S Iswaran
Singapore
“The Maritime and Port Authority of Singapore (MPA) has incorporated the requirements of the International Maritime Organization (IMO) 2020 regulation in its Prevention of Pollution of the Sea (Air) Regulations 2022. The Regulations are applicable to Singapore-registered ships and all other ships while they are in Singapore waters.”
“The Maritime and Port Authority of Singapore (MPA) plans to progressively roll out the charging infrastructure for electric harbour craft operations in the Port of Singapore from 2025.”
“Since 2018, the Land Transport Authority (LTA) has imposed minimum bicycle parking provisions covering different types of developments. The requirements are determined by multiple factors, including the developments’ use, location and gross floor area (GFA).”
“I had addressed similar Parliamentary Questions by Mr Gerald Giam on 29 November 2022 and 10 January 2023, as well as in my Ministerial Statement on 8 May 2023. The Member can refer to these past answers and statement as there has been no material change in the allocation of Certificates of Entitlement.”
“To encourage the uptake of electric cars, the Government has rolled out the Electric Vehicle Early Adoption Incentive and enhanced Vehicular Emissions Scheme. When taken together, it provides up to $45,000 off the Additional Registration Fee of an electric car upon registration.”
“The Land Transport Authority studies all potential changes to the Certificate of Entitlement (COE) system carefully, including conducting sensitivity analysis where appropriate.”
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“Mr Louis Ng cited survey findings indicating that few SMEs want to venture overseas due to concerns over insufficient funding, unfamiliarity and heightened competition in foreign markets. However, as I highlighted earlier, there are also surveys by SCCCI and DP Information Group (SME Development Survey), which found that a significant proportion of our enterprises have, in fact, prioritised internationalisation and have plans to do so in the next few years. This becomes then a battle of the surveys, and which is right and which is wrong. The reality of what it shows is that the terrain is uneven. We should recognise and acknowledge that. In other words, whilst we are making the best of efforts to reach out to all our companies, some, depending on their stage of development, their sector and so on, will have a differential response. Some might even not have addressed these issues because they are so used to some other aspects of their business. I also want to say that it is quite understandable that SMEs have concerns when venturing abroad because that is not without risks. Our economic agencies have sought to mitigate some of those risks through support schemes to evaluate the opportunities like the MRA scheme and also to build their manpower and capability, such as the GCP scheme. On Enterprise Singapore's part, it will sustain and, where necessary, step up efforts to help companies that are facing challenges in financial management, brand building and product promotions, points that Mr Liang Eng Hwa and Mr Saktiandi Supaat have highlighted.”
“So, for all these reasons, it is important that our businesses have to adapt, innovate and build new capabilities according to their circumstances, as has been pointed out by several Members in the course of this debate. And Enterprise Singapore itself, and I want to again stress this, will adopt an enterprise-centric approach and its programmes will take into account this diversity of needs while rendering support to enterprises in all sectors – to address Mr Thomas Chua's point – regardless of whether they are covered by ITMs or not. The fact is that the programmes and schemes are available to all enterprises. The ITMs bring them together in particular sectors because there are certain objectives around that but, in general, the accessibility is open to all. I also want to address the point about micro SMEs because they are an important segment of the economy and they have much potential. And I want to share with Members that SPRING Singapore has already been working with the Federation of Merchants' Associations, Singapore, for example, to drive the growth and transformation of heartland enterprises. So, similarly, Enterprise Singapore will continue to support micro SMEs through the TACs and the SME Centres as well as through – and this is important – private sector initiatives, such as the 99% SME campaign which is jointly organised by Singtel and the Development Bank of Singapore (DBS) to drive capability upgrading. Enterprise Singapore will build on IE Singapore's network of over 35 overseas centres covering regional, developed and emerging markets and it will continue to organise trade missions for our SMEs to explore opportunities in new markets. I think Er Dr Lee Bee Wah and also Mr Liang Eng Hwa and Mr Desmond Choo highlighted this.”
“Thank you. Mr Deputy Speaker, I would like to thank all 11 speakers for their unambiguous support of the Bill. And let me now address the key points that have been raised and I will try to give some clarifications on the issues that have been brought up. I want to start by saying that, generally, the fact that the Members have supported the Bill, and I think, in general, also reflecting the mood and the opinion in the broader business community, are welcome signs because it means that we are moving in the right direction. Many of the questions are around the details in terms of how and what we intend to do in execution, and I would endeavour to address them as much as I can. Firstly, I think there is a set of questions around how Enterprise Singapore will proceed with its task, its mission. Various Members, Mr Liang Eng Hwa, Mr Leon Perera, Mr Thomas Chua, Mr Louis Ng, Mr Saktiandi Supaat and Mr Desmond Choo, have asked whether Enterprise Singapore will, in fact, support enterprises of different sizes and from different industries. Sir, I want to reiterate that Enterprise Singapore's mission is to build a thriving community of Singapore-based enterprises. However, the fact is that their needs are varied based on their stages of growth, the sectors within which they operated and also, to some extent, the markets in which they are venturing into beyond Singapore. And this variation is also accentuated by the fact that there are different types of growth opportunities, digitalisation and technology change, which have a differential impact on the various sectors.”
“That is right. So, you do not object to the Bill but the Party supports the Bill. Is that right?”
“Mr Deputy Speaker, I would like to thank all the hon Members who have spoken on the Bill. With your permission, Mr Deputy Speaker, before I proceed, I would like to seek a clarification from the Non-Constituency Member of Parliament, because at the start of his speech, he said he does not object to the Bill but I think, towards the end, he said that the Worker's Party supports the Bill. May I just have a clarity on that, please?”
“Just as companies must adapt to keep pace with changes in the global economy, Government agencies and their programmes must also respond with agility to the shifting needs of industries and enterprises. I am confident that with the merger of IE and SPRING Singapore and the integration of their operations to form Enterprise Singapore, we will be well-placed to work closely with all stakeholders to transform our industries and grow stronger Singapore companies and a vibrant enterprise ecosystem to seize growth opportunities in the future economy. Sir, I beg to move. [(proc text) Question proposed. (proc text)]”
“In particular, this Part will allow Enterprise Singapore to request and verify information in relation to its incentive schemes. It will also protect against improper use of certification and accreditation marks that are administered by Enterprise Singapore. These provisions will facilitate the effective administration of incentives and grants, and better support Enterprise Singapore in its role as the national standards and accreditation body. Parts 8 and 9 contain provisions that transfer the relevant undertakings and personnel to Enterprise Singapore, to repeal the IE and SPRING Singapore Board Acts, and provide for saving and transitional arrangements. Finally, Part 10 of the Bill makes consequential and related amendments to other Acts. In particular, the Competition Act will be amended to update CCS' statutory functions to include the promotion of fair trading, prevention of unfair practices among suppliers in Singapore, advising relevant organisations on consumer protection matters generally, and the enforcement of the Consumer Protection (Fair Trading) Act (CPFTA). As mentioned earlier, CCS will be renamed CCCS to reflect its new statutory consumer protection function. This Part also provides for the transfer to the new CCCS of SPRING Singapore's assets, employees, liabilities and records relating to the fair trading functions. Sir, as a single enterprise development agency, Enterprise Singapore will be able to provide the holistic support that our businesses need to develop deep capabilities, robust internationalisation strategies and strong partnership with industry stakeholders.”
“Also, that Enterprise Singapore will retain and build on the relationships that IE and SPRING Singapore have developed with enterprises and partners both here in Singapore and overseas. And that current programmes and schemes, such as the Local Enterprise and Association Development (LEAD) scheme, continue to be administered even as they are streamlined and new programmes developed to better support enterprises. Enterprise Singapore will undertake these in a manner that will minimise disruption and maximise opportunities for enterprises and their staff. Sir, having explained the rationale for the Bill and the role that Enterprise Singapore will play, let me now describe the main elements of the Bill. The Bill comprises 10 Parts. Parts 1 and 2 of the Bill provide for the key concepts used in the Bill and to establish Enterprise Singapore. Part 2 also sets out Enterprise Singapore's functions and powers, which are drawn and streamlined from existing provisions in the SPRING Singapore and IE Board Acts. These cover the enterprise development, internationalisation, wholesale and commodity trading, and productivity, innovation and standards functions that SPRING Singapore and IE currently perform. The consumer protection fair trading function has been excluded in view of the transfer to CCCS. Parts 3 to 6 cover matters regarding the appointment of Enterprise Singapore's Board members and their decision-making procedures, Enterprise Singapore's employees and its financial provisions. Relevant provisions have been aligned and streamlined with the Public Service (Governance) Act, which was passed in Parliament on 8 January this year. Part 7 of the Bill sets out the administration and enforcement powers of Enterprise Singapore.”
“As the national standards and accreditation body, Enterprise Singapore will build on SPRING Singapore's efforts to develop internationally-recognised standards and quality assurance, which have burnished Singapore's reputation for high-quality and trustworthy products and services. The agency will continue this important work, which is key to promoting innovation and strengthening the capabilities and competitiveness of our companies. Enterprise Singapore will also build on IE's efforts to promote the export of goods and services and establish Singapore as Asia's foremost trading hub by anchoring new players in Singapore to grow a strong domestic trade network. This includes strengthening Singapore's trade infrastructure in areas of product development and liquidity-building initiatives for sectors, such as commodity derivatives. Enterprise Singapore will take over from IE as the lead agency for the Wholesale Trade Industry Transformation Map to build a vibrant ecosystem of wholesale traders supported by talent with the right skillsets for the industry. SPRING Singapore's consumer protection fair trading function will be transferred to the Competition Commission of Singapore (CCS). The new Competition and Consumer Commission of Singapore (CCCS) will oversee all regulations and enforcement pertaining to consumer protection and ensuring a well-functioning market for the benefit of businesses as well as consumers. Sir, in this entire process to establish Enterprise Singapore and make other consequential adjustments, a smooth transition has been the utmost priority. This means ensuring that the competencies, knowledge, experience and networks developed by IE and SPRING Singapore are preserved.”
“To succeed, it is important that Enterprise Singapore work closely with private and public sector partners and have their full support. Sir, the agency will deepen its partnership with trade associations and chambers (TACs), unions and other stakeholders to reach out to our broad and diverse base of enterprises. It will also work closely with other Government agencies to promote public-private partnerships, as well as collaboration between multinational corporations (MNCs), large local enterprises (LLEs), SMEs and startups to enhance the collective competitiveness of our industries. I want to cite the precision engineering sector as an example of how such partnerships can be valuable. The Economic Development Board (EDB), SPRING Singapore, SkillsFuture Singapore (SSG) and Workforce Singapore (WSG) worked with the Singapore Precision Engineering and Technology Association (SPETA) to enhance the industry's manpower capabilities through programmes, such as the Skills Framework for Precision Engineering. IE worked with SPRING Singapore and a group of precision engineering SMEs to form the Singapore Manufacturing Innovation Centre (SMIC) in Guangzhou Knowledge City, a platform that helps our SMEs venture into a major international market and allows them to co-create innovative technology solutions with Chinese enterprises. SPETA worked with IE and SPRING Singapore to set up a group of industry veterans to advise SMEs on business and technology strategies. So, by leveraging each other's strengths, public agencies and TACs can help our companies compete internationally. The formation of Enterprise Singapore will give greater impetus to such partnerships.”
“This merger also underscores the Government’s commitment to review its programmes and, when necessary, restructure its agencies, in its continuing effort to support the growth of our businesses. Sir, Enterprise Singapore aims to build a thriving community of Singapore enterprises that are competitive and ready for the future economy. Enterprise Singapore will adopt an enterprise-centric approach, providing differentiated programmes and support according to a company’s stage of growth, the industry within which it operates and its overseas markets of interest. To achieve this, Enterprise Singapore will deepen its knowledge of industries’ and companies’ needs, expand its partnerships and networks in Singapore as well as overseas, and develop a cohesive suite of programmes to enable enterprise growth. Enterprise Singapore will work with a broad spectrum of businesses, from startups to scale-ups to SMEs, and be the single point of contact for Singapore-based enterprises which are committed to growth. Enterprise Singapore will support upgrading, innovation and business model transformation to capture new revenue streams, promote digitalisation, automation and adoption of new technologies to improve productivity and overcome resource constraints. It will facilitate expansion into overseas markets and business diversification and strengthen enterprises’ leadership and management capabilities. Enterprise Singapore’s mission is central to Singapore’s long-term economic strategy, especially as we enter the next phase of our economic growth. The scope of its work is wide and the scale can be daunting, given the large number of enterprises that we are dealing with.”
“Second, the advent of e-commerce and digital technology is making it easier than ever before to access overseas markets. Scaling up and growing beyond our borders is now possible at a much earlier stage in an enterprise’s evolution and, indeed, has become even more important to success. Finally, to expand into international markets, our companies must have deep capabilities so that they can compete globally. Productivity and innovation must be the basis for the sustained growth of our businesses, especially when dealing with pervasive disruptive technologies. The confluence of these trends necessitates a different approach towards the development of our enterprises and their ability to seize the opportunities around us. In this new environment, companies need to integrate capability-building, innovation and internationalisation. These areas of pursuit are deeply intertwined and they reinforce one another. They are mutually reinforcing. A company must innovate and deepen its capabilities if it is to successfully expand into overseas markets. But, equally, venturing overseas will itself create the scale and the impetus and opportunity for businesses to gain new capabilities and expertise. As highlighted by the Committee on the Future Economy, Singapore enterprises must adapt equally to these changes, and quickly, to remain competitive. Our economic agencies must also respond to this dynamic environment and hone their efforts to support enterprise development and internationalisation. So, it is necessary and timely to merge the functions and operations of IE and SPRING Singapore to form Enterprise Singapore.”
“We also formed the National Productivity Board in 1972 which, together with the Singapore Institute of Standards and Industrial Research (SISIR), became the Productivity and Standards Board (PSB) in 1996. These agencies subsequently became IE Singapore and SPRING Singapore in 2002. Collectively, IE Singapore, SPRING Singapore and their predecessor agencies have rendered consistent and strong support to the growth of Singapore enterprises in trade, internationalisation and capability development. In 2017, SPRING Singapore supported the capability upgrading of close to 40,000 companies, almost three times the number supported in 2010. Similarly, IE supported more than 45,000 companies in their overseas ventures last year, more than double the number supported five years ago. About 36,000 of these companies were small and medium enterprises (SMEs). Over the years, IE and SPRING Singapore have developed deep expertise and extensive networks in support of their mission. However, there have been significant changes in the nature and pace of change in the global economy which have profound implications for Singapore. [Deputy Speaker (Mr Lim Biow Chuan) in the Chair] First, the weight of global growth is shifting to Asia, which is projected to grow at about 5.8% in 2018, compared to 2.1% in advanced economies. Our companies have recognised that the rise of Asia is a major opportunity to internationalise quickly. Overseas expansion ranks among the top five business priorities for SMEs, and 60% of participants in the Singapore Chinese Chamber of Commerce and Industry’s (SCCCI's) Annual Business Survey had plans to internationalise over the next three years. So, the message has been hoisted in and it is being acted upon.”
“Mr Speaker, Sir, I beg to move, “That the Bill be now read a Second time.” The hour is late and I look forward to a productive and innovative debate on this important topic. In September 2017, I announced the Ministry of Trade and Industry’s (MTI's) plan to merge International Enterprise (IE) Singapore and the Standards, Productivity and Innovation Board (SPRING) Singapore and form a new dedicated agency for enterprise development – Enterprise Singapore. The Enterprise Singapore Board Bill will give effect to the new Statutory Board and replace the International Enterprise Singapore Board Act and the Standards, Productivity and Innovation Board Act. Sir, enterprise development has always been an important component of our economic strategy and, indeed, it is an essential complement to our efforts to attract foreign investments. In 1973, then-Minister for Finance Hon Sui Sen emphasised that “our industrialisation can best be brought about through broadening our international connections and through an unrelenting striving for quality in all aspects of our activities… our own national enterprises, too, must make a greater contribution to our future industrial development.” Those wise words from 45 years ago remain as relevant today. We have been resolute through the decades in our commitment to developing our enterprises, but our approach has evolved in tandem with our economy, the needs of industry and the external environment. In our formative years, we established the Department of Trade under the Ministry of Trade and Industry, which in 1983 became the Trade Development Board.”
“So, I do not know about the specific meters in Hougang. But I would say that, in general, the replacement for households has not been about going towards smart meters. That is an entirely different exercise. Indeed, when you deploy smart meters, you also need to have some backend systems that are able to use them. Otherwise, it is effectively a dumb meter because it does not do much more than a conventional analogue meter. So, this is something that we are studying. I would say that, most likely, it is not, because there has been no plan to implement advanced metering for households.”
“I do know about the specific meter. Is the Member talking about household meters?”
“On price comparisons or accreditation, the intent is to provide as much information as possible to consumers so that they can make informed decisions, and one part of that, apart from the general communications and media plan, is to have an online portal that will provide comparisons across different types of plans so that customers can then access this and then make the decisions based on their needs and they are informed by what these different plans offer.”
“EMA is now in the process of vetting and qualifying them. They are applying a fairly tight set of criteria. The reason is because unlike the current situation where the retailers are essentially dealing with businesses who are in the contestable market – I understand it is about 90,000 accounts – we are now moving towards households. And therefore, there is a need to make sure that there is an appropriate set of rules governing their conduct and capabilities that the retailers are able to meet. So, this is a process that EMA is going through now in its engagement with the retailers. Before we start a pilot, it should be quite apparent how many and the identity of these retailers. Switching is easy, but what about meters? Again, this is something that will be elaborated. But, essentially, the way the Open Electricity Market is designed − I do not want to get into a very technical discussion − it means you can do a switch without having to have what they call "smart meters" or "advanced meters". It is possible and, in fact, our system is designed to do that. It is based on a principle called "load profiling" instead. However, if you have advanced metering infrastructure, it allows for greater flexibility and the kind of plans. This is something that EMA is studying. In the commercial market, in general, when they opted to become contestable and sign up with retailers, they have had some advanced meters installed. In the case of households, it depends because if their consumption levels are not very high, it may not merit that kind of investment. On the other hand, advanced meters do provide a lot more data which can be very useful for both policy and for system optimisation. So, we have to work out the trade-offs and design.”
“Thank you, Mr Deputy Speaker. I thank the Member for her keen interest in this initiative. I was heeding your advice and that is why I kept my initial answer short to allow for supplementary questions. There is five, then we try and do justice to some of them, at least. The pilot in Jurong, does that mean that we will have staggered implementation across the board. That is exactly why we are having a pilot because we need to understand. Notwithstanding the best of efforts and planning ahead, this is a massive exercise because it would involve over a million accounts, island-wide eventually, and that is why the idea of focusing it on one district or one area like Jurong, which in a way reflects the diversity or our household and business types. And that, I think, would enable the key entities – EMA, SP and the retailers – to also understand if there are any unanticipated challenges. It is precisely that they are unanticipated that I cannot tell the Member, in answer to her fourth question, do we anticipate any specific challenges. That is exactly why we are having the pilot to see if there is something unanticipated or something that is coming in from a different angle that we had not foreseen, and that is the purpose behind it. So, the answer is, if the pilot goes well, then I think we should be able to stick to the timeline and move towards the second half for complete implementation. If, however, there are reasons to review that, then we will do so, and we will convey that. The most important point here is the customer experience has to be a good one, and we want to avoid having undue disruption or concern amongst our consumers. So, that is our priority in this exercise. Retailers, yes, there is a vetting process.”
“Mr Deputy Speaker, the Open Electricity Market will commence in Jurong in April 2018 and will provide around 120,000 household and business accounts with the choice to buy electricity from a retailer with a price plan that best meets their needs. Those who prefer to continue buying electricity from the SP Group at the regulated tariff can also continue to do so. This soft launch will allow the Energy Market Authority (EMA), the SP Group and electricity retailers to gather feedback and fine-tune their processes and backend systems before the Open Electricity Market is extended to the rest of Singapore in the second half of 2018.”
“We will continue to invest in the BMS sector to grow our pool of talent, deepen our capabilities and strengthen our BMS ecosystem.”
“Between 2006 and 2015, the Government invested around $7.3 billion in the Biomedical Sciences (BMS) sector in Singapore. This includes funding for BMS-related research and development (R&D), developing infrastructure and human capital, and building up translational and clinical research capabilities. The private sector investment commitment to the biomedical manufacturing industry as well as the business expenditure on R&D in the BMS-related fields during this period, totalled around $13.7 billion. Today, the BMS sector is an important pillar of our economy, contributing about $26 billion in manufacturing output or 4% of our gross domestic product. Singapore is home to more than 50 BMS manufacturing plants, and the sector employs more than 25,000 people. Singapore's sustained investments in BMS have helped to strengthen our BMS ecosystem and build up our capabilities in healthcare, drug development and medical devices innovation. This has also enabled our local enterprises to capture opportunities in the rapidly growing global healthcare market, which is projected to reach United States (US) $2.7 trillion by 2025. From 2010 to 2016, at least 48 local drug-development and related biotech firms were incorporated, double the number in the preceding decade. One local biotech firm, Tessa Therapeutics, recently came into global prominence when it announced a partnership with the renowned Parker Institute for Cancer Immunotherapy. Tessa is currently conducting the world's first US Food and Drug Administration Phase III cancer T-cell therapy trial. Notwithstanding these economic outcomes, it should be noted that investments in the BMS sector typically have long gestation periods and require sustained commitment.”
“SIA's recent order of Boeing planes was a commercial deal negotiated between SIA and Boeing. While the Singapore Government was not involved in the deal, the deal could lead to economic spin-offs for Singapore, through new business opportunities for Boeing's aftermarket services and new maintenance, repair and overhaul (MRO) activities. First, the new aircraft will provide new opportunities for SIA to expand its network while supporting fleet modernisation. Second, Boeing has a substantial aftermarket services presence in Singapore today, covering activities, such as pilot training, flight services, fleet management and digital aviation services, which could support SIA's expanded Boeing fleet. Third, SIA Engineering Company (SIAEC) and GE Aviation have announced an agreement to establish a proposed joint venture (JV) in Singapore, which will provide engine MRO services for GE90 engines, as well as GE9X engines powering SIA's new fleet of Boeing 777X aircraft. The Government, has been supporting capability building efforts across the diverse segments of our aerospace industry, including engine overhaul MRO and airframe MRO. To this end, we are currently developing the Aerospace Industry Transformation Map (ITM), which will lay out comprehensive strategies to ensure that we are well-positioned to capture the growth opportunities in the aerospace industry.”
“Initiatives, like ITMs and GIA, will support our growth and transformation efforts and position Singapore well for the future.”
“It enables businesses to quickly and efficiently meet cross-border trade compliance requirements for more than 50 customs authorities worldwide, increasing productivity. The objective of GIA is to establish networks to create more opportunities for Singaporean students, entrepreneurs and business owners to gain overseas experience, connect and collaborate with overseas partners. Since the announcement in Budget 2017, the Economic Development (EDB) has set up the GIA Programme Office (GIA PO) to coordinate the initiative. EDB, International Enterprise (IE) Singapore, the Standards, Productivity and Innovation Board (SPRING) Singapore and the Ministry of Education have been engaging various in-market Operating Partners to set up GIA networks in the four focus cities under GIA Phase 1 (San Francisco, Beijing, Jakarta, Bangkok). For instance, building on the successful establishment of BLOCK71 in San Francisco, we launched "BLOCK71 Jakarta" in July this year to provide a co-working space that aims to catalyse mutually beneficial partnerships between Indonesian and Singaporean startups. For Bangkok and Beijing, IE Singapore has signed memoranda of understanding with tech partners to help Singapore startups better understand these markets, test-bed their products and work with overseas players to implement solutions. For access to Thailand, this includes partnerships with tech community builders C ASEAN and Hubba; for access to China, this includes partnerships with startup accelerator AIRMaker, NTUitive (the innovation and enterprise arm of Nanyang Technological University) and Chinese media platform 36Kr. We will continue to work with suitable partners and strengthen our GIA networks.”
“The Industry Transformation Maps (ITMs) and Global Innovation Alliance (GIA) were two key initiatives proposed by the Committee on the Future Economy. We are making good progress on both of these. Through the ITMs, lead agencies and their partners are putting in place industry-specific transformation strategies for 23 industries that make up 80% of our economy. Thirteen ITMs have been launched so far, and the remainder will be rolled out by the end of this financial year. Each ITM consists of a growth and competitiveness plan, supported by four pillars – productivity, jobs and skills, innovation, and trade and internationalisation. Each ITM also addresses the Government’s role in enabling industry upgrading, for example, through conducive regulations. Alongside the ITMs, we have also launched Skills Frameworks to support the jobs and skills pillar, which provide information on career pathways, job roles, skills needs and relevant training programmes. Implementation of the strategies and plans in the ITMs has started. For example, as part of the Precision Engineering ITM, the Agency for Science, Technology and Research's Singapore Institute of Manufacturing Technology (SIMTech) recently launched a model factory, which allows small and medium enterprises (SMEs) to experience and experiment with advanced manufacturing technologies in a real-life production environment. Leveraging their collaboration with SIMTech, SMEs, such as JEP Aerospace and Feinmetall, have started the digital transformation journey in their own factories. Another recently launched example is the "hive" trade facilitation platform developed by Singapore Logistics Association to build trade connectivity as part of the Wholesale Trade ITM.”
“Various Government agencies also support research and development efforts to mitigate the impact of heat stress in urban Singapore.”
“The Government is monitoring the rising temperatures in Singapore and its impact on our workforce and economy. Workers in Construction, Landscaping, Marine and Offshore Engineering and some parts of Logistics are involved in more outdoor work. Companies in these sectors have put in place mitigating measures tailored to their respective operating contexts. For example, in the Marine industry, companies use mobile shelters where possible to shield workers from direct sunlight as they move along the production line. Construction and Landscape companies equip workers with loose and cool clothing, and ensure outdoor workers have access to drinking facilities throughout the day. Even in warehousing, which is largely sheltered nowadays, companies are increasingly using air-conditioning or large fans to reduce indoor temperatures. Under the Workplace Safety and Health Act and Regulations, employers are required to take these and other reasonable measures to minimise the risk of heat stress among their workers. The WSH Council has also published guidelines for managing heat stress, which include a 14-day heat acclimatisation programme in the first two weeks of employment, and adequate work-rest cycles. For the medium to longer term, the Government is working with industry to adopt technologies and improve work processes that will reduce labour-intensive outdoor work. For instance, as part of the Construction Industry Transformation Map, companies are encouraged to prefabricate building components offsite, so that less time is spent on wet work onsite, where workers are exposed to the elements. Marine companies are adopting more robotics and automation in areas like hull blasting and painting.”
“The Business Grants Portal (BGP) benefits companies, including small and medium enterprises (SMEs), by simplifying grant application forms and reducing the need for companies to approach multiple agencies when applying for business grants. BGP was launched in January 2017, and companies can now apply for six business grants administered by five different Government agencies. These include SPRING Singapore's Capability Development Grant, and International Enterprise Singapore's Market Readiness Assistance grant. BGP has generally been well-received by businesses, with more than 7,000 grant applications from over 5,000 companies submitted through the portal. We will continue to find ways to allow more companies to benefit from the streamlined grant application process offered by BGP. As part of the review for future rollouts, the Ministry of Trade and Industry's Grant Management Office is working with Government agencies, such as the Ministry of Manpower, to explore what other grants can be added to BGP, especially those with high application volume.”
“The Economic Development Board and the Energy Market Authority (EMA) also have various initiatives to groom local talent for companies, including in-company training, student scholarships and talent outreach activities, such as learning journeys. Taking clean energy as an example, some of our talent grooming and skills upgrading initiatives include the Energy-Industry and Singapore-Industry Scholarships. Since 2014, EMA has supported these scholarships for students in the Institutes of Technical Education, polytechnics and universities, in partnership with sponsoring organisations from the power sector. Since July 2016, early and mid-career Singaporeans in the industry have also been tapping on the SkillsFuture Study Award for the Power Sector, to deepen their engineering skills through supported tertiary education courses. We will continue to grow the cleantech industry by investing in research and innovation, training skilled manpower and promoting new financing and business models.”
“Singapore aims to be Asia's leading clean technology (or cleantech) hub to develop domestic solutions and to access the economic opportunities in the region. Our cleantech companies, mainly in the areas of clean energy and water, undertake a wide range of business activities, creating jobs in research and development (R&D), engineering, project development and financing, and high-value manufacturing. Members would be familiar with our success story of improving self-reliance for water. Clean energy, particularly solar energy, will also have a positive impact on our economy, both as an economically viable and sustainable energy source, and as an exportable solution to other cities. The cleantech industry currently hires more than 20,000 workers. In 2016, we projected that the water sector could add 1,000 new professionals, managers, executives and technicians (PMET) jobs by 2020. This year, we also announced plans for the clean energy sector, which is projected to add 2,000 new PMET jobs by 2025. At least two-thirds of these jobs are projected to be taken up by Singaporeans. Cleantech is part of the Urban Solutions domain which has been identified as a key growth area by the Committee on the Future Economy, as well as a focus of our Research, Innovation and Enterprise 2020 (RIE2020) Plan. To deepen our knowledge and capability in this field, the Government is supporting public research centres, such as the Solar Energy Research Institute of Singapore, the Energy Research Institute @ NTU, and the Nanyang Environment and Water Research Institute, to undertake industry-aligned R&D which creates additional good jobs in themselves and helps train technical talent for the wider industry.”
“Over the years, the Government agencies have worked with the race promoter and affected stakeholders to find ways to better plan and coordinate the race execution, to minimise these inconveniences. To reduce the impact on road traffic and drivers, we have halved the number of days for road closures from 12 days in 2008, to six days in 2017. The introduction of the Circle Line and Downtown Line has also increased accessibility to the race vicinity during the F1 period and alleviated the traffic congestion. In addition, STB has worked with various stakeholders, including retailers, to capitalise on the buzz created by the race by launching the Grand Prix Season Singapore (GPSS) – a season of lifestyle events complementing the race experience. The extension of the Formula One Singapore Grand Prix for another four years was decided on terms that are beneficial to all parties. STB will continue to work closely with other Government agencies and stakeholders to enhance the event experience for Singaporeans and visitors while minimising inconveniences to the public.”
“The exact terms of the agreement between the Singapore Tourism Board (STB) and the race promoter, Singapore Grand Prix Pte Ltd (SGP), are subject to business confidentiality. Nevertheless, the decision to continue hosting the Formula One Singapore Grand Prix for another four years, from 2018 to 2021, was made after careful deliberation of the expected benefits and costs from a national perspective, taking into account the impact on various stakeholders. Including the 2017 race, Singapore would have hosted over 450,000 international visitors, contributing about $1.4 billion in incremental tourism receipts.7 The race has also generated business opportunities for local companies, with more than 90% of race-related works sub-contracted to Singapore-based companies. In addition, there are indirect benefits, as the Formula One Singapore Grand Prix has boosted Singapore's image as a vibrant and innovative city due to the high global viewership and media coverage. Over the years, the Singapore race has built up a significant brand and following, successfully establishing itself as a signature race on the F1 calendar that has been referred to as the "crown jewel" of the sport. We expect to sustain such benefits in the new term, and to reduce the cost of organising the race to $135 million per year, with the Government’s share remaining at 60%. This cost reduction is due to factors, such as operational efficiencies. The Formula One Singapore Grand Prix is iconic because it is a night race on a street circuit. However, we recognise that it may cause inconvenience to segments of the public, such as drivers and retailers.”
“In addition to the EntrePass scheme, the Standards, Productivity and Innovation Board (SPRING) Singapore has undertaken other initiatives to attract and anchor promising global startups. Earlier this year, SPRING Singapore launched Startup SG as a brand identity to position Singapore as a leading hub and launchpad for startups to scale and grow in the region and globally. Startup SG serves as an overall framework for easy access by entrepreneurs to the Government's assistance schemes for startups, spanning mentorship for first-time entrepreneurs, grant support to fast-track the commercialisation of technology solutions, Government co-investment to catalyse private equity, and resources for incubators and accelerators. The Government will continue to work closely with the private sector in this effort. An example is the recently established Action Community for Entrepreneurship International Centre (ACEIC; pronounced "ay-sic"), which serves as a landing pad and resource centre for local startups expanding abroad, as well as foreign startups to base in Singapore with access to the appropriate networks to connect to the region.”
“The EntrePass was introduced in 2003 as a work pass for foreign entrepreneurs to start and operate a new business in Singapore and enhance the vibrancy of Singapore's overall entrepreneurial landscape. To date, more than 7,000 unique EntrePass applications have been approved for founders of startups in diverse sectors ranging from manufacturing, information and communications, financial services, wholesale trade, retail and food services. Foreign startups add to the vibrancy of the local startup ecosystem as they complement local skillsets through the cross-fertilisation of ideas and networks and catalyse new partnerships to bolster Singapore's position as a leading startup hub. They also create good jobs for our people. As of August 2017, there are approximately 15,000 workers employed by startups founded by EntrePass holders. As announced at the Ministry of Trade and Industry's Committee of Supply debate earlier this year, the scheme has been enhanced to strengthen Singapore's ability to attract a larger pool of global entrepreneurial talent at different stages of starting up. Under the enhanced scheme, the evaluation criteria for global startup founders have been broadened to give due consideration to their entrepreneurial and investment track records, business networks and achievements in their areas of expertise. The founders will also have up to a year to explore opportunities here before setting up their companies. In addition, with the extension of the validity period of each EntrePass from one to two years, after the first renewal, EntrePass holders will have more certainty in their efforts to scale up their businesses.”
“Over the years, GSS has made an impact on the retail calendar and built mindshare amongst local and international shoppers. STB will continue to work with SRA to update and refresh GSS. We are considering how to further leverage technology to strengthen consumer outreach. At the same time, GSS also has potential to be reinvented as a lifestyle event going beyond shopping, through collaboration with the dining and entertainment sectors. Some local attractions and hoteliers had listed promotions on the GoSpree application this year, and we hope to bring more onboard in the coming years.”
“The retail industry has been undergoing disruption and change worldwide, with evolving consumer preferences and the increasing prevalence of e-commerce. Singapore's retail landscape has also experienced similar shifts. The Great Singapore Sale (GSS), which is a marketing campaign organised annually by the Singapore Retailers' Association (SRA) and supported by the Singapore Tourism Board (STB), needs to evolve in response to changes in the retail landscape, where shoppers have many more opportunities than before to obtain deep discounts on attractive merchandise. To enhance the retail industry's vibrancy, we had worked with industry stakeholders to develop the Retail Industry Transformation Map, launched last September. One key strategy is the need to foster the growth of a vibrant mix of highly-productive retailers who can reach out to different consumer groups online and offline. With e-commerce becoming an important catalyst of the retail industry's growth, traditional brick-and-mortar retailers need to adopt online strategies to reach out to more tech-savvy consumers both locally and internationally. Likewise, GSS also stands to benefit if it builds an online presence amidst the shifting retail landscape, complementing its usual offline marketing efforts. It is encouraging that SRA commissioned the GoSpree mobile application for GSS 2017, which connects consumers to exclusive shopping bargains not only from established retailers, but also emerging local brands. Many retailers promoted their in-store deals via the application, which has a geo-tagging function that allows e-coupons and deal alerts to be sent to shoppers near participating stores.”
“Mr Speaker, I thank the Member for his questions. As we have emphasised, the formation of the new agency Enterprise Singapore is just one aspect of our overall effort to strengthen our economy and prepare for some of the challenges we anticipate. And in that regard, the role of the Trade Associations and Chambers (TACs) and, in this case, the specific reference the Member made was to the SME Centres, that remains a very important part of the architecture that we have in our economy. So, the answer is yes, companies can continue to approach the SME Centres. In fact, we expect the SME Centres and TACs to play an even more significant role as we move forward with various initiatives. The second point, on account management, as the Member would be aware and, indeed, for the information of all Members, the accounts are managed by the different agencies today. We have already had an effort to streamline the account management so that there is a principal agency managing a particular relationship with a company, whether it is the Economic Development Board, IE Singapore or SPRING Singapore and others, will then work through that principal relationship. With the formation of Enterprise Singapore, we expect this process to become even more efficient and effective. Certainly, one of Enterprise Singapore's priorities will be to see how it can better interface with the business community and specific enterprises. 2.00 pm”
“The two agencies will also continue to work with companies which have already applied for or received business grants. A smooth transition is our top priority.”
“Mr Speaker, the Standards, Productivity and Innovation Board (SPRING) Singapore and International Enterprise (IE) Singapore have helped companies build up capabilities and access overseas markets through a suite of assistance programmes. The proposed new agency Enterprise Singapore will build on the good work that has been done by both agencies. To help companies access assistance programmes more easily, the Government has already been streamlining existing grants to minimise overlaps across agencies and simplify the application process. So, in other words is, we are not waiting for the formation of the new agency to do this. One example of our efforts is the Business Grants Portal (BGP) which consolidates commonly used grants, such as SPRING’s Capability Development Grant and IE Singapore’s Global Company Partnership, in a one-stop application portal. With this portal, which was officially launched in January 2017, companies can now apply for grants without having to approach multiple agencies. With the merger of SPRING Singapore and IE Singapore to form Enterprise Singapore, companies can look forward to a comprehensive suite of support from a single agency for capability building and overseas market access. Enterprise Singapore will also study how the various schemes and grants can be enhanced to develop integrated solutions that meet the needs of our companies in the new phase of growth. This will put us, we believe, in good stead to grow a strong cohort of Singapore companies for our future economy. In the transition period, support for small and medium enterprises (SMEs) will not be affected, and companies can continue to apply to SPRING Singapore and IE Singapore for assistance under the existing programmes.”
“I do not have the data on that offhand. But I would imagine and, indeed, our experience in general has been there is no reason to think it is terribly different from what we have had in SIP and other places, which is about 70% or two-thirds. In general, when companies go overseas, they do not just do it on their own. They go because there is a larger opportunity arising from whether it is a G-to-G project or some other element that is initiating it, such as one of their large clients going overseas and then they go with them. So, I would say it is not unusual to see about two-thirds, but I do not have an exact answer for the Member. The larger question is whether there is a value proposition back to Singapore. This is where what I have emphasised earlier and which is worth repeating, whether it is through G-to-G projects or through other initiatives to take our companies overseas, or free trade agreements and other initiatives to help our companies internationalise, what is the fundamental objective? First, it is to help our companies grow beyond our domestic market; second, with that skill, it allows them to undertake a broader range of initiatives and invest more in their capabilities; and third, it allows us to also create good opportunities for Singaporeans, not just in terms of pursuing opportunities in these other markets, but also in developing capabilities here. So, I gave Members the example of the patent company where they are doing R&D in Singapore that creates 10 new jobs which were not there before. So, there are ways to track it, and we look at it. Certainly, when our agencies extend assistance to companies when they go overseas in terms of grants and so on, this becomes an important key performance indicator.”
“Mr Speaker, may I ask the Member to repeat his first question, I did not quite hear it clearly.”
“To date, the centre has hired more than 10 data scientists. The TEC project was established in 2008, against the backdrop of rapid urbanisation and heightened focus on sustainable economic development in China. As of June this year, 42 Singapore companies are registered in TEC, with a total registered capital of more than S$220 million. Companies include small and medium enterprises (SMEs) in a range of sectors, such as environmental services, property, education, urban solutions and logistics. Singapore’s newer G-to-G projects continue to bring our companies to new regions and markets to help them gain a first-mover advantage. The Chongqing Connectivity Initiative project, which was launched in 2015, has opened up business opportunities in the less developed western region of China, and facilitates the participation of Singapore companies in sectors, such as financial services, aviation, transport and logistics, and information and communications technology. Similarly, the Amaravati project to build a new capital city in Andhra Pradesh will give Singapore companies the opportunity to export our expertise in urban solutions and other domains. With our early involvement in the initiative, our companies, including SMEs, will be well-positioned to offer their services and participate in projects within the state of Andhra Pradesh as well as in the broader Indian market.”
“Mr Speaker, internationalisation remains an important strategy to sustain Singapore’s growth by helping our companies develop beyond our domestic market. Government-to-Government (G-to-G) projects, such as the Suzhou Industrial Park (SIP), Tianjin Eco-city (TEC), Chongqing Connectivity Initiative and the Amaravati Capital City project in Andhra Pradesh, play an enabling role in paving the way for Singapore companies to enter and scale up in fast-growing markets, such as China and India. Over the years, many Singapore companies have tapped on these G-to-G platforms to go abroad. In the case of SIP, about 340 Singapore companies have established their presence there as at the end of 2016. Of these, approximately 70% are small companies with registered capital of up to S$1 million. Cumulative contractual investments by Singapore-based companies in SIP amounted to S$9.4 billion by the end of last year. The National University of Singapore has also established a research institute, the NUS (Suzhou) Research Institute (NUSRI), in SIP which has served as a springboard for Singapore startups to incubate and scale up in China. NUSRI is currently incubating 37 Singapore and international technology startups. Just to give Members an example of a company that has benefited from SIP and scaled successfully is PatSnap, founded in 2007, a Singapore company that offers innovative patent data analytics solutions. So, to overcome the small domestic market constraints, they scaled up by first going overseas to SIP and today their software has been sold in over 40 countries to more than 1,300 clients. In March this year, the company announced its plans to invest S$22 million in a research and development (R&D) centre in Singapore to further develop its intelligence platform.”
“As highlighted by the Committee on the Future Economy, Singapore's next phase of growth will require stronger Singapore companies that are more innovative, nimble and better connected to global markets. The capacity to innovate, harness new technologies, scale up and internationalise are increasingly intertwined for all companies regardless of size or stage of development. Hence, to better support our companies in this dynamic economic environment, we recently announced the merger of SPRING Singapore and IE Singapore to form a new Government agency, Enterprise Singapore. Enterprise Singapore will build on the strengths of both agencies and integrate its knowledge of industries with its network of local and overseas partners to comprehensively support our local enterprises in their efforts to innovate and internationalise. Enterprise Singapore and EDB will form two critical and complementary Government agencies that will help formulate and implement strategies for the development of industry clusters and enterprises in Singapore. Both will work closely together to drive more collaboration between multinational corporations, innovative startups, as well as enterprises of all sizes, to reinforce one another's strengths, enhance the competitiveness of our industries, and develop Singapore into a global trading hub.”
“The Government takes a holistic approach towards economic planning and development and fosters close collaboration among the Government agencies and partners to implement our economic strategies effectively and create good jobs for Singaporeans. Over the years, our economic agencies have developed deep knowledge, specialised capabilities and networks, which allow them to support our enterprises in their respective areas. For instance, the Economic Development Board (EDB) focuses on bringing in investments and strengthening Singapore as a global hub for business, while the Standards, Productivity and Innovation Board (SPRING) Singapore and International Enterprise (IE) Singapore are the key agencies supporting our local enterprises. Specifically, IE Singapore focuses on growing trade and overseas investments by helping Singapore-based enterprises export and internationalise, while SPRING Singapore focuses on building the capabilities of startups and small and medium enterprises. At the same time, the various Government agencies work closely together to meet the needs of our enterprises. For instance, while lead agencies have been appointed for each of the 23 Industry Transformation Maps (ITMs), the ITMs have been an important platform to bring together Government agencies and non-Government stakeholders, such as Trade Associations and Chambers, Institutes of Higher Learning and training providers, to deliver integrated planning and implementation efforts to address the specific needs of each industry. The Government regularly adapts our programmes to better tailor to companies' changing requirements. When necessary, we are also prepared to restructure in order to better serve Singaporeans and our enterprises as the economic environment and business needs evolve.”
“On its part, the Accommodation sector benefited from a recovery in visitor arrivals, with gross lettings at gazetted hotels rising by 6% in tandem with a 7.7% increase in visitor arrivals. For 2017, the Ministry of Trade and Industry expects the Singapore economy to grow by 2% to 3%, with growth likely to come in at around 2.5% on the back of a continued recovery in external demand. This is higher than the 2% growth achieved in 2016. Consequently, labour productivity growth in 2017 is also expected to come in stronger than last year's.”
“Labour productivity, as measured by real value-added (VA) per worker, grew by 1% in 2016, reversing the 0.2% decline in 2015. When measured as real VA per actual hour worked (AHW), labour productivity growth was 1.4% in 2016, compared to 1% in 2015. At the overall level, labour productivity growth in 2016 was supported by growth in real VA on the back of a pickup in external demand, which had benefited outward-oriented sectors, such as the Manufacturing sector. At the same time, both employment and the total number of hours worked grew at a slower rate, in part due to a slowdown in local workforce growth and a decline in foreign employment (excluding foreign domestic workers), especially in the Marine and Construction sectors. By sectors, overall productivity growth in 2016 was primarily driven by the outward-oriented sectors. Collectively, the productivity of outward-oriented sectors rose by 3.1% based on real VA per AHW or 1.8% based on real VA per worker in 2016, while that of domestically-oriented sectors declined by 1.3% based on both measures. Among the sectors, the highest productivity gains were seen in the Manufacturing (8.2% based on real VA per AHW or 7.1% based on real VA per worker) and Accommodation (5.6% in both cases) sectors. Within the Manufacturing sector, productivity growth was led by the Electronics and Biomedical Manufacturing (BMS) clusters. The productivity of the Electronics cluster was bolstered by strong growth in the semiconductors segment on the back of a pickup in global semiconductors demand. Similarly, the productivity of the BMS cluster was supported by robust expansions in both the pharmaceuticals and medical technology segments due to strong external demand.”
“Given the wide range of businesses that offer prepayment schemes, it is challenging to impose broad-based measures that would protect consumers against loss of prepayments. Also, such measures would inevitably raise the cost of doing business which would be passed on to consumers. Most overseas jurisdictions also recognise these challenges and generally do not impose broad-based prepayment protection measures. However, our Government agencies are studying the need and scope for targeted sector-specific measures to protect consumers against the loss of their prepayments. The Consumers Association of Singapore (CASE) has also worked with industry associations to develop CaseTrust accreditation schemes for specific industries, including spa and wellness, renovation and motor workshops. The majority of these industry-specific schemes offer prepayment protection for consumers and we encourage consumers to patronise CaseTrust-accredited businesses. In general, our approach to consumer protection is to promote fair trading practices and to help consumers make informed purchasing decisions, including those that involve prepayments.”
“The Government will closely monitor these initiatives to promote the commercialisation of our R&D and make adjustments or introduce new programmes based on the outcomes achieved and feedback from industry.”