Khaw Boon Wan
Singapore
“Motor vehicle dealerships and showrooms have been closed since the start of the circuit breaker. As COE bidding is done mostly by the motor vehicle dealers on behalf of prospective owners, the Land Transport Authority (LTA) suspended COE bidding for the months of April and May.”
“Though stressed by the financial pain, they press on with the immediate priority of fighting the virus and supporting essential services. Post-pandemic, we will see how public transport evolves. Will demand for public transport services simply return to the pre-pandemic level?”
“Under our rail financing framework, the Government fully pays for the cost of building new rail lines. In other words, we do not recover the cost of building the Cross Island Line (CRL) from commuters through fares. The CRL project is being implemented and the final costs will depend on tender bids.”
“There are around 5,000 private bus operators with a combined fleet of 13,500 private buses. As we do not track the number of private bus trips and passengers, we do not have data on their carbon emissions.”
“There are nursing rooms at 50% of our bus interchanges. We will provide nursing rooms at all new bus interchanges and integrated transport hubs. For the MRT network, we will provide nursing rooms at all new interchange stations. We will also explore providing such facilities when MRT stations undergo upgrading.”
“Over the last three years, Singapore carriers have reported a total of 20 incidents of food allergies on board their flights. None required the use of epinephrine or emergency flight diversions.”
The complete record
Every one of 2,685 lines we hold for Khaw Boon Wan, in date order, each linked to its source. Free to read, in full, without an account. Page 25 of 54.
“Mr Deputy Speaker, Sir, I beg to report that the Committee of Supply has made further progress on the Estimates of Expenditure for the financial year 2013/2014, and ask leave to sit again on Monday, 11 March 2013.”
“Sir, may I seek your consent to move that progress be reported now and leave be asked to sit again on Monday, 11 March 2013?”
“We will do so partly through cooling measures to nudge the property market down, and partly by seeing if an alternative housing option can be designed. One thing is clear: we are committed to restoring and maintaining the affordability of new HDB flats to the vast majority of first-timer Singaporean households. Their Singapore Dream of owning their own homes, just like their parents, is safe. We will make sure of that. At the same time, with the ageing population and the bulk of the seniors' savings tied up in their HDB flats, we have to press on with more options for the seniors to unlock their assets. I have earlier posed quite a number of questions which we need to find answers to. They are not trivial questions, and forging consensus on what the answers should be will be challenging. But they are useful food for thought, I thought. Post-COS, I agree with Assoc Prof Dr Muhammad Faishal Ibrahim that we should organise several Our Singapore Conversation discussions to explore Page: 153 some of these issues with fellow Singaporeans. I hope some Members can join in such sessions. As public housing impacts the lives and well-being of many Singaporeans, we will need to deliberate over these issues carefully. I invite concerned Singaporeans of all ages to mull over these issues with us. Share with us your worries, fears, hopes and dreams. We hope to hear many views and ideas so as to better inform our housing policies. Let us work on the challenges together, and let us help shape our future housing policies together. Grants for Old Estate with LUP”
“As a Government, how can we help meet newlyweds' aspirations, while also ensuring that they make prudent and sustainable purchases? Fourth, how should public housing respond to the ageing of our population? When our population was young and incomes were rising across the board, public housing was an effective way of sharing the fruits of economic growth. But as our population ages and economic growth moderates, I agree with Ms Foo we have to be much more proactive and creative in working out options to help our seniors unlock their assets in the HDB flats. We have tinkered with the Lease Buyback Scheme, and introduced some right-sizing incentives. What else can we do? Sir, our public housing policies have been highly successful in enabling the vast majority of Singaporeans to own their homes. The opportunity to own homes has not been confined to those in the higher or middle income groups. Low-income Singaporeans, too, have benefited. This is quite unique in the world and our achievement has been the envy and the subject of many studies by many countries. I know, because I receive these visitors almost every other week. A relook is, however, necessary in the light of significant demographic and economic changes. The primary mission of HDB to offer an affordable flat for the majority of Singaporeans will remain unchanged. Fortunately, this is within our control, as we set BTO prices and HDB is the largest housing developer. We have stopped BTO prices from rising by delinking them from resale prices. We can now pause and see what else we can do to bring BTO prices in non-mature estates to, say, around four years of salary as it was before the current property cycle started.”
“Global liquidity and low interest rates since the Global Financial Crisis of 2009 have caused house prices to appreciate sharply, more than income growth. Affordability has worsened. Whilst high prices make homeowners happy, it has caused anxiety amongst young buyers as well as their parents. Some can look to their parents for help, but this may be at the expense of their parents' retirement savings. We will do more to reduce BTO flat prices relative to incomes, and reduce the financial burden of housing on our young. One way is to increase housing grants for families with children to partly improve affordability and reward parenthood, as suggested by Mr Gan Thiam Poh. Mr Ang Wei Neng suggested the same thing, but not looking at it from the parenthood incentivisation point of view. But there may be other ways. However, even as we make new HDB flats cheaper, we must continue to encourage prudence and avoid over-spending on housing, which is a point very well emphasised by Miss Penny Low. So, I agree with her and Mr Yeo Guat Kwang that more must be done to help Singaporeans buy within their means. Higher housing grants must, however, not lead to more people buying larger flat types than they can afford. I hope this is a principle that we can have consensus upon. In the earlier days, a 3-room flat was acceptable to many. Now, I think it is a 4-room flat; some a five-room flat; and some maybe an EC. What can a young graduate couple in the workforce for two years reasonably aspire to? What about a lower income household? Are these aspirations within their means? Will they get into trouble if individual circumstances change suddenly or when Page: 152 the economy heads south?”
“How will any such adjustments impact different groups of Singaporeans with different aspirations and needs? Second, what kind of housing should the Government provide to support future needs and at what size? I heard Mr Pritam Singh talking about this particular aspect just now. I do not have an immediate answer. I think we have to search for the answer together. Over the years, we have widened the range of choices, in terms of flat types and designs to meet a wide range of aspirations. Many are clamouring for HDB to return to basics and its original mission of helping Singaporeans own a basic home. But what does "returning to basics" mean? Does returning to basics mean that we should focus only on HDB flats? Then where should we set the income ceiling for HDB flats? Should we lower it, raise it or lift it altogether? What about the upper middle class? Should we, for example, stop offering ECs, as suggested by Mr Hri Kumar and Er Dr Lee Bee Page: 151 Wah? Does returning to basics mean that we return to pre-2003 days of strict owner-occupation? How will this affect the many retirees who rely on the income from subletting or the younger homeowners who use it to help support their lifestyle? Does returning to basics mean that we return to pre-1989 days when we required HDB flat owners to sell off their flats when they buy a private residential property, as suggested by Mr Hri Kumar? How will this affect the plans of many Singaporeans who aspire to live in a private condominium and use their HDB flat for additional rental income? 6.45 pm Third, how do we ensure the affordability of new HDB flats for a new generation of newlyweds?”
“At that time, we were all HDB first-timers. Having basic, no-frills, low-cost homes was top priority. As Singapore progressed from Third Page: 150 World to the First, the quality of HDB flats has improved dramatically and we have now become a nation of proud homeowners. The majority are HDB second-timers. HDB flats have become significant assets to most Singaporeans. A home is now also an asset. This is a proud achievement which citizens in many other countries could only hope or dream about. We enabled this transformation through several important housing policy changes over the decades. I thought it useful to recount the key milestones. In 1971, we allowed HDB flats to be resold for a profit. Before that, flats could only be sold back to HDB at very low, pre-determined prices. In 1989, we allowed flat owners to retain their HDB flats even when they buy a private property. Before that, they would have to sell off their HDB flats. In 1993, we allowed buyers to take loans based on the prevailing market value of the flat, which allowed sellers to maximise the value of their assets. Before that, housing loans were based on HDB's historical selling prices. In 2003, we allowed flat owners to sublet their flats. Before that, the underlying principle was strict owner-occupation. These policy changes have benefited many Singaporeans. Many were able to upgrade their homes and dramatically improve their quality of life. It has also allowed many to accumulate large nest eggs to fund their retirement needs. Looking ahead, as we may no longer get the same kind of returns from reselling a HDB flat as in the past, how will its role as an asset be affected? If it is likely to diminish, how should we make the adjustments?”
“We should give voice to those in our society who are less well resourced to make their interests, needs and concerns heard. Policies must benefit the larger good. As we make changes, we must be mindful not to throw the baby out with the bath water. We must implement these changes judiciously and with heart. Er Dr Lee Bee Wah, Assoc Prof Dr Muhammad Faishal Ibrahim, Mr Liang Eng Hwa, Mr Pritam Singh, Mr Hri Kumar and Mr Yeo Guat Kwang have made thoughtful comments on this very important subject of housing policies going forward. I listened carefully and thank them all. From their speeches and other comments aired during Our Singapore Conversations, I distilled four issues worthy of deeper reflection. First, at the ideological level, what should be the purpose for building HDB flats? Second, at the practical level, what kind of housing should the Government provide to meet future needs? Third, at the individual level, how do we address affordability concerns of HDB flat buyers, living in a global city with a high-end private property segment imposing upward pressure on mass market private home and HDB resale prices? Fourth, at the macroeconomic level, how should public housing respond to upcoming demographic changes and, specifically, how can we help elderly Singaporeans better monetise their housing assets? Let me elaborate. First, what should be the purpose of building HDB flats? The HDB flat is first and foremost a home, where couples start their lives together, and build their hopes and dreams. This is fundamental. But it is also an asset, which they can use to build a better life in their prime and provide security for their retirement needs. In the early years of Singapore's Independence, homelessness and squatter living were the norm.”
“Second, the days of high economic growth of 7%, 8%, 9% and, hence, strong wage growth are over. As property prices are closely correlated with economic growth, low growth means the huge capital gains that our parents and our generation made through reselling HDB flats will now become less likely. Third, Singapore's population was young and rapidly growing in the past, but future growth will severely moderate. Increasing singlehood and declining birth rates may persist though we will continue to persevere to reverse those trends. This has implications on family formation and household size. Fourth, the biological ageing of our population and the physical ageing of HDB towns will become the dominant themes that shape and colour our community life. HDB estate layout and designs will need to keep pace with such major social developments. In short, our public housing system needs to evolve with the times. Which elements in our current system remain relevant; which require enhancement or strengthening; and which need to be overhauled? If some major changes are Page: 149 called for, how do we implement them without adversely affecting the vast majority of Singaporeans who own those valuable assets and are quite comfortable with the status quo, especially the elderly, which was Ms Foo Mee Har's point about how to further monetise their asset? They will be most worried if their assets suddenly shrink because we bring about some policy to bring the prices down. These are complex issues affecting millions of Singaporeans. While change is necessary to address these challenges, it is important that, in doing so, we do not forget the needs of the silent majority.”
“I heard her – she has advanced very strong arguments on how such families could better support, especially the newlyweds, both financially as well as transmitting important cultural values. I agree with her. I believe there is some demand because some of my residents come to me, too, for such multi-generational flats. But I really do not know how big the demand is. Anyway, I have asked HDB to consider doing so in some BTO developments to test out their demand. If we can, we will try to do one in Yishun. On a separate point, Ms Foo Mee Har spoke about the growth of foreigner enclaves in some HDB blocks. I agree with her that we should avoid such enclaves. Ms Foo suggested that we cap the number at, say, 10% of each block. Let us do some analysis to see if 10% is the appropriate cap. I find that figure a little low; I think it is on the low side. In any case, let us do the analysis, and, in principle, I agree that we should impose one. While we sort out the implementation details, HDB will immediately cap approvals for all new and renewal of HDB tenancy agreements involving non-citizens to one-and-a-half years. Right now, it is three years. We shall halve it immediately. These changes will not apply to Malaysian tenants as they face less integration challenges. Sir, for the rest of this speech, let me elaborate on my second takeaway of involving Singaporeans more in designing housing policies. After 50 years of public housing, it is good to re-examine some old assumptions and re-visit some key policies. I intend to do so, jointly with Singaporeans. For certain, the next 50 years will be different from the last 50. First, home ownership has already crossed 90%. We have probably reached the limit of what is possible.”
“This year, we have increased their options by implementing the new Silver Housing Bonus (SHB) scheme to facilitate right-sizing, and the Enhanced Lease Buyback Scheme (LBS) to support ageing-in-place. But many may still not be aware of the schemes or they may not have accurate information. We will step up public outreach and financial counselling to those who may benefit from these options. To support right-sizing, we are building more studio apartments for seniors and in various towns. I know many are prepared to right-size, provided they do not have to leave their neighbourhood. So, we are introducing a new scheme, the Studio Apartment Priority Scheme (SAPS), and we will reserve half of the supply for seniors who apply for one either near their current flat, that is within the same community, or near where their children live. This is a further enhancement to the current Ageing-in-Place Priority Scheme or the Married Child Priority Scheme which award priority through giving the seniors more ballot chances. The new Studio Apartment Priority Scheme will replace these two priority schemes. This will be implemented from the May BTO exercise. I agree with Dr Teo Ho Pin and Mr Gan Thiam Poh that many multi-generational families prefer to live together or close to one another. That is why, last year, we introduced the Multi-Generation Priority Scheme to allow them to apply in the same BTO project so that they can live close by. More than 60 pairs of families have benefited from it, not that many. But for the 60 families, they were most happy. Er Dr Lee Bee Wah suggested that we go further and build some multi-generational flats, say, with four bedrooms, to help such families live in the Page: 148 same flat.”
“These changes will be implemented from the May BTO launch. We will further help those divorcees who face debarment from subsidised flats, by shortening the debarment period from five years to three years. I think this will help them move on with their lives, especially those with children. As a further measure of assistance, Dr Teo Ho Pin suggested selling balance flats, on a daily basis, as and when they become available. This one I have some problem with because we have been actively clearing our stock of "balance flats" through the various SBF exercises. Currently, there is only a small outstanding stock of about 5,000 flats at various stages of construction. 6.30 pm Page: 147 We will put those nearing completion – and there are about 3,000 such units – to market soon. There are significant benefits in bunching them for sale under SBF. Small batches inevitably attract disproportionately large numbers of applicants, resulting in repeated disappointment and intense frustration. I hope Dr Teo can accept this explanation. His suggestion of giving them on a first-come-first-served basis does not quite work. If you put them on a first-come-first-served basis, it may not reflect the correct order of needs priority. Moreover, if it is based on first-come-first-served basis, when it comes to your turn to choose a flat and if it is a unit that you do not like, you will reject the selection and go back to the back of a very long queue. There will be more unhappiness, I think, if done this way. Third, seniors and retirees. I agree with Ms Foo Mee Har that many of our seniors have significant assets in their houses. This opens up opportunities for them to get some retirement income, for example, by subletting their flats or rooms.”
“This is a diverse group and most of them already have a home, but they are looking for a change, either upwards, downwards or laterally. Their needs vary and, typically, they buy from the resale market as they should. But many have sought to get it directly from HDB. In the last two years, because of our attractive BTO prices, second-timer applicants have doubled to 30,000 in 2012. To help more second-timers, we tripled the second-timer quota in non-mature estates from 5% to 15% in March last year. This has reduced second-timer application rates in non-mature estates significantly, to about 10. Some have difficulties paying the Resale Levy, as commented by Er Dr Lee Bee Wah and Mr Muhamad Faisal. We try to help, for example, by including the Resale Levy in the price for the flat, so that it can be paid for as part of the housing loan. This has to be on a case-by-case basis. So, do appeal if you feel that there are genuine cases of difficulties and we will, as always, try to be as compassionate as we can. This year, we will take further steps to help two vulnerable groups of second-timers. We will double the second-timer quota for 2-room and 3-room flats in non-mature estates from 15% to 30%. This will help second-timers needing to downgrade. I have given priority to those who are looking at smaller units obviously with a view to downgrade, presumably with financial difficulties. This will help them downgrade and address some of their financial difficulties. In addition, in line with Mr Edwin Tong's feedback, we will reserve 5% of this 30% quota for divorcees or the widowed who have children below 16. This will almost guarantee their ability to select a 2-room flat, and significantly increase the chances of those who apply for a 3-room flat.”
“This year, we will maintain the ramped-up construction programme and launch another 25,000 BTO flats. A couple of months ago, HDB announced that they were planning about 23,000 BTO flats. I decided to tell them to up the figure to 25,000 because I wanted to decisively clear the backlog of all married HDB first-timers this year. This will allow us to begin to meet the housing needs of other segments of the population, besides the first-timers. First, singles. While families will continue to be our top priority, singles have housing needs, too. We know this. Currently, singles aged 35 and above can buy resale flats. And each year, about 4,000 do. However, rising resale prices have made it more difficult for them. Er Dr Lee Bee Wah and Mr Lim Biow Chuan spoke about their difficulties and asked that we allow singles to buy new BTO flats direct from HDB. We will do so. We will allow first-timer singles aged 35 and above to buy new 2-room flats directly from HDB to meet their housing needs. These will be singles earning up to $5,000 per month as they face more financial difficulty owning a home. These new flats will be built in non-mature estates. In order to keep the prices down, it will come in two sizes – 35 sqm and 45 sqm – and we leave it to them to choose according to their needs and budget. A couple of other important details are still being finalised. For example, how much should we subsidise the flats, as compared to married couples? What should the relative priority be between singles and married couples applying for these flats? We will settle these outstanding issues as quickly as we can, so that the first batch of eligible singles can apply in the July BTO launch, most likely in Sengkang. Page: 146 Second, second-timers.”
“Interest rates now are extraordinarily low, both globally and in Singapore. They could return to the norm quickly. An increase of two to three percentage points, which is conceivable, could increase mortgage payments by up to 40%. If homeowners fall behind on their mortgage payments, they could lose their homes. This had happened to many Singaporeans not too long ago. We will do all we can to prevent a property bubble because no one benefits and many will be hurt when a property bubble bursts. We continue to watch over the property market and will harden the cooling measures, if necessary. Lastly, we increased access to public housing. We raised the BTO and EC income ceilings in 2011. Eight in 10 households now have access to new, affordable flats directly from HDB. As we reduced the first-timer backlog, we tripled the second-timer quota for BTO flats in non-mature estates last year. We Page: 145 share Er Dr Lee Bee Wah and Mr Hri Kumar's concerns on ECs, and, in January, we tightened the EC Housing Scheme to nudge it back to its original policy intent. I am ever ready to tighten the scheme further if necessary. So, this is, briefly, the progress in two years. I think the immediate phase of fire-fighting for first-timers is over, but there are still some hotspots to tackle. The temperature has come down a few notches, but it is still uncomfortable, I know. The progress has, however, gained us some breathing space to take a pause and review the priorities for the next two years. In addition, I am taking the opportunity of this COS to begin the process of a public discussion on our longer term housing policies. Let me first discuss the housing work plan for this financial year, my third year in MND.”
“Unfortunately, Channel NewsAsia chose to forget about the main part of the Page: 144 story but focused on this $900,000 unit, which, obviously, is an outlier, and is in a resale market, which is beyond my control. So, I hope the media can help us here. I think we are in a collective exercise here. I think nobody wants the property market to continue to escalate and build up a possible bubble. Nobody will benefit. So all of us are in this boat together. We want to calm down the property market. The way The Straits Times reported on this story had a calming effect. The way Channel NewsAsia did so, unfortunately, had an alarming effect and should not be repeated. Third, we acted to curb speculative demand in our property market. Sub-sales, as a proportion of all private housing sale transactions, have fallen to 7%. We have gone on to curb investment demand, especially with the recent cooling package. It is still early days, but we observe that some developers have lowered their prices. Most analysts expect the measures to impact both sale volumes and prices. These cooling measures are necessary as we do not want Singaporeans to over-stretch and expose themselves to unforeseen changes in the property market. Yesterday, hon Member Ms Tan Su Shan gave a good speech when she talked about her worry of a double-whammy in the property market. She is worried that if there was this perfect storm or double-whammy, that is a global economic slowdown and interest rates go up, then what will happen to those who go in now, hoping to buy their second or third property as investments and hoping to make a killing? They may get killed in the process because we are vulnerable to external shocks, such as a global economic downturn or a rise in interest rates.”
“We will assess it by examining, for example, the Resale Price Index. He also asked about how we compute market discount. This is not difficult to calculate because the resale prices of most flat types are widely available. In fact, we publish them on the HDB website. But, of course, it is not so easy comparing two flat units because local characteristics have to be factored in. So, there is some subjective element – is it near to MRT; is it not; which level – is it level 15 or level 40, and so on. I think those are the adjustments that one needs to make. In the last two years, 38,000 HDB first-timer families have benefited from this new pricing policy. The attractiveness of the new BTO prices has been noticed. Almost all HDB first-timers now buy their new flats instead of resale flats. This is quite a big change. In the past, it used to be more bought direct from resale market because they are immediately available. Now, almost all got it from us. This has diverted significant demand from the resale market and has helped to moderate the rise in resale prices. But we know that this is not enough to tame the resale market because resale flat prices, like those of private properties, are determined by the market and they are heavily influenced by market sentiments. And this is where the media do play a role to guide the sentiments. Mr Ang Wei Neng mentioned a Channel NewsAsia report last night about some $900,000 resale flat units. Yeah, I was watching the news and I noted it, too. So, this morning, I flipped through The Straits Times to see how it reported on the same story. It correctly highlighted that resale transactions have plunged, which is the main story.”
“We can easily adjust the quota in order to achieve the purpose of clearing the backlog. To me, this is the clear ranking priority which I think is fair. Those who are already married and with children, we will try to give them their flats as fast as we can. Those who are married but do not yet have children, give the flat to them and then they have to deliver the "deal", which is the baby, next year! And then, those who are not married yet, get them to get the keys to their flats quickly, get married and have babies. 6.15 pm We have complemented the PPS with the PPHS. This provides an additional housing option to first-timer married couples with children who need to rent while they await completion of their new HDB flats. And the "father" of this scheme is Minister Lim Hng Kiang. He proposed this to me a couple of years Page: 143 ago and I kept it in mind. So, now the "baby" is delivered. The scheme has attracted 200-plus applicants. All the 200-plus families can soon move into these interim flats after they have been retrofitted. Mr Yeo Guat Kwang suggested that we extend the scheme to married HDB first-timers without children. As we still have a few hundred vacant units, I am able to say "yes" to Mr Yeo. In other words, all married HDB first-timers, with or without children, will be eligible for such interim rental flats, while they wait for their new flats to be completed. In the process, if demand were to exceed supply, we must still give priority to those with children. Second, we stabilised BTO prices by de-linking them from the resale market. This is done by increasing subsidy and keeping BTO prices steady, even as resale prices go up. We are committed to continuing it until the market stabilises. Mr Giam asked what I meant by stability.”
“Page: 142 The full impact will kick in from next year, when 50,000 units are completed, followed by 54,000 units in 2015 and 63,000 units in 2016. For public housing specifically, the ramped-up programme has statistically cleared our backlog of married HDB first-timers. With 15,000 marriages each year, family formation is well within this building programme of 25,000 per year. But some of them have lost out during balloting to couples yet to marry under the Fiance/Fiancee Scheme, who outnumber them in BTO applications. We are correcting this through the PPS. In the recent exercise for non-mature estates, most of the 600 married HDB first-timers with children who applied will get the chance to select one. Mr Seah Kian Peng proposed that we should extend PPS to pregnant mothers. I agree and we can do so from the May BTO launch. By the way, Mr Seah was the first who suggested giving housing priority to young couples with children – this was some three years ago. I would like to record his role as the "father" of the PPS. I am just the "midwife". After we have cleared this backlog, we will extend the scheme to cover those already married but without children yet. I hope to be able to do so next year. Mr Gerald Giam asked whether, when we do this extension, the quota will be amended. Yes, certainly. Otherwise, we would not be able to clear the backlog of the targeted population. Just to share with Members, if we look at the profile of the BTO first-timer applicants, it is quite interesting. From memory, about 55% are not married yet. These come under the Fiance/Fiancee Scheme. That was what I meant when I said that they outnumber the married couples. Those with children form about 20%; and those married but not yet with children, the remaining 25%.”
“Sir, as Members can see, my portfolio is not an easy one, but I do enjoy the many cuts inflicted on me and the many speeches. It is an important Ministry because millions of people's lives are affected – where they stay. If I can make a little contribution to make their lives better, I do not mind a few more cuts. This is my second MND Committee of Supply (COS); I have been here almost two years now. I think we have achieved a few things. So, to the many cuts, I have some answers. But to many others, I do not have the answers yet, but I would share with Members how I think we can go forward on them. Sir, we had an intense debate in Parliament just last month. Let me share my two takeaways. First, Singaporeans continue to be unhappy with the current infrastructure crunch, including the housing imbalance. We are addressing this aggressively. Second, Singaporeans care deeply about Singapore and its future. They want to help build a vibrant and inclusive Singapore for future generations to come. We will facilitate such participation. In the area of housing, I will involve fellow Singaporeans in working out some housing policies together. Let me elaborate on these two takeaways. First, the current housing imbalance. It is temporary and, given sufficient time, can be solved. This, I am confident. As I have said, I have been in MND for almost two years. So, I thought I would use this occasion to report to Members on the progress in these two years. First, we increased supply dramatically. An exceptionally large number of new homes are currently being built. We will begin to feel the impact this year when 30,000 units are completed and families get the keys to their new homes.”
“The proportion of households with HDB loans in mortgage arrears of three months or more has steadily decreased over the past three years – from 6.0% (22,900 cases) at the end of 2010, to 5.6% (20,400 cases) in 2011, and 5.2% (18,000 cases) in 2012. These flat owners could have fallen into arrears because they over-stretched their finances, or suffered a reduction in income due to loss of job or illness. HDB's Housing Counsellors in the Branches provide financial counselling and proactively help owners in mortgage arrears by tailoring solutions to their circumstances. For flat owners in temporary financial difficulty, HDB will work out short-term measures, such as reducing or deferring their mortgage instalments for a period of time, or working out an instalment plan to repay their arrears. HDB may also advise flat owners with spare bedrooms to sublet the rooms for additional income, or refer them to Community Development Councils for employment, financial or social assistance. For flat owners who can no longer afford to keep their flats, HDB will help them explore longer-term solutions. For example, they can include their children as joint owners to help service the loan. They can also consider selling the flat and moving to a smaller one. If necessary, HDB can offer them another loan to buy a smaller flat.”
“The Lease Buyback Scheme (LBS) was introduced in 2009. To date, 471 households have taken up the scheme. We recently enhanced the LBS and introduced the Silver Housing Bonus (SHB) to provide additional monetisation options for lower-income elderly households. The Enhanced LBS and SHB were implemented on 1 February 2013. We are now answering queries and providing financial counselling on the two schemes.”
“The National Parks Board will carry out some minor upgrading works at Pasir Ris Park this year. The works include improvements to the playground, drainage system, footpaths, turf and other park equipment Page: 88 and facilities. In the longer term, the proposed coastal Round Island Route will link Pasir Ris Park with the Punggol Waterway, Changi Beach Park, Changi Boardwalk and the Eastern Coastal Loop of the Park Connector Network. When completed, it would diversify and enhance the park and recreational experience for all Pasir Ris residents.”
“The footbridge is maintained by the LTA on behalf of the Community Improvement Projects Committee (CIPC). If the Potong Pasir Citizens' Consultative Committee (CCC) wishes to install lightings on the footbridge, it may tap on the CIPC budget allocated to it. The CCC may appoint the LTA as its implementing agent.”
“Since the Revitalisation of Shops Scheme was launched in 2007, nine sites have completed the upgrading works. Based on the tenders awarded, the costs have remained stable. The current funding cap for the scheme is, therefore, still appropriate and HDB has no plan to revise it. Page: 146”
“We have to be a thriving city in order to be a country for our people, a home where our children can have a bright future. We are maturing as a people and as a society. Having met basic needs, our people are rightly yearning for a more meaningful life, a better work-life balance, a smarter work life with quality time for family, friends, leisure, sports, arts. Our parents and my generation, we all slogged hard because we were poor and we wanted a better life for our children. We have no work-life balance; we had no work-life balance; we still do not. In fact, we did not even know of such a concept then. We made sacrifices so that our children can have a better life. That is why we plan long term, try to anticipate future problems and try to nip them in the bud. That is why we put out these two reports, because we know if the demographic challenges are not dealt with properly, our children will suffer. We cannot simply pretend that these challenges do not exist. We cannot Page: 104 simply pass them to future generations to deal with. I think that will be totally irresponsible and it is certainly not our style. This Government is and will always be on the side of Singaporeans. The scenarios sketched in the Population White Paper are not blindly pro-business or pro-growth. It is you; it is us, Singaporeans; who are at the centre of our planning, centre of our policies: your well-being, your security, the quality of your lives. People first, not growth first – that is the key thread which runs consistently through the two Papers. Please read them closely and see for yourself [Applause]. 5.24 pm”
“The CBD, the eastern wing, the western wing and together offer scope and opportunities bigger, greater and much more than Marina Bay. It is an exciting – or as the young people like to say "awesome" Page: 103 – vision, and it is totally within our grasp. What I do not know is whether I will live to see it completed. But I take comfort to be able to make my little contribution to creating this option for our future generation of Singaporeans. Our long-term options include expanding our underground space and the uses within. Some of these options are still costly. But I respect technology, there is bound to be technology breakthroughs in the next few decades. As a first step, we will carry out a geological survey to understand better our underground rocks and their suitability. Recently, I went underground. I visited the Jurong Rock Caverns, at 130 metres below sea level, not quite to the centre of the earth. It provides very good storage spaces for liquid hydrocarbons; it frees up valuable land; many hectares above ground. But what else can we do underground? I am chairing an inter-ministerial "underground" committee to study and coordinate underground developments. It will be totally legal, do not worry. We will try to maximise opportunities for Singaporeans going forward. Mdm Speaker, two very substantial documents are being debated in Parliament. Many pages, much data, many statistics, but they are not about numbers. They are all about us, our future, our quality of life. In the next phase of our development, we are striving for quality: quality living environment, quality work-life. However, we must always remember that Singapore, being a country in a city, informs every aspect of our planning.”
“For the biannual stress test, the doctor requires me to pump the heart up to 165 beats per minute; 165 is way above my daily exercise 125. But this will enable the doctor to check how my heart functions at a heightened stress level. If my heart functions well at that heightened level, then presumably I should be okay for normal activities. This is the same approach with infrastructure planning. We need to stress test our long-term infrastructure plan to ensure that it will be robust. Frankly speaking, nobody knows, nobody can tell what the world will be like after 2020, let alone 2030. Though we cannot be sure how the future will be like, we can create options for our future generation. Then they can decide what they want to do with the options, to create the kind of society that they want. Creating more space will provide them with such options. Many agencies are working together to create such options. They include reclamation of new areas and recycling of existing land for other uses. For example, after we decant the port facilities at Tanjong Pagar, Pulau Brani, Keppel and Pasir Panjang to Tuas, we will free up large tracts of waterfront land near the city to create the southern waterfront. This will allow us to create yet another growth corridor, even bigger than the Marina Bay District. This will further expand our city centre and free up valuable space there for housing, offices and jobs. Mdm Speaker, the Marina Bay District which everyone can see is the eastern extension of our CBD. The development is far from complete. We are probably halfway there but you can already see the transformation effect it has on our city, on our downtown and on Singapore. The southern waterfront will be the western extension of the CBD.”
“This is a major shift in planning and development strategy, to invest ahead of demand. It will be more costly. Public transport, especially trains, is a big ticket item, requiring multi-billion dollar investments and taking years to build. For a new town to be liveable, we need the trains and buses to be readily available. But it is not just buses and trains, we also want hawker centres, clinics, playgrounds, schools, childcare centres, parks, barber shops, and so on to be available to serve our residents soon after they move into their HDB flats. Physical facilities we can build. That is easy. But getting the service providers and merchants to start their business from day one, that is more difficult. We will try to incentivise them to do so. Madam, the current mismatch in infrastructure provision and overcrowding has been painful for Singaporeans and for us, the planners. We were caught Page: 102 wrong-footed and we caused Singaporeans much discomfort. That is why this time round, we have to plan infrastructure based on the stretched scenario of 6.9 million. We hope we never reach that level. However, for long-term planning, I think it is safer to prepare enough land and infrastructure for a larger number. Madam, after my open heart bypass surgery, my doctor requires me to do regular biannual heart stress tests on the treadmill. You see, my resting pulse rate now is 68 beats per minute. It is almost athletic but not because I am athletic. It is because of my medicine. For my daily exercises, the physiotherapist requires me to pump up my heart, but not to exceed 125, and to sustain it for at least fifteen minutes, which I do daily. As Members know, I am a very disciplined chap. This should hopefully keep my heart in good condition.”
“But we are improving the estate layout, the common spaces, the Page: 101 air flow, the height relationship between buildings, the landscaping, the greenery and the connectivity between spaces. In particular, the layouts must promote greater community interactions. In Our Singapore Conversation, many Singaporeans have spoken about the good old days, the kampong spirit and they wish that the kampong spirit can be rekindled. I totally agree and I will do my best to support that wish. We have moved from third world kampong to first world apartment living, but we must never lose our good old kampong spirit, of caring for one another and watching out for one another. We will create as many communal spaces as possible for our residents to meet and interact. And, of course, we will also support interest groups, such as those interested in community gardening or urban farming. We will also actively involve the local residents in the planning. As one recent example, Tampines is planning its Tampines Town Hub. And People's Association (PA) is taking the lead in this development. Over six months, it carried out extensive consultations, discussions, focus groups with 15,000 residents where they shared their hopes, ideas and dreams. Some of the suggestions are included in the final design by the architects and this is the right approach. Fourth, we have learnt a valuable lesson from our infrastructure problems today. It is an important reminder for all of us to plan ahead and invest in the infrastructure in a coordinated and timely manner. We will do our best not to allow our population to surge ahead of our infrastructure again. What we must do is to build infrastructure ahead of demand, and where possible, we will also build in a buffer so that we can respond to unexpected needs.”
“The common green area in each precinct is centrally placed, at the foot of the HDB blocks, so that residents can have wonderful views and direct access to the greenery. They are also designed to keep cars away so that it is pleasant and safe for residents of all ages to enjoy. This common green is supplemented by gardens and gathering spaces on the rooftops of the multi-storey car parks. These pleasant outcomes are achieved, despite a higher population density. We have received many visitors and they are all impressed. They are especially struck by the playgrounds and the children playing happily there. That is the real test. Are children happy there? And there are many. The green areas, the playgrounds, the fitness centres and the seniors' activity corners are always bustling with activities at their respective peak hours. These features are further complemented by the beautiful Punggol Waterway. So, what is our future? It is not to be a concrete jungle. It is to be a City in a Garden. It is to be Punggol, multiplied by many times. And the best is yet to be. HDB has completed the preliminary planning of Punggol North. The models and the plans have been in HDB Hub for several months now for public viewing. They have been very well received by both experts – architects – and laymen. I have received many emails from architects, city planners – Singaporean architects – who come to tell me how impressed they are with the Punggol North plan. The planners are now working on Tampines North, Bidadari and Tengah, which will incorporate fresh ideas for better living. They will be awesome. Let me add that these new plans are not to make HDB flats more luxurious. HDB flats will always be cost effective to build and to maintain. That is our key design brief.”
“You have to carry your bicycles, up the bridge, and cross the highway. It is very troublesome. But we will improve on that. And by 2030, at least 85% of all residents will find a park within 400 metres of their homes. Where possible, we will infuse our tall buildings with lush vertical and rooftop greenery. Despite urbanisation, Singapore will remain rich in biodiversity. Apart from our parks, we have conserved a significant and representative part of our native biodiversity. However, we cannot protect every local green area. Some are slated for development and, in time, will need to give way to other uses. It is painful, I know, for the local residents. Actually, it is more painful for us in MND. Page: 100 We seek your understanding but, overall, we will maintain about 9% of our land for parks and nature reserves. This is highly significant for a small urbanised city. Both natural and built heritage are important to us. That is why we will continue to retain buildings and structures which are of significant historical, cultural and architectural merits wherever possible, even as we develop. Third, we can justifiably take pride in our public housing programme. It is truly the best in the world. And we intend to keep it that way because the vast majority of Singaporeans live in HDB towns. The next generation of public housing will be even more comfortable and better designed. When you have the time, please take a walk – I will be happy to organise it and accompany you – through the HDB precincts in Punggol South. And see for yourself how we have carefully planned, designed and integrated the common areas, the greenery, the open spaces and recreational facilities.”
“Singaporeans know that we are a little red dot, we have no mountains and we have no lakes, but we still get to enjoy the lush greenery, the clean air, the blue sky, and our HDB flats are superior to most of the apartments in Hong Kong, Tokyo or New York. We will not let our quality of life go down. On the contrary, we want to continue to be able to raise our quality of life. We are confident we can achieve this. First, we have the advantage of starting from a strong foundation. By most measures, Singapore is more liveable than many other cities with lower population densities. From the time that Mr Lee Kuan Yew led Singapore, our policies have always focused on good planning to ensure liveability. We take this as key to Singapore's survival as a city-state. With better resources and deeper experience, we can do even better than today to ensure Singapore remains highly liveable. Second, we are determined to make Singapore a City in a Garden. What does that mean? It is to bring nature into our urban spaces. It is to create oases of calm and peace for us to enjoy and relax in. We have made access to green and blue spaces a top priority. Within this decade, our park connectors will double in length to 360 km, as we progressively develop the Round Island Route. As you know, I have been cycling. I wanted to cover the entire park connector because it is under my Ministry. My interest was not for leisure. My interest was to look out for little gaps in between because I wanted the park connector to provide a truly seamless, pleasant experience. It is not quite so yet for some of the routes. By now, I have cycled about half of the 180 km. And there are some routes where, as I said before, it is really "teruk".”
“A 3-room flat in Choa Chu Kang costs an average of $160,000; a 4-room flat at $260,000; and a 5-room flat at $340,000. These prices were similar to the earlier BTO launches in Choa Chu Kang a year ago. Prices are not identical so it is not a straight horizontal line as every BTO launch is unique, with some local differences. But by and large, you can see we have kept the BTO prices steady, even though the resale prices had risen. Similar observations can be made in other non-mature estates. I will continue this pricing practice until the resale market stabilises. In addition, we have implemented several rounds of property-cooling measures. We are determined to tame the property market, especially the HDB resale market. We think the recent cooling measures will make an impact. And, if necessary, we will do more. For the longer term, we have reserved sufficient land to develop another half a million housing units. If fully realised, this will increase our housing stock today at a proportion nearly double the projected population growth. This is the kiasu approach, to give us plenty of buffer. We may not need to build as many units as projected but we can take comfort from our planners' assurance that we will have more than enough land to build new homes for all Singaporeans, and to keep housing affordable. Another concern of Singaporeans is their quality of life. With increasing density, will our quality of life get worse? This is a very important and totally Page: 99 valid concern. We have always taken pride in our high quality of life. Singaporeans travel and they have seen how other people live, in Hong Kong, in Shenzhen in Shanghai, in Tokyo.”
“That is a lot of flats, because new Singaporean family formations do not exceed 15,000 per year. I am into Year 3 of this ramped up HDB programme. Statistically, we have cleared the backlog of the first-timers. While there are still many BTO applicants, most of them are not yet married, they are applying under the Fiancé-Fiancée scheme. As flat allocation is conducted through balloting, some married couples do lose out to the not-yet-married couples. That is why we introduced the Parenthood Priority Scheme to put the first-timer married couples ahead, starting with those with children. And once we have cleared this backlog, we can easily extend the scheme to married couples without children. Parenthood Priority Scheme can then morph into Pre- Page: 98 Parenthood Priority Scheme. It is still PPS in acronym. This will affect the not-yet-married couples, but not too much because of the huge number of ramped up new flats to be launched. In short, young Singaporeans – please, do not worry. There will be enough flats for everyone and you will not have to wait too long. And once the current backlog is cleared, we will start to build up a meaningful stock of unsold HDB flats to meet the needs of couples who may need housing urgently. But I know Singaporeans remain anxious about prices. They see the prices of resale flats continuing to rise. And as BTO prices are pegged to resale prices, they worry about affordability. Again, do not worry. I have suspended the practice of pegging BTO flats to resale prices. And that is how we have stabilised the BTO prices: increasing the Government subsidy when resale prices rise, instead of following the resale prices up. Let us look at last week's BTO launch.”
“But we must also learn from this and be clear Page: 97 about the need to plan and to build ahead of demand, so that we will not be caught again with another infrastructure crunch like this one. We are making progress in relieving the strains we felt today. Transport Minister Lui Tuck Yew spoke about transport yesterday. Let me talk about housing. As I speak, around 200,000 homes are being built. They will be ready during the next four years. One hundred ninety seven thousand five hundred and fifty nine new homes by 2016. "197,559" – I think my 4D friend will know what to buy. That is not all. We will continue to launch more BTO flats, more ECs and land sales for private condos, for as long as demand remains strong. There is enough land for such new homes to be built. Within the next few years, new areas at Punggol North, Tampines North and Bidadari will be available for new public housing. To complete the ramped up construction programme, I do need more construction workers, more than currently available. And that is why yesterday I was shocked when I heard Workers' Party's recommendation that we freeze the foreign worker population, immediately and for eight years. That is throwing a spanner into my building plan. I will not be able to deliver the new flats as promised to 200,000 families. On behalf of these families, I ask Workers' Party: please rethink your idea and your approach. Please spare a thought for them. They are our people, fellow Singaporeans too. And many of them are making plans to quickly have the keys to their homes so that they can set up family and have babies. Please do not disrupt their plans. Anyway, I have ramped up BTO supply to about 25,000 flats per year.”
“As Members heard from some speakers before, we will be ageing even faster than Japan. Those of you who have visited Japan have seen it with your own eyes. It may not be visible in Tokyo, but the signs of a shrinking, ageing society are everywhere outside of the cities. Tokyo is still growing because the young Japanese are migrating from their villages in search of opportunities there. But Singapore is not like Japan because our city is our entire country. So, lack of opportunities in Singapore means our young must go overseas to look for them. And this will not be good for the young; this will not be good for the old who will end up having to age at home alone. An ageing and shrinking population cannot be the backdrop of our future. Instead, our future must be a picture of continuing dynamism and opportunities, with fresh ideas, new blood and global relevance, and the seniors happy and well-engaged. The approach and the choices we make today to address this coming crisis will shape the future of all our children. It is precisely because this is such a grave issue that we need to discuss it openly, frankly and rationally. Yes, it is a highly emotional issue but this is a moment in time when all of us need to use both our heart as well as our head. It would be irresponsible of us otherwise. And that is why we have tabled the two Papers, so that we can have a full, honest and open debate to keep our people informed and to hear diverse views. We are alive to the present unhappiness over the crowdedness in Singapore, especially in transport and housing. The congestion we experience today is real. Deputy Prime Minister Teo has explained the circumstances leading to this situation. We are not happy with the status quo. We are resolute in addressing these concerns.”
“Mdm Speaker, I rise in support of the Motion standing in the name of Deputy Prime Minister Teo, and further enhanced by Mr Liang Eng Hwa through his proposed amendments. Last week, a friend of mine who buys 4D regularly told me that the number "6569" was hot. In Hokkien, they say "ang-ji", "red hot". I asked her, "Why?" She said, "Don't you know, Government says 6.5 million - 6.9 million people." That is how she has distilled the two heavy documents into one single number! She is not alone. But at least, she took the news in a light-hearted way. Many Singaporeans have not taken it so calmly. Many Members have conveyed their very strong sentiments that Singaporeans are upset. We know. Then why are we moving such an unpopular debate? Indeed, why is the Government, well aware that Singaporeans are already upset with overcrowdedness, still insisting on planning for a growing population? Page: 96 Deputy Prime Minister Teo has explained why. Basically, we have a severe crisis heading our way. Our Singaporean population is ageing rapidly and our labour force will soon shrink. If nothing is done, there will be less job opportunities for our young and not enough healthcare workers for our old. That is the crisis that will confront us in the next 10 to 15 years, which is not far away. Two or three terms of government, that is all. We cannot avoid it but we can mitigate it, if we do something about it now. If we sweep the problem under the carpet and wish it away, it will not go away. It will still be there and, if anything, it will become more serious and may become not soluble. This is not a theoretical construct. This demographic crisis confronts every country and Japan is a live example because it is ageing the fastest.”
“There are 18 golf courses in Singapore. They occupy 1,500 hectares of land, or about 2% of our total land area. There are no plans to offer more land for golf courses. In fact, as our land demands increase in the coming years to support population and economic growth, we will need to further optimise the use of our limited land. In this regard, some of the land currently allocated for golf course use will have to be put to more productive uses. The Government will be able to do so progressively because all golf courses are on leasehold land, with a majority on 30-year leases.”
“The Government retains the naming rights of public buildings, roads and other key public infrastructure. It does not sell these rights to private organisations or individuals. Some public buildings or roads may be named after organisations or foundations to recognise their significant philanthropic or other contributions to Singapore. Government agencies have involved the public in the naming of the infrastructure they own. For example, "My Waterway @ Punggol" and "Rail Corridor" were names that were adopted after public consultations. Proposed names are submitted to the Street and Building Names Board (SBNB) for evaluation and adoption. Besides ensuring that it provides clear Page: 154 directional cues to the public, the selected name should seek to reflect the character of the place. The historical and cultural contexts of the surroundings are, therefore, important considerations.”
“Town Councils fund their operations mainly through their collection of Service & Conservancy Charges (S&CC). Over the last three years, MND disbursed around $110 million in grants each year to Town Councils. Page: 144 This has helped Town Councils to offset some of their operating costs, and to mitigate the impact of past GST increases. The Town Council Management Report (TCMR) is to provide residents with objective information about the key areas of estate management. It helps to facilitate discussions between residents and their Town Councils on how to improve the upkeep of their estates. The 4th TCMR showed that most Town Councils performed well in estate cleanliness, lift performance, S&CC arrears management and corporate governance. However, under estate maintenance, seven out of 15 Town Councils were rated "amber". Hence, estate maintenance is an area for improvement that Town Councils should focus on. In particular, the obstruction of common areas was the most common observation, accounting for 36% of the total observations made. This is serious as obstructions of the common areas caused by cluttering or placing bulky items along the corridors are potential fire hazards, and may hamper evacuations during emergencies. A safe and pleasant living environment in our housing estates can only be achieved through the joint efforts of both residents and the Town Councils. It is in this spirit that Town Councils and residents should approach the TCMR results, and work hand in hand to address the issues brought up and shape the way forward for their town.”
“Most Lift Upgrading Programme (LUP) projects are completed ahead of schedule. Last year, 12 projects were, however, delayed. There were three main causes for the delay. First, mid-way through some projects, the residents asked to modify the scope of work and for additional items to be included. Second, while the projects benefit most residents, they may affect some residents, for example, in blocking their view. Additional time was then required to consult the affected residents in order to resolve such competing interests among residents. Finally, in some projects, the service providers encountered some unforeseen site constraints and took more time to complete the underground services diversion works. In all such situations, HDB will work with the contractors to minimise the delay. As a last resort, HDB may have to seek the Working Committee’s approval to revise the Estimated Completion Date. Residents will then be informed of the revised date and the reasons for the revision.”
“Mdm Speaker, HDB's housing subsidies, grants and priority schemes for new flat allocation are generally designed to help all eligible home buyers, whether they have children or not. To encourage child birth, we have a separate Marriage and Parenthood (M&P) package which has just been significantly enhanced. When the M&P package is next reviewed, we Page: 37 can think about the two and other proposals.”
“Mdm Speaker, as I said, there are several ways to help deserving cases. Reducing and waiving interest is one. Incorporating the levy into the price of the new flat so that they can then subsequently pay by instalments or out of their CPF is another. We have used either approach quite frequently. We have to look at individual cases.”
“Madam, yes, indeed, there are some families where the resale levy has become a barrier. These are essentially those who sold their flats quite some time ago when the levy was computed based on a certain Page: 12 formula. The formula was revised in 2006 and it is now a fixed quantum. It is hard to harmonise both formulae because many have paid using the old formula. If we apply the new policy, it would not be fair to all those tens of thousands of people who had paid based on the previous formula. But we try to be as helpful as we can. So, upon appeal, we have approved many such cases. We will have to take into account family situations and circumstances. There are many ways to help them. Sometimes, we reduce or even waive the interest charges. If the transaction happened many years ago, the interest charges can be very large. That is where we try to help.”
“On average, HDB collected about $22 million of resale levy per year. The number of appeals to waive or reduce the resale levy averaged about 2,900 per year.”
“Madam, the Member has not heard wrongly. Both statements are correct. We take into account the resale price and then we apply a discount. And we further give an extra grant. In recent months, when I say delink the new flat price from the resale price, the meaning of delinking is I vary the discounts so that the prices can remain steady.”
“Madam, we build new flats to meet the housing needs of citizen families, especially those applying for HDB flats for the first time. Only citizen families are eligible to apply. They are heavily subsidised so that these families can afford them. This is to meet the strategic intent of helping Singaporean families own their homes. The core principle for pricing these new flats follows from the strategic intent: their prices must be affordable for these families. In operationalising this principle, we set the price by taking into account the typical household income of these families, the market price of similar resale flats in the vicinity and the attributes of the flats, including their size and location. We apply a substantial price discount to ensure that the flats will be affordable. In addition, to give eligible first-time home buyers a leg-up, we provide them with significant housing grants of up to $60,000. In this way, first-timers who buy new flats in non-mature estates will find them affordable. The quantum of the price discount and the size of the housing grants are within our control. By varying them, we ensure that we achieve the strategic intent of helping Singaporean families own their homes. Page: 11 Er Dr Lee Bee Wah (Nee Soon): Thank you, Mdm Speaker. If I heard correctly, the Minister mentioned just now that the resale price of the flats in the vicinity is taken into consideration. I thought the Minister mentioned recently that the price of the new BTO flats has just been delinked from the resale price. May I have a comment from the Minister, please?”
“About 400 flats which are owned by Permanent Residents (PRs) who concurrently own a private property are not owner-occupied. Presumably, they are living in their private properties. PRs who own HDB flats are now required to sell their HDB flats within six months of buying a private residential property. If they intend to purchase a private residential property but have existing unexpired subletting arrangements, they should time their purchase properly to meet the stipulated timeframe to sell their HDB flats.”
“In total, there are today 39,500 heavy vehicle parking lots for 33,000 heavy vehicles registered. Three quarters of the 39,500 parking lots are privately operated and located in industrial areas. URA and HDB supplied the remaining lots which are typically located at the fringe of residential areas. Some of the lots are built on Temporary Occupation Licence (TOL) land earmarked for future development. HDB has no plan to build more heavy vehicle parking lots within residential estates itself because there will be many competing demands for infill sites in Page: 139 the residential estates. Furthermore, heavy vehicle traffic poses nuisance and hazards to residents. LTA's licensing condition for heavy vehicle requires owners to have secured a designated heavy vehicle parking lot before their heavy vehicles are allowed to be registered. Business owners must ensure they have long-term parking solutions for their vehicles and not leaving the decision to the individual drivers. Business owners should consider making arrangement for transportation of drivers between the approved parking lots and drivers' homes.”