 Singapore-registered vehicles entered Malaysia daily via the Causeway and the Second Link.
Mr Liow, however, said that the VEP introduced by Malaysia only requires foreign vehicle owners to pay a registration fee of RM10 which can be renewed after five years.