Teo Ho Pin
Singapore
“Mr Chairman, Sir, when Total Defence was first introduced in 1984, it was recognised that threats will not simply affect our military but potentially Singaporeans, combatants and non-combatants alike. Thus, we must continue to build resilience in our people and community.”
“Chairman, over the past year, we have witnessed an increase in the number of cybersecurity breaches. As a response to these incidents, many countries are stepping up efforts to strengthen their cybersecurity capabilities.”
“Sir, I wish to seek an update from the Minister on the skills upgrading and development of public officers as well as aspiring public officers, especially in the three areas which I have mentioned. Can the Government also consider giving out scholarships to nurture and attract talent in these fields? Role of PMO”
“Mr Speaker, Sir, we should empower the community to come up with innovative solutions like North West 911 and build capabilities in our people to cope better during emergencies.”
“The French Government passed a law in 2016 mandating that large supermarkets have to donate excess food to food banks and charitable organisations. If we had a similar initiative in Singapore, we can not only reduce the amount of food waste, but we can also help those in need.”
“Sir, I have three clarifications for the Senior Minister of State. First, will the Ministry consider licensing PMDs so as to manage the growth of PMDs in Singapore and also to make it compulsory for the PMD riders to attend a safe riding course?”
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“Mr Deputy Speaker, Sir, I rise in support of the motion proposed by the Finance Minister. This year's budget is indeed a prudent and focused budget. The budget signals to all Singaporeans to be prudent in their spending in view of the current regional financial turmoil. As highlighted by the Finance Minister, and I quote, "The regional crisis is far from over." Singapore must be both mentally and financially prepared to overcome this crisis. The budget has also taken the opportunity to further increase the economic competitiveness and capabilities of our country. The 24.9% increase in development expenditure clearly shows the Government's commitment and long term strategies to position Singapore as a global player in the next millennium. I fully support the increase in capital expenditure on education, defence and economic infrastructure. Sir, let me now discuss the details of the budget. Rebates for individuals In view of the regional crisis, Singaporeans, especially the low income earners, will face tougher times ahead. Some may even face unemployment or disruption in their monthly income. During such times, they would need every assistance rendered. Being a people's Government, this Government must offer more financial assistance in whatever forms to help Singaporeans to tide over the crisis. There are about 3,000 families living in 1-, 2- and 3-room HDB flats which will be affected by the rental and S&C rebates. The S&C rebate ranges from 0.5 months to 2 months. In many town councils, arrears for S&C charges range between 10% and 15%. The majority in arrears owe one, two or three months. Thus, rebates for S&C as provided by the budget will not have any direct benefit to these families except helping the town councils to improve their financial position.”
“Such a revision will enhance the growth of more voluntary efforts in the community. And more organisations can be inspired to think of how they can contribute to community development. Sir, what I would like to ask is whether the Ministry would be considering a revision in terms of more financial grants for the voluntary organisations.”
“The social health of most communities is judged by the fact that there are more and more involvement of volunteers and voluntary organisations in our society. But just to pay lip service to encourage them is not sufficient, Sir. I am sure the Ministry is not doing that. The Ministry is doing the best it can to support various voluntary efforts and voluntary organisations in meeting various gaps in terms of services for the community. In fact, more services have been divested over the years to these voluntary organisations. And voluntary organisations have been encouraged to take more responsibilities, to develop more service, to pioneer into new areas which are of concern and new issues that have been identified by the community. This is a good thing, but it cannot be for free, because the impression that people have is that voluntary organisations are charitable. In fact, they are charitable, but I think they are expected to be more charitable than necessary. I think there is a social cost. There is a cost in managing these services. The question is: who is to bear the cost? Here, the community, in fact, is contributing to this cost through donations, through various other things. They do also expect the Government to do its part. Currently, Sir, the 50-50 contribution or the grant formula, as I see it, is not adequate and could be increased further. May I suggest that instead of this 50-50 formula, it may be more equitable to give them two-thirds support in terms of the grant. And this would, in the longer term, reduce the burden of fund raising. Organisations would have more time to direct their efforts in providing services to the community, and they will become more viable with this support.”
“Sir, over the last 37 years, the People's Association (PA) has done an excellent job in promoting social, cultural, educational, sports and recreational activities for all Singaporeans. Community clubs have evolved to be active and established "social centres" for many Singaporeans, especially those living in HDB estates. As we move into the next millennium, community clubs will have to shoulder more responsibility in facilitating community bonding among Singaporeans. The rising expectations and aspirations of Singaporeans will also pose exciting challenges to the management and staff of community clubs. To cope with these challenges, we need to provide more trained manpower and resources to manage community clubs. There is a need to review the manpower and salary policy of the People's Association so as to upgrade existing staff and attract better qualified staff for community clubs. 4.15 pm Sir, I would like to ask the Minister the following questions: (1) Can the Ministry consider providing more funding for the building of new CC, upgrading of old CCs and more grants for CC activities? (2) Can the Ministry consider allocating more manpower, especially specialists in public relations, culture and arts, and sports at community clubs? (3) Can the Ministry consider revising the salary structure of the staff, which should be commensurate with their loyalty, performance, scope of work and the performance of the community clubs? Can the Ministry consider providing a loyalty allowance for staff who have served for more than 10 years? Dr Vasoo: Sir, more and more voluntary organisations are encouraged and cajoled to take on more services to meet community needs and to assist the less fortunate in our community. Much has been said that we need to encourage them.”
“Recently, for many small offences, like killing an animal or using a CBD area licence on another car, imprisonment sentences were imposed. If we want to punish someone for killing a cat, on the surface, yes, it is being cruel to the animal by killing it. But you must look at why he killed the cat. In this incident, the cat went to his house to kill his pet bird. I agree that his way of killing the cat was brutal and he was certainly guilty. But he was merely trying to protect the defenceless bird in the cage. He appeared to be an animal lover too. Being an animal lover, he killed the cat and he was sentenced to six weeks' imprisonment. That is too heavy. We should review our law on cruelty to animals. The Animals and Birds Act was instituted from the human perspective. As human beings we can think. But animals act on instinct. Like a mosquito sucks blood from human beings, it is its nature. So when a cat kills a rat or a bird, it was just looking for food. But when a man sees such an action being done, of course, he will attack the aggressor to protect the victim. Like the cat which killed the pet bird, if someone kills a mosquito, or a rat, would you send him to imprisonment for one day, three days or one week? By killing a cat I think he should only be fined, not an imprisonment for six weeks. Because to the Chinese community, sending a person to prison for killing a cat is very hard to accept. So I think he should be fined, instead of imprisonment.”
“Whenever I go on my walkabouts especially to apartment blocks near the park, no matter how stressed the residents were or what problems they may have to bring up to me, they never failed to smile and they even speak fondly when asked about the park nearby. Most of them and their families use the park regularly. May I ask what plans are in store to enhance the usefulness and value of the park for its users? Will MND consider providing other facilities, like mini-camping sites and barbecue pits? 2.30 pm Sir, MND should be congratulated for its park connector programme, which also helps to enhance the usefulness of the park lands. What more could be done, and can MND expedite the completion of the building of park connectors island-wide to optimise park land usage, specifically for the Punggol Park area? When will the park be able to see connectors linking Punggol Park with the East Coast Park and the Bishan Park? Can its building programme be expedited too? I would also like to urge the MND to include park connectors to link Punggol Park to Punggol 21 Park and recreational facilities. Mr Peh Chin Hua (Jalan Besar)( In Mandarin):Sir, just now we were all talking about housing. I am not going to speak on housing. I am going to speak about cruelty to animals. Recently, a person was sentenced to six weeks' imprisonment for an offence of killing a cat. Although this is a very small matter, the response from the ordinary citizens is very intense. Many people agree that it is guilty to be cruel to animals but imprisonment of six weeks appears to be manifestly excessive. Sir, in Singapore the Chinese community associates imprisonment with very serious criminal offences and it is a very shameful matter.”
“Sir, in a fast-pace and urban city like Singapore, parks play a significant role in providing an outlet for people to relax, socialise and escape from the stresses of urban life, as research has shown that parks and open spaces can help a person to clear his mind and enable him to find himself. Thus, we must continuously manage and upgrade our parks to achieve high repeat visits by both Singaporeans and tourists. To achieve this, we need to determine what forms of parks and open spaces to provide, and what are the features and qualities people seek and find satisfying. I would like to ask the Ministry the following suggestions: can the Ministry provide a wider range of environmental features and recreational facilities in the parks and park connectors? Can parks and park connectors be conveniently located and integrated with our transportation system? What are the activities organised to inject life into our parks? Can we expedite the construction of all planned park connectors in Singapore? Mr Zainul Abidin Rasheed: Sir, in our increasingly urbanised environment, park lands and nature sites play an important role in softening the harshness of our built-up surroundings. I notice this first hand from experience serving in Punggol East of Cheng San GRC where I have about 70 blocks of flats in the area. An enlightened HDB planning has avoided us ending up with a concrete jungle, and the Punggol Park has provided the area with a green lung that brings lots of joy and freshness for the residents of the Punggol area and even from afar.”
“In our efforts to complement the promotion of Singapore as a base for regional headquarters, ie, OHQ programme, there is a strong case to add to the possibility of a training park infrastructure. Many MNCs as well as some regional and Singapore companies, conduct corporate training programmes in Singapore for all their staff located in this region. The training park can draw upon the synergies of a number of tertiary institutions such as NUS and NTU, and Government agencies such as PSB, NCB and the NSTB. A corporate training park helps to lower the threshold costs for the location of a company's training activities in Singapore in the following three ways: Firstly, it enables the company to share hardware and infrastructure facilities, as well as the software, specialists and training personnel. Secondly, it enables training activities to be conducted away from their offices in the city where rentals are high. Thirdly, the economies of scale generated in a training park allows these facilities to be located in a very conducive campus-like environment. The proposal of the corporate or regional training park will enable Singapore to enhance its attraction as a location for regional headquarters and other regional operations. There will also be spin-offs for the tourism and retail sectors. I would like to urge the Minister to look into this idea and designate suitable locations for training parks. One location could be an area adjacent to the present Science Park, which is also near to NUS and NUH.”
“As such, construction projects may not be completed within the time frame and the required quality. There is a need to set a common goal in construction projects so that all parties will work together. I would like to urge the Government to grant tax incentives to projects which attain high CONQUAS score. (3) Tax incentives for overseas earned income Tax incentives should also be provided to encourage construction firms to venture overseas. Income earned from overseas should be tax exempt for the initial period when construction firms export their services in approved construction projects. Such incentives will provide additional impetus for construction firms to go regional. Mr Leong Horn Kee: Sir, my colleague, Mr Sinnakaruppan, has raised this proposal of Corporate Training Parks or Regional Training Parks during the debate on the Ministry of Trade and Industry. The Ministry's reply to him was that it would consider applications on a case-by-case basis. I would like to raise this proposal under the Ministry of National Development from the angle that it would be beneficial to designate certain suitable locations as Regional Training Parks to encourage MNCs and regional conglomerates to co-locate their training facilities. This idea of a regional training park is conceived by some members of our Resource Panel of the GPC for National Development. An increasing proportion of the activities of a business is taken up for the training of managerial and technical personnel. Most MNCs and cutting-edge companies develop in-house and other highly customised programmes which seek to enhance the job related competence of their staff. Their investments in training facilities and programmes can be considerable.”
“Thus, under such circumstances, tender pre-qualification will be ineffective in selecting suitable contractors for construction projects. I hope the Ministry could take stringent action to prevent total sub-contracting practices in Singapore. (3) Control of sub-contractors The local construction industry adopts the practice of labour sub-contracting for most projects. In order to control the quality of workmanship, it is necessary for CIDB to register and monitor the quality of work of sub-contractors in the industry. Sub-contractors who fail to perform satisfactorily consistently shall be deregistered or suspended from businesses accordingly. This will ensure that sub-contractors also upgrade their operations and engage the necessary skilled workers to produce quality work. To upgrade the industry, we need to remove all "fly-by-night" contractors and sub-contractors. Sir, let me now highlight the carrot approach to upgrade contractors. (1) Construction competitiveness committee There is a need to form a construction competitiveness committee comprising representatives from the various Ministries and contractors. The committee could be tasked to study the problems faced by contractors and map out strategies to upgrade the capabilities of our contractors. It could also look into the requirements by the respective authorities and suggest ways to coordinate the Ministries so as to shorten the development period of projects. (2) Tax incentives for quality work At present, the work culture among authorities, developers, consultants and contractors is not very cohesive and is sometimes adversarial. The various parties to a project have different project objectives and are usually not complementary.”
“At present, I am concerned that the local construction industry is suffering from a "brain drain" as many large construction firms are diversifying and scaling down their construction activities. This phenomenon will have adverse effect on the quality of construction in the future. I understand that the CIDB has a number of schemes such as the Investment Allowance and the Local Enterprise Technical Assistance Schemes to assist local contractors. In addition to this, I would like to provide the following suggestions for the Minister to consider. To upgrade contractors, we should adopt a stick and carrot approach. The stick approach would entail the following: (1) Stringent control on the grading of contractors The grading of construction firms by the CIDB should be streamlined to ensure that construction firms maintain consistent quality in their work. Upgrading of firms to higher grading must be supported by good track record, such as consistently achieving high CONQUAS score and an acceptable level of professional practices. Construction firms which fail to maintain certain specified CONQUAS score consistently should be downgraded accordingly. There should also be stipulated requirements by the CIDB to ensure that firms submit their CONQUAS scores for projects of certain specified contract value according to their respective grading category. This would ensure consistent quality of work. (2) Prevent total sub-contracting practices in Singapore Presently, there are a number of construction firms which totally sub-contract projects to smaller firms which sometimes are unable to produce quality work. Such arrangements not only inflate the cost of construction but also distort the matching of a construction firm's ability with the size of the project.”
“Sir, my topic is on the upgrading of contractors. Countries in the Asia-Pacific are growing rapidly. There are immense business opportunities in these countries, especially in infrastructure, industrial, housing and commercial developments. According to the World Bank's forecast, there will be over $450 billion dollars worth of infrastructure works in Asia in the next few years and trillions of dollars in the years to come. As highlighted by our Finance Minister, we have a limited domestic market and have no choice but to compete in the world market. We can grow faster by seizing opportunities overseas, especially in the booming Asia-Pacific countries. I think the local construction industry is capable of providing a key pillar to our external economy. Construction businesses are less capital intensive and thus more adaptable to changing business environment. The construction industry also provides relatively high per capita income as compared to other industries. Thus, I would like to urge the Ministry to provide more support to spearhead the regionalisation drive of local construction firms. However, before we do so, we need to consider whether local construction firms are ready to compete in the international market. In my opinion, there are a number of G8 registered and specialist firms capable of competing in the world market. The remaining construction firms would need the support of our Government to upgrade their firms before venturing overseas. Thus, I hope the National Development Ministry could adopt a policy to upgrade local contractors to international standing. Clear policy directions must be set so as to enable local construction firms to grow and expand both their local and overseas construction operations.”
“(2) Can the Ministry provide larger communal space for residents by developing larger precincts of about 15-20 blocks? (3) Can the Ministry also consider building function halls for residents in HDB estates? Again, what are the implications of this proposal? Firstly, it will encourage more residents to use the communal space to strengthen community bonding. Secondly, with a larger precinct, we can incorporate more facilities and residents will be able to enjoy more facilities and a wider range of facilities. Thirdly, of course, with all the facilities coming into the same area, it will be easier for town councils to maintain these facilities.”
“Sir, as we move into the next century, HDB will be providing housing to Singaporeans who are more affluent, more educated and more demanding. Public housing is no longer as a shelter over the head. It is viewed to be a home and asset, and also an investment to many Singaporeans. As we move towards making Singapore our home, HDB will need to play a more active role in facilitating the building of community bonding among HDB residents. Sir, I would like to ask the Minister the following questions. (1) Can HDB design a mixture of 1-, 2- and 3-bedroom flats at different floor areas for every block and precinct, as in a private condominium? (2) Can HDB build larger precincts of flats of about 1,200-1,500 units? What are the implications of this proposal? First, it will provide more options for Singaporeans to choose different sizes of flats. Secondly, it will allow more efficient allocation of living space in public housing. Thirdly, by having this variety of flats, it will allow family members to stay with their parents or with their relatives. Lastly, with these wide options, there may not be a need to increase the floor area of HDB flats in future upgrading programmes. Sir, my second topic is on the development of communal spaces in HDB estates. Recently, the Government has been emphasising the need to strengthen community bonding among Singaporeans. To achieve this, we need to build community infrastructure in our living environment. I would like to urge the Ministry to review the policy of designing community spaces within HDB estates. Sir, I would like to ask the Minister the following questions. (1) Can the Ministry provide integrated facilities which have repeat utility value for different age groups of residents in HDB estates?”
“It will help Singapore maintain its competitive edge and ensure the positive growth of the economy of Singapore in the next few years. It is indeed a prudent Budget.”
“Yet, in coordinating with the Government's policy of encouraging overseas development, they are often over-cautious because of their own company policies. On the contrary, some of our local small and medium-sized companies are very adventurous and are more prepared to take risks. Their flexibility and adventurous spirit will positively develop not only the local business but also their overseas investments. I believe that if the Government imposes less restrictions and conditions on them, they will definitely be able to develop into big enterprises and corporations in one to two decades. The Government is encouraging small and medium-sized enterprises to extend their business overseas and assisting them by setting up SME Investment Funds. However, according to the professionals in this field, enterprises who really benefited from these schemes are really very few. At the moment, many medium-sized enterprises investing overseas in industrial parks, lands, buildings, etc., are having difficulty securing loans from local banks. Even by investing a capital of $1 million in fixed assets, they are still unable to secure a bank loan of $200,000 or 20% of the capital. I find this very difficult to understand. The bankers told me that they had to abide by the regulation of the Monetary Authority of Singapore. If this is the case, I hope that the Ministry of Finance would take into consideration the situation of the medium-sized enterprises by giving the Singapore financial institutions more liberty and allow them to grant mortgage loans to Singapore enterprises against their tangible assets. In this way, we can encourage greater economic growth and better overseas development outlook for our local SMEs. Sir, to sum up, this year's Budget will benefit our country.”
“It will also help to keep Singapore stay competitive as we step into the next century. Therefore, I feel that this Budget can be described as objectively optimistic with dynamism. Mr Speaker, Sir, in Singapore, among our small and medium-sized enterprises (SMEs), the majority are small factories, retail shops and small-time operators. These people are being pressurised as they face stronger competition, and they are at the same time affected by the slower Singapore economic growth. These businesses often encounter niggling problems. Recently, JTC froze the rental of their properties to help these small enterprises. We welcome such a move. At the same time, I hope that the Housing and Development Board will also follow the footsteps of JTC in freezing their rental increases. I also urge the Ministry of the Environment to consider freezing rental increases on the hawker stalls to help the small-time operators alleviate their operational cost, especially in the aging estates like Queenstown, Tanjong Pagar, Geylang West and Bukit Ho Swee. These shopkeepers and stallholders are not enjoying good business but they have to pay high overhead expenses. So, we should pay special attention to them and I hope the Minister for Finance will understand the plight of these small traders and ask the HDB and the Ministry of the Environment to consider our appeal to them. Mr Speaker, Sir, in Singapore, the big enterprises are usually public-listed companies and multi-national corporations (MNCs). Should they require additional capital to expand their business, they can easily approach the banks for loans or through public offerings of shares.”
“Except for the Singapore dollar which is not so seriously affected , other currencies, such as the Thai baht, Philippine peso, Indonesian rupiah and Malaysian ringgit, are being dumped by speculators causing their exchange rates to plummet. In addition, the rapid economic growth in ASEAN countries and the Asia-Pacific region has created dynamic and competitive financial markets among these countries. In my view, taking into account both external and internal factors, the Minister for Finance is very prudent and has kept in line with the present economic situation of Singapore when he presented our economic outlook as conservatively optimistic. Another important element mentioned in the Budget is the sharing of our surplus with the people, for example, the rebates on HDB service and conservancy charges and rentals, rebates for utilities charges, CPF Medisave Top-Up Scheme, Pre-Medisave Top-Up for Senior Citizens and another one-off 10% across-the-board rebate in personal income tax, etc. The Budget was well tailored to take into consideration the land cost of industrial land and residential properties. The Government recognises that the cost of industrial land is a key issue for investors in the manufacturing sector. Therefore, the Government has taken cautious steps to allocate adequate land for industrial use and to price industrial land realistically to keep Singapore an attractive destination for investments. In the financial services sector, a package of new tax incentives and tax concessions are worked out for activities, such as fund management, management of initial public offerings (IPO) of foreign-currency shares, trading in foreign-currency shares, etc. These incentives will boost economic growth in the commercial sector.”
“Asia is without doubt a success story and would continue to be for a while, particularly in countries with good economic governance. However, as part of Asia, we should not dismiss the renewal of interest in some parts of the Latin American, Eastern European and African markets. Rampant or hyper-inflation woes in Latin America are giving way to steady, well-controlled inflation patterns, and growth rates for 1998, for example, are projected to be just a shade below Asia's estimated average of between 6% and 7%. Investment opportunities abound given their relatively low GDP per capita levels. It is thus not surprising that North American and European investors have begun hunting such possibilities, somewhat at the expense of Asia. If Asia as a whole loses its allure, then Singapore would have to contend with a share of a smaller pie and intra-Asia competitive pressure. One way of further diversifying our economic base is to explore ways of participating in the growth of these markets, on a selective basis. On that note, Sir, I support the Budget Statement. Mr Peh Chin Hua (Jalan Besar)( In Mandarin): Mr Speaker, Sir, I support the motion standing in the name of the Minister for Finance. I feel that the 1997 Budget announced by the Minister for Finance is a conservatively optimistic, prudent and painless Budget. In the early months of 1997, the sluggish export activities of our electronics industry and the slowing down of our manufacturing sector have led to a slower growth in the economy of Singapore. In the first quarter of 1997, we only managed to register a 3.8% economic growth. Furthermore, the regional currencies crisis has indeed hit the ASEAN financial markets.”
“Awareness of Sources of Competition The Government has frequently been making comparisons between Singapore and other countries in Asia, in a bid to remain competitive. Amongst other things, it is heartening to note that the Government is closely monitoring the costs of doing business in Singapore. I would like to urge Government agencies to complement absolute comparisons with relative ones and with as many as possible as far as it is feasible to do so. Let me illustrate. There is sometimes a false sense of comfort that prime office rates in Hong Kong at around US$9-10 per square foot per month are still a good 30% above ours. However, utilisation also tends to be higher in Hong Kong, so the total rental burden may be the same, and our cost-advantage is neutralised. Or for that matter, prime retail rentals in Hong Kong of as much as US$50 per square foot per month are about double that of comparable space in Singapore. This, unfortunately, does not paint a complete picture. Retail sales for high traffic outlets can average up to US$1,900 per square foot per year in Hong Kong against an average of around US$600-800 per square foot per year here, which will more than compensate for the costlier space. It is therefore important for us to be familiar with the cost profile of businesses in Singapore and elsewhere. For example, is the real estate component, whether as a percentage of overall costs or revenues, disproportionally higher in Singapore? If it were true for certain industries, then, given our scarce land resources, we would have to restructure those industries. Sir, I would now like to extend this discussion to competition posed by the other non-Asian emerging markets.”
“Hence, to stay relevant, we have to constantly be nimble-footed and be willing to restructure our industries. At the same time, we face supply constraints, particularly to labour. We can, through religious and forward planning, adapt other factors of production to changing needs. In this regard, I would like to urge the Government to devote yet more effort to the difficult challenge of moulding the attitudes of the labour force, so as to better cope with changing demands. Sir, it is inevitable that with a tight labour supply, employees are frequently in a good bargaining position, but only to a point. If a wage spiral forms, and consumption levels climb in tandem, any forced cutting back would be very painful. This could easily be precipitated by a loss of competitiveness when our wages rise too high too quickly. London-based consultant Charles Handy, in his book entitled "The Empty Raincoat", offered a half-two-three concept to maintaining productivity and profitability, that is, keeping half as many employees but who are paid twice as much and who are expected to produce three times as much. If we can manage on only half as many people for existing businesses, we can then hope to do more despite our limited manpower resources. However, we would also need to ensure that overall productivity has risen as well. Sir, there is a current fear that the wage level part of the equation may have risen ahead of the other two components. Whilst there is still a premium to be paid for good quality, top-notch managerial resources in Singapore, this has to be justified by a real superiority in delivery. There is a fine line between demanding what we think we are worth individually in a tight labour market and being priced out of the global market as a country.”
“Just to clarify again. Although the S&C grant will be given to the residents, based on the different room types, it will be paid to the town councils and the residents will benefit. What I am trying to say is that, technically speaking, yes, with this S&C grant, the residents will enjoy the grant directly. But if you look at the trend of maintenance cost and the last revision of the S&C charges for HDB estates, you will note that town councils are facing financial strains because of rising maintenance cost. So you will find that, with this grant, theoretically, the town councils will have to increase the S&C charges by a certain rate. But with this rebate, the increase will be minimised. What I am trying to say is that the S&C grant by the Government will minimise the impact of any potential increase in S&C charges on the residents. Mrs Lim Hwee Hua (Marine Parade): Mr Speaker, Sir, the tone of this year's Budget Statement is consistent with our larger goals of achieving a stable growth pattern. As echoed by several Members already, the incentives directed at promoting the financial services sector would further reinforce the establishment of Singapore as a regional business and financial hub. Sir, I would like to make two comments on how we can position ourselves in the light of intensifying competition as these issues were not specifically addressed. Managing our Resources The Government has expended substantial efforts in arriving at a judicious mix of industry and services which would allow us to maximise the potential of available resources and capital, and consequently growth possibilities. As is well known already, unlike other countries, we do not have a large domestic market or a greater hinterland to supply to.”
“From what I understand, the grant will be given to the town councils but it is meant for the residents. Basically, it is to help rising maintenance cost. Of course, the residents will be able to enjoy the S&C grant because, without this grant, the residents may be faced with more increases in S&C charges. So with the Government helping the town councils to shoulder some of their operating costs, this will lighten the burden on the residents.”
“This is particularly so for those town councils which manage a large number of flats and thus are able to share the savings achieved through economy of scale with the residents. With the S&C grant provided by the Government, town councils will be able to minimise the impact of rising maintenance cost on the residents, especially the 1-, 2- and 3-roomers. Mr Speaker, Sir, I support the motion.”
“Town councils have no choice but to accept whatever brand of lifts as selected by HDB. As such, we have a wide range of different types of lifts servicing the estates. Many of the lifts are specialised in nature and can only be serviced by the respective companies using their specified spare parts. As such, town councils are unable to enjoy much economy of scale or obtain competitive cost in lift maintenance. I hope that HDB will look into the rising cost of lift maintenance as faced by all town councils. Thirdly, the installation of many new fittings and finishings in newer flats has also increased the cost of maintenance. For instance, new flats are installed with aesthetically pleasing light fittings at common areas. These fittings are costly to replace and are frequently vandalised or stolen, thus increasing the cost of maintenance. For example, a 2 ft fluorescent tube in an existing flat costs about $1.20 to replace, while a light fitting in a new flat costs about $12 to replace. Thus, it costs the town council 10 times more to replace a light fitting in new flats. Furthermore, new flats are installed with a wide range of different types of light fittings. This has also made it difficult for town councils to source for these light fittings and enjoy economy of scale in maintaining these fittings. I hope HDB will conduct a study to determine whether HDB residents really prefer to have these new light fittings and are willing to pay higher S&C charges for these features. Finally, I hope the above examples will enable Singaporeans to understand the high cost of maintaining HDB estates and appreciate the good work done by the town councils.”
“Many town councils have adopted many initiatives to save energy, adopt more efficient repair methods and maximise the economy of scale in the management of HDB estates. Despite this, some town councils are facing the financial strain of increasing maintenance costs. The rise in maintenance costs is attributed to a number of factors. Firstly, manpower cost has increased over the years. The maintenance industry is faced with acute shortage of manpower, especially rubbish collectors, cleaners, and lift servicing technicians. The shortage of manpower and wage increase have increased the cost of maintaining HDB estates. Secondly, the rising expectations and demand of HDB residents have also contributed to the high cost of maintenance. New HDB flats are designed with a wide range of better quality materials and fittings to meet the needs of new flat owners. However, these new flats are also more costly to maintain. For example, new flats are installed with lifts stopping at every floor. Although this is necessary, it has increased the cost of lift maintenance drastically. At present, the monthly maintenance fee for servicing a lift with three stops is about $180 per lift while the fee for a lift with 14 stops is $310 per lift. There is a difference of 72% in the servicing cost for these two different types of lifts. Thus, town councils which collect similar S&C charges for various room types will have to bear the extra cost of lift maintenance for these newer flats which have lifts stopping at every floor. In addition, the cost of spare parts for lifts is also increasing rapidly. Lifts in new flats are installed at the construction stage and handed over by HDB to town councils for maintenance.”
“Mr Speaker, Sir, I rise in support of the motion moved by the Finance Minister. The Budget this year is prudent and strategic in nature. It signals to all Singaporeans the slower growth in the economy in 1996 and focuses on certain sectors which the Government would like to "champion" at this point of time in view of the growing Asia-Pacific economies. At the individual level, the Government is quite generous in giving rebates to all Singaporeans. Feedback from the HDB heartland have been generally positive. Residents are pleased to receive the utilities, service and conservancy charges, rental and the 10% individual tax rebates. These rebates clearly reflect the Government's commitment to create wealth and share success with all Singaporeans. At the corporate level, the Budget has given a boost especially to the finance and communications sectors. I hope the incentives given will further encourage growth in these sectors, thus creating more high value-added job opportunities for Singaporeans. To cope with this potential growth, we need to provide more manpower for these sectors. More resources should be channelled to the respective training institutions to train more Singaporeans and upgrade our existing workforce in these industries. The Skills Development Fund must also be more generous towards companies in the finance and communications sectors. Sir, let me now discuss the S&C grant provided by the Government for HDB residents. Town councils are indeed very grateful to receive this assistance. The grant will help town councils to reduce the impact of rising maintenance costs on our residents. Over the years, town councils have been trying very hard to maintain the S&C charges of HDB residents despite rising maintenance costs.”
“Mr Speaker, Sir, I would like to appeal to the Minister to reconsider imposing a debarment on contractors who breach the rules on mosquito breeding. Presently, enforcement action has been taken against contractors. Many worksites have been receiving summonses and I think that has increased the cost of construction ---”
“But, we need to focus on the three areas which I have mentioned: Planning, Design and Construction. With the support of a good Government, both the public and private sectors will be able to make Singapore a better home for all of us.”
“However, not many of them have annual turnover of more than $100 million. In 1996, only $1.5 billion out of $16 billion value of contracts in the construction industry was from overseas market. This accounts for a mere 10% of construction services being exported to other countries. Many of our local construction firms are family based businesses which have limited resources to grow into big construction firms of international standing. Despite much encouragement, the growth of construction firms is slow. I hope the Government will initiate the pooling of resources in the construction industry. Firms with high growth potentials should be given more financial incentives to upgrade and expand their operations. Incentives must be given to encourage partnership between construction firms, development firms and financial institutions to undertake overseas projects. To be able to seize the immense opportunities in the Asia-Pacific region, we must build a core group of contractors which have the financial capability and construction expertise to compete in the global market. Fifthly, buildable designs and precast technology. I am pleased to note that the National Development Minister has recently re-emphasised and encouraged architects to use more simple-to-build designs and precast technology. These measures have proved to be very successful in Europe and Japan in increasing productivity and quality. In Singapore, HDB has achieved excellent results in adopting buildable designs and precast technology. There is an urgent need to spearhead the use of these techniques in our industry. Finally, Mr Speaker, Sir, to develop Singapore into a World-class City is a daunting task. We have the will, expertise and resources to achieve this goal.”
“If possible, more design and build or negotiation contracts from the public sector could be awarded to these firms. In Japan, many of the large construction firms are able to maintain a large pool of direct workers (between 10,000 and 15,000 staff) due to their ability to obtain work through design and build and negotiation procurement methods. These contractual arrangements have enabled Japanese firms to achieve higher productivity and quality of work, thus winning their clients' confidence for future contracts. Thirdly, safe working environment. We need to provide a safe and conducive working environment at construction sites. Statistics from the Labour Ministry revealed that the construction industry has the highest number of fatal accidents (43 cases) in 1995 as compared to other industries. These figures clearly show that more must be done to develop a safety culture in the construction industry. The provision of a safe and conducive working environment should be the joint responsibility of the authorities, developers, consultants and contractors. I am glad to know that steps have been taken to set aside certain sums of money in accordance with the size of the contract to ensure that proper safety measures are taken and housekeeping is carried out to make our construction sites safe and tidy. The Labour Ministry has been conducting safety training courses to address this problem. To succeed, we need the collective efforts of all parties involved in a construction project. Fourthly, help construction firms to grow. To date, we have a total of 121 G8 construction firms registered in general building, civil engineering and piling works. These firms can undertake projects of unlimited contract value.”
“5% to the National Economy. Despite this, the industry is plagued with problems of low productivity and labour shortages. These shortcomings have adversely affected the quality of construction services and inhibited regionalisation efforts of the industry. We need to build a quality construction workforce comprising multi-skilled tradesmen, supervisory and professional staff in Singapore. The construction industry encounters much difficulty in attracting Singaporeans to work in the industry. This is attributed to the tough and dangerous working conditions at construction sites. Many young Singaporeans shun the industry, thus leaving many construction firms with no choice but to rely on foreign workers. This situation is not desirable and construction firms are unable to maintain a stable pool of skilled construction personnel. I hope the Government could provide more support to improve the image of the industry and encourage more Singaporeans to pursue a career in the construction industry. More incentives such as tax rebates could be given to construction firms which employ Singaporeans. Incentives should be provided to encourage staff to stay with the same employers for a number of years. This will help firms to maintain a stable workforce, thus improving their productivity and quality of work. Secondly, maintaining construction workload. To maintain a stable workforce, construction firms must procure adequate contracts. The fluctuating workload of construction firms is one factor which has prevented firms from employing more direct staff. More support and encouragement such as tender premiums should be given to firms with good track record and direct workforce.”
“We should adopt the condominium concept whereby social centre or communal space is created for residents to interact and develop bonding. Eventually, more autonomy should be accorded to residents to take responsibility in maintaining their living environment. This joint responsibility will further strengthen the bond of the people, thus leading to a stronger community. Fourthly, HDB upgrading programmes. The HDB upgrading programme has been a great success. Many Singaporeans have gained or are aware of the immense benefits of the programme. The Estate Renewal Strategy, Main and Interim Upgrading Programmes have successfully rejuvenated older estates and enchanced the quality of life of many residents. A recent survey was conducted by the NUS School of Building and Real Estate to determine the impact of the Main Upgrading Programme on the quality of life of residents. The majority of residents surveyed (more than 70% of them) from eight upgraded precincts felt that upgrading has improved the quality of their lives. Certain design features were specifically highlighted as having enhanced their quality of living. These included lifts at every floor, covered walkways, new lift interior and landscaped gardens. I hope the Government could consider giving an additional grant to incorporate these design features as standard items in future upgrading programmes. Sir, I will now move on to the third area of concern: Construction. We must upgrade the construction industry. First of all, build a quality construction workforce. In order to develop Singapore into a world-class city, we need to upgrade the capability of our construction industry. The construction industry plays a significant role in contributing to the GDP of Singapore. In 1996, it contributed 8.”
“We must encourage more innovative and creative designs for our built environment. First of all, innovate design. More creative and innovative designs are needed so as to meet the rising expectations and aspirations of the people. In the next century, we will have more elderly people, and users will be more knowledgeable and demanding. More user friendly, functional and maintainable designs must be adopted so as to achieve more comfort, higher productivity and better quality of life. In addition, buildings must be designed to be easily accessible and well-integrated with the transportation system and other amenities to meet the users' needs. Secondly, private sector participation in HDB housing. The private sector should be further encouraged to participate in our public housing programmes to provide more variety and options to Singaporeans. At present, about 10-15% of HDB new flats are built using the design-and-build or design-plus methods whereby private architects are involved. With more private sector involvement, more new ideas can be introduced to make HDB living more interesting and pleasant. However, HDB should continue to conduct quality audit so as to ensure that designs of HDB flats remain buildable, functional, practical and maintainable. The combination of expertise from both the HDB and private sector will produce a new breed of public housing that will better meet the housing aspirations of Singaporeans in the 21st century. Thirdly, designs for enhancing community bonding. The HDB precinct concept should be further expanded so that communal spaces are specifically designed to promote social cohesion and community bonding of the people.”
“Over the last 32 years, we have developed excellent infrastructure, buildings and amenities to make Singapore a city for business, living and recreation. The recent Development Guide Plans have also incorporated a variety of urban forms to make Singapore a vibrant and interesting city to work and live in. The creation of the New Downtown at Marina South is an example of how integrated planning can help to provide Singaporeans with a vibrant and exciting environment. I understand that the relevant authorities have been working closely to ensure that the plans meet the country's needs at the strategic level. I hope that more coordination and cooperation could be achieved at the operational level as well to facilitate developments in both the public and private sectors. With the advent of information technology, more planning information can be made known to developers, consultants and contractors to avoid unnecessary delays in development and wastage of resources in abortive or corrective works. We should consider developing web sites for all Development Guide Plans so that all developments could be instantly updated. This would help developers, consultants and contractors to plan their projects more effectively and efficiently. Secondly, our planners. Credit must be given to our planners who had taken bold initiative to develop Singapore into a city of excellence over the last 32 years. In the face of growing competition, our planners must strive to make Singapore a more attractive place for business and investment. We should continue to attract and retain good planners so that plans could be implemented and fine-tuned to make Singapore a world-class city. Sir, I will now move on to the second area: Design.”
“Mr Speaker, Sir, I rise in support of the motion moved by the Member for Bukit Timah in expressing our thanks to the President for his Address at the opening of the Ninth Parliament. The President has given a very comprehensive speech anchored on five pillars which will usher Singapore into the 21st century. These five pillars: create wealth, share success, invest in the young, look after the old, and build ties will be the guiding principles for all Singaporeans to work together for a better future. As we move into the next millennium, Singapore will face two main challenges: intense competition and rising expectations of people. With greater liberalisation of trade and open economy, competition will be more intense both locally and in the global market. The rising expectations of people will also pose immense challenges to Singapore to improve our performance and provide better quality services. To cope with these challenges, we need to focus on improving the quality of our environment, services, products and, at the same time, increase the productivity of our workforce. Quality and productivity must be the main thrust to make Singapore a world-class city. I am very pleased to note that the President has emphasised the need to upgrade the physical environment and build Singapore into a city of excellence. In line with the President's call, I would like to focus on "How to develop Singapore into a world-class city". I will highlight three areas of concern: (1) Planning, (2) Design, and (3) Construction. Sir, I will first discuss on the area of planning. We must adopt an integrated planning approach to make Singapore a world-class city. First of all, integrated planning. Singapore has gained a world reputation for its forward and far-sighted planning of the city.”