Foreign vehicles from Singapore are required to use RFID vehicle entry permit (VEP) tags to enter Malaysia starting October 1. Through this RFID tag, Malaysia wants to make the entry and exit of vehicles from Singapore smoother, and at the same time reduce the congestion at the country's entrance that has been going on for decades.
Singaporean vehicle owners will be charged a fee of RM10 (~SGD 2.90) to install this tag. Installation can be done in Malaysia or installed by yourself at home with it being posted after the application is made. The VEP RFID system was introduced in 2019 but was not mandatory until a temporary suspension was announced in 2020. Failure to install a VEP RFID tag can result in a fine of up to RM2000 (~SGD 574) or imprisonment of up to six months.
A total of 200,000 vehicles have applied to use this VEP RFID tag but so far only 70,000 have installed it. Each tag is valid for five years and cannot be transferred between vehicles. In addition to launching traffic, this tag will store information such as traffic violations.
The implementation of the first phase of VEP RFID will only involve vehicles from Singapore. In the second phase, vehicles from Thailand also need to use the same system, however the date when it will be enforced has not been shared by the Ministry of Transport. What was announced was the cost of installing the VEP RFID tracking system at the entrance of land vehicles in Johor will cost RM150 million according to the FMT report.
With this, vehicles that do not pay the road fine can be prevented from entering the country or returning to Singapore or Thailand before it is paid by the owner. The government gave a period until October 1 to give enough time for new registrations and the installation of RFID tags.