Lim Hng Kiang
Singapore
“The company has made commitments to recycle the ash, and as for renewable energy, the gasification project is not an energy project, it is not a generation company (genco). It is to produce hydrogen and carbon monoxide or, essentially, carbon. Because as feedstock to the petrochemical sector, you need more C and more H2.”
“The Government will continue to recover the IIA awarded if the company fails any conditions or breaches the legislative amendments. I would like to highlight that there are no errant cases in the last five years for IIA and the current amendments are, therefore, not reactionary in nature, but are being made for legislative clarity.”
“In addition, the IIA scheme will be extended till 31 December 2022. Clauses 10 to 13 give legislative effect to this change. The remaining legislative changes arising from our periodic review of the income tax system are either administrative or technical in nature.”
“Data on household and individual savings rates by income groups are not available. However, data on the aggregate level of household financial assets can be obtained from the Household Sector balance sheet compiled by the Department of Statistics.”
“The aggregate level of financial assets owned by Singapore’s household sector6 in each of the past five years is provided in Table 1 below. Data on the amount of financial assets owned by households and individuals in the different income percentiles is not available.”
“The Second Review of the Comprehensive Economic Cooperation Agreement (Second CECA Review) is ongoing. The review is taking some time as both countries have our respective interests to work through, such as in the area of labour mobility. Our agencies regularly engage Indian counterparts to work through issues collaboratively.”
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“As the Member knows, there are several companies operating marinas in the Punggol area. Many of these are operating on TOLs which will be recovered at the end of this year or beginning of next year. To rehouse these marinas, URA will be putting up a public tender for the site, as I have explained, towards the latter part of this year.”
“Any company wanting to develop a marina to house leisure boats at Punggol can submit a planning application to URA to seek its approval. To meet the needs of the leisure boats sector, URA has also identified a marina site at Punggol. Subject to a feasibility study, a public tender for the site is expected to be called later this year. It will be opened to all interested parties.”
“For this scheme to work, we require two things to come together. First, the physical improvements to the flat to make it more convenient for the elderly to live independently. Secondly, a strong welfare support system so that services are extended to them if needed, such as the Befriender service, etc. So this scheme can only work if these two things come together and we have to work closely with the Advisor to the Citizens' Consultative Committee in each constituency to try and encourage them to set up such voluntary services. Right now, there is no firm intention to group all the elderly in a constituency in one block. We leave it to the Advisor. In discussing this pilot scheme with some of the Advisors, some prefer to keep up to maybe half of the block for the senior citizens and the other half for the normal households so that the block has a mix. Other Advisors are prepared to have a higher percentage. We will leave it to the Advisor to decide what percentage he feels comfortable. We also leave it to the Advisor to work with the voluntary organisations to make the scheme work. SINGAPORE'S INVOLVEMENT IN REGIONAL GROUPINGS (Objectives and roles) The following question stood in the name of Mr Robert Chua Teck Chew - 2. To ask the Minister for Foreign Affairs what are Singapore's objectives and roles in our involvement in the various regional groupings, such as the Association of Southeast Asian Nations, Asia Pacific Economic Co-operation, East Asian Economic Caucus, etc.”
“These internal improvements will be entirely funded by the Government.”
“We build according to demand. And if there is indeed a growing segment, we will have to adjust the building programme accordingly. But at the same time, we are releasing more and more land for private apartments. So the prices for private apartments ought to come down when the new supply comes into the market. CITIZENSHIP AND PERMANENT RESIDENCE FOR FOREIGN SPOUSES (Review of policy) 11. Dr Toh Keng Kiat asked the Minister for Home Affairs whether the Government will review the policy on citizenship and permanent residence for foreign spouses as the increasing number of Singaporean males going abroad as expatriates will aggravate the marital problems of Singaporean females, with both ending up marrying foreigners.”
“HDB will thus continue to build to meet this demand, so as to provide Singaporeans with more choices in housing.”
“HDB now builds based on demand. We will try out with these 227 units in October 1993. If there is overwhelming demand, showing that there is a sector of people who want these smaller flats, which is 18% cheaper, HDB will adjust its building programme accordingly to meet this demand. HOUSING AND DEVELOPMENT BOARD (Building of executive flats and maisonettes) 10. Mr Chng Hee Kok asked the Minister for National Development if the Housing and Development Board will review its policy of building executive flats and maisonettes in view of the popularity of private developments of similar apartments. Mr Lim Hng Kiang (for the Minister for National Development): The current high demand for private residential properties has in fact widened the price gap between HDB Executive flats and private apartments. For example, the price for an Executive flat in Tampines New Town is about $1,500 per square metre, which is less than half of the price of about $3,500 per square metre for a private apartment in the Tanamera condominium development nearby. Some Singaporeans may thus find themselves in a position where they wish to and can afford to upgrade to something better than a 4- or 5-room flat but find private apartments beyond their reach. HDB Executive flats, which are priced at a very affordable level, serve to meet the aspirations of this group of Singaporeans. Despite the popularity of similar private apartments, the ratio of supply to demand for Executive flats under the Booking System has remained at about 1:5 for the last three quarters. This sustained high demand for Executive flats shows that there is a segment of Singaporeans who still prefer, or can only afford, HDB Executive flats.”
“These Singaporeans who have already bought the flat have enjoyed a subsidy from Government and have made substantial capital gains. If they want, they can easily buy a flat in the open market. They can also apply for a new flat from the HDB, if this is their second time they are applying. There is no rule to prevent them from applying a second time. But we do not intend to build flats for rental because it is a decreasing segment and we want to encourage a home-owning society.”
“HDB provides smaller flats for rental at market rates to two categories of applicants. One is for those who are applying for a flat for the first time and who need a flat for the time being. This is called the Transitional Rental Housing Scheme. It is tailored for a young couple who is buying a home for the first time and while waiting for the home, HDB rents the flat to them. Because their income is above $800 per month, they do not enjoy subsidized rental. So they pay market rental. The second category are permanent residents (PRs) or employment pass holders who come to Singapore to work and during the transition, when they are starting work, we also rent them a flat at market rate to tide them over this period. When they become PRs and they are allowed to buy flats in the resale market, they enter the resale market.”
“The HDB is not in the business of renting flats at market rate. We provide houses for sale because we aim for a home-owning society. For those who are not able to afford it, we provide rental flats at subsidized rates so that they have a home of their own. For those who want to sell off their flats, they can easily buy a smaller flat. They have made quite a big capital sum and they can buy a smaller resale flat and still have a substantial capital gain for their old age.”
“The public housing scheme is tailored to enable every Singaporean to own his flat. That is why it is a heavily subsidized programme. They buy their flats at heavily subsidized prices. Those who sell away their flats have already enjoyed a subsidy from the Government. To come back to the rental flats to enjoy a second subsidy, that is not what we want to encourage. But if any family has to downgrade because of financial problems, I can assure Members that such families would be allowed to rent flats at subsidized rates. So it is not true that the system penalises those who want to downgrade. In fact, we encourage people who have smaller families, after their children have grown up, to sell off their 5-room flat and buy a 3-room flat in the resale market. Keep the capital gains and live happily ever after.”
“Sir, the first batch of 227 units of smaller 4-room flats will be offered for booking in October 1993. These 227 units will be located in Choa Chu Kang and Woodlands new towns. These 4-room flats will have a slightly smaller floor area of 90 square metres as compared to 100 square metres, and simpler finishes than the standard 4-room flats. The first batch of these 4-room flats will be priced around $70,000 to $93,000, which is about 18% cheaper than the standard 4-room flats. At such prices, households with monthly incomes of between $850 and $1,000 should be able to meet the monthly mortgage instalments for these 4-room flats entirely from their CPF contributions. These 4-room flats are therefore well within the affordability of lower income households.”
“We treasure family ties and we encourage such groups who want to keep their families together to apply for Woodlands where they can get two flats very close to one another and they can get them very, very early. HOUSING AND DEVELOPMENT BOARD (Building of 4-room budget flats) 9. Dr S. Vasoo asked the Minister for National Development when plans for building 4-room budget Housing and Development Board flats will be implemented and whether the prices of these flats will be reasonable to enable more people to upgrade themselves.”
“There are many categories of applicants who desire priority. There is a category who says, "I am upgrading because I have been living in a 3-room flat. Now I want a 5-room flat. Give me priority." There is another category who says, "Give my children priority because they want to live near to their parents." If we create more and more sub-schemes to give priority, there is only this piece of cake and however you divide it, some will enjoy more priority and others will have to lose out. The only way is really to increase the price.”
“We appreciate the need for residents to want to remain in the estate that they are staying in. That is why we give them twice the priority. But at the same time, we have to be fair to non-residents. More importantly, the reason why there is an overwhelming demand is that the flats in the mature estates are very good value for money. So if you exclude non-residents, I think you will not be very fair. So we have struck a balance today by giving twice the priority for residents and I think this is fair to both residents and non-residents.”
“The Residents' Priority Scheme is fair as it gives both resident and non-resident applicants a chance of being allocated a flat in a mature estate. Many residents, however, are disappointed that they are unable to obtain a flat in the same estate that they are staying. This is simply because of the limited number of flats available in the mature estates. At present, as I said, residents enjoy twice the probability of success compared to non-residents. If we give residents higher priority, this will mean that non-residents will have less chance. Even if we allocate all the 338 flats in Queenstown in the second Quarter 1993 booking exercise to residents, it will still not meet the requests of the 1,889 resident applicants. The problem is simply one of overwhelming demand compared to a limited supply. If Members have any good suggestion on how we can improve the allocation system in a fair and equitable way, I will be very happy to look at their suggestions.”
“Mr Chay asked how the Residents' Priority Scheme works and, in particular, how that works in the latest exercise for Queenstown. Dr Vasoo asks whether we should review this system. So I will take these three Questions together. Under the Residents' Priority Scheme, applicants for new flats in mature estates who have been residing for at least five years in the estate they apply for, enjoy twice the probability of success as non-resident applicants in the ballot for flats. All applications received for a particular flat-type in a particular mature estate, for example, 4-room flats in Queenstown, are classified into resident and non-resident application. The number of 4-room flats available for booking in Queenstown is then divided between the two categories of applicants to ensure that resident applicants enjoy twice the probability of success at the ballot as compared to non-resident applicants. Successful applicants are then invited to select their flats according to their balloted queue numbers. This process is repeated for every flat-type in every mature estate. In the booking exercise for flats in Queenstown conducted in April 1993, a total of 6,096 applications were received for 338 flats. In other words, 18 applications for every flat available. The 6,096 applications comprised 1,889 applications from residents and 4,207 from non-residents. A total of 161 resident applicants or 8.5% of total resident applicants, and 177 non-resident applicants or 4.2% of total non-resident applicants were successful in their ballot for flats in Queenstown. In other words, resident applicants enjoyed twice the success rate compared to non-resident applicants in the ballot for flats in Queenstown. Dr Vasoo asks whether we are reviewing the allocation system.”
“Sir, can I have your permission to take Questions Nos. 24 and 25 by Mr Chay Wai Chuen together with Question No. 8, because they are on the same subject?”
“We have booking exercises in four quarters, ie, four times a year. When we do not put up any flats in the mature estate, we get an average demand of 30,000, which we are building to meet this demand. So, on average, if you wait one year you will get your flats. Whenever we put up flats for booking in the mature estates, in Queenstown itself, the demand jacks up to 50,000. 20,000 new applicants come in to try their luck for these mature estates. That does not mean that we should increase our building programme to 50,000. We will increase our building programme to meet genuine demand. HOUSING AND DEVELOPMENT BOARD FLATS (Review of allocation policy) 8. Dr S. Vasoo asked the Minister for National Development whether he will review the flat allocation policy for applicants living in mature Housing and Development Board estates. HDB'S RESIDENTS' PRIORITY SCHEME (Selection and balloting of flats in Queenstown) 24. Mr Chay Wai Chuen asked the Minister for National Development whether he will explain how the Residents' Priority Scheme works in the selection and balloting of new Housing and Development Board flats in the Queenstown area, particularly for residents who have been staying there for decades. 25. Mr Chay Wai Chuen asked the Minister for National Development if he will state how many residents in the Queenstown area were considered under the Residents' Priority Scheme in the last selection of Housing and Development Board flats in Queenstown and how many of them were successful under the scheme, and how does this compare with the success rate for non-residents applying for flats in Queenstown.”
“Sir, when we have to close down Tampines, as we did in Pasir Ris, and if these 29,000 do shift to Choa Chu Kang, we will increase the supply in Choa Chu Kang, Jurong West and Woodlands accordingly. Today, we have catered enough for the upgraders. But we are not convinced that all the 29,000 who apply for Tampines would switch to Choa Chu Kang, Jurong West or Woodlands when we close down Tampines. Mr Chng Hee Kok: Sir, I beg your indulgence. What is the latest total demand position versus the supply position in the last ballot?”
“Sir, the Member does not seem to understand the situation. As I have explained, 50-60% of applicants are upgraders. They have their flats. They are quite happy staying where they are, but they put in an application to upgrade, provided they get where they want. So every time we have an estate put up in the mature new towns, the number of applications surges by 20,000 in that quarter. Similarly, for Tampines. There are 29,000 applicants, and I am sure many of these applicants only want Tampines and nowhere else. So they get balloted and, if they are lucky, they get Tampines. We are not going to build 29,000 flats in Woodlands and have them empty because the 29,000 applicants in Tampines would not take up flats in Woodlands. This happened in 1984. We are not going to repeat this.”
“The demand is very location-specific. In Queenstown, it is 22:1. The whole place is built up. The demand is there. As I have explained in this House, there are three ways in which we can allocate demand when there is limited supply. You can ballot, which we are doing now. You can queue, or you can tender. So take your pick.”
“Sir, the priority scheme for first-timers as well as people upgrading from rental flats, in effect, gives them a one year head-start compared to the upgraders. If they apply for places where the Government has a big construction programme, like in Jurong West, Woodlands and Sembawang, they would get their flats within one year of first application.”
“The situation in the other towns is within the planning parameters of HDB. In Choa Chu Kang, Woodlands and Jurong West, the profile is about five applicants to one flat. And new households applying for HDB flats will be able to book their flats within one year of their first application. The other increases in demand are very location-specific, ie, in the mature towns, in the central areas, as well as in Tampines. As I have explained earlier, there is no way we can increase the construction rate to meet the demand. There is just no land in these areas.”
“As I have explained in this House earlier, the profile of demand for HDB flats has changed drastically over the years. Between 50% and 60% of the applicants for HDB flats are upgraders, ie, they own their existing flats and they are looking for a bigger flat. These applicants are very location-specific. The Member mentioned Tampines. For example, in the July booking for HDB flats, there were 29,000 applicants for Tampines New Town, but we are only building 2,200 units in Tampines. There is no way we can build 29,000 units in Tampines. If you visit Tampines today, it is a built-up town and the remaining area is like a big construction site. So we will increase the supply of HDB flats in areas where the Government has enough land, in Choa Chu Kang, Jurong West, Woodlands, and we will open up new towns in Sembawang. But where there is a demand for 29,000 flats in Tampines, there is simply no way we can build 29,000 flats.”
“Whether they are heavy vehicles or light vehicles, they have to stop at the signalised junction so that the children can cross. But where the pedestrian load exceeds a certain factor, PWD will certainly put up a pedestrian overhead bridge for the school children. 1.28 pm BILLS INTRODUCED TRAVEL AGENTS (AMENDMENT) BILL "to amend the Travel Agents Act (Chapter 334 of the 1985 Revised Edition)", presented by the Senior Minister of State for Trade and Industry (Mr Lim Boon Heng); read the First time; to be read a Second time on the next available sitting of Parliament, and to be printed. ELECTRICAL WORKERS AND CONTRACTORS LICENSING (AMENDMENT) BILL "to amend the Electrical Workers and Contractors Licensing Act (Chapter 89 of the 1985 Revised Edition)", presented by Mr Lim Boon Heng; read the First time; to be read a Second time on the next available sitting of Parliament, and to be printed. CUSTOMS (AMENDMENT) BILL "to amend the Customs Act (Chapter 70 of the 1985 Revised Edition)", recommendation of President signified; presented by the Minister for Finance (Dr Richard Hu Tsu Tau); read the First time; to be read a Second time on the next available sitting of Parliament, and to be printed. PAWNBROKERS (AMENDMENT) BILL Order for Second Reading read.”
“Changkat Primary School's gate at Simei Street 3 is only 80 metres away from the Simei Street 3/Simei Street 1 signalised junction. At this junction, pedestrian signals are provided, and the pupils can cross safely. There is, therefore, no plan at present to provide a pedestrian overhead bridge near the school.”
“There are, at present, two toilet blocks which provide toilet and shower facilities in Changi Beach Park. The Parks and Recreation Department is satisfied that these facilities are adequate for normal park usage. The Department has plans to redevelop Changi Beach Park within the next few years. As part of the redevelopment, toilet facilities at Changi beach will be improved. BUKIT MERAH POLYCLINIC (Plans for upgrading) 13. Dr S. Vasoo asked the Minister for Health whether there are further plans to upgrade the Bukit Merah Polyclinic and to provide more health-care services for the ageing population in the area.”
“HDB has called tenders for public housing development at two sites, near to the Simei MRT Station, at Simei Streets 1 and 2. These two sites will yield a total of 850 flats, which will be released for booking in the third quarter of 1993. The normal ancillary facilities, such as children's playgrounds, will be provided as part of these two public housing contracts. A site for commercial development adjacent to the Simei MRT Station was sold in May 1993 to a private developer. Under the terms of the lease, the developer is required to provide a wet market, in addition to other commercial facilities, such as shops and offices, in this development. The types of commercial facilities, such as restaurants and cinemas, and so on, that will be provided in the development will be left to the developer to decide. As part of the conditions of the sale, the developer is required to complete the development within four years from the date the site is handed over to him. The commercial development is thus expected to be completed by 1st July 1997. In view of the current temporary shortage of commercial facilities in Simei Estate, HDB will request the developer to try to complete his development as soon as possible. CHANGI BEACH PARK (Provision of toilet and shower facilities) 12. Mr Teo Chong Tee asked the Minister for National Development whether toilet and shower facilities will be provided along Changi Beach Park.”
“The total funds available to the CIPC for community projects from FY 90 to FY 93 amounted to $65 million. The breakdown is as follows: FY 90, $10 million; FY 91, $15 million; FY 92, $20 million; and FY 93, $20 million. CIPC funds are allocated to the constituency as a whole through the Citizens' Consultative Committees (CCCs). The constituency has HDB areas administered by Town Councils as well as non-HDB areas which are not administered by Town Councils. The CCC decides on the priority of the various project proposals it receives and what items it should support and submits its requests to CIPC for funding. From FY 1990 to 1st May 1993, a total of about $42 million or 65% of the $65 million available under the CIPC programme has been committed for various projects submitted by the Town Councils through the CCCs. The amount of CIPC funds committed for Town Council projects varies from Town Council to Town Council, depending on the types of projects approved. The Town Council projects which have been allocated CIPC funds fall mainly under these categories: (a) Infrastructure facilities such as street lightings, covered walkways and footpaths; (b) Recreational facilities such as cycling tracks, playgrounds, outdoor tables; and (c) General amenities which include landscaping of roadsides and open spaces.”
“The Parks and Recreation Department maintains 130 parks and open spaces in private housing estates. These vary in size from less than 0.1 hectare to about 2 hectares, and occupy a total area of nearly 76 hectares. The Department regularly inspects these parks and open spaces as part of its normal maintenance and upkeep programme. Facilities and equipment which require upgrading or replacement are identified during these regular maintenance inspections. Based on these inspections as well as other feedback, the Department carries out the required upgrading and improvement work to ensure that equipment provided is safe and that facilities remain adequate. In fiscal year 1992, 49 of these parks and open spaces were upgraded at a total cost of $426,000. The upgrading included repair and replacement of play equipment and footpaths, addition of play equipment, benches and other basic facilities, and improvements to drainage. The Department will continue with this approach in upgrading playgrounds and open spaces in private housing estates. COMMUNITY IMPROVEMENT PROJECTS (Particulars) 8. Mr Cheo Chai Chen asked the Minister for National Development if he will state, for each year from 1989 to 1993, (i) the total funds available to the Community Improvement Projects Committee for community projects; (ii) the percentage of these funds allocated to projects with Town Council participation and the amount given to each Town Council; and (iii) for which projects were the funds given. The Senior Parliamentary Secretary to the Minister for National Development (Mr Lee Yiok Seng) (for the Minister for National Development): Sir, I am answering on behalf of my Minister. The Community Improvement Projects Committee (CIPC) Scheme was implemented, in its present form, in April 1990.”
“The Controller of Housing monitors all transactions in the booking register and the sales and purchase agreements. This recent spate of so-called speculation has yet to play itself out because the recent developments put on sale in April or May have not seen the expiry of the option period yet. So we are still monitoring the names in the booking register and we are making sure that the names which are subsequently entered in the sales and purchase agreements are the same persons. If not, we will go for the developer and he will lose his licence to sell before completion. I am not saying that I am happy with the present situation. My concern with the present situation is that genuine purchasers ought not to be carried away by these sentiments. They ought to look at the numbers coming on-stream and make their own personal decision when they want to enter the market. My Ministry is also looking at these rules. If we find it necessary, we will tighten the rules to make them even more difficult for speculation to take place. SCHEDULED UNIVERSITIES FOR LAW COURSES IN UNITED KINGDOM (Criteria for selection and recognition) 3. Mrs Yu-Foo Yee Shoon asked the Minister for Law what criteria were used in the selection and recognition of the 15 scheduled universities in the United Kingdom for students wishing to study law overseas.”
“Let me take this opportunity to also sound another word of caution. All property developers in Singapore are only allowed to market their properties if they have a licence to sell before completion. To obtain the licence to sell before completion, he has to follow fairly stringent rules in terms of approval of building control plans and collection of downpayment and instalment payments. Singaporeans who buy from local developers within the ambit of such rules are fairly well protected. Singaporeans who buy from overseas developers who advertise in Singapore will not have such a protection. So let buyers beware. If you buy and you are hoping that your developer from another country will deliver to you as promised in the advertisement, it is not the job of the Controller of Housing in Singapore to control such development because it is outside his purview.”
“Whether people take risk or not, I leave it to their personal decision. But let me just illustrate an example. For a unit going for half a million dollars in the market, you have to pay 10%, which is $50,000, to get the option. That gives you a three to five weeks' window before you exercise the sale and purchase agreement where you have to pay the 20%. If you fail to book, you forfeit 10% of the $50,000, which is $5,000. So effectively, you are putting $5,000 for the period of three to five weeks. What happens in the market is that somebody books and he hopes to be able to assign to another person during these five weeks. That is not recognised by the developer, nor is it recognised by the Controller of Housing. So what the option holder does is that he has a side agreement with the subsequent purchaser. The subsequent purchaser must foot the 20% of the purchase price for him to make the option valid. After that, he can assign to the second purchaser. During this period, there is a sub-deal between the option holder and the purchaser. It is not recognised by the Controller of Housing and it is not recognised by the developer. The developer cannot accept the second person's name. So if anyone of them reneges on the deal, that is up to him. Anybody who enters into this agreement must do so with his eyes open. First, the prospective speculator knows that he has to forfeit a substantial amount if he forgoes the option fee. The subsequent purchaser, if he enters into a side agreement with the option holder, does so at his own risk because he would not get any protection from the Controller of Housing or from the developer.”
“This has been considered and obviously it is not in our law books.”
“The developer will only sell the unit to somebody who has booked it and he will only sell to that particular person whose name is in his register of booking and only after he has paid up 20% of the purchase price. After that stage, the initial option holder can then assign his option to somebody else. The Controller of Housing monitors the booking register of every developer and compares the names in the booking register with that of the sale and purchase agreements to make sure the developer does not sell the option to somebody else and a different person has bought the unit. This is vigorously enforced. Just to give an example. In a recent development of about 300 units, 14 option holders in the end failed to exercise their options and have to forfeit their booking fee. One was successful in a resale later on, 10 weeks after the option. There was one case of transfer of option, but this was because the lady who booked could not get a bank loan for some reason and she applied to the Controller of Housing to allow her option to be transferred to her daughter who could get a housing loan. So the Controller of Housing exercised his authority and allowed the transfer. Otherwise, no transfer of such option is allowed under the Housing Developers Rules. So it is not that we do not bother about speculation. We control and enforce the rules.”
“There are two aspects to my answer. The first aspect is that there is a substantial supply coming on. Genuine home buyers should take note of this substantial supply and make their decision accordingly. My answer did not say that speculators will be left alone. Let me clarify the Housing Developers Rules. Over the years, the Government has put in place a comprehensive set of rules called the Housing Developers Rules. These rules are intended to regulate the practices of housing developers so that the interests of home buyers are protected. In particular, the Housing Developers Rules provide guidelines on booking fees, impose partial forfeiture of booking fees if a purchase is aborted, and also disallow transfer or assignment of option to purchase. These rules strike a balance between safeguarding the interests of genuine home buyers and deterring speculation. These rules are vigorously enforced by the Controller of Housing. Let me also explain what these rules mean so that we do not go away with the idea that it is very easy to buy an option and speculate. The first rule is that you must pay not more than 10% of the price in your booking and that gives you the right to exercise the option three weeks after the sale and purchase agreement is given to you. So whoever books gets an option and he has three weeks to exercise the option. He exercises the option by paying 20% of the purchase price. It is only after that stage that he is allowed to assign his option to a subsequent purchaser. So it is not true that somebody can book today and sell off tomorrow. He cannot sell it off to another person tomorrow. The developer would not allow it.”
“Just to give an example. Even though the private developer may tender for a piece of land at $3,000 per square metre, HDB continues to purchase land from the Government, as valued by the Chief Valuer, at $1,800 per square metre. So the price that HDB pays is determined by the Chief Valuer and, over the years, this has been fairly stable and it is not reflected in the escalating cost of HDB prices. The main parameter for the pricing of HDB flats is the construction costs and, as I have said, in the last nine months, construction costs have remained stable and, as a result, HDB prices have also remained stable. For 1993-94, we hope that the construction sector will not be overheated and we expect the tender prices for HDB flats to remain stable. Therefore, we do not see major price increases for HDB new flats.”
“HDB purchases land from the Government at a price determined by the Chief Valuer. The Chief Valuer, in setting the prices for sale of land to HDB, takes the transactions of land in the market as one of the factors for consideration. If the land prices that are transacted, both in the sale of Government land as well as other private transactions, show a clear trend of increases, then of course this will be factored in by the Chief Valuer. If this is a sporadic and unusual occurrence, then the Chief Valuer may well ignore this price increase. Mr Chia Shi Teck: Under such circumstances, in the current speculative mood of driving the prices up and land prices have moved up, inadvertently HDB prices will move up and this will be a trend. How is the Government going to assure, as the Minister has said before, that the new entrants into the workforce can afford to buy future houses, especially when the tender prices of land are low, the Government may withdraw the sale of land?”
“For some time now, since the mid-80s until 1989, the demand for rental flats has been reducing. As a result, there was an increasing number of vacancies in many of the rental blocks resulting in some security problems, especially when the vacancies reached levels of 30-50%. For blocks which are more than 50% vacant, we conduct a relocation exercise to move the tenants to other blocks which are occupied. With this increase in demand, blocks which have been mothballed for demolition are now put back on the market. On the average, applicants would wait about nine months before they are allocated a flat. This is because many of the applicants are quite particular about the location of the flat. If they are prepared to accept the 1-room flats in less prime locations, they can be allocated their flats earlier. SURGE IN RESIDENTIAL PROPERTY PRICES 2. Mr Chia Shi Teck asked the Minister for National Development if he will explain the surge in residential property prices and whether the current selling prices of public and private residential units are realistic and sustainable.”
“Both 1-room and 2-room flats which are located in the precincts earmarked for either the Demonstration stage or the steady state phase of the upgrading programme have been included in the upgrading.”
“The residents in the SDP Town Councils have a right to know. Dr Chee has been proven today not to subscribe to such high standards. I urge Mr Chiam to think through the facts and to review his position. Sir, the motion today asks for the Minister to state the facts. They have heard the facts. The facts show that the case is not politically motivated. It is a straightforward case-dismissal between employer and employee on dishonest conduct.”
“Would Mr Chiam claim that the Auditor-General's recommendation is politically motivated? I think the residents in the SDP Town Councils have a right to know what standard Mr Chiam and the SDP intend to maintain in their Town Councils. Second situation. Let us say Dr Chee Soon Juan pops up as the General Manager in one of the SDP Town Councils. I think the residents have a right to know whether he was employed on the basis of his merits in competition with other applicants for the job. Or is his appointment politically motivated? I urge Mr Chiam also to state his Party's position on this. Does the SDP treat its Town Council appointments as jobs for the boys? Does his Party believe in meritocracy and integrity in the employment of staff in its Town Councils? Is it an open system? Or is the system run by them politically motivated? Let me continue. Suppose the Auditor-General audits the system of personnel appointment in the Opposition Town Councils. He is taken aback. How come all the top jobs in the SDP Town Councils are held by SDP office-bearers and members? He asked Mr Chiam for an explanation. Would Mr Chiam also claim that the Auditor-General's findings are politically motivated? Mr Speaker, Sir, the political issue at stake today in this debate is the standard of Government and the integrity of administration. The SDP is in charge of three Town Councils. They are handling public money. I urge Mr Chiam, having heard the facts of Dr Chee's case, to review his position and state publicly for all to hear what is his and his Party's position on the standard of public administration. Is he prepared to abide by the high standard of integrity and honesty that is expected by all Singaporeans? Or is his standard in fact lower, much lower? The public has a right to know.”
“We leave it to individual departments and individual statutory boards, working within this tone of the Government, to design its own rules. In the University, I must say, like Mr Lee Yock Suan, they take a more lenient and more charitable view of Dr Chee's case and avoided the ignominy by giving him three months' notice of termination. If compared to the cases in URA and HDB, we would have charged him in court and sacked him. So I am saying that the penalty of dismissal is not unusual in Dr Chee's case. The PAP Government sets a very high standard of integrity and honesty in public service and public administration. So let me pose this question to Members of this House and to the public: What does this episode of Dr Chee's dismissal say about Mr Chiam and the SDP's stand on the standard of Government and administration? This is the critical point. In my view, this is the main political issue involved. In this episode, the NUS is not on trial. The PAP is not on trial. What this episode will highlight to everybody in Singapore is the standard of integrity that the SDP sets for itself. I hope Mr Chiam will take this opportunity, having heard the facts of the case, to review his position and let the public know where does his Party stand on the standard of administration. To help him focus his mind, let me illustrate two situations which may well arise and which may well confront him in the future. The first case. Let us say the Auditor-General discovers a case of false claims and dishonesty in one of the SDP Town Councils. Let me remind Members that the Town Council is a statutory organisation and is responsible for public money. The Auditor-General recommends that the Town Council, as the employer, prosecutes the errant employee who is an SDP member.”
“When I wanted to participate in this debate, I asked myself: are there similar cases? So I checked with my departments and statutory boards. Like Mr Lee Yock Suan, I am happy to report that there are very few cases of misconduct and this reflects the very high standard of integrity and honesty in the civil service. But there are a few black sheep. Let me just recount the facts of two cases and the penalties involved. Case A. This happened three years ago in HDB. Case A made a false claim to apply for a staff renovation loan of $24,000 by submitting an invoice with inflated figures when the actual cost of his renovation was only $10,000. What financial benefit did he gain? Not much. He still has to pay for the loan, only at a lower interest rate. What is involved is integrity. Case A was charged in court, convicted and dismissed from service. Case B. This is a recent case in URA. The CPIB charged Case B in court for making false transport claims amounting to $85.25. Case B pleaded guilty, was fined $400 plus one week's jail. The URA dismissed him from service with effect from 17th February 1993, the day after he was released from jail. Sir, we achieve our reputation as a corruption-free administration because we set high standards of honesty and integrity. Where public money is involved, we cannot accept lower standards. So when Mr Chiam argues about why the University dismissed Dr Chee under clause 4(a), giving three months' notice instead of gross misconduct, I think he is ducking the issue. The main point is that the PAP Government sets the tone of administration - one of high standards of integrity and corruption-free. Any misdeeds will be tackled.”
“Like Mr Lee Yock Suan, I have great sympathy for Mr Chiam See Tong. I think he is in a very tight position. What we are asking Members of this House and members of the public is not to be taken in by all these technical legal jargons, but ask yourself: did or did not Dr Chee Soon Juan use research funds to send his wife's thesis to the University in USA? If he did, that is not allowed under the rules and there is no point to try and wriggle out. The way Mr Chiam tried to wriggle out by saying that this is not part of the rules and regulations reminds me of a sequence in the film A Few Good Men. Was this rule in the US Marine's rule book? In the end the prosecutor turned round and said, "GI, do you know how to get to the mess hall?" The GI said, "Yes, I get there everyday." Is this in the rule book? It is not in the rule book, but he still gets to the mess hall. The point I am trying to make is how you behave depends on your sense of integrity. Not every situation needs to be covered by the rule book. It is obviously wrong to send his wife's thesis to the US and charge it to the research funds. It is obviously wrong to use public funds in that fashion. That is why I think in this debate it is not about Dr Chee and his dishonest actions. The main issue I see in this debate is the issue of integrity. What is the SDP's stand on the standard of Government and the standard of public administration? Having heard the facts laid out by Dr Vasoo and Mr Lee Yock Suan, I think Mr Chiam and the SDP owe it to the public. The PAP has maintained a very high standard of integrity, corruption-free administration. Here you have a case of somebody using public funds for his own purpose. If you condone such actions, what are you signalling to the rest of Singaporeans?”
“Sir, as Pasir Ris Drive 6 has recently been upgraded to a dual-carriageway, PWD will be improving the lighting along the road. An additional 16 sodium lamps will be installed, bringing the total number to 37. The improvement work is scheduled for the third quarter of this year. CONTROL OF PLANTS BILL Order for Second Reading read. 1.10 pm”
“The Ministry of National Development is currently looking into the feasibility of selling some rental flats to existing tenants. Details of this scheme have not been firmed up. The flats to be sold to the sitting tenants have also not been identified yet, but we welcome feedback from MPs if they think that such a scheme would be attractive to their constituents. PASIR RIS DRIVE 6 (Improvement of street lighting) 16. Mr Charles Chong asked the Minister for National Development if street lighting along Pasir Ris Drive 6 will be improved and when.”
“Because the surface car parks were not part of the permanent assets of HDB, the costing of the multi-storey car park will entail the land cost and the construction cost of the multi-storey car park. The cost of providing the surface car parks will not be added on to the cost of building the multi-storey car park. Since the surface car parks were provided as an interim measure, these were not taken in the costing of the flats. TANJONG PAGAR GRC (Sale of 3-room HDB rental flats) 15. Dr S. Vasoo asked the Minister for National Development whether there are plans to sell some remaining 3-room Housing and Development Board rental flats in Tanjong Pagar GRC.”
“If the Member claims that there is more than sufficient greenery space, we will go back and re-build some more. I think we must get the facts in place. We have built multi-storey car parks for new housing estates from 1991 onwards. In the transition, while these multi-storey car parks are being provided, we provided surface car park lots as an interim measure. Now that the multi-storey car parks are completed, we will remove the surface car park lots so that we can replace them with greenery and recreational facilities. For example, today in Pasir Ris Neighbourhood 5, we have only provided 525 temporary lots. But with the three multi-storey car park stations, we are providing 1,083 car park lots. So the multi-storey car park lots are intended to meet the needs of the residents, plus future needs in case week-end cars become more popular. At the same time, we free up space for greenery and recreational amenities.”