21 December 2021

Singapore has again postponed the deployment of its next-generation Global Navigation Satellite System (GNSS)enterprise resource planning (ERP) systems due to a global chip shortage.

It was initially scheduled to be implemented from last year, but completion is now set for mid-2023. The government then pointed out the impact of Covid-19 on the global supply chain as the reason for the revised timeline.

The new date means there will be a delay of about two years before the 18-month implementation work is completed. This includes the installation of new in-vehicle units to replace the current in-vehicle units required for all vehicles registered in Singapore. The exceptions are vehicles that do not use or are covered by public roads on the mainland.

The in-vehicle unit, called the “centre” of the new ERP system, provides drivers with a variety of services, including charging location alerts and real-time traffic data.

However, the supply of critical microchips needed for these units was affected by the “deterioration.” The Land Transport Authority (LTA) said in a statement that it had affected other industries as well.

Industry regulators pointed out that the shutdown of major semiconductor foundries across multiple countries affected production as global demand accelerated during the pandemic.