Chee Hong Tat
Singapore
“The National Parks Board (NParks) resumed crow shooting operations in March 2026 across nine districts, including Yishun. These sites were prioritised based on several factors, including the volume and severity of public feedback on crow-related issues, as well as the technical feasibility of conducting shooting operations safely at each…”
“To drive sustainable construction and reduce reliance on conventional diesel generators, the Housing and Development Board (HDB) has required the use of battery energy storage systems (BESS) or synchronised generator set systems at Build-to-Order construction worksites for all building tenders called since February 2025.”
“The Housing and Development Board (HDB) tracks resident feedback on maintenance-related issues, including spalling concrete and structural cracks within HDB flats. Such issues are much less common in younger flats, compared to older flats above 30 years old.”
“The Building and Construction Authority (BCA) provides resources on its website to guide building owners and Management Corporations Strata Title (MCSTs) on lift modernisation.”
“Private retail developments sold through the Government Land Sales Programme are intended to complement the commercial offerings in public developments undertaken by agencies, such as the Housing and Development Board.”
“The National Parks Board (NParks) is reviewing both the Animals and Birds Act and the Code of Animal Welfare (COAW). The former will include pet sector businesses and the latter will include and start with pet groomers.”
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“This includes initiatives to expand job opportunities in both the public and private sectors, provide a range of traineeships for jobseekers to gain industry-relevant experience and build professional networks, as well as increase training capacity to enable jobseekers to upgrade their skills. This is a very challenging task. There is no certainty that we will succeed in creating all the jobs and opportunities in adifficult economic environment. But we will do our best. We will rally together. We will bring on board all tripartite partners. We will support one another and spare no effort to achieve our goals. And we will overcome this crisis as one united Team Singapore.”
“Mr Deputy Speaker, Sir, in April 2020, around 3,800 business entities were formed. Due to the COVID-19 pandemic, this was almost a third lower than the average of 5,500 recorded over the same period between 2015 and 2019. Most sectors saw a fall in the formation of new business entities during this period. The cessation of business entities numbered around 3,800 in April, which was comparable to the average of 3,700 recorded over the same month in the past five years. For the rest of 2020, the COVID-19 pandemic is expected to have a severe impact on many sectors of our economy. Outward-oriented sectors such as wholesale trade will be adversely affected by the global economic slowdown, while the air transport and tourism sectors will continue to be badly affected by travel restrictions. Sectors such as retail and food services will also be adversely impacted by reduced demand from tourists and local consumers. On the other hand, there are sectors which continue to grow, such as biomedical manufacturing and the information and communications sector. Against this backdrop, MTI expects the formation of new business entities to remain subdued, while cessation numbers could see an uptick in the coming months. Sir, it is not possible to avoid firm closure and retrenchments. These happened even before COVID-19, but with COVID-19, we must expect the situation to worsen and these numbers to go up. We will help every worker. Senior Minister Tharman Shanmugaratnam is chairing the National Jobs Council. The council aims to support close to 100,000 jobseekers through the SGUnited Jobs and Skills Package.”
“So, there are additional safeguards on top of a PCR test – multiple layers of checks. The important prerequisite for green lane to be established is that the community cases in both countries must be kept low and under control. 1.30 pm”
“Mr Speaker, I thank Mr Lim Biow Chuan for his questions. We do not just look at one number to decide which countries are safe for us to establish green lane arrangements. It is a holistic assessment of the situation in that country. Various factors have to be taken into account including their testing capacity and how well they have kept infections within the community in that country under control. So, it is a holistic assessment before we decide which are the countries that are safe enough for us to have these green lane arrangements. The other countries are making the same assessment about us. So, it has to be a bilateral, mutual agreement before we can establish such channels. On Mr Lim's second question, this is why we have more than just one test. For the individual, based on the current arrangements with China, before you travel to China, you would have to take a PCR test within 48 hours of departure. And you must be tested negative to have a SafeTravel pass, which you must show before you are allowed to board the plane. Next, when you arrive in China, there will also be another test done, and pending the results of the test, the individual would have to stay in a pre-identified location. Only when the test is negative, then that person is allowed to resume business activities. The same is true for travellers coming from China into Singapore. There will also be two tests: one test before departure and another test upon arrival. Other safeguards include not being allowed to roam around on their own, not allowed to take public transport as there would have to be arrangements made by the sponsoring organisation or company. The itinerary of the business traveller would be something that has to be controlled as well.”
“Mr Speaker, Sir, restrictions on short-term travel into Singapore have been in place since 22 March this year to prevent the import of COVID-19 cases from abroad. In line with our phased resumption of activities safely from 2 June after circuit breaker, we will also gradually reopen our borders to safe international travel. This will initially comprise green lane arrangements with countries that have low numbers of cases and rates of transmission. These countries should have in place effective systems to test and isolate cases, as well as detect and stop any transmission chains. We will start on a limited scale, focusing on essential travel for businesses to function and for purposes such as maintaining critical infrastructure and providing needed services. As global conditions improve, we will gradually expand such arrangements to include more groups of travellers. Besides pre-departure checks, incoming international travellers will have to comply with safety protocols on arrival. These include testing and the use of devices for contact tracing. As announced on 3 June, the first green lane arrangement will be launched on 8 June between Singapore and six Chinese provinces or municipalities, namely Chongqing, Guangdong, Jiangsu, Shanghai, Tianjin and Zhejiang. We intend to progressively expand this list to include other Chinese provinces as well as other countries, taking into account public health and safety considerations. As a key transport and business hub, it is critical for Singapore to re-establish and strengthen our connectivity with the world. We will do so in a safe and calibrated manner, so that we can continue to protect lives and livelihoods.”
“So, yes, I think we do need to keep an eye on making sure that the system is fair, making sure that there are sufficient alternative options. But in the end, I think we should place our focus on what is the outcome that we can achieve.”
“Speaker, Sir, when we assess the policy options, I think it is important that we look at the incentives that these policies will create and the outcomes that they are likely to produce and not only on the intent of the proposal. So, we may have good intent when we suggest certain policy changes using legislation, but it does not mean that good intent alone will produce positive outcomes. I think that is something which we have to be quite careful in deciding what option we want to take to tackle the problem. In my main reply, Sir, I mentioned that an effective way of dealing with this issue is to create alternative options so that you give businesses and consumers choice. And that is a check against anyone – whether it is GrabFood, foodpanda, Deliveroo or any other company – being able to charge excessive commission rates. So, this is what we have been trying to do. To reduce the entry barrier to help companies that want to seek out alternative options. These options can include having customers pick up their own food. It can include the food services companies working with a third party provider to deliver the food on their behalf. It can also include them doing the delivery to customers on their own. I think this is the approach that will produce a better outcome compared to using legislation, which is a rather blunt instrument. And what rate do you want to set? If you set it too low, one of the consequences would be that the food delivery companies would then not be able to provide some of these services because they have their costs to cover as well. And they have explained what cost component goes to who – how much of it goes to the riders, how much of it for insurance, supporting the IT systems and maintaining the customer databases.”
“Our businesses who need assistance can approach Enterprise Singapore and the Trade Associations and Chambers and we will do our best to help them. One example is the Food Delivery Booster Package by ESG to fund five percentage points of the commission charged by Deliveroo, foodpanda and GrabFood. The objective is to reduce the costs for food services businesses which are using these online platforms. For food services businesses that choose to go through approved third party logistics partners to deliver meals to their customers, ESG will assist them by co-funding 20% of the delivery cost that they are paying to these third party logistics providers. The Booster Package has benefited more than 9,000 food services businesses so far. It was originally scheduled to end on 4 May. In view of the extended Circuit Breaker period, ESG will continue to provide this Package till 1 June 2020.”
“One example is the "Hawkers United – Dabao 2020". This is a group that was formed on social media to help hawkers. In addition, food services businesses can choose how the food reaches consumers. This includes self-collection by consumers, delivery by the food services businesses themselves, and using the services of third party logistics providers. Some food outlets offer a combination of these options. There are trade-offs among the different options, and market conditions will also evolve in tandem with changes in supply and demand. Third party food delivery companies may charge higher commission rates, but they can offer end-to-end services and access to a larger consumer base. So, there are trade-offs. Hence, food services businesses should weigh the pros and cons of the different options before making a commercial decision on which one they want to choose. This approach will produce a better outcome for all stakeholders compared to capping commission rates through legislation. The availability of alternative options, including the possibility of new competitors entering the market, will serve as a check against excessive commission rates and continue to incentivise delivery companies to provide value to businesses who are using their platforms and services. Mr Speaker, Sir, these are difficult times for our businesses. The Government will continue to support our companies and our workers. Our objective is to help viable businesses to survive this crisis and to prepare for the recovery, when we are able to gradually ease the restrictions and allow more economic activities to resume. We have various schemes in place to help our companies and workers, covering different areas such as workforce training, productivity improvement and adoption of digital solutions.”
“Mr Speaker, Sir, I understand the concerns of food services businesses, as the commissions they pay to food delivery companies will reduce their earnings. However, we need to carefully consider whether legislation is the appropriate solution in this situation. The Competition and Consumer Commission of Singapore (CCCS) has been monitoring the developments in different sectors of our economy, to guard against anti-competitive behaviour. In the case of third party food delivery companies, they have explained publicly that their commission rates are in line with those charged before the start of the COVID-19 pandemic. During the Circuit Breaker period, some of these companies have offered assistance to restaurants and hawker stalls, such as removing on-boarding fees, waiving commission for self-collection orders and charging zero commission in the first month for businesses that are new to the platform. Third party food delivery companies offer food ordering, delivery and payment services. They are also aggregators that offer food services businesses access to their customer networks. The food delivery companies have explained that their commission rates are required to cover their business costs. These include insurance and payment to their riders, as well as costs to develop and maintain the IT systems and databases. Sir, one important factor is that there are alternative options available to food services businesses and consumers, if they do not wish to go through the food delivery companies. There are vendors who can help food services businesses to set up their own online storefront, with co-funding support from Enterprise Singapore (ESG). There are also ground-up initiatives to help food establishments publicise their products and reach out to consumers directly.”
“The new COVID-19 (Temporary Measures) Bill being tabled will also provide much needed relief for SMEs which have been impacted by the crisis.”
“Mr Speaker, Sir, the enhanced Enterprise Financing Scheme – SME Working Capital Loan (WCL) Programme was announced at Budget 2020 and commenced on 2 March 2020. As at 31 March, 662 enterprises have taken up loans with Participating Financial Institutions (PFIs). Of these, 575 enterprises, or almost 90% are micro and small enterprises. As part of the $48 billion Resilience Budget announced by the Deputy Prime Minister, we will provide further support for enterprises to meet their working capital needs. Enterprises from all sectors are now eligible for the Temporary Bridging Loan or TBL where PFIs' lending rates are capped at 5% per annum. The maximum loan quantum supported under the TBL and the enhanced WCL has also been raised to $5 million and $1 million respectively. Borrowers under the TBL and the enhanced WCL can also request to pay only interest on their loans for the first year. Approval will be subject to PFIs' assessment and the purpose is to help enterprises to reduce their monthly cash outflow. Sir, there are other measures in the Unity Budget and Resilience Budget, and also what the Deputy Prime Minister is going to talk about later today, to help enterprises manage their cash flow. These include corporate income tax rebate and payment deferment; rental waiver for Government properties, which will benefit micro and small enterprises such as hawker stalls and HDB heartland shops, and the enhanced Jobs Support Scheme where the Government will pay part of the salaries for local employees to help enterprises with their cash flow and to save jobs. The Government has also introduced additional measures to help our businesses. MAS, together with banks, finance companies and insurers announced a package of measures last week to help enterprises with their cash flow.”
“Singapore take our climate change commitments seriously because we know we need to do our part. We want to be a responsible stakeholder. And hopefully this will also set a good example for other countries to do likewise. I say this because climate change requires global action. Singapore's actions alone will not be adequate. If the other countries do not follow suit, we will not be able to tackle this global challenge together. So, when we invest in protecting our shorelines, this is something that we are investing to protect both the current and future generations of Singaporeans. But in order for sea levels not to rise significantly, it is going to go beyond what Singapore can do alone. And this is why we hope that the world can work together, to be able to find solutions and tackle climate change together. [(proc text) Question put, and agreed to. (proc text)] [(proc text) Bill accordingly read a Second time and committed to a Committee of the whole House. (proc text)] [(proc text) The House immediately resolved itself into a Committee on the Bill. – [Mr Chee Hong Tat]. (proc text)] [(proc text) Bill considered in Committee; reported without amendment; read a Third time and passed. (proc text)]”
“Mr Speaker, I would like to thank Ms Anthea Ong for her support for the Bill. Sir, Ms Anthea Ong asked whether the Government takes into account the carbon emissions of economic activities that we incentivise and whether the EEIA could incentivise activities that reduce Singapore's greenhouse gas emissions. The short answer to both questions is yes. Singapore's strategies to reduce carbon emissions are formulated at the national level through the inter-Ministerial committee on climate change, which has been formed since 2007. And these in turn shape how we work with our companies and industries, both existing and new, to make the necessary adjustments to prepare for a carbon-constrained future. When assessing applications for incentives, including those under the EEIA, we will give priority to investments that are aligned to our national objectives. Carbon emissions is an important consideration, but it is not the only criterion. We will also evaluate if the investment contributes to Singapore's economy, advances our capabilities, and creates good jobs for Singaporeans. In the area of the petrochemical industry, for example, this is an important sector for Singapore, in terms of both direct and indirect contributions to the economy, to jobs and to livelihoods. But what we will do is we will work with the industry players to make sure that what we have in Singapore are best-in-class, because we do not just produce to meet Singapore's domestic needs. Our petrochemical industry actually serves the whole world, consumers in different parts of the world. So, we will work with them and implement measures that will meet best-in-class standards for this industry. Sir, Ms Anthea Ong also spoke about coastal protection, and indeed, this is something that we take very seriously.”
“However, the IA currently can only be awarded to a company, but not a corporate partnership. We know that companies increasingly co-own assets with other companies, including through corporate partnerships. There are sound business reasons for having these partnership arrangements, such as co-sharing of equipment to reduce expenses and to optimise usage. To better cater to the evolving business environment, clauses 6 and 7 of the Bill amend section 66 and introduce a new section 66A of the Act, respectively. This is to extend the IA scheme to include corporate partnerships. Details to enable implementation will be prescribed in subsidiary legislation. Lastly, to encourage companies to invest in submarine cable systems landing in Singapore, the Minister for Finance announced in Budget 2018 that the IA for productive equipment would be extended to include capital expenditure incurred on newly-constructed submarine cable systems landing in Singapore approved by the Minister. This will help strengthen Singapore’s position as a leading digital connectivity node. Clauses 6 and 8 of the Bill amend sections 66 and 67 of the Act, respectively, to give legislative effect to this inclusion. Mr Speaker, I beg to move. [(proc text) Question proposed. (proc text)] 2.00 pm”
“Mr Speaker, on behalf of the Minister for Trade and Industry, I beg to move, "That the Bill be now read a Second time." Sir, the Economic Expansion Incentives (Relief from Income Tax) (Amendment) Bill 2020 puts into legal effect amendments arising from the regular review of our tax incentives, as well as a change introduced in Budget 2018. Let me elaborate on the three key legislative changes contained in the Bill. The first change relates to the transfer of awards between companies. The Pioneer Industry award and Pioneer Service award are granted to companies to encourage them to locate “pioneering” products or activities that introduce advanced technology, skills or know-how to Singapore. Meanwhile, the Development and Expansion award encourages companies to grow capabilities and conduct new or expanded activities in Singapore. As companies amalgamate, merge or undergo corporate restructuring, there may be a need to transfer their existing awards to the new entity. Clause 4 of this Bill introduces a new Part IV to the Act for the transfer of the Pioneer Industry award, Pioneer Service award and Development and Expansion award between companies. Under this framework, such award granted to the transferee will be treated as a continuation of the award granted to the transferor. The second change extends the Investment Allowance scheme, or IA for short, to corporate partnerships. A corporate partnership refers to a partnership, limited liability partnership or limited partnership comprising solely of partners that are companies. The IA scheme encourages companies to carry out projects with economic, technical or other merits, by providing an allowance granted at a specified percentage of qualifying fixed capital expenditure incurred on an approved project.”
“Sir, I thank Mr Saktiandi for his supplementary question. He touched on a very important point. Indeed, I think even before the COVID-19 pandemic, companies were already asking themselves how they can strengthen the resilience of their supply chains. And partly arising from the Trade War, people are starting to rethink how they want to structure their supply chains, where they want to focus different parts of the production cycle. With COVID-19, I think many businesses are now going to face even greater impetus to re-look closely at their supply chain management to strengthen the resilience of their supply chains and not have over concentration in one or two areas, in one or two markets. This is something that I am confident businesses will seriously look at and not just in manufacturing, but I think, across different industries. On the part of Singapore, we have started these conversations with our businesses and this is part of the process of helping them to transform their operations, helping them to emerge stronger after the crisis is over. We need to start doing some of these preparations now. While we tackle the short-term pain and challenges of the crisis, we also want to look at how we can help our companies to emerge stronger when this crisis is over. So, this includes raising productivity, this includes training their workers, how to adopt technology, but it also includes a careful and thorough review of supply chains and markets.”
“SMEs that seek to relocate operations may tap on the Enterprise Financing Scheme (EFS) to purchase equipment, machines and business premises. SMEs looking to explore new markets may also benefit from Enterprise Singapore's network of Overseas Centres, the enhanced Market Readiness Assistance (MRA) grant as well as the Singapore Business Federation's advisory services on internationalisation.”
“Mr Speaker, Sir, Mr Saktiandi filed this question earlier. The global situation has now changed and the provinces in China mentioned in his question are no longer the places with the highest number of newly infected cases. Nevertheless, the essence of the question is still relevant as the principles and approach that we take can also apply to investments in other countries. Sir, MTI does not have data on the number of factories our SMEs set up overseas. Singapore's Direct Investment Abroad across Hubei, Zhejiang, Henan and Guangdong contributes about 17% of our total Direct Investment Abroad in China. The situation in China is stabilising with a progressive return to normalcy. Across China, many companies have gradually resumed their operations. A survey conducted in late-February by the Singapore Chamber of Commerce and Industry in China (SingCham) showed that around 70% of Singapore companies had started resuming operations. We can expect this figure to rise as the situation in China gradually improves. For example, data from middle of March showed that around 80% of Chinese workers have returned to work from their hometowns. The PRC Ministry of Commerce has also introduced measures to support foreign companies, including expediting licence approvals and resolving labour shortages. Whether Singapore SMEs based in these four Chinese provinces will relocate their factories is a commercial decision that they have to make. Businesses regularly review their markets and supply chains. Given the size and growth potential of China's economy, many businesses are likely to see continued value in keeping some production capabilities close to their final demand markets in China.”
“Ms Foo Mee Har's second question on Queen Bees. This is work in progress. We have lined up some companies but every sector is different. Some Queen Bees, like in the case of SP Group, are there because they have many links with suppliers and contractors in the sector. So, they are able to then influence what these SMEs do. Because these SMEs, many of them are their suppliers, their contractors. But in some cases, it is not quite like that. The people who are participating and the SMEs may not be direct contractors or suppliers, but they are part of the industry. So, the model needs to be customised depending on which Queen Bee company we are working with, which sector we are working on. But I think the fundamental principle remains that what we want is to be able to have these Queen Bee companies to take the lead and work with us as partners, to be able to raise the training opportunities and resources available to other companies and workers within the sector.”
“Mr Chairman, I thank Ms Foo Mee Har for her two supplementary questions. For the first, she is right that because we offer so many different kinds of courses, it is useful for people to get some advisory, some guidance. If I take this course, what are some of the pathways that may be open to me? What are some of the outcomes that I can benefit from? This is going to be done through two channels, mainly. The first one, of course, we are going to do it through the portal. So, the portal will be enhanced to be able to provide some of this information based on the individual's profile, needs, and make some recommendations. But we understand that some Singaporeans will want a more face-to-face interaction, because they are then able to interact with the advisor, they are able to get some guidance to point them in the right direction. So that is why we are going to work through the SkillsFuture Advice. But this time round, we will go beyond the community, which is what we have been doing for the past few years, to work with the career centres. This will be in collaboration with MOM, Workforce Singapore and also with our unions. And as I mentioned earlier, also with private sector entities that can come in and provide some of these advisory services on a commercial basis. Through this process, we hope to be able to supplement the support that we give to individuals and help them to make those decisions. The other point that I will just mention briefly is that part of having a closer linkage between training and employability, where we also have to curate the quality of the training courses. And that is also what we will do in the next bound – to further raise the quality of the training providers. That is going to be one of the key priorities too.”
“Let us work together to build a nation of lifelong learners with a deep passion for new knowledge and skills; to grow a society that values skills mastery and recognises different peaks of excellence; and to nurture a people who are resilient and resourceful, and who are ready to seize the opportunities that come our way. [Applause.]”
“Our IHLs have similarly embraced the spirit of recognising aptitudes, skills and experience over qualifications and translated this philosophy into their admission policies, enhancing porosity across the different pathways. Minister and Second Minister covered the initiatives in schools earlier. Our IHLs have, similarly, embraced the spirit of recognising aptitudes, skills and experience over qualifications, and translated this philosophy into their admissions policies, enhancing porosity across the different pathways. First, for "A" Level students who do not progress to the AUs, we will help them obtain a Polytechnic Diploma within a shorter time. For a third of the Polytechnic diploma courses, they will be able to graduate with a diploma in two years instead of three years. 12.30 pm Second, we will expand aptitude-based admissions at NUS, NTU and SMU. This enables more students to be considered based on non-academic aptitudes and strengths, and broadens holistic recognition of individuals beyond grades. Third, we will expand pathways for working adults to enrol in full-time diploma courses, including those who have part-time Nitec, Higher Nitec or WSQ diploma qualifications and we will do so by recognising their relevant work experiences and the skills that they have acquired. These changes in higher education reflect the spirit of SkillsFuture to provide multiple pathways, support continuous learning and deepen our focus on skills. They are part of MOE’s effort to build a continuum of education and learning opportunities for every Singaporean, starting from young, through our adult and working life, and after we retire, as part of active ageing.”
“I will share her feedback with MOE colleagues to see how we can improve the appeals process for handling exceptional cases. Sir, please allow me to continue in Mandarin. (In Mandarin): [Please refer to Vernacular Speech.] SkillsFuture will continue to be a critical enabler for Singapore's next phase of development. It supports skills training and lifelong learning, and it can help enterprises transform and be more competitive. We have made good progress with SkillsFuture in the past five years, and will be taking it into the next bound. One of the key initiatives in the Next Bound of SkillsFuture is to enhance support for individuals to pursue lifelong learning through a SkillsFuture Credit top-up of $500 for every Singaporean aged 25 and above this year. The top-up will be valid for five years. In addition, Singaporean mid-career workers aged 40 to 60 in 2020 will receive an additional SkillsFuture Credit (Mid-Career Support) of $500 for them to access Career Transition Programmes, as part of the SkillsFuture Mid-Career Support Package. This group of workers will receive a total of $1,000 in SkillsFuture Credit top-ups. We will also be growing the SkillsFuture Work-Study Programmes into a mainstream pathway which will be made available to 12% of each cohort. This will benefit employers and provide more pathways and options for our students. (In English ): Mr Chairman, MOE is committed to building a strong foundation for students in schools and also offering a quality education at the IHLs and lifelong learning thereafter. Minister and Second Minister covered the initiatives in schools earlier.”
“We will also be making some adjustments to Absentee Payroll. The larger enterprises are currently benefiting more from this provision. We will review the rates and set a maximum amount each company can receive so that the funding support can be distributed to more companies. We were planning to make these changes together with the enhancements under the Next Bound of SkillsFuture. However, with the COVID-19 situation, we will defer these changes to a later date and focus our efforts for now to help businesses and workers to tide through the current challenges. One recent change that we made was to increase the course fee subsidy to a flat rate of 90% and raise the Absentee Payroll rates to $10 per hour for sectors like tourism and air transport, which are worst-hit by the drop in tourist arrivals. The intent is to help our companies and workers during this difficult period. And as Deputy Prime Minister said, if the situation calls for it, the Government is prepared to do more. Ms Sylvia Lim asked about the appeal process for PSEA. We had discussed the usage of PSEA in this House in November last year. Sir, I thank Ms Lim for acknowledging that course quality and relevance are valid factors in deciding which programmes can qualify for PSEA usage. And Ms Lim is right that PSEA monies are not subsidies per se, but they comprise mainly Government top-ups which come from public funds. We have a responsibility to safeguard the interests of all account holders by upholding the quality and relevance of approved courses, to guide Singaporeans on which courses would produce better outcomes for them. But I understand Ms Lim's point in the case of her resident, due to his unfortunate family situation.”
“There is less certainty of placement compared to Place-and-Train, but this provides greater flexibility in the eventual choice of job. It also allows us to train more individuals in industry-relevant skills to enhance their employment prospects and offer employers a job-ready candidate at the point of placement. Both types of programmes have their usefulness and their relevance as they serve different groups of Singaporeans. They complement each other. From 2020, these different re-skilling programmes will collectively increase the placements of Singaporeans in their 40s and 50s. Our aim is to double the numbers in five years. We will also provide an additional $500 SkillsFuture Credit (Mid-Career Support). In other words, a worker aged 40 to 60 this year will receive a total SkillsFuture Credit top-up of $1,000. If he has not used his first $500 from 2015, he will have a total amount of $1,500. In the Next Bound of SkillsFuture, we target to benefit a total of 28,000 companies and one million individuals over the next five years. We will need more resources to support these enhancements. Over the next five years, Government will spend about $1.4 billion on the Next Bound of SkillsFuture. We are investing even more in SkillsFuture compared to the first five years. At the same time, we have to review our existing initiatives, and reallocate our resources across different areas. We will review course subsidy rates, together with the Enhanced Subsidy Schemes. We will continue to subsidise up to 90%, with more support for courses that lead to clearer employment outcomes. This is in line with the calls from several Members. Schemes that have become less relevant over time, such as the SkillsFuture Qualification Awards, will be gradually phased out.”
“We are planning to expand the reach and enhance the training guidance under SkillsFuture Advice via the Career Centres, in collaboration with partners like the unions and career advisors, including private sector entities that provide such services on a commercial basis. And this will supplement the assistance for individuals provided through the portal and our existing SkillsFuture Advice workshops. Finally, the Next Bound of SkillsFuture will focus on our mid-career workers in their 40s and 50s. We will help them to refresh and rejuvenate their skill-sets, so that they can remain employable and benefit from new opportunities. Deputy Prime Minister announced a comprehensive set of measures under the SkillsFuture Mid-Career Support Package. The other Ministries – MTI, MCI, MOM – have touched on some of these initiatives yesterday. MOE will work with MOM and MTI to increase capacity and placements for re-skilling programmes. We will ramp up the capacity for career transition programmes at CET centres, to complement other re-skilling programmes such as Professional Conversion, Place-and-Train and Tech Skills Accelerator Mid-Career Advance for ICT jobs. Mr Zainal Sapari asked if these career transition programmes could be more targeted at mid-career workers. Currently, many of the re-skilling programmes are, what we call Place-and-Train, where individuals are first matched with an employer before they start their training. We will add to these by expanding the career transition programmes, as suggested by Dr Lim Wee Kiak. Individuals will be trained before they receive career support services, such as advisory and placement from CET centres.”
“Mr Png also made reference to the Surrogate Employer Programme. Mr Patrick Tay had raised this idea in the context of providing a training allowance to self-employed persons while they go for training, to help them during the COVID-19 outbreak. Yesterday, MOM announced the new SEP Training Support Scheme, where all self-employed persons will be provided with a training allowance over the next three months when they attend courses under the SkillsFuture series and selected sector-specific training programmes. This is different from the SkillsFuture course fee subsidy that I explained earlier, which is not linked to the Surrogate Employer Scheme. The 90% course fee subsidy is one thing, the training allowance is another. Let us not mix up the two. Sir, SkillsFuture is for all Singaporeans at every stage of our lives. I agree with Ms Foo Mee Har on the need to support individuals in navigating the courses available. We will provide customised recommendations on training options through MySkillsFuture portal, including quality and outcomes ratings of courses. And we hope this will help individuals to decide which courses will be more relevant or have better quality. For individuals who prefer face-to-face support, we have been working with the libraries, CDCs, e2i and PA, to provide SkillsFuture Advice workshops to help individuals find out about different SkillsFuture initiatives and plan for their training. More than 100,000 individuals have participated in these workshops, and even more will benefit in the years ahead.”
“The original start date was 1 January 2021, but SSG has done what it could to bring it forward to 1 October 2020, while ensuring that the top-ups are administered accurately and used appropriately. SSG will look at the possibility of allowing appeals on a case- by-case basis, for example, for those who are in-between jobs and need to use their Credit for training to get a new job. For individuals who are currently employed, we encourage their employers to provide them with the training during this period, tapping on the Absentee Payroll and training subsidies provided by SSG. The employees can then keep their SkillsFuture Credit for use later, within that five-year window. Mr Png Eng Huat spoke about training support for mature freelancers and he made reference to the Surrogate Employer Programme which Mr Patrick Tay mentioned during Budget debate. Sir, all Singaporeans and PRs, regardless of employment status, are eligible to receive course fee subsidies for MOE and SSG-funded training courses. Those who are aged 40 and above can receive further subsidies of up to 90% under the SkillsFuture Mid-Career Enhanced Subsidy. It does not matter if they are employees, self-employed or in between jobs. For employees who are sent for training by their companies, their employers will typically cover the post-subsidy course fees. For others, like freelancers, they would pay the 10% co-payment on their own, and they can use their SkillsFuture Credit for the out-of-pocket costs. So, contrary to what Mr Png said yesterday, self-employed persons and freelancers aged 40 and above will receive up to 90% in course fee subsidy, no different from an employee. And this includes courses for freelance trainers, which Mr Png mentioned in his cut.”
“So, it was not factually accurate for Mr Faisal Manap to say that internships are mostly for technology and finance sectors. It is broader than that. On the matching of students to internships, a centralised model, as suggested by Mr Faisal Manap, may not produce better outcomes than the current approach. The way companies currently offer internships is through partnerships with our IHLs. The IHLs know their students well and what industry opportunities are needed to deepen their learning. So, it is not quite the same as companies filling job vacancies through open recruitment. The two process may appear same-same, but they are different. Let me now touch on how we are empowering individuals to learn for life. The SkillsFuture Credit was introduced in 2015 to bring about an important mindset change, that each of us must take charge of our personal learning journey towards skills mastery. We are empowering individuals. The $500 SkillsFuture Credit has been well-utilised. More than half a million Singaporeans have used their Credit and amongst them, close to 40% have either fully used up their Credit, or are close to doing so. More than 90% of SkillsFuture Credit claims were for work- related and industry-oriented courses. We will provide a top-up of $500 to the SkillsFuture Credit for every Singaporean aged 25 and above this year. Mr Gan Thiam Poh asked if some workers could start using the top-up before 1 October. The SkillsFuture Credit top-up is designed to support individuals with their lifelong learning needs beyond the COVID-19 crisis. That is why the top-up is valid for five years, till 31 December 2025.”
“We launched the first slate of SkillsFuture Work-Study Programmes in 2015, with close links to the industry. Students can apply what they learnt in school to their workplaces and bring practical experiences and problem statements from their jobs back to the classrooms. Employers welcome the programme as it helps them to attract more young Singaporeans. It is a win-win arrangement. About 5,500 students have benefited from Work-Study Programmes since their launch in 2015 and about 1,400 companies have participated so far. We will expand the SkillsFuture Work-Study Programmes into a mainstream pathway in the Next Bound of SkillsFuture. We aim to offer this pathway to 12% of each age cohort by 2025, and this translates to about 5,000 intake places, which is an increase from the current 3.5% or 1,600 places. Work-Study Programmes are useful to prepare our students for the workforce. But applied learning is not confined to Work-Study Programmes. Internships are another important avenue. Mr Faisal Manap suggested having a national level framework to establish common standards in internships and facilitate matching of students to internships. Sir, such a framework had been put in place since 2015. This was one of the recommendations by the Applied Study in Polytechnics and ITE Review (ASPIRE) Committee chaired by Second Minister Indranee Rajah. IHLs would ensure that their students on internships are provided with structured mentorship from the participating companies, with clear learning outcomes. More than 90% of Polytechnic students undergo structured credit-bearing internships in their final year of diploma studies. And these cover a wide range of industries, including culinary, retail, hospitality, healthcare and early childhood education.”
“Over the next five years, we aim to partner up to 40 anchor enterprises to reach out to 4,000 companies, especially SMEs. To further support their transformation efforts, SMEs can tap on the $10,000 SkillsFuture Enterprise Credit. I spoke about this yesterday at the MTI COS. SMEs can also benefit from many existing grants and subsidies to improve productivity, redesign jobs and train their workers. Mr Douglas Foo asked about training of emerging and future skills. SSG has worked with the IHLs to curate the SkillsFuture Series courses focusing on such skills. There are 34 Skills Frameworks which employers can use to plan their talent pipeline for emerging and future jobs. We will tap on intermediaries such as TACs, anchor enterprises, IHLs and professional firms to provide guidance to employers on emerging skills. For example, SSG has worked with PwC Singapore and Universities like INSEAD and SMU to launch a number of Masterclasses for SME business leaders. These will benefit around 100 individuals this year. Next, we will intensify efforts to help employers develop stronger workplace training capabilities. The National Centre of Excellence for Workplace Learning (NACE) was launched at Nanyang Polytechnic in 2018. NACE has engaged over 250 companies for which 100 have started to implement workplace learning programmes. 12.15 pm We will expand NACE to two more IHLs over the next few years. The next one will be at the Singapore Institute of Technology (SIT) later this year. By 2025, we aim to help over 1,200 enterprises build best practices in workplace learning and work-study capabilities. Sir, these efforts will complement our plans to expand the Work-Study pathway.”
“This is important for Singaporeans who are self-employed and those who want to pursue a different career or learn a new skill beyond their current industry. We also want to provide more help for mid-career Singaporeans in their 40s and 50s, to give them greater support to reskill and stay employable, whether is it in their current jobs, or if they switch to another company or industry. The enhancements will be implemented under five areas. First, we will strengthen our collaborations with intermediaries to help enterprises with transformation and skills training. These go hand-in-hand. The better our skills training, the more assurance we can give to our workers and the faster we can transform our enterprises and economy. Many enterprises, especially SMEs, do not have the resources to conduct their own in-house training. We understand. This is where partnerships with intermediaries, such as trade associations, anchor enterprises and professional firms, can come in handy. We will work with a group of large anchor enterprises – also known as SkillsFuture Queen Bee companies – to drive enterprise-led training. Ms Foo Mee Har and Dr Intan asked about this. These anchor enterprises are industry leaders with deep sectoral knowledge, resources and extensive business networks. One example is Singapore Power, which is working with SSG and eight SMEs in its supply chain to build workplace learning capabilities. Singapore Power aims to bring in another 40 SMEs by the end of this year, and eventually to include the rest of the sector. By having companies like Singapore Power train beyond their own needs, they can uplift the capabilities of other enterprises and also other workers in the entire sector.”
“Many were able to perform their work better after training, and earned higher salaries. I agree with Mr Gan Thiam Poh on the need for quality control and risk management. We will continue to ensure the quality of our education and training ecosystem, to support courses with clear employability outcomes, and raise the quality bar for training providers. Since last year, SSG has enhanced its capabilities to deal with fraud and abuse. It set up a dedicated Division to focus on this area, and introduced data analytics and machine learning to detect suspicious claims, as well as more traditional methods, such as surprise checks and mystery shoppers. SSG will come down hard against errant training providers and individuals. Make no mistake – there will be zero tolerance for fraud and abuse. We will also review the legislation to further strengthen our regulatory and enforcement powers. Sir, while we tackle the immediate challenges posed by COVID-19, we must remain focused on preparing Singapore for the future, and continue our push for lifelong learning and skills mastery. Two years ago, Minister Ong assessed that we were about a quarter of the way there. Recently, he said we have achieved close to 50%. An improvement, but this is still only the halfway mark. Advancing on the second half of our journey is what we want to achieve under the Next Bound of SkillsFuture. We will continue to focus on training that equip our workers with job relevant skills that enhance their employability. In particular, we want employers and enterprises, especially SMEs, to play a bigger role in supporting lifelong learning and to upgrade the skills of their workers. At the same time, we will enhance support for individuals to initiate our own learning.”
“Mr Chairman, we started the SkillsFuture movement five years ago. The vision was to provide opportunities for all Singaporeans to develop skills mastery in different areas and fulfil our fullest potential regardless of our starting points in life. This is what SkillsFuture is about – an inclusive and empowering national movement to enable all Singaporeans to chart our learning journeys. It starts from our schools, where we lay the foundation and passion for learning, followed by continuing education when students graduate and join the workforce. Constantly learning, re-learning and even un-learning. This continues after we retire, as part of active ageing. Like the inspiring story that Mr Murali Pillai shared, learning is a never-ending endeavour. And as Ms Denise Phua has rightly pointed out, lifelong learning is a key focus for MOE. SkillsFuture provides the foundations to grow our economy, transform our enterprises, upskill our workers and create good jobs for Singaporeans. It also enriches our lives as we learn new skills and discover new experiences. It is an essential pillar for building a society which is both pro-enterprise and pro-worker, and where multiple pathways lead to multiple peaks of excellence. We had three goals for the initial phase of SkillsFuture: to engender a shift in societal culture towards lifelong learning; to provide greater support for individuals to initiate and take ownership of their learning; to strengthen Institutes of Higher Learning (IHLs) as the third pillar of our CET ecosystem, complementing employers and private training providers. We have made good progress so far. About 500,000 individuals and 14,000 enterprises have benefited from SkillsFuture initiatives.”
“Sir, I thank Mr Seah for his question. As he correctly pointed out, 30-30 is already a very ambitious vision. It is a stretch target. And we certainly want to work towards that; not so much because we are focused on one number but it is really about resilience. It is really about having diversified sources of supplies, including local production. But I think, Mr Seah being in the retail business would be very familiar, that it is not possible for us to be self-sufficient in many items. So, in addition to local production, which is one of the strategies, the other important strategy is to be able to diversify our import markets so that we are able to import from a wide range of countries, a wide range of different suppliers.”
“Sir, as I said, I have answered Question No 5 earlier. I think if Mr Dennis Tan had listened carefully, I did talk about the domestic production capacity for essential items and also stockpile.”
“So, that is what we have been doing in Singapore as well; consistent with the practices, as advised by WHO and by many of these other jurisdictions. Ms Tin's second question is about supply chain, and I think if I understand the Member correctly, she is saying that a lot of countries today are linked to certain supply sources like China. So, whether it is directly or indirectly, the supply chains are interconnected. This is definitely true because we are in a global economy, and no country can be totally isolated when it comes to its supply chains, its market. But it is an issue of to what degree is your exposure. For example, we take tourists. For Singapore, 20% of our tourists come from China. Yes, it is a sizeable group, it is our largest group of tourists. But we are, compared to some other countries, still better off because some of them have 50%, 60% or even higher. So, it is a matter of degree. I do not think it is possible to be completely delinked from any major economy in the current environment. So, definitely when something happens in one of the major economies – could be China, could be somebody else – there will definitely be an impact on Singapore. But it is how we manage it by having a sufficiently diversified set of supply sources and markets, that will help us to be able to ride through these ups and downs in a more robust and resilient manner.”
“Sir, Ms Tin's first question on supplies, we are looking at all the key essential supplies, making sure that we have sufficient diversity in our supply sources. That is the best way to deal with this situation. We cannot quite control what is happening in other countries. There is no global shortage of food supplies, for example. There is still enough. In certain places, they do have panic buying that have resulted in some of the situations that the Member has described. But we are confident that if we look at our overall situation – a combination of stockpile of essential items plus diversified supply sources – I think we will be okay. The main thing is that for our situation domestically, we must also keep calm and do not have panic buying. Because no matter how much you stockpile and how diversified your supply sources are, if there is panic buying, no amount of stockpile will be enough. So, that is one of the key things to be able to deal with this situation. It is to stay calm, buy what you need, but do not panic and there will be enough for everybody. The second thing we need to do is to make sure that in certain critical areas, we are able to also advise people on the proper usage of the various supplies, for example, masks. Like other countries, WHO, the US, the UK and recently, France as well, the governments and health authorities have advised the population that you only need to wear masks if you are unwell. Otherwise, personal hygiene, especially hand hygiene, is still the most important. Therefore, by doing this, you are able to prioritise the use of mask for healthcare workers, for patients, for frontline workers, the people who need it most. This is the best way to keep the whole community safe, collectively.”
“Third, our economic agencies work closely with companies to diversify the sources of supply for materials, manpower and food. Our companies’ supply chains have been put to the test in recent weeks due to disruptions in China’s industrial activity. While the impact varies from business to business, companies have indicated that they are generally able to cope with the disruptions because they have existing inventories or alternative suppliers. Most companies have also been able to manage the manpower disruptions arising from the travel restrictions and quarantine measures implemented in China and Singapore to contain the spread of the virus. As for food supplies, we have not seen significant disruptions arising from the situation in China, due to our effort to buy from different sources over the years. The Government also retains some domestic supply of critical necessities to mitigate any overseas supply disruptions. For instance, we stockpile rice, personal protective equipment and pharmaceuticals during peacetime, and we also have local manufacturing capabilities for other items such as noodles and masks. Overall, our strategy of economic diversification has helped to enhance the resilience of our economy in times of crises, such as right now, during the current COVID-19 outbreak. MTI will continue to work with our businesses to improve the resilience of our supply chains by buying our inputs and essential supplies from different countries, and building up local production capacity where possible and where it makes economic sense.”
“Thank you, Sir. The COVID-19 outbreak has adversely affected Singapore's economy. It has led to a sharp fall in tourist arrivals and a decline in domestic consumption, which have in turn badly affected our tourism, transport, retail and F&B sectors. The disruption in economic activities in China is also expected to negatively affect export-oriented sectors such as manufacturing and wholesale trade. Singapore is a small and open economy. The COVID-19 outbreak is a reminder of how unexpected external shocks can have a significant economic impact on us. To improve our resilience to such shocks, a key strategy that the Government pursues is economic diversification. This entails the diversification of our economic structure, our markets and our supply sources. First, we have diversified our economic structure across different sectors. For example, we kept the manufacturing sector at 20% of the economy and developed a range of clusters within the sector. We have also kept our services sector diversified, growing modern services like information and communications, alongside trade-related ones like wholesale trade. Hence, even though the COVID-19 outbreak is expected to significantly affect the tourism and transport sectors, other sectors such as construction, and information and communications are projected to continue to grow and support our overall economy. Second, we have diversified our export markets to enhance our resilience to market-specific shocks and downturns. We have expanded our network of free trade agreements to give our companies access to a wide range of markets. In this way, we are plugged into growth markets, without being overly reliant on any single market for our exports. No single economy accounted for more than 15% of our domestic exports in 2019.”
“Mr Speaker, may I have your permission to take Question Nos 4 and 5 together?”
“These are indicators, such as value added, jobs created – especially jobs for Singaporeans – investments that we could attract and also what is the value added per worker. We use a mixture of indicators to provide a more complete picture.”
“Sir, first, I think the contributions to our productivity, to our economic growth, I think I will be overstating it if I say it is all due to the grants from ESG. It cannot be. A large part of it, actually, the main part of it is due to the hard work and the entrepreneurial drive of our businesses. The business owners must be, first, at the forefront of this. If they do not have good ideas, they do not know how to transform their business, they do not know what to do with the various resources that they have, I do not think any amount of Government grants will help them. So, that is why I think we pay a lot of attention to helping businesses with good growth potential, with the commitment and ambition, to see how we can help them to go further. But it has to start with the business owner having that drive, the ideas, the resilience and the resourcefulness to be able to pool these ideas together and produce a service or a product that will meet the needs of its customers. The issue of TFP, Sir, I must first qualify that even though I did some economics in school, my level of economics is nowhere near Assoc Prof Theseira. But based on my understanding, TFP is a residual indicator, in a sense that you look at what is the change in GDP that is not attributed to changes in capital and labour inputs. So, because it is a residual indicator, the changes in TFP, first, it could be due to a range of different reasons; and second, it is more meaningful to look at it over a longer period of time because of the ups and downs. Because of that, we do not just look at TFP; we also look at other indicators to guide us, in terms of whether our schemes are working, to provide the feedback on whether our schemes are working.”
“That is why it is so important for us to do this in partnership because when we understand what the pain points are, based on the feedback from our businesses, and we understand also the rationale for the rules and regulations from our regulatory agencies, then I think there is scope was to see how can we innovate together, how can we improve the rules and processes together. So, that is where I think we are aiming for. Mr Liang asked me about where is the balance we want to strike. I think that balance is what we want to aim for and the process will be as part of Public Service transformation, as part of engaging our businesses, our Trade Associations and Chambers, to do it together.”
“Mr Chairman, I thank Mr Liang Eng Hwa for his supplementary question. Indeed, I think there is a need to strike a balance and that is why I use the analogy of a gatekeeper. Someone needs to watch the risks – what are the downsides. And every proposal that comes needs to be assessed carefully. What are the benefits? What are the downsides? What are the risks involved? What is the impact on stakeholders, consumers and other businesses? So, this is a process which we do on a case-by-case basis. Whenever we get a proposal from businesses, we will work together with the regulatory agencies to understand what is the rationale for the current rules, can it be improved and enhanced, can the process be better? The example, I would give Mr Liang is this: you build a ship and the safest place for the ship maybe to park it in the harbour. But we know that is not why we built ships. We built ships because we want the ship to be able to bring us to different places around the world, but the ships need to be safe. So, how do you do it in such a way that will allow us to look for new opportunities and new areas, but still remains safe, the quality must still be maintained. Because that is a very important part of our economic competitiveness. Our trusted brand name, quality assurance, people think that when they walk into Singapore, they have the confidence that things work well here. And what we want to avoid are the two extremes – free for all; nothing at all. There is a sweet spot, as Mr Liang mentioned, somewhere in the middle. But where that sweet spot is, that one we have to evaluate on a case-by-case basis. We have to look at it.”
“Through economic growth, we have achieved employment growth and wage growth for our workers, and improved the lives of Singaporeans. Real wages have grown by 3% per year in the last 10 years and young people are able to secure good jobs. In the 2019 graduate employment survey results for University and Polytechnic students, more than 90% found employment within six months of graduation, with higher median salaries than previous batches. The outcomes we have achieved are the result of effective policies, hard work and good governance, underpinned by a stable political system and strong tripartite partnerships; as well as a forward-looking Government that plans long term and does not shy away from telling the truth, even if it is unpopular. A Government which places Singaporeans at the heart of everything we do. This is an important component of our Singapore Story: how we grow as a nation, how every generation builds on the foundations laid by previous generations and takes the country further to benefit future generations. This is how we must continue to forge ahead – always striving for improvement – Keeping Singapore domestically united and globally connected; and never giving up in the face of adversity. As we say in Hokkien, "pah buay si", and if I may add, "pah si pun boh zao" or to have a never-say-die attitude in Hokkien.”
“For 2020, I have challenged the HECS to achieve a "triple five" stretched target: a) To partner at least five new precincts, in addition to the three they are supporting currently; b) Secondly, to help 200 enterprises with their transformation and digitalisation, which is five times more than the 40 last year; and c) Thirdly, to train 1,000 workers and shop owners, which is five times more than the 200 last year. We will introduce the Heartland Enterprise Upgrading Programme (HEUP), as a single integrated support package for MAs. Under this programme, MAs can receive dedicated support from ESG, HDB, and HECS to develop and implement 4-year action plans. These plans will cover upgrading of common area infrastructure, organising placemaking activities, and the upgrading of enterprises and workers. We will also provide enhanced support to MAs through the programme. Firstly, we will increase the support for placemaking activities from 50% to 70% and cover a wider range of activities and costs. We will also increase funding support for the upgrading of common areas from 80% to 90%, reducing the costs for shop owners. In addition, currently under HDB's Revitalisation of Shops (ROS) scheme, the support of all shop owners is required for upgrading works to commence. We are considering amending the legislation to lower the threshold from 100% to 75%, to allow works to proceed if at least three quarters of the shop owners are supportive. This will allow more precincts to benefit. (In English): Mr Chairman, the Government will help businesses and workers tide over the immediate challenges due to COVID-19. We are also committed to support businesses at different stages of growth to transform and prepare for the future, so that our companies and our workers will emerge stronger.”
“Listening to feedback and being open to new ideas, feeling comfortable to take calculated risks, and experimenting together with industry partners to turn ideas into reality – these are important aspects of Public Service Transformation; in line with the SG Together Movement. Sir, Ms Joan Pereira and Mr Teo Ser Luck asked about heartland enterprises, which serve important social and economic roles in our society. In my maiden speech in Parliament, I spoke about how we should work together to rejuvenate our heartland precincts and shops. Sir, please allow me to continue in Mandarin. (In Mandarin): [Please refer to Vernacular Speech.] Over the years, MTI and ESG have teamed up with industry partners to drive heartland precinct rejuvenation and enterprise transformation. Last June, we set up the Heartland Enterprise Centre Singapore (HECS) and set it three main objectives – to uplift precincts, transform enterprises and upskill workers. Since then, the HECS has done good work, and helped many heartland enterprises and Merchants' Associations (MAs). For example, it helped: a) The Ang Mo Kio MA to promote and broadcast its Chinese New Year festivities on social media, increasing footfall to the precinct; b) The Bedok MA to add vibrancy to the town centre through lighting installations and displays; and c) The Chong Pang MA to develop a dedicated online marketplace for shops in the precinct, to increase their sales.”
“The company wanted to set up a research facility to experiment with new products. However, it faced high costs – distillery licence fees and excise duties. PEP and Singapore Customs worked together with the company, and after reviewing its proposal, Customs agreed that SinFooTech need not pay excise duties on its research products, as long as these are not sold commercially. This cost saving will be about $90,000 over six months for the company. Customs also extended its pro-rated licence fee framework for microbreweries to distilleries like SinFooTech. Instead of paying the annual licence fee of $28,000, it can now pay a pro-rated fee of $7,000 per quarter; quarter by quarter. If it wants to stop after one or two months because the experiment is not going well, it can get a refund for the remaining licence period. These features help to lower the entry cost for companies to try new ideas, and also reduce the exit cost if they decide to end their pilot early. When we work together with businesses to review our rules and regulations, the improvements will benefit many other enterprises. They can launch innovative ideas more quickly and lower their operating costs. Government agencies also benefit from having more efficient and business-friendly rules. We see our role as a gate-keeper and not as a goal-keeper. What is the difference? A gate-keeper assesses the risk and decides who to let through and who to turn away. Whereas a goal-keeper's mission is to prevent all balls from getting through. If we block all new ideas that push against our existing regulatory boundaries or have a risk of failing, there will be no innovation.”