Hon Sui Sen
Singapore
“Sir, I must inform the Member for Rochore that the companies are run on the basis of private sector companies, i.e. their budgets are drawn up by their boards of directors. I do not know to what extent their budgets follow Government budgets but they are certainly not regulated in the sense that Government budgets are rigidly enforced.”
“Perhaps the Member is referring to PIE's operations with respect to the Armed Forces. PIE provides some of the supplies for feeding our army and other armed forces. If the private sector is equally viable, equally able to supply foodstuffs, I see no reason why they should not also compete with the PIE.”
“Jeyaretnam asked the Minister for the Environment and Minister for Communications if he will request the Port of Singapore Authority to consider providing transport alternatively paying a transport allowance to all employees of the PSA who have been moved out of the PSA Staff quarters in Blair Plain and as a result of which have been put…”
“INTRACO is a company in which the Government has some equity. I believe the proportion is somewhere around 20%. So in a sense it is not exactly a Government controlled company, although 20%, of course, is a fairly considerable share. In the case of PIE, the answer is yes, it is a Government company.”
“The dividend yields for the three holding companies were nil, The yields for the operating companies were nil for 34 companies (including eight which have yet to commence operations), 1% to 10% for five companies, more than 10% but less than 20% for 10 companies, and at least 20% for nine companies.”
“Sir, the simple answer to that is no, for the purpose of this Bill. This Bill merely enacts legislation to implement the 1982 Budget concessions.”
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“Perhaps we will look at the record in Hansard when it appears. An hon. Member: And duly amended!”
“There are two parts of the statement. It is a long statement. If I can read what the Member said: `Some civil servants hold directorships in a number of different companies There is no way of assessing their efficiency as they are not accountable to either the Public Accounts Committee or the Budget Committee.' That is the part which tallies with what the Member says. He goes on to say: `For example. the civil servant responsible for incurring a loss in the purchase of Granite House in London has been made a director of another company. Instead of being penalised for his inefficiency in this purchase, he has been rewarded in a new post elsewhere. So the performance of some civil servants was not outstanding. If they are promoted and rewarded by the Government. it would refer badly on MP5.' I am speaking of this last sentence. "If they are promoted and rewarded by the Government, it would refer badly on MPs," I see nothing to connect them with the MPs.”
“I said "often". I disagree there. Our civil servants perhaps work probably harder and beyond the normal eight-hour day. As the .Minister in charge of the Civil Service. I am strongly of the opinion that at least in the Division I Civil Service the hours worked are much more strenuous than those by almost any other category of people. Certainly the amount of paper work has increased. Of course, whether Members regard this as productive is another matter. As regards their efficiency, the performance of these functions in the companies, as the Minister in charge of Government's investments in companies, I am responsible for any assessment that may be required. I do not, therefore, understand the Members' comment that there is no way of assessing them. It is, of course, not the business of either the Public Accounts Committee or the Budget Committee to do this assessment whether the civil servants are accountable to the two Committees or not. As the Minister in charge of investments, whether overseas or elsewhere, accordingly also responsible for the purchase of Granite House, I do not consider that the Member is justified in the derogatory remarks that he has made on the circumstances surrounding this purchase. The circumstances were fully explained to the Public Accounts Committee on 25th February last year. 4.01 p.m. [Mr Deputy Speaker in the Chair] May I remind the Member for Nee Soon also that the appointment and promotion of civil servants are matters for the Public Service Commission and that their promotion and reward have, again, nothing to do with MPs. He said. "If they are promoted and rewarded by the Government, it would refer badly on MPs." The word "refer" should be "reflect". But I have got it as "refer" here.”
“I now come to the second category of matters on the civil service establishment, Budget and taxation. The first comment was by the Member for Nee Soon who complained of certain civil servants holding directorships and. in particular, their promotion even though they have shown inefficiency. I would like to say, first of all. that civil servants are appointed to boards of companies in which the Government has an interest not because they deserve promotion or otherwise, Their duty as directors is to ensure that the companies are run efficiently and profitably and, therefore, that the Government's investments are safeguarded. These civil servants very often assume responsibilities over and above those of their civil service jobs proper.”
“We have supported the running of creches and kindergartens and in addition, working women are permitted to opt for a special fiscal incentive, for example, for a separate assessment of their income tax, and in respect of professional working women, special tax allowances for their children. Female participation is also expected to rise as a result of our education policy. But in 1974, education levels of non-working women were still generally low. About 70% of them had never attended school or had attended school but did not obtain any qualification. It is hoped that in time to come we will have a new breed of female workers, better educated than before. It may be of interest to Members to learn that there has been an 8-point increase in the composition of the civil service in favour of females. In 1967, 37.1% of the civil service were women and it went up the following year to 37.2%. and again 33.1%, 34.3%, 36.9%, 39.5%, 42.5%, 43.8% until in 1975 it was 45.1% so that the male proportion was 54.9%. I would not be surprised if the ratio were reversed in the coming years. The Member for Sembawang suggested that the wage differentials between professionals and ordinary workers should be reduced so as to correct the sectoral shortages of workers, especially in the construction industry and reduce the need to import foreign workers, I am unable to agree with his suggestion for income redistribution. In a market economy like ours, wage differentials are determined by market forces. There is little that Government can do deliberately to narrow the wage differentials without adversely affecting efficiency and incentives to work. Sir, that completes the list of questions on the first category.”
“In the first two years of training, the trainees follow a high standard training programme designed with the advice of expatriate instructors who are well versed in industrial training methods and manpower requirements. In the last two years, when trainees are placed with industry, the ITB and EDB training officers visit the factories at least once, often twice or more a year, to inspect the training log book and records. In addition, they check the training jobs and hold discussions with supervisors and trainees. The Member for Nee Soon spoke on Communist infiltration in institutions of higher learning being more successful if there was great dissatisfaction , among student population. He suggested that to reduce this dissatisfaction students should be assured of employment outlets. While the Government will try its best to ensure that there are as many job opportunities as possible, I find it difficult to agree with the Member's suggestion that graduates should be assured of jobs after their graduation. It is up to the person concerned. I think. whether a university graduate, a technician or school leaver, to adjust to the changing employment demands of the economy. Graduates are not an exception to this rule. and cannot expect, as a matter of right. cushy and high-paying jobs in air-conditioned offices. Finally, I think the Member for Alexandra spoke of women often stopping to work after marriage. He urged the need for more female participation. I would like to assure him that the Government is aware of the need to encourage greater female participation in the labour force, especially when labour supply is getting tighter due to our successful family planning programmes.”
“Specifically, in SISIR, there are on-going programmes aimed at developing and providing calibration services to industry, in electrical, mechanical and temperature applications. The Government recognises that such services require long gestation periods, and SISIR will continue to review and upgrade regularly its technical programmes and facilities. I come now to the Member for Sembawang who spoke on encouraging Singaporeans to buy more locally made products. I am, of course, in full agreement with the Member's call to drop their prejudice against local products. For the public sector, there is a standing order to all Government departments and statutory boards to support locally made products, particularly those approved by SISIR, in their purchases. But Government effort must be complemented by an equal support from the private sector, I would, therefore, urge CASE and local consumers to give support to such locally manufactured quality products tested and approved by SISIR. I would now like to pass on to the various comments that have been made on manpower problems. The Member for Paya Lebar commented on the training at Government training centres and the possible abuse of the name of training by employers giving inadequate training to the workers. He can be assured that proper checks are being made to ensure that employers participating in the Government's training schemes are giving the necessary skills to their trainees. The 4-year Joint Industrial Training Programme organised by the Economic Development Board in conjunction with leading private sector employers is a planned programme for the training of precision skills. Trainees are registered as apprentices with the Industrial Training Board (ITB).”
“With increased ASEAN economic cooperation, greater efforts will be made to increase the diversity of our domestic exports to the region. Export promotion requires a joint effort by the private and public sectors, and my Ministry will continue to work closely with the trade and manufacturing bodies in Singapore on trade missions, participation in international trade fairs and improve upon other services to help develop our export performance. The Member for Whampoa has also spoken on the need to assist the expansion and diversification of existing industries. I agree with this. A wide range of services has been provided to assist. We have, of course. the concessionary export re-discount facility of the MAS introduced in May 1975 and the Export Credit Insurance Corporation established in September 1976. The EDB has last year initiated the Capital Assistance Scheme. In November 1976, the Small Industry Finance Scheme was also introduced. The loans which we issued under this scheme cover investments in new plant and buildings. new machinery, hire purchase schemes and working capital. Loans ranging from 70% to 85% of the total investment cost have grace periods ranging from two to three years, and are repayable within four to ten years. Interest rates are expected to be about 9.5%, around two percentage points below commercial bank rates for such small companies. Finally, I think the Member for Whampoa commented on the technical supporting facilities for industry, especially for calibrating equipment. The Government is aware of the needs of our industries for appropriate technical supporting services.”
“I would like to say that this has already been done. We have come a long way in developing our range of financial, communications and tourism services. We believe there is good potential for Singapore to be further developed into a centre for regional and international warehousing activities, particularly for capital goods and equipment, The Fiscal Policy Implementation Committee will consider appropriate measures for this, Further efforts would also be made to expand the range of our financial services, The forward market for foreign exchange will be developed to provide more facilities for trading in foreign currencies. Second markets in fixed interest securities and Asian Dollar Negotiable Certificate of Deposits would also be further encouraged. High priority would continue to be accorded to the promotion of tourism, our traditional foreign exchange earning sector. Greater attention will also be accorded to the promotion of convention business. The Member for Whampoa also commented on the need for greater efforts in export promotion. I fully agree with his comments that our manufacturers should approach markets with a view to their long-term development rather than immediate sales. Some manufacturers have stayed away from new markets when their first contacts did not bring about immediate results. For those who have made sustained efforts, my Ministry has provided the necessary support. To supplement the assistance given by our missions in overseas capitals, commercial and economic secretaries have been posted to all our foreign missions in ASEAN countries. the United States, Japan and Germany. More commercial secretaries would be sent to commercially important cities, with priority being given to West Asia.”
“Over the next five years, my Ministry will continue to accord priority to trade development demonstrating the importance we will continue to place on the development of the external sectors of our economy. With regard to his remarks on pump-priming, it is true that during the recession we took advantage of the slack to step up construction activities, This was aimed at speeding up the implementation of projects to provide Singapore with the infrastructure to enable us to realise the opportunities with economic recovery. In future, we may not be able to keep up the same pace of construction as we complete our various development programmes. He next suggested that labour turnover should be monitored and that the Central Provident Fund contribution is a good source for labour statistics. I am pleased to say that his suggestion to use CPF data as a source for manpower statistics is already being adopted. Since 1974, the CPF Board has collaborated with my Ministry to develop a series of quarterly earnings and employment statistics tabulated by age, sex and sector of activity, in order to keep tab of employment and earning changes, The cost of obtaining the statistics has been borne by the Government. CPF statistics have been found useful because of their greater timeliness and comprehensive coverage. In addition, labour turnover is monitored based on data collected in the bi-annual Labour Turnover Survey conducted by the Ministry of Labour. I now turn to the comments by the Member for Whampoa, He pointed out the need to examine the feasibility of developing other service industries in addition to the development of manufacturing industries. I think the Member for Marine Parade also spoke about warehousing industry. But for the development of other service industries.”
“it would be interesting to know what sort of inflation rate has been allowed for.' The answer to this question is that the 6-8% overall growth rate projected in my economic model refers to real growth. Although it is difficult to project inflation rates for the next few years. our model has assumed an inflation rate of 5-6% taking into account the average inflation rate of 7% expected by the OECD countries over the next few years. His next suggestion was [col. 80]: We also do not know whether the expected growth in the country will be export-led or generated mainly by domestic pump-priming We know. however, that the Government will make finance for exports more easily available . Singapore has always recorded a chronic deficit in merchandise trade. This is not worrying per se as we have no natural resources and must import most of the things we need What is worrying, however. is the continuous growth of the deficit.' The answer to the Member for Marine Parade is that in our strategy for growth in view of our open economy, we have always depended on exports as the source of growth. Our economy has been and will continue to be externally oriented not only in trade but also in manufacturing and services. The Member also warned about our trade deficit growing. Though our trade deficit has widened in absolute terms, this is to be expected for a growing economy like Singapore with no natural resources. However, this does not mean that our trade performance has not improved. Our trade deficit as a share of total exports has declined from 58% in 1970 to 38% in 1976, Domestic exports now account for 58% of total exports compared to 36% in 1968.”
“but it is too much to hope, with the history of economic turbulence we have had. that this will last indefinitely. Our economic plan therefore is what they call a rolling plan with 52 equations which we can revise at will with changing conditions. There is another plan. The Monetary Authority of Singapore has a slightly different model of the economy with 22 equations which comes out with slightly different projections. These enable us, through the computer which speeds up the calculations, to forecast growth rates or requirements, for example in:- (a) real GDP as a whole. and in the various sectors of manufacturing, commerce, financial and business sources, construction, transport, storage and communication. (b) real consumption expenditure as a whole, and by the Government and private sector. (c) real fixed investments as a whole, and by the public and private sectors. (d) exports as a whole, and broken down into goods and services. (e) imports, as a whole, and for goods and services, and (f) the GDP deflator. One must. of course, use the model and its projections with some judgement. It depends on the data we feed in. As with all computer outputs, the quality varies. There is the problem of what they call GIGO or "Garbage in. Garbage out." If we feed in rubbish, we get rubbish. We are still testing the model and do not yet consider it sufficiently satisfactory for publication. With that cautionary note, perhaps I can now consider the first question. The Member for Marine Parade has commented as follows: [col. 79]: 'The Minister for Finance in his addendum to the Presidential Address has not stated whether the 6-8% expected growth rate is real growth or growth in monetary terms. I presume it is the former Still.”
“The Member for Whampoa emphasised the importance of developing service industries, of trade diversification, of assistance to expansion of existing industries, of technical supporting facilities to industry, particularly in calibration. The Member for Sembawang was interested in encouraging the consumption of local products. On manpower planning. the Member for Paya Lebar emphasised the need to ensure adequate training by employers. The Member for Nee Soon wanted a guarantee of employment for graduates of institutions of higher learning. The Member for Alexandra wished to encourage more female participation in the labour force by consulting women's organisations. And the Member for Sembawang wanted to reduce the differential between professional and ordinary workers in order to correct shortages of workers and avoid employing foreign workers. This is really the subject of income redistribution which is now in much high fashion amongst economists all over the world. So the Member for Sembawang has really joined the list of economics-minded Members. The list is formidable. Before I answer them, I would like to begin by first saying a word on economic planning. We started the first Plan in 1959 but rapidly-unfolding events soon overtook this and other plans that we prepared. The basis of our economic planning was upset when in 1963 we became part of Malaysia, then in 1965 we had Separation. In 1967 we had the first intimation of the British rundown of the military bases. In 1969 we had the rundown accelerated. In 1973 we had the oil crisis. In 1974 we had inflation because of a 300% increase in rice prices. All these events played havoc with our four to five year plans. We may now have come back to more stable conditions.”
“Mr Speaker, Sir, may I first of all express my gratification at the increasing economic content of the speeches in this House. They come not only from leading lights of the academic, banking and insurance professions in this House - we have always had, of course, the benefit of economic advice from established Members, such as my colleague, the Deputy Prime Minister and Minister of Defence, or the Member for Whampoa - but we now have also among our numerate brethren the recent and obviously highly stimulating additions to our membership, and I look forward to the contribution they will make to our debates. However, even our non-economist Members also appear to have become more economics-minded, I was fascinated at the sitting two days ago by my colleague, the Minister for Social Affairs, and his facility in quoting figures analysing the cost of the public subsidy for playing fields. and how much Government was paying for each member of the small team of 11 soccer players using the playing fields. I come now to the business proper of answering the questions or comments by Members. I have in my list some 20 matters for reply. They can be divided into two categories. The first category on economic, industrial sector and manpower planning which is of a general policy nature, and the second, on the civil service establishment, budget and tax matters which are more on points of detail, and should perhaps be more appropriately considered in the Budget debate. In the first category, the Member for Marine Parade touched on the economic growth rate, the importance of export-led growth as against pump-priming and the development of better labour statistics through using CPF records.”
“I thought the answer was included in my answer that we do not, in fact, try to find out why money has not been applied for to build any particular project. So it is perhaps more appropriate for the Member to direct his enquiry to the Singapore Sports Council as to why the priorities have been allocated in the manner that other swimming pools have first call on any monies, allocated. PRESIDENT'S SPEECH Debate on the Address (Sixth Day) Order read for Resumption of Debate on Question [14th February 1977]. `That the following Address in reply to the Speech of the President be agreed to "We, the Parliament of the Republic of Singapore, express our thanks to the President for the Speech which he delivered on behalf of the Government at the opening of the First Session of this Parliament.".'. - [Dr Chiang Hai Ding]. Question again proposed. 2.51 pm.”
“Would the Member please repeat the question?”
“Sir,I have explained the procedure by which the Ministry of Finance considers applications for allocation of funds. If the Ministry or the body concerned does not consider it worthwhile to apply because of other priorities, then it is extremely unlikely that the Ministry of Finance will substitute its judgment for that of the Ministry or body concerned.”
“Mr Speaker, Sir, I understand that a piece of State land bounded by Surin and Aroozoo Avenues is earmarked for a community centre and a swimming pool. As for the provision of funds to build a swimming pool there, I recall that the Member for Punggol raised a similar question in 1973. I must answer his question in the same manner. Funds for the construction of the swimming pool must come from the approved yearly Budget allocation to the Singapore Sports Council (SSC), or from donations and contributions. The swimming pool must, therefore, vie for priority within the Budget allocation with all other projects under the SSC Master Plan for the development of sports facilities. I believe that the SSC Master Plan for 1976-1982 provided originally for three swimming pools in the North Zone, two of which are to be sited in the Surin Avenue area. However. I believe also that the Singapore Sports Council has decided to defer the construction of swimming pools in that area until after the Ang Mo Kio Swimming Complex is completed in 1979 when the position will be reviewed. If the Member for Punggol is impatient for the development of a swimming pool in the area, perhaps he may wish to start a Fund for this purpose. The Government will help by giving tax exemption to donations to the Fund.”
“ADJOURNMENT Resolved, "That Parliament do now adjourn sine die."-[Mr E.W. Barker]. Adjourned accordingly at Twenty-nine minutes to Five o'clock p.m. sine die. ASSENTS TO BILLS PASSED The following Bills, which were passed by Parliament on 24th November, 1976, were assented to by the President on the dates stated:- 27th November, 1976 Estate Duty (Amendment) Bill 30th November, 1976 (i) Financial Procedure (Amendment) Bill; (ii) Infectious Diseases Bill; and (iii) Asian Development Bank (Amendment) Bill.”
“Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time." The Bill seeks to amend the Asian Development Bank Act by adding thereto a new section 9A which will exempt the Asian Development Bank and the issue by the Bank of shares, debentures, bonds, notes and other securities from the requirements of the Companies Act. The Asian Development Bank (referred to as "the ADB") has so far not borrowed from the Asian Dollar Market, although it has issued bonds in the capital markets of New York, Tokyo. Zurich, Frankfurt. Luxembourg and Vienna. Before the Bank can consider floating a bond in Singapore, it will be necessary to remove certain legal constraints which arise from the broad definition of the term "corporation" in the Companies Act. Under the Act, a "corporation" includes any body corporate whether domiciled in Singapore or abroad. Although the ADB is not a Company, it is deemed to be a Corporation under the Act and is therefore required to comply with the requirements of the Companies Act in the event of a public issue of its securities in Singapore. However, certain sections in the Companies Act are not appropriate for application to the Bank as an inter-governmental organisation. In order to facilitate the entry of the ADB into the Asian Dollar Market, it is proposed to amend the Asian Development Bank Act of Singapore so that the ADB will be deemed not to be a Corporation within the meaning of the Companies Act. Sir, I beg to move. Question put, and agreed to. Bill accordingly read a Second time and committed to a Committee of the whole House. The House immediately resolved itself into a Committee on the Bill.-[Mr Hon Sui Sen]. Bill considered in Committee; reported without amendment; read a Third time and passed.”
“Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time." Honourable Members of the House are aware that Government has given several fiscal concessions to help develop Singapore as a financial centre and promote the Asian Dollar Market. In my last annual Budget Statement, I announced more concessions to the same purpose. The concessions relating to estate duty are, first, that non-resident deposits with Asian Currency Units and approved Asian Dollar Bonds held by non-residents will be exempt from Singapore estate duty with effect from 1st January, 1976, and, secondly, that Singapore Government tax-free bonds. held by non-residents, will also be exempt from Singapore estate duty from the same date. The Bill seeks to amend the Estate Duty Act by inserting a new section 1OA to provide for these two concessions. Sir, I beg to move. Question put, and agreed to. Bill accordingly read a Second time and committed to a Committee of the whole House. The House immediately resolved itself into a Committee on the Bill. -[Mr Hon Sui Sen]. Bill considered in Committee; reported without amendment; read a Third time and passed. ASIAN DEVELOPMENT BANK (AMENDMENT) BILL Order for Second Reading read. 4.27 p.m.”
“Mr Speaker, Sir, I take the Member's point and apologise to him and to the Estimates Committee. These amendments are, however, mainly technical, and in the ordinary way I would not take the Bill through all the stages. But in this particular case I do not think they are matters of policy. They are just technical amendments to be made to the Budget documents. I will, however, consult the Estimates Committee on the nature of the format and so on before these are finalised. Question put, and agreed to, Bill accordingly read a Second time and committed to a Committee of the whole House. The House immediately resolved itself into a Committee on the Bill.-[Mr Hon Sui Sen]. Bill considered in Committee; reported without amendment; read a Third time and passed. INFECTIOUS DISEASES BILL Order for Second Reading read. 4.09 p.m.”
“Expenditure proposals, including the extensive changes to the manpower component of the Budget document, have to be submitted, scrutinised and discussed, before the final drafts are submitted to the Printers for first proofs. If the whole budgetary process is not to be seriously disrupted, therefore, the amendments should be enacted and brought into force as early as possible. There may not be enough business or enough time to make it possible for another sitting to be held well before the FY estimates are presented next year. It is accordingly necessary to take the Bill through all stages on a Certificate of Urgency. Mr Speaker, Sir, I beg to move. Question proposed. 4.04 p.m.”
“The substantial amendment is in respect of subsection (3) of section 1 7 which stipulates that the Establishment List shall show the public offices under each Head of Expenditure. This subsection will be amended to provide that the Establishment List should show under each Head of Expenditure the political appointments and the number and categories of personnel whose salaries are to be met from the allocations in the Budget. The existing requirement that all public offices or posts be identified in full in the Establishment List will be deleted. The opportunity is being taken to amend also the other subsections of section 1 7. The present subsection 17(2) in effect specifies that there shall be two types of subheads in the Main Estimates, namely, subheads showing expenditure on the manpower requirements in the establishment in that Head of Expenditure and other operating expenditure. It is proposed to delete this subsection to provide greater flexibility in deciding upon the structure of individual subheads in the Main Estimates. Under the programme budget system, which my Ministry proposes to introduce in FY 78, each subhead will show the total expenditure required to carry out a particular activity and the present categorisation of expenditure estimates into EOM and OOE subheads will be dropped. The other amendments are to the wording and the numbering of the other subsections of section 1 7 and do not affect their substance. The amendments are required by law to be enacted and brought into force before the FY 77 Estimates of Expenditure are presented to this House next year. The administrative requirements in the preparation of the FY 77 Budget, however, limit further the time available.”
“Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time." Section 17 of the Financial Procedure Act (Chapter 68 of the Revised Edition) provides, inter alia, for an Establishment List to be presented to Parliament at its annual Budget session. The Establishment List, which forms part of the Estimates of Expenditure, shows, in respect of each Head of Expenditure, the authorised number and grades of posts as well as their salary codes and serves as the control document for the Government's establishment. The format of the Establishment List was designed for a system in which officers filled posts in accordance with their grades or were paid allowances for the additional responsibility of acting in posts higher than their own grades. However, a decision has been made recently to abolish acting allowances and to introduce a system of responsibility allowances and merit promotions, whereby promotions will now be decided on the basis of the merit of individual candidates and will no longer depend on the number of vacancies in the various grades of appointment. The Establishment List in future should no longer show grades of appointments under Heads of Expenditure. It is intended instead that the authorised manpower under each Head of Expenditure be arranged according to Personnel Groups. Each Personnel Group will comprise a single recruitment grade and a number of promotional grades. The Establishment List will show the number of posts approved for each Personnel Group. To enable the new format to he adopted for the FY 77 Establishment List, section 1 7 of the Financial Procedure Act will have to be amended.”
“Now, Sir. Certificate of Urgency signed by the President in respect of the Bill, laid upon the Table by the Minister. Typed copies of the Bill distributed to Members.”
“Mr Speaker, Sir, I beg to introduce a Bill intituled "An Act to amend the Financial Procedure Act (Chapter 68 of the Revised Edition)". Bill read the First time. Second Reading”
“This amount would be reduced by about £260,000 representing Singapore's cost of liquidating the pension liability for pensions of officers with service after 29th January, 1957. There will also be a small abatement on account of income tax deductible from the pensions by Singapore. In respect of the expatriate widows' and orphans' pensions, the Singapore Government would save about £66,000 annually. The Public Officers' Pension (Singapore) Agreement 1976 has been signed between the Government of Singapore and the Government of the United Kingdom of Great Britain and Northern Ireland detailing the arrangements for the takeover of expatriate pensions liability by the latter from 1st April, 1973. The passing of the Pensions (Expatriate Officers) Bill will give effect to the Public Officers' Pension (Singapore) Agreement 1976 under which responsibility for the payment of pensions, including widows' and orphans' pensions, to certain expatriate officers and their dependants will be relinquished by the Singapore Government and taken over by the Government of the United Kingdom. Sir, I beg to move. Question put, and agreed to. Bill accordingly read a Second time and committed to a Committee of the whole House. The House immediately resolved itself into a Committee arm the Bill .-[Mr Hon Sui Sen] Bill considered in Committee; reported without amendment; read a Third time and passed. RESIDENTIAL PROPERTY BILL (As reported from Select Committee) Order for Third Reading read. 4.20 p.m.”
“Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time." In 1970, the British Government announced that it would assume responsibility for the cost of preindependence expatriate pensions paid to retired expatriates who had served the governments of its various territories. To implement this decision, the British Government passed legislation which enabled the British Government to assume full responsibility for the administration and payment of pensions to expatriate officers who had served in the civil service of its former colonies. In discussions held between officials of the Singapore Government and the British Government, agreement was reached for the latter to assume full responsibility for the following payments:- (a) the cost of expatriate pensions payable to retired officers covered by the Public Officers' Agreement, Singapore, 1 964, in respect of their service prior to 29th January, 1957, the date on which the Singapore Public Service Commission was established; (b) the cost of expatriate pensions for service after 29th January, 1957 on the Singapore Government paying the British Government a capital sum in full settlement, the amount of which is to be actuarially determined and mutually agreed upon by the two Governments; (c) the whole cost of pension payments under the Widows' and Orphans' Pensions Scheme for the widows and orphans of deceased expatriate officers and assisting the surviving expatriates who are still under the scheme. About 1 .380 pensioners are involved and the estimated gross saving to Singapore on expatriate pensions would be in the region of £860,000.”
“Mr Speaker, Sir, I am most disappointed at the Member for his non-support of shows of cultural value. I thought that his question tended the other way. i.e, he wanted to try and press me into giving more exemption for shows of cultural value. If he thinks that the private shows are making too much money. I am quite happy to extend the same exemption to him if he could bring in symphonic concerts, ballets, cultural ensembles, chamber music and so on, which are what we at present give exemption to. I do not think I want to depart from my present practice which is to give exemption for these cultural shows. Of course, if he brings in pop music and so on, I will not exempt them from entertainment duty.”
“Sir, where cultural shows are organised by a charity or an "institution of a public character" or any other non-profit making organisation and where the proceeds are used for charitable, philanthropic, educational or sporting purposes, entertainments duty is not charged. An essential condition is that performers do not receive payment for their services. Details are given in section 12 of the Entertainments Duty Act (Chapter 1 36). Cultural shows organised by other establishments may also qualify for entertainments duty exemption provided that the funds are used for the same purposes and an endorsement is received from the benefiting organisation. By private shows, I assume the Member is referring to performances by profit making organisations where the proceeds are not used for charitable, philanthropic, educational or sporting purposes. Entertainments duty exemption is discretionary but will generally be granted where the performance has intrinsic cultural value. It is difficult to spell out precisely what shows are of cultural value, but generally symphonic concerts, chamber music ensembles, operas, ballets, plays and national cultural shows are given exemption. The unduly esoteric or the mundane will not normally qualify for exemption. Other aspects that are taken into consideration are whether the performers are of international status and whether the performance would appeal to a reasonably wide cross section of Singaporeans.”
“Sir, the answer is no. I have mentioned that the Jurong Town Corporation is organised on strictly different lines. It is not a housing corporation. It does not have a waiting list of people who are prepared to wait two years. I do not think it is true that the Housing Board does not recover, on the whole, its land and other costs. In the end, apart from the subsidies which the Government has given, they are supposed to recover all the land and financing costs as well as the administrative costs. CULTURAL SHOWS (Criteria for tax exemption) 13. Mr P. Govindaswamy asked the Minister for Finance what are the criteria for tax exemption for cultural shows; arid what yardstick is applied to distinguish charitable shows from private shows.”
“Sir, I have tried to explain that the Jurong Town Corporation is organised on different lines and that the flats are also allocated in a different manner. There is no queueing up as there is in the Housing Board. If there is any adoption of HDB practices or its architectural designs or any other matters relating to housing it is a matter for the Jurong Town Corporation to decide whether they want to adopt these. But they are not required to do so nor are they required to follow the prices which the Housing Board has fixed for their flats. In this particular case I have already given the cost of the 5-room low-cost flats as being slightly over $35,000 and there is no question - in fact, as Minister for Finance. I would be strongly against it - of their trying to sell a $35,000 house for $30,000.”
“Sir, as far as Jurong Town is concerned, the classification that may be applied to low-cost flats elsewhere is not relevant. It is not a new town, nor is it suburban or semi-urban. It is an industrial new town. I think the policies of the Jurong Town Corporation are entirely a matter for the Corporation and do not necessarily relate to other flats elsewhere. Mr Ho Kah Leong(In Mandarin): Sir, in its other low-cost housing schemes, the Jurong Town Corporation follows the construction adopted by the Housing and Development Board. I have the HDB's Annual Report with me here. An HDB flat in a new town costs $30,000. The Minister has pointed out that Jurong Town is an industrial new town. So the selling price of the JTC low-cost 5-room flat should not be that high.”
“Sir, I understand from the Jurong Town Corporation that the selling price for the JTC executive flat (luxurious type) is set to cover all costs, whether for construction, land and financing, architectural and engineering fees or administration. I do not think it appropriate that for a luxury type flat where no subsidy from public funds is involved, the JTC should be required to reveal what private sector developers are not expected to do, namely, how the selling price can be broken down into its respective costs. The selling price ranges from $77,000 to $82,800 per flat depending on the floor and orientation. Each flat has a total area of 178.4 sq metres. Two blocks comprising a total of 1 36 flats have been completed, of which 97 flats have already been sold and 10 rented out mainly to industrialists in Jurong Town. A further eight units are awaiting acceptance by recent applicants, leaving a balance of 22 flats yet to be allocated. With regard to the second part of the Member's question, I understand that the total cost of a low-cost 5-room flat at Boon Lay Garden is $35,100 of which construction cost accounts for $29,900, land and financing costs $3,400 and architectural and engineering fees. $1,800 and some contribution to administrative costs. The flats are being sold at $35,000 each. Each flat has a floor area of 11 8.7 sq metres. Six blocks of 360 units were balloted in February this year. Because of a number of rejections, 25 units are still to be allocated. Another three blocks consisting of 1 80 units will be balloted this month, amongst 128 applicants now on the waiting list.”
“Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time." Under the existing provision of the Parliamentary Pensions Act, a Backbencher, who previously held the office of Prime Minister or a Cabinet Minister for a period of not less than three years and has completed nine years' reckonable service and has attained the age of 45 years or upon his attaining this age, shall be granted a pension calculated on his ministerial pay and the allowance received by him in respect of his service as a Member of Parliament. It is proposed in this Bill to exclude the M P allowance in such a computation as the Backbencher concerned, whilst having ceased to hold the office of Prime Minister or Cabinet Minister, is still a Member of Parliament and therefore should not have the element of the MP allowance calculated in his pension. Section 5 (2) of the Act is therefore being amended to provide for pension to be computed only on the basis of his ministerial pay. When he finally ceases to be a Member of Parliament, section 4 (3) of the Act as it stands will enable his pension to be re-computed, taking into account his allowance as a Member of Parliament. Sir, I beg to move. Question put, and agreed to. Bill accordingly read a Second time and committed to a Committee of the whole House. The House immediately resolved itself into a Committee on the Bill. - [Mr Hon Sui Sen]. Bill considered in Committee; reported without amendment; read a Third time and passed. RECLAMATION AT PULAU RENGGIT 3.07 p.m.”
“Mr Speaker, Sir, I beg to move, "That the Bill be now read a Third time." Question put, and agreed to. Bill accordingly read a Third time and passed. ADJOURNMENT Resolved, "That Parliament do now adjourn." -[Mr Hon Sui Sen] Adjourned accordingly at Four minutes to Five o'clock p.m.”
“Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time," The purpose of this Bill is to provide statutory authority in accordance with clause 2 of Article 85 and clause 2 of Article 87 of the Constitution of Singapore for additional provisions to meet expenditure in excess of the provisions authorised by the Supply Act, 1975. These additional sums have been scheduled as Supplementary Estimates which have been considered and approved by the House as Command Paper 2 of 1976. Sir, I beg to move, Question put, and agreed to. Bill accordingly read a Second time. Third Reading”
“Sir, I beg to move, "That the Bill be now read a Third time," Question put, and agreed to. Bill accordingly read a Third time and passed. SUPPLEMENTARY SUPPLY BILL Order for Second and Third Readings read. 4.55 p.m.”
“Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time." In accordance with Article 85 of the Constitution of Singapore, heads of expenditure to be met from the Consolidated Fund, other than statutory expenditure, have to be included in a Bill to be known as the Supply Bill. The purpose of the Supply Bill before Members is therefore to give legislative approval for the appropriations from the Consolidated Fund to meet expenditure in the financial year 1st April, 1976 to 31st March, 1977. The heads of expenditure and the sums that may be incurred in respect of each head are shown in the Schedule to the Bill. These have been approved by the House in the Main Estimates of Expenditure for the financial year 1st April, 1976 to 31st March, 1977 and appear on page 41 of Command Paper No. 3 of 1976. The Supply Bill, when approved, will empower me to issue warrants authorising expenditure up to the amount for each head as shown in the Bill to be paid out from the Consolidated Fund. Sir, I beg to move, Question put, and agreed to. Bill accordingly read a Second time. Third Reading”
“Mr Speaker, Sir, I beg to move, "That Parliament doth agree with the Committee on the said resolutions." Question put, and agreed to. Resolutions accordingly agreed to. SUPPLY BILL Order for Second and Third Readings read. 4.54 p.m.”
“Mr Speaker, Sir, I beg to report that the Committee of Supply have come to certain resolutions. First Resolution reported - "That the sum of $2,611,229,810 shall be supplied to the Government under the heads of expenditure for the public services shown in the Main Estimates for the financial year 1st April, 1976 to 31st March, 1977, contained in Paper Cmd 3 of 1976." Second Resolution reported - "That the sum of $2,610,312,050 shall be supplied to the Government under the heads of expenditure for the public services shown in the Development Estimates for the financial year 1st April, 1976 to 31st March, 1977, contained in Paper Cmd 3 of 1976."”
“The Member's third question was whether the JTC would build flats like the Housing Board where the ground floor could be used by residents for various public functions. I am given to understand by the JTC that the open deck on the ground floor which is similar in design to that provided by the HDB has been incorporated by the Corporation in the 14 blocks of flats now under construction in the Pandan Housing Estate, A similar design will also be adopted in the additional eight blocks of 800 units proposed to be built at Kampong Java Teban. Finally, on the Member's question on coffee houses for Boon Lay Gardens, I understand from the Jurong Town Corporation that the hawker centre at Boon Lay Gardens has now been completed and that the allocation of 65 stalls in the Centre was made last month. In addition, the Corporation is now in the process of obtaining the necessary approval for the conversion of four shophouses into coffee shops or coffee houses which should be ready within the next three to four months.”
“Mr Speaker, Sir, the provision and management of markets, hawker centres, food centres are a very minor part of the Jurong Town Corporation's functions and should not in any way prevent the effective discharge of its primary responsibilities. Markets and hawker centres are desirable social amenities which must form an integral part of the housing environment created by the Corporation for workers in the industrial estates. Since its inception the Corporation has been developing and managing canteens and other food centres in its estates to supplement markets and hawker centres provided by the Ministry of the Environment. From 1973 the Corporation became solely responsible for the development and management of markets and hawker centres in new Jurong Town Corporation estates. This arrangement is similar to that of Housing Board estates. 4.30 p.m. The Member's second question is whether the Jurong Stadium will be opened free of charge to schools and sports associations for practice purposes. This is a matter of administration and, while I do not have the information and I am not really family am with the details of the Jurong Town Corporation, I believe the answer should be in the negative. The charges for use of the Jurong Stadium facilities are already very reasonable. They are about the same as those set by the Singapore Sports Council. The Stadium is being heavily used at the moment for athletic meets and soccer games by the factory workers in Jurong, the Ministry of Defence, and occasionally the schools. This heavy demand makes it desirable, if not necessary, to confine the use of the Stadium to those who are prepared to hire the facilities.”
“Mr Speaker, Sir, since I have not included any increase in TV licence fees in my Budget statement, the Member for Anson may rest assured that I have no plans at this moment or indeed in the near future to increase the existing TV licence fee of $36 per annum which applies to both black and white TV and colour TV sets. As the Member has stated, the Minister for Culture has also made the same statement to the same effect. As regards his suggestion that perhaps I should deny the speculation on taxes which appeared in the press, I would like to say that generally I would not reply to such speculation because by a process of elimination, if anyone makes enough speculations and I reply to enough of them, then he would know exactly what taxes remain to he imposed.”
“Should any taxpaying couple find it more convenient to file separate returns, they may do so by writing to the Comptroller of Income Tax for separate forms. Finally, he has raised the question of increasing the various personal tax reliefs. I have given reasons why this was not possible during the Budget debate last week. I do not propose to take much time repeating them.”
“Mr Speaker, Sir, the Member for Anson has complained about the conditions regarding the implementation of tax relief for dependent parents, c ting the case of a 54 year-old mother who could not qualify for relief because the stipulated qualifying age is 55 years. I am afraid this is the inevitable result where the definite cutoff point is specified, as in this case. If we allow a 54 year-old dependant to qualify, then we shall have next to consider the 53 year-old dependant, there will be no end to claims for special treatment. Of course, if the dependant is handicapped, relief is already available even if the dependant is below 55 years old. On the requirement that the dependent parents must stay with the claimants before relief is granted, I have explained the reason for requiring this when I introduced the relief in 1973. One of the purposes of granting such `relief is to encourage taxpayers to have parents living with them and not left out in dismal isolation, especially in some Social Welfare Home for the Aged. Our Housing Board flats are no longer small. More and more four or five-room flats are being built, and it should not be difficult for parents to stay with their children, This would be in the tradition of the extended family common to Asian societies. This tradition has far-reaching and beneficial social effects and we must do all we can to encourage it. The Member also commented on the income tax return form. I am glad that he has found some improvement in the form. He has, however, objected to the joint declaration by husband and wife on the same form. I assure the Member that a joint return is riot compulsory.”
“Sir, if the requirement can be bought from outside, I think the Central Supplies Department will buy and put them in its stock and supply from this stock to the Government departments concerned. I do not quite understand what difficulty there is. It is like any other central purchasing department.”
“Sir, the Central Supplies Department caters for 574 institutions and establishments comprising Government departments, ministries, schools, hospitals and certain statutory boards. The Department cannot possibly carry stocks of all items that may be required by them from time to time. Currently, it carries stocks of 1.560 items which are commonly in use. Other items are purchased as and when required.”
“Sir, both the Members for Jalan Kayu and Katong have been very helpful. In fact, I have been reading the interviews which our Management Development people have had with them, and I think they are full of sound commonsense. Maybe we should incorporate these comments into courses for civil servants so that they will learn how not to pass the buck. But in some cases even the M Ps have learned that it is not always best to say "no" to members of the public. In fact, when they do say "no", sometimes the public go to their MPs to complain of rudeness on the part of civil servants. I accept the suggestion that the Civil Service Staff Development Institute should have more practical training programmes and that they should be geared to meet the needs of the Civil Service. If Members are interested they should look at the courses which are being run by the Staff Development Institute. Of course, we try to tailor our courses to public needs and if there are any deficiencies in them we will always be happy to accept suggestions for their improvement.”