As Demand For Petrol Declines, Singapore Petrol Stations Evolve To Offer Variety of Retail Options

Photo: ST According to CNA, Singapore has seen a decline in the number of gas stations over the previous 20 years, which is consistent with a global trend as demand for petrol declines and the use of electric vehicles (EVs) increases.
Singapore has approximately 184 gas stations as of right now, based on estimates from the Urban Redevelopment Authority (URA). These are mostly run by SPC, Shell, Exxonmobil, and Chevron.
However, the days of a gas station serving only as an easy place to stop for fuel seem to be coming to an end as the oil and gas sector comes under increasing pressure due to growing concerns about sustainability.

In order to attract customers, gas stations in Singapore are known for their evolving retail offerings, which now include sushi, bubble tea, fast food, and even kaya toast.

That said, there are indications that the market for petrol is declining, which analysts credit to the adoption of electric vehicles and advances in fuel-efficient car technology.
According to The Business Times, electric vehicle (EV) registrations in Singapore more than tripled in the first six months of 2024 when compared to the previous corresponding period.

From January to June this year, 6,019 electric vehicles were registered, accounting for 32.4% of total registrations, up from 1,892 in H1 2023.

According to data from the Land Transport Authority (LTA), the average annual mileage of a car in 2023 was 16,300km, down 19.3% from 20,200km in 2003. Shorter distances travelled would require less fuel in most cars.

Newer vehicles are also more fuel-efficient. For example, the latest Toyota Camry, a large sedan with a 2.5-litre hybrid engine, consumes 28.1% less fuel than the version from two generations ago, which had a 2-litre engine and no hybrid assistance.
Petrol stations, which have historically concentrated on the retail sale of fuel, may become less necessary as the world moves away from fossil fuels.
Although some have installed EV charging stations, drivers will soon be able to charge their cars anywhere rather than just at gas stations thanks to Singapore's plans to build an islandwide network of EV chargers, including in residential estates.
Market forces, according to transport economist Associate Professor Walter Edgar Theseira of the Singapore University of Social Sciences, will ultimately determine how gas stations develop in Singapore.
“If the market has excess capacity, this will show up in lack of interest to bid for leases (to operate petrol stations),” he said.