Teo Ser Luck
Singapore
“Mr Chairman, Sir, in the initial days when I set up offices overseas – whether it is China, Kuala Lumpur or Jakarta – I used a translator for the local contracts as well as for meetings. Lately, I have been using online platforms, especially in China and also in Malaysia.”
“So, in this day and age, with the world changing really fast, and with social media and information overload, how is the SPF or how is the Ministry going to maintain that public trust and confidence in our Police Force?”
“We have to put in some of these funds, for example, the $300 million additional funds put it into agri-tech, would the agri-tech in future provide a more comparative and affordable pricing for some of what it produces or these technology startups would be able to scale overseas, globally, have a commercial aspect to that.”
“Chairman, I am a heavy user of technology. And when I started on a technology project, I created a first layer of programming and algorithm where the machines started to learn. With more data collected, more and more, the machine gets smarter and it could make intelligent decisions or informed decisions for me.”
“We have tight regulations on financial institutions in their lending platforms and also non-bank lending platforms in regulating them, making sure that they do not go beyond their means to lend out to those that they cannot do the Know Your Customer survey or assess their credit readiness.”
“I believe there are three aspects of transformation that will impact the workers directly. First, the job redesign, change in the process, change in the scope of the job. Second, job shift, the job itself is no longer available and they have to change sectors. Changing sectors also requires a mindset shift.”
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“We will implement the scheme and make sure that it achieves its effects even though it may take more than three years.”
“I will make my reply in English. The Member has highlighted a very important issue. We have been trying to have a better understanding of the issues that are facing the SMEs and the micro-enterprises, in order to come up with schemes and make sure that the utilisation rate of these schemes is up to a satisfactory level. It is not easy. The SME Centres will be staffed by officers with bilingual abilities, and even with dialect abilities. Some of the micro-enterprises, for example, the stalls and small businesses in the heartlands, do not even speak Mandarin and converse in dialects instead. We want to help all of them and reach out to them. There are some schemes – for example, those involving vouchers like the Productivity and Innovation Credit (PIC) vouchers – that help to defray some of the costs of process re-designing in the micro-enterprises. We want to make sure that these small micro-enterprises would be able to understand some of the schemes and the rationale behind how to apply for them. The officers need to be able to handhold them and help them. Some of these satellite centres will be on the ground, either within the CDC, CC, or in the heartland areas. The officers would be able to be on the ground to handhold them and guide them. It is not just for the three years of transformation. Some of the schemes take longer than three years. For example, some of the schemes are focused on the industry as a whole, like the Collaborative Industry Programme. This programme needs substantive effort over a longer period of time – definitely more than three years – because you need an entire industry to be able to tap on the process redesign or IT or automation in order to get its effects. Implementation can take more than three years. That, we understand.”
“What I understand is that because of the various schemes that are in place, some are "macro" – that is, they are focused on the industry. Some schemes are "micro" and these are for the individual firms. It takes awhile for the SMEs to understand the schemes. We need to create greater awareness. That is why SME Centres are very important today to play that part. Trade associations and chambers of commerce are also very important to help educate the SMEs. The take-up rate is slowly increasing, but if you ask me, we have some way to go to reach the benchmarks that we have set and the milestones that we need to reach.”
“Firstly, the Committee, when devising any plan, any future vision, has to work very closely with the NSA because the NSA is an integral part of the sports fraternity, even though they are run by volunteers. Page: 77 We have to work very closely. Secondly, we must make sure that both abled and disabled athletes are given equal treatment, in terms of training and development; somehow the same type of investment where it is needed. Disabled athletes have to overcome double the odds. For example, things that we take for granted, like transport and all that, we must take care of them. Thirdly, we have to set proper targets, and these targets may not necessarily be just winning gold medals. The athletes must go down to the community and inspire the people as well, especially the high performance athletes. So, that fighting spirit needs to be inculcated in the sports culture and within the community as well. Fourthly, the post-sports career of any athlete is extremely important. What they had gone through, their time and family time that they had to sacrifice, blood, sweat and tears to get to where they are, and bring glory to Singapore, we should take care of their post-sports career, whether it is studies or work. Lastly, I would like to make sure that we recognise the ex-Olympians and ex-World Champions of Singapore over the years − maybe simple things like giving them free access to stadiums, facilities and matches. I think that would do, instead of just giving them one big bang – Sports Award − and then we forget about them. SportCares – Giving to Sports”
“I mentioned this to some of my closest friends that football would be where we would invest in. At that point in time, football was not doing that great. So, everybody started to think that "you must be crazy". But I saw these boys when they were 12-13 years old, and I thought they had this X-factor that could actually break through, even though the team that they sent would not be an Olympic or World Cup kind of football youth team. But they were good enough − Montenegro and some of the other teams. I thought that we should still put in a formidable performance. So, they were sent overseas and they trained and come together. It was also a close working relation with the Football Association under the Member Zainudin Noordin. Finally, everybody knows that they won the Bronze Medal. And they worked really hard. I thought that the performance was so great that most of our Ministers and Members of Parliament were also there live at the matches. I am especially glad that after the Olympic Pathway Programme (OPP) Committee that was set up and dissolved, Minister Lawrence Wong actually set up the High Performance Sports Steering Committee. And not only he did that, he actually included the disabled sports, something that I could not have done. I could not do it. It was not that I did not want to but, at that point in time, it was probably not the right moment. But he managed to do it, and that is a breakthrough and a new milestone. And I applaud the Ministry and the Minister's effort in doing that. I very glad that he included me in the Committee and, hopefully, I can do more for sports. I have a few suggestions.”
“Madam, I also declare my interest as a member of our Parliament Football Team, an Ironman triathlete and also sometimes a netball player whenever the Member Jessica Tan forces me to play. I think sports inspire people. When I was listening to the speeches of our Members who are arts advocates, I was very inspired as well. As a sports person, I feel inspired by the arts scene as well and, hopefully, the arts advocates will also be inspired by us, the sports people. There were many great sporting moments, whether it is Mr K, or several other athletes in Singapore. They produced some breakthrough performances that inspired the whole nation. I had the chance to witness several of them, either live or on TV. One of the most recent memories was Laurentia Tan Page: 76 winning the Beijing Paralympics, Bronze Medal, and after that, she won the 2012 London Silver Medal. At the Beijing Games, I was asked to go to the equestrian event, which I thought I was not really into that. I was really going for the fast-action type of events. But I went there and I saw how she overcame some of the odds to win that Paralympics medal − the first time that Singapore has ever won, and that really inspired us. It was an occasion that I could never forget because I thought that we may never achieve that again. But she achieved it again in 2012. The other momentous moment was the YOG Football Team. I was quite close to the whole team because when we were organising the YOG event, we wanted to win a medal quite badly and we did not know whether we were going to win a medal in the individual event or the team event. But I thought we should just put our investments into both team and individual events. But which team?”
“Because if you do not give them a second chance, they may go off-track and lead a stray's life, and what will happen is that they will create more social problems for the society. So, let us give these students a second chance. Psychological Care for Students”
“I met a friend at an event for small and medium enterprises, so those who came were business people. I almost could not recognise him because he had put on quite a bit of weight. But we were childhood friends for a while and, after primary school, I did not really see him. We were in the same school. He was actually suspended from school at first because he had behavioural problems and disciplinary issues. He got into trouble with students, friends and also teachers; and, finally, he was expelled. I did not see him for a long time and when I finally met him at this event, he is already a businessman who owns several businesses, which created hundreds of jobs. I asked him about his studies. He said he took two years off and managed to get back to school, continued his studies and finally got a diploma. And he made good. I think those cases in the past seemed to be common amongst my friends. Several of my friends who dropped out of school never really got back. I think he is one of the rare cases. But, today, it is the reverse. We do have schools that are more embracing and they are giving some of these students a second chance. A few years ago, in my first term as a Member of Parliament, I actually managed to help someone who had a problem getting back to school after being suspended or expelled from school for about half a year, and I think he took another half a year. But after one year, he decided to get back to school. So, I helped him to make a few phone calls to the schools and, finally, he got back into one of the schools. My question was: why should you need the intervention of a Member of Parliament? Should schools be a bit more inclusive and embracing and give people a second chance, especially students with some of these problems?”
“They have a population of 16 million, but they own 18 million bikes, and, nationally, the total bicycle accident deaths hover around only 200. In Amsterdam, about six people die in bike-related accidents yearly. The average distance travelled by bike per person per day was 2.5 kilometres in 2006. Some of these data are dated, but you can measure the appropriate Page: 32 numbers relatively. A bicycle is used for almost a quarter of all journeys and 35% of journeys are shorter than 7.5 kilometres. I think the cycling habit is somewhat similar to the cyclist behaviour in Singapore. Let us continue to take a multi-prong approach. Let us focus on the 3Es and continue to build infrastructure that is safe for cyclists, not just on the road but also build up dedicated lanes that are safe for pedestrians while they share the path with cyclists. I think it is really important that we do not just take care of cyclists but we have to educate them. And also educate or do road shows or clinics in schools, in dormitories, office places, so that more people are aware of the safety not just for the cyclists but for themselves as pedestrians, and even the motorists, to embrace the different road users, especially those two-wheelers on the road. And then we can have a safer culture and environment for cyclists in the future.”
“Mdm Chair, cycling in Singapore has certainly picked up momentum. It is getting more popular. You see many bikes and many bike shops appearing today in almost any community and the heartlands. Cycling has always been a part of my life. In school, I cycled to school from home. Of course, when I started working, it became part of a fitness routine. That goes the same for many Singaporeans, and I can attest to the development of the cycling infrastructure in Singapore. It used to be just cycling on the roads. Today, we have cycling lanes, even shared paths with the pedestrians within the heartlands, especially in cycling towns like Tampines and Pasir Ris. It is just not recreational any more, it is also part of sports, part of fitness lifestyle for many, many Singaporeans. Cycling itself has diverse needs that we have to cater to, and also diverse interests. Many a time, because of the increase in the popularity of cycling, you see accidents, and it is one accident too many. Many measures would have to be taken in terms of safety measures, and I know that the Ministry has taken a multi-prong approach of 3Es – Enforcement, Education and also the Environment, which is really the infrastructure. I am glad that the Parliamentary Secretary to the Minister for Transport, Assoc Prof Dr Muhammad Faishal Ibrahim, and the staff of MOT and LTA have taken a keen interest in cycling and they have engaged the community really well and implemented several measures. I urge them not to discontinue some of the efforts and also to consider some new measures, especially those that we can see in some successful cycling cities, for example, Amsterdam and Holland. Let me just give an example that I took from the website – the Bike Fares from the Amsterdam city.”
“Madam, Mr Lim Biow Chuan, President of CASE, as well as Mr Yeo Guat Kwang have been advocating for amendment to the law on time-share. Public consultations on this amendment took place from January to March 2013 and within March, we are still doing consultation. But let me assure the Members that although we are currently studying the feedback to fine-tune the provisions, we will roll out the amended law by the second half of the year.”
“Social enterprise is one of the hardest organisations to run because it is an enterprise with a social cause. But, first and foremost, their business model must be viable and sustainable. If they are commercially viable, they will then be able to earn that kind of return to sustain themselves to meet their social mission, and that is very difficult. But we treat social enterprises as an enterprise itself, and they can continue to tap on the scheme as well. Lastly, let me encourage companies to continue to look at the different schemes. I know the schemes out there are quite massive. But we hope, within this year itself, to roll out as many SME centres as we can. Currently, the plan is for about five SME Centres as a hub and satellite centres as spokes. These satellite centres will be within the community while the big SME Centre will be a one-stop shop that will be initiated and developed by the Trade Associations. Some Members have asked for the centres to be situated or located within their constituencies. Ms Jessica Tan, Mr Sitoh Yih Pin and Assoc Prof Fatimah Lateef have mentioned that they would like some of the SME Centres to be located there. We will study it, and I think there is a possibility that an office or a satellite centre can be situated there. We will work with the Trade Associations to do that. I think it is important for the community, the business sector and the Government to all work together in these difficult times, in this transitioning process, as the economy restructures, and we will go through that every step of the way in this journey.”
“Under the CPFTA, CASE may obtain injunction orders against errant traders for unfair practices, such as misleading claims and pressure selling, while consumers themselves may take civil action against them. Besides the CPFTA, the Police can also take action against fraudulent timeshare companies under the Penal Code. I announced at MTI's COS last year that we will review the CPFTA. Since then, we have sought inputs from CASE and completed a study of overseas legislations in this industry to come up with a series of proposed amendments. These would include disallowing the collection of deposits during the cooling-off period, and requiring sellers to provide key information on the contract before the consumer signs it. 4.00 pm Page: 116 Madam, the Government remains fully committed to support our SMEs in the restructuring. The transition will not be easy during this economic uncertainty. I continue to urge our companies to take advantage of the assistance that the Government has implemented and work together towards achieving quality growth. Enterprises of any types can come forward, look at the schemes and their business models, and continuously review what exactly is most suitable for them to be able to get stronger. While we encourage companies to be on the productivity movement, we can understand that some companies still face constraints and they feel that they need to take a much longer time. However, they have to take the first step. If they are willing to take the first step, the schemes will always be there to help them. Mr Zaqy Mohamad mentioned about social enterprises. I want to assure him that social enterprises are included because they are treated as enterprises as a whole. As they are registered as an enterprise, they can still tap on the schemes.”
“In business, it is about your network Page: 115 – who you know, what you know and where are the business opportunities. Mentorship is a focus. And also developing platforms where we link venture capitalists to the start-ups so that they can get their series A funding, they get a second series funding to be injected into their business, for new capital. On cultivating young entrepreneurs, as I mentioned, we start them young. We go into the schools and also into the Universities as well. Universities and Polytechnics have incubators. These incubators encourage students to start their business and they incubate for a period of time and, hopefully, they graduate into the marketplace. Some of them during the incubation period already went into the marketplace to test demand for their products and services, and they can continue to refine and tweak the best they can. They have mentors to help them as they do trial and error. But this is not a rosy picture. For any start-ups, the probability is that more than half may not succeed. That is one thing that we have to teach our young, which is that if they embark on the journey of entrepreneurship, it is about learning about failures and not always wealth and successes. They learn about failures, but come back stronger and more resilient; try again. And that is where we should be coming from and that is the best educational value of entrepreneurship. Mr Lim Biow Chuan has asked MTI to review regulations on time-share products. The main legislation protecting consumers against errant timeshare companies today is the Consumer Protection (Fair Trading) Act, or CPFTA.”
“We have since opened up to benefit as many start-ups as possible, and it has no age limit. It does not have to be technologically focused. As long as you have a good idea, you are competitive and you have a differentiation, we will be there to give you the grants as best as we can, to as many start-ups as possible. For entrepreneurship culture, it has to go beyond the grant. We have to build an eco-system and a conducive environment for people to want to start business. The business sector must be exciting enough and the consumer market in Singapore has to be exciting enough to be able to build businesses. We need passionate individuals. We need to inculcate that even when they are younger. This year, ACE has rolled out a programme where entrepreneurs adopt schools. The entrepreneurs can adopt their old schools and they get involved in entrepreneurship education within the school. We are piloting with a few schools and we have seen very good feedback from entrepreneurs who were involved. They actually go into the classes to teach about risk-taking and the students get attached to the entrepreneurs themselves. For the start-ups that are already in place, one example is the Start-Up Launch Pad. We provide the facilities. One very famous location is Ayer Rajah Block 71. That has now become sort of a test-bedding centre for new products, in fact, for the start-ups, too. They are jointly initiated by JTC and MDA in 2011. Besides the tangible assistance from the space provided, Block 71 also provides intangible synergies by creating a vibrant start-up community for networking and collaboration. The networking and collaboration for the start-ups, to me, are the first and primarily most important.”
“This way, we can all head upwards towards a better future. I would like to reply to Mr Teo Siong Seng's comment on PEP. PEP is a very important institution that helps to streamline the processes. Mr Teo has said that if the carrot was hung too high, then the little rabbit will not be able to grab it. I do not know who hang up the carrot. The carrot is usually planted on the ground. I can inform Mr Teo that we will not set the threshold too high. We will plant the carrot on the ground so that the rabbit can get it easily without jumping about. (In English): We have also not forgotten our drive to create the greater culture to do start-ups and also to create that risk-taking culture within our Page: 114 young to step out of the comfort zone and to start up their own businesses and take ownership. It is important because as SMEs, in meeting the challenges in business, some may be successful, others may not be. We constantly need renewal of the business sector. New enterprises need to be injected and need to grow and we need new products as well. Whenever there are entrepreneurship projects, we will do our best to support and, hopefully, there can be a spark of brilliance somewhere where the products and services become global. And we can produce global champions and regional champions in our business sector. Mr Inderjit Singh and Mr Vikram Nair had asked how we can develop start-ups and the entrepreneurial spirit in our youth. Developing innovative start-ups will remain an important focus, even as a part of this economic restructuring. I have cited many of the helps that the start-ups can tap on. In Action Community for Entrepreneurship (ACE) – where I am chairman – we have grants that are given out. The grants used to have an age limit of 26 years and below.”
“I will address this with the last two Page: 113 strategies under the SME Review. The strategies are represented by the acronym "UP", as it represents progress for our SMEs and Singapore. We will upgrade our five Enterprise Development Centres at ASME, SMF, SCCCI, SMCCI and SICCI into the SME Centres. These one-stop SME Centres will allow better outreach, education and engagement of our SMEs, and will become the focal points for business networking and for all Government agencies to reach out with their SME assistance programmes. We have received positive feedback on the satellite centre set up by ASME in North East CDC. We will, therefore, work through the various industry associations to set up more satellite SME Centres in areas with a high concentration of SMEs. We have received feedback that some SMEs have found it difficult to understand the schemes available to them. SPRING has undertaken a streamlining exercise for their schemes to address the feedback. The various programmes which SPRING used to offer will be streamlined into one Capability Development Grant (CDG), which supports SMEs in productivity improvement and capability development. SPRING has also simplified and standardised its application forms to just two pages. In the past, it was 11 pages. At the same time, SPRING will be introducing a new online grant portal to reduce paperwork for businesses. The CDG will take effect from 1 April 2013. In brief, SMEs can now look forward to assistance in five easy-to-remember broad categories – toolkit, voucher, grant, tax incentive and loan. SPRING will be providing more details on each of these recommendations. Based on our recommendations under the SME Review, our SMEs can do it, and the Government will seek to amplify their capabilities.”
“Currently, the financial institutions in Singapore have already catered substantially to the financing needs of our SMEs. Many financial institutions have dedicated SME lending units, and offer a variety of banking facilities customised for them. Based on the MAS' Annual SME Financing Survey 2012, as at June 2012, the financial institutions' stock of total outstanding SME loans was $64.5 billion, which is a very substantive sum. The financial institutions' extensive global networks enable them to support SMEs much better than by a Government-run SME bank. For example, if they were to set up a business in China, this private financial institution will be able to help them better. A Government-run SME bank can only offer financing in Singapore and cannot provide a wide network owned by private institutions. In addition, SPRING works closely with 14 Participating Financial Institutions to provide financing support to such SMEs through the risk-sharing of loans made to SMEs. These programmes include the Loan Insurance Scheme (LIS) and LIS+ that provide loans for working capital and trade financing, the Local Enterprise Finance Scheme (LEFS) that provides loans for the purchase of equipment and assets as well as a Micro Loan Programme for micro-enterprises with 10 or fewer employees. Such Government financing support helps good SMEs, which may not have built up strong track record as yet, to pursue worthwhile but possibly higher risk projects. For entrepreneurs and innovative start-ups, SPRING also provides financing through initiatives, such as the SPRING Start-up Enterprise Development Scheme (SPRING SEEDS), which is an equity-based co-financing scheme. Mr Liang Eng Hwa, Mr Ong Teng Koon and Dr Chia Shi-Lu were concerned about how we can reach out to our SMEs.”
“This allowed the retailers to decrease the cost of technology adoption due to economies of scale while improving productivity and customer service at the same time. I believe the Member Mr Gerald Giam had mentioned about putting in IT as a whole. This is one programme where they can come together, have an industry focus. For a lot of the projects to be successful, you need a very proactive trade association to take the lead, or a cluster of companies coming together to drive it and say that "we can do some of these things and centralise them". We have experimented with centralised kitchens. There have also been centralised logistics services. Many of the outsourcing services make these things possible. Collaborative efforts, where they all achieve economies of scale. This is extremely important for the micro enterprises, such as the heartland stores in the community. They can actually come together; perhaps some stores can come together and look at procurement; some stores come together and look at joint promotions. There Page: 112 are many of these activities that are possible. I will come in later to roll out the SME Centres that will help network and bring together some of these projects to make them possible; to work with the businesses and make these collaborations possible. Mdm Chairman, let me speak in Mandarin. (In Mandarin): [Please refer to Vernacular Speech.] The main thrust of the SME Review surrounds three numbers: "2-3-8". It seeks to achieve two outcomes, focus on three areas and involves eight strategies. This is very important because this can help the development of the SME sector. We hope to create a pro-business environment for the SMEs. Mr Yee Jenn Jong and Mrs Lina Chiam asked about financing support for SMEs and start-ups.”
“Mrs Lina Chiam's question on plant and machinery: the PIC Bonus announced at Budget allows companies to receive up to $15,000 in cash over three years. That is on top of the tax deductions they already enjoy from productivity investments that qualify for PIC grants. Page: 111 I encourage SMEs to tap on other kinds of programmes as well. It is not just PIC Bonus. SMEs really have to relook at their business model and see what kinds of schemes that are suitable for them. They should not just look at one scheme or two. The Wage Credit Scheme, for example, cannot be looked at in isolation. The Wage Credit Scheme should be looked at from the productivity angle as well. How productive can they be; have they hit certain indicators within the company before you want to talk about increasing pay and putting the Wage Credit in place. There is only three years that you can work on. So, there is a lot of urgency. A combination of schemes gives you the most benefit. We want to encourage SMEs to tap on them. The Government can only do so much because the SMEs have the domain knowledge to know what they need. That is where we need the SMEs to come forward to look at and review their own model. We also encourage SMEs to tap on the Collaborative Industry Projects (CIPs) programme which will help the sector as a whole to improve productivity through shared services and other innovative solutions. One of the initiatives under IDA's iSPRINT is to drive CIPs for infocomm technology solutions. With iSPRINT funding, for example, Bugis Street Development implemented an integrated Point of Sale, Inventory Control and Cashless Payment system for 800 retail shops at Bugis Street.”
“The SME Talent scheme will be made available for students in every single year at the ITE or Polytechnic. It is not just the graduating year, but it is also from the entry year, second year and third year. It depends on the courses and how keen they are. Allowances and training will all be paid for. The Germans have the apprenticeship programme. All of us would know that there is a scholarship programme that is quite widely available in Singapore. The SME Talent scheme positions between the apprenticeship as well as the scholarship programme. It gives the assurance of a job; it pays for you even when you are studying; and at least you will have not just an internship, but traineeship during the holidays as you will be working in the SMEs. Ms Low Yen Ling has mentioned about the golden years of workers; "60" becomes "40". We truly believe that. We want everyone to be actively ageing and contributing to the economy. There are many of the current schemes in this area as well. One of the schemes is the Business Advisory Programme. The Business Advisory Programme facilitates the process for the very experienced – maybe you are working in the MNC or in another function – but you want to make a mid-career switch. Through the Business Advisory Programme, we will match you with an SME for you to provide certain advisory roles in the SMEs, before you can be employed full time. If you can find the right chemistry and right company, and the company finds that you are the right and appropriate person, they can do the match up. Immediately, you will be employed permanently. The Business Advisory Programme is one programme that the mid-career switch individual or executive can consider. 3.45 pm Let me come to the question on productivity.”
“On the contrary, the SME sector would provide them that opportunity to be entrepreneurial, and also to broaden their experience in business. I have had a dialogue with Polytechnic students. When I explained to them the SMEs' appeal, they did not see that side of the drawing power of the SMEs. For example, if the talents fit into the SMEs, many of these SMEs will consider these talents as rare talents in their companies, unlike in big companies where they draw in a group of them. Whatever opportunities to go overseas, set up subsidiaries, venture abroad, and do market assessment, the opportunities will be given to that talent. That exposes the person tremendously, broadens the horizons tremendously for the business sector, and to run the company. Not only will you perform certain functions that you have been trained in, or you have studied for and got your diploma or ITE certificate from, you are going to broaden it. If you are an Accounting graduate from a Polytechnic or you studied Accounting in ITE, you go into a SME, you are not only going to do finance or accounting, but you get the chance to do sales, marketing, operations, IT and all functions across the board. When I talk to SME bosses, they are definitely most welcoming for these talents to experience all of it. It is always difficult for SMEs to draw talents and Page: 110 they want to retain them. So, we roll out this SME Talent scheme to fit as many of the talents as possible into the SME sector, to encourage our local graduates and talents to venture out with the SMEs, to be able to grow and broaden their horizons within that sector. That will strengthen our SME sector as a whole. That is where we try to target as many of the Polytechnic graduates as possible.”
“On top of that, with the PIC bonus, they receive a return to their investment in assets and equipment that help them in productivity. Very importantly, within the cost component of the enterprise will be manpower and talent. Many Members have spoken about this. Right now, with the labour crunch, both at the mid- to lower levels, how do SMEs find these talents? We are especially concerned about the managerial and supervisory levels. We have suggested that we can continue the education of our SME Page: 109 workers to provide a pipeline for our SMEs. So SMEs can continue to upgrade their current SME workers through re-skilling and upgrading their knowledge. To enhance the human capital of SMEs, SPRING will also offer a suite of assistance to help SMEs groom their business leaders. For example, the Advanced Management Programme co-funds courses for SME CEOs through executive MBAs and executive development courses. This is where the bosses go back to school to learn strategic planning and run their business more efficiently. To strengthen SMEs' middle management, the Management Development Scholarship (MDS) co-funds scholarships for promising executives, currently in the SMEs, to pursue MBAs and part-time degrees. Support is also available from WDA and MOM for older workers to upgrade their skills. Many Members were also interested in the SME Talent scheme. The SME Talent scheme is to make sure that there is a strong and deep collaboration between the ITEs and polytechnics with the SME sector. Many of the graduating students or students in these institutions may not have that kind of interest to join the SME sector. They may not feel that it gives them that kind of career path that is clear, and it does not give them stability.”
“It can be done under PACT, come together and collaborate, and tap on the scheme of Market Readiness Accessibility (MRA), develop the agent's or market representative's network. So two schemes together; the companies develop an opportunity as a whole, and they compete overseas. When the schemes are combined together, many companies will benefit. No one scheme can work alone. If you integrate them, they will give a greater benefit. We also have schemes where we try to develop our promising local enterprises to go overseas – that is under the Global Company Partnership. We handhold them to look at where are the opportunities. Some individual companies can be identified as "Star Players" and they can grow their footprints and networks overseas, market their products and services overseas. This is where IE Singapore will customise some of their approaches and help them to go overseas. Under the second thrust – productivity, innovation and capability upgrading, we will look at the cost component. How can it drive productivity improvements within the company? Re-look at their business model, operating model, and make sure that the cost they are investing within the company will give the returns that they need, and to make sure that the money works for them. Under the second thrust of this SME review, we enhance support for SMEs in productivity, innovation and capability upgrading. To advance beyond that, the Government will continue to support companies in capability upgrading. Last year, more than 560 companies benefited from capability upgrading projects supported by SPRING and IDA. More SMEs can now tap on the PIC bonus and vouchers. For micro-enterprises, the PIC vouchers will be absolutely suitable and relevant. These are smaller scale in terms of the amount, $5,000.”
“We want that to be collaborative, so there is a programme to help them partner. For example, local department store Metro embarked on a Mobile POS & Supplier Integration Project to upgrade its productivity. Nine of Metro's SME suppliers were also upgraded as they had to build their competencies to integrate with Metro's system. That helps to automate or computerise some of the processes between the suppliers and big companies – in this case, Metro. The processes will be more seamless and automated. That helps in the productivity drive for the small enterprises. Another form of collaboration is for SMEs to come together to develop and test innovative new solutions with large enterprises. Some Members have asked how we put in IT for the different smaller enterprises. It can be driven by these large enterprises to help the small enterprises to computerise. One example would be the recent tie-up between local medical technology firm AWAK Technologies and US medical giant Baxter International to develop and commercialise a wearable artificial kidney. Through these partnerships and collaborations, our SMEs can grow and their capabilities will be strengthened and widened. This is important, because as they collaborate, opportunities are vast. When the suppliers and SMEs develop that kind of capabilities, some of them can be exported. Some of these capabilities can go overseas. Senior Minister of State Lee mentioned about the Market Readiness Accessibility (MRA) overseas. A few Members asked how can large and small Page: 108 companies come together to form consortiums and look for opportunities overseas. This is how it works. We cannot look at the schemes by themselves. Let us say you want the big and small companies to come together.”
“We want our SMEs to do well domestically and we also want them to grow overseas. So, there comes the first thrust – to grow them overseas and globally as well. But we want to be able to create the opportunities, and get SMEs to identify and exploit those opportunities. First is to collaborate. This collaboration will have to be supported by partnerships, and we call this scheme Partnerships for Capability Transformation (PACT). This was requested by Ms Low Yen Ling. PACT currently supports large enterprises in qualifying advanced manufacturing parts and processes from Singapore-based suppliers. Many of the SMEs are suppliers to MNCs and big companies. They are a network of Page: 107 suppliers. The Government will now expand PACT to include non-manufacturing sectors and a wider range of activities that involve collaborations between large enterprises and SMEs. As long as they are suppliers, and they circle around the bigger enterprises, they can work together to collaborate. Grants from EDB and SPRING will now be available to both large enterprises and SMEs to facilitate these collaborations. Many Members have mentioned that. First, large enterprises could transfer their knowledge and share best practices to SMEs in the course of supplier sourcing. Whether it is supplier sourcing, outsourcing practices and operations, they collaborate together. This will help SMEs improve their productivity. Many a time, it is either the core of it which is the large enterprise that the suppliers supply to that comes up with some state-of-the-art thinking or more advanced way of doing certain things in product development, logistics or operations, in order to be more competitive, and the supplier benefits from there.”
“I have commissioned a review of all the SME programmes and strategies moving Page: 106 forward. It revolves around a few key outcomes, some strategies and key thrusts. Summarising them all, it revolves around three numbers: "2-3-8". Very auspicious. Two outcomes, three broad thrusts and eight strategies. Many Members asked about this review: what is the outcome of it? What do you get out of it? What kind of new programmes? I am heartened to say that many of the business sectors came forward. Trade associations like SBF, their SME committee, Chinese Chamber of Commerce, ASME and other trade associations have given very good suggestions. In fact, many of the suggestions even went to Ministry of Finance and they helped to provide some of the measures and programmes that were rolled out. I thank them all for working with us to strategise strategies for the SMEs. Let me share with Members the two outcomes for SMEs – these are the two key objectives. First, we want a productive, vibrant and strong SME sector. With that, you create good jobs. And that is the second outcome. We want good quality jobs for our Singaporeans and workers. To do so, we will focus on helping SMEs along three broad thrusts. Basically, for any company to work, you need to look at the revenue, the top line, that is the cost component, or how you manage the cost, and make it more productive. Make the money work for you and then you look at the bottom line. First, the top line. We have to tap on opportunities for growth. Second, drive productivity; make sure it is efficient and effective. The money that works for you gives you that kind of return that you need to sustain your business. The Government plays its role, thirdly, to provide a conducive business environment for the SMEs.”
“Mdm Chair, first, let me thank all the Members for raising concerns and issues, and also suggestions for the SME sector. I am quite glad to know that there is so much interest and because of that, they came up with some good suggestions to some of the problems that SME faces. We could consider them. I will try to address some of the issues brought up and also the suggestions as far as I can. If I cannot, Members can ask supplementary questions later. 3.30 pm Our SMEs definitely face challenges now – labour crunch and economic uncertainties. SMEs form about 90% of the registered entities in Singapore. They come in different forms, shapes and sizes. Some relatively large, most are medium to small to micro-enterprises. Because of that, the challenges are great. When we implement schemes and programmes, sometimes one size does not fit all. You need to customise, not only based on the size of the company and the different phases of the business cycle that they are in, but also the sector and industry that they are in. Nevertheless, we will do our best. As Members know, in the Budget that was announced by Deputy Prime Minister Tharman, two-thirds of the $5.3 billion Transition Support Programme is expected to go to our SMEs. That is a huge chunk of it that we will put in. But the question will be how we allocate the funds and the budget so that these are effectively used by the SMEs and truly benefit them. I am fully aware of the need to help them and help our SMEs succeed, even to survive in these difficult times in the economic uncertainties. SPRING and IE Singapore have been working hard over the years to look at the different schemes, rolling out the different programmes to help our SMEs.”
“Over the years when Singapore was a developing country, we had been helped by many developed nations, and now that Singapore is a developed country, we are beginning to look at developing countries that have been left behind and provide any assistance that is possible. I have been to Myanmar and seen many of our private sector companies going there to provide educational services, infrastructure development and healthcare services. Could MFA provide an update on Singapore's recent assistance to those of the other developing countries? Page: 21 Consular Services”
“Given the uncertainties in the Middle East, with civil war in Syria, political instability in Libya, conflicts between Israel and Palestine, Iran's nuclear ambition and so on, countries in the region would be focusing more on dealing with challenges at home. In this context, is there still an interest from countries in the Middle East to engage with Singapore? The Middle East region covers a wide area. Is there a particular area or are there any particular countries in the Middle East region which MFA is focusing on? We have already established a diplomatic presence in a few countries in the Middle East. Are there plans to expand Singapore's diplomatic presence in the region? Page: 20 I believe that Middle East diplomacy for us cannot be a one-size-fits-all approach. It is complex, much of it due to the history, geography, domestic factors, regional alliances, Western influence and conflict. What is Singapore's engagement, diplomatic strategy and approach for the Middle East?”
“Mdm Speaker, in Mandarin. (In Mandarin): [Please refer to Vernacular Speech.] As the annual plenary session of the National People's Congress and Political Consultative Conference is currently on-going in China, there will be more leadership renewal and transition in the next two weeks, with the rise of more young leaders taking on more important roles and responsibilities. At the highest level of the Chinese Communist Party, there are seven Central Politburo members, and Singapore leaders have close ties with most of these Central Politburo members. Our political leaders have always maintained close ties with the leaders of China, dating back to the bilateral meeting between former Prime Minister Lee Page: 17 Kuan Yew and former Chinese leader Deng Xiao Ping, which paved the way for several bilateral collaborations, deepened ties between Singapore and China, and led to the establishment of the Suzhou Industrial Park and, more recently, the Tianjin Eco-city and Guangzhou Knowledge Hub. These projects not only promoted closer trade ties between the two countries, but also created job opportunities for both the peoples of China and Singapore. Singapore and China also established seven bilateral trade councils. Currently, China is undergoing political leadership renewal at all levels, including provincial and municipal levels. Has MFA considered how our long- and short-term diplomatic ties with China will change, in terms of planning and the way ties are maintained?”
“It is important that EDB considers working with different sectors more closely. This information is needed, and the different background checks for certain cases of applications. It is important for different agencies and operators to come forward to work together to find out more about those applications. We will certainly consider that. Page: 973”
“Sir, the objective of making sure that the information provided is accurate, comprehensive and complete, it is important that EDB taps on agencies or international networks to verify those information. It is important that we have a system that is robust and dynamic enough to be able to access all the information provided. Sometimes, the information may not be complete or comprehensive. I think it is needed that every single case is looked into very seriously and considered very carefully. We cannot speed up the process in any way but we must make sure the information provided is complete. After incidents that have happened, EDB has continued to refine its processes and make sure the processes are strengthened. It will use different sources of information and tap on certain intelligence to find out more about certain applications.”
“We are currently reviewing all the schemes that are related to the SMEs when it comes to productivity, in terms of its applications and ease of access and understanding of the different programmes and schemes. It is definitely our objective also to simplify them so as to make them more accessible. That is exactly why at a certain milestone, we came up with the Innovation and Capability Voucher (ICV) scheme. The $5,000 makes it easier for SMEs and even the smaller SMEs, which we call micro enterprises. It is definitely our objective to be able to reach out to them as well, and we are doing that through the Enterprise Development Centres. Today, with the trade associations, there are some centres that are already being set up at the heartlands to help the micro enterprises. It is a journey. We hope to work together with all the federations, associations and the Chambers, including the Merchant Federations. A good example is like what we had done for food manufacturing, by helping them, expanding the market and customising their approaches to what is necessary, because every single sector is different. We have just started this productivity drive. It will take time to see the effect. But, definitely, along the way, we are going to refine and customise as much as we can. Page: 814”
“There are many different scenarios that affect the transformation of companies or SMEs in increasing the productivity of their workers. For some, the process redesign takes time. For others, it is industry related. There will be companies where the nature of business takes a longer time to change or to automate for productivity increases. What is more important is, in this process of transition where we are driving productivity, to educate and even provide guidance for both employers and employees about the possible changes within a company and the operating processes to increase its productivity. More importantly, these companies will have to find new markets as well. As you know, productivity is, in some ways, affected by economic growth and also the size of the market companies are in. There are many schemes and programmes that we have implemented through the sectoral approach and these different sectoral approaches would, hopefully, be customised to the needs of the different companies within the industries. It is not going to be easy, as in any changes that are needed. It takes time, just like in any other country that has been successful in its productivity drive − for example, Germany. It took years for them but it has shown certain effects. So, I believe that in the medium to long term, we should be able to achieve the productivity growth that is necessary to help the workers in general. Page: 814”
“About $950 million has also been committed from the National Productivity Fund (NPF) to support the slew of productivity initiatives. We will continue to keep our programmes relevant and effective for companies, as well as introduce new initiatives where required. We will, in particular, help SMEs through the Enterprise Development Centres (EDCs) to navigate the schemes and apply for those that best fit their needs. I urge more companies to enrol in these schemes.”
“Separately, under the Productivity and Innovation (PIC) scheme, companies can also claim a 400% tax deduction on up to $400,000 spent on a broad range of related expenses, such as training or investment in equipment. The take-up has been good, and companies have enjoyed substantial tax savings overall. The Minister for Finance will elaborate in his answer to Mr Alvin Yeo later. Innovation and growing our top line are an essential part of our productivity drive, and these schemes will incentivise enterprises to make investments in this area. Our national Research and Development (R&D) agencies are also helping SMEs to enhance their technological capabilities, competitiveness and productivity through technology transfer. For example, A*STAR's Manufacturing Productivity Technology Centre (MPTC) assists companies to raise manufacturing processes and productivity through automation and harnessing technology in their processes and systems. Currently, A*STAR and the polytechnic research centres have numerous projects ongoing with SMEs, and they have worked on over 700 projects in FY 2011. Page: 813 At the worker level, we are investing significantly in Continuing Education and Training (CET) to upskill our workforce and enhance workers' competitiveness. The CET programmes also support the NPCEC's sectoral productivity strategies. The Workforce Development Agency (WDA), for example, has developed about 50 productivity-related training programmes under the Productivity Initiatives in Services and Manufacturing (PRISM) scheme. Over 4,000 employer-sponsored workers have gone through these programmes. The overall take-up of the various initiatives has thus far been encouraging. To date, about 7,000 companies have benefited from these initiatives, of which 86% are SMEs.”
“The NPCEC is pushing out both broad-based schemes as well as sectoral roadmaps to better meet the unique needs and challenges of every sector. Sixteen priority sectors have been identified, based on their contribution to GDP, employment size and potential for productivity gains. The development of sectoral roadmaps has taken some time. But most have been completed and we are working to help companies take them up. There is some early progress on the ground. For example, in the construction sector, $67 million has been committed from the Construction Productivity and Capability Fund (CPCF) that helps over 1,600 companies adopt new technologies, build capabilities and train workers. Another example is in the retail sector. Launched in April 2011, the retail productivity roadmap has supported various productivity and services upgrading projects from over 200 retailers. And 185 CEOs and managers have been trained under the various projects and 14,000 workers were trained in collaboration with WDA. We will continually refine the respective roadmaps to meet changing needs on the ground as well as closely track their implementation progress. We have also introduced broad-based schemes to complement the sectoral approach. For example, SPRING administers the Innovation and Capability Voucher (ICV) programme, which provides eligible SMEs with $5,000 vouchers to upgrade and strengthen their business operations, and this includes in the area of productivity and this also applies to all the micro enterprises in the market. Since its launch in June 2012, 800 SMEs have benefited from this scheme.”
“I thank the Members for their questions on our productivity improvements. Achieving sustained productivity growth is an important national goal. In 2010, the Government set out to achieve a stretch target of 2% to 3% productivity growth per annum over the next decade. We are fully committed to this effort. But our measures of productivity are sensitive to economic cycles, and can fluctuate substantially over the short term. From 2009 to 2011, we achieved a productivity Compounded Annual Growth Rate (CAGR) of 5.9%. However, this figure was over a relatively short period of time and includes a period of high productivity growth in 2010, as the economy recovered strongly from the downturn in 2009. This year, Singapore's GDP is expected to grow by 1.5% to 2.5%, slower than the 4.9% seen last year. However, even as business activities slow, companies tend not to adjust their workforce immediately, given the costs involved in hiring and firing workers. Hence, we are seeing a productivity decline, mainly reflective of the slowing economy. This is why we must see beyond the short-term fluctuations, but press on with our productivity drive for the long term. We must continue to boost productivity at all levels − we need to restructure our economy to move up the productivity chain; companies need to also reduce their reliance on manpower; and workers need to upgrade themselves continuously to take on higher value-added jobs. Page: 812 Since its inception in 2010, the National Productivity and Continuing Education Council (NPCEC) has endorsed a comprehensive range of measures to drive productivity improvements at the sector, firm and worker level.”
“I am happy to note that many young couples are planning ahead. About 30% to 40% of BTO flat buyers book their flats under the Fiance Fiancee Scheme today, where they only need to be married no later than three months after collection of keys to their new flat.”
“I assure the Member that we understand her concerns and we will look into this seriously. I believe that we can work with the Land Transport Authority (LTA). We will look at specific areas where we can implement alternative measures, for example, the Green Man Plus scheme that I have mentioned, as well as some other potential at-grade crossing measures that we can implement around that area, or near to certain transport nodes. We will try to do that. So it is something that we can work closely with the Member and get more details and information. HDB GRANTS FOR CASH-OVER-VALUATION PAYMENT 16. Mdm Ho Geok Choo asked the Minister for National Development whether the Ministry would consider allowing HDB grants to be applied towards the payment of the cash-over-valuation component of the purchase price of a resale HDB flat. The Senior Minister of State for National Development (Ms Grace Fu Hai Yien) (for the Minister for National Development): Mr Speaker, resale flat prices are jointly determined by buyers and sellers through negotiations. Cash-over-Valuation (COV) arises when buyers are willing to pay sellers a premium above the market valuation to secure the flat. COV is not a requirement. HDB and banks do not grant loans above the market valuation of a flat, as it is not financially prudent to do so. Allowing HDB grants or loans to pay for COV may result in flat sellers demanding higher COVs. This will drive resale prices up and does not help flat buyers. Those concerned about high COVs should plan ahead and apply for Build-To-Order (BTO) flats instead. New flat buyers can look forward to plenty of choices and supply this year, as HDB is prepared to launch up to 22,000 BTO flats in 2011, if demand is sustained.”
“LTA will also be expanding the Green Man Plus scheme to 500 more pedestrian crossings island-wide, starting from 2012, to allow the elderly more time to cross the roads. Nevertheless, I would appreciate it if Mdm Halimah and Mr Lim could let LTA have the details of the specific areas in Mountbatten, Marine Parade and Bukit Batok East where there are mobility concerns so that they can see how best to address these concerns.”
“Sir, we want to build an inclusive land transport system that caters to the accessibility needs of our people, including the elderly and less mobile. In this regard, we have been improving the barrier-free accessibility of our transport facilities. All road facilities such as pedestrian walkways and public roads within a 400-metre radius of all MRT and LRT stations have been made barrier-free. All our MRT stations are already wheelchair accessible with at least one barrier-free route. By the end of this year, seven in 10 MRT stations will have at least two barrier-free routes. To further enhance accessibility to our MRT stations, the Land Transport Authority (LTA) recently announced that it will retrofit lifts at six pedestrian overhead bridges located next to MRT stations. On the wider issue of enhancing mobility on our roads for our elderly, let me clarify that escalators are not barrier-free access facilities. Other problems may also arise when the escalators undergo maintenance or when they break down. For example, the elderly and other pedestrians might find it more difficult to walk up or down the steps on the escalator as they are steeper and higher than the steps on a normal staircase. As for installing lifts at pedestrian overhead bridges, these are costly and difficult to maintain. Given that there are about 500 pedestrian overhead bridges island-wide, we have to be prudent in our use of public funds. Instead of installing lifts at pedestrian overhead bridges, LTA's approach is to provide at-grade crossings at suitable locations as these are more convenient and accessible for the elderly and less mobile. When this is not possible, LTA provides ramps at pedestrian overhead bridges, where feasible, to make it easier for the elderly and less mobile to use.”
“Sir, we will have the lifts on pedestrian overhead bridges for the six different locations by 2013. We will ensure that we do not leave them in the air. Assoc. Prof. Dr Muhammad Faishal Ibrahim: Sir, with regard to the Central Bus Planning, I like to ask the Minister, what is the time-frame that grassroots leaders and residents can expect to wait. I understand that LTA staff has gone down to meet the grassroots leaders and residents, but yet, not much has been done. They are waiting and waiting. Can the Minister give us a time-frame? The elderly, in particular, would like to see more inter-connectivity at different estates so they can move about and still able to enjoy their lives.”
“Sir, the Member asked about lifts on pedestrian overhead bridges. LTA is working with operators on the costs of maintenance, so it is not the Town Councils that will pay. I am also glad to know that the Member walks across pedestrian crossings. Cycling safety. I share Dr Lim Wee Kiak's sentiments and concerns because I cycle very often on the road. I have lost quite a few friends and that is why I set up a Safe Cycling Taskforce a few years ago that now plays an active role in conducting cycling clinics. There is not going to be a "finish line". It is a continuous effort, taking a multiple-pronged appoach, improving infrastructure, enforcement and a lot of education. Registration is an administrative process, we all know that. We can do the registration but as Members know, it is not practical to put number plates on some bicycles. It is the responsibility of both the cyclists and motorists on the road. We must learn to accommodate one another, have that kind of cycling culture in place. It is a continuous effort. There are some improvements today. We are continuously conducting clinics and education sessions on having a checklist of equipment, what to do, and what kind of behaviour to observe on the road. We want to make sure that cyclists are not reckless on the road; they must obey traffic rules, not go against traffic flow, and motorists must accommodate them. It is a road safety campaign that focuses especially on cycling safety on the road. I urge Members to consider implementing these clinics within their towns and we will fully support them.”
“Sir, LTA will continue to work with the various agencies to promote social graciousness and mutual accommodation among road users through public education and enforcement. Sea transport”
“Safety concerns also prompted Dr Lim Wee Kiak to propose that cyclists have to pass a test on traffic rules, and Mr Ong Kian Min to ask if there are plans to discourage cyclists from riding on our main roads. To protect the interests of cyclists and other road users, LTA has been working with other stakeholders such as the Traffic Police (TP), Safe Cycling Task Force (SCTF) and local community leaders to shape and promote good cycling behaviour through our public education and enforcement efforts. They have chosen this approach, which I related earlier, as we do want to inadvertently deter them as a formal test might. Safe Cycling Clinics will be conducted and some have been conducted in Tampines, and there are plans to replicate them in all the other cycling towns. A Volunteer Cycle Warden Scheme is in place to police any unsafe cycling behaviour at "hotspots" such as junctions and bus shelters in Tampines. Similar efforts to educate cyclists have been carried out successfully in Aljunied, Eunos, and Paya Lebar with the support of the local communities and LTA. Apart from these efforts, TP has been giving customised talks in schools and at community-level events to provide tips on safe cycling. At these talks, TP shares case studies of traffic accidents involving cyclists and the benefits of using a pre-riding checklist for cyclists. In addition, road safety exhibitions, which provide safety tips for cyclists, have been held at HDB neighbourhoods, schools and workplaces. These teach them about what equipment they need before they cycle: helmet, may be even knee guards, lights, and bicycle rings. Some Members have brought some equipment here to show.”
“Cyclists would not only have to register their bicycles when they buy them, but also when they sell or give up their bicycles. This would be a rather burdensome process. Personally, I now have four bicycles, and we exchange bicycles all the time between friends and team mates. It is a rather burdensome process. Bicycles were exempted from registration requirements in Singapore in 1982. To re-introduce this would not only be regressive but will also unnecessarily subject bicycle owners to onerous requirements. The Cycling Facilitation Committee (CFC), which I chair, re-examined this issue recently and came to the same conclusion. Within this Committee, we have representatives from different agencies: grassroots leaders, community leaders, bicycle-interest groups and civic groups. And we have come to a conclusion that registration may not be the right way to go about it but we can continuously improve upon infrastructure, increase our efforts on education and also enforcement. Sir, developed countries such as the UK, Australia and New Zealand, similarly do not impose registration requirements on conventional pedal bicycles and low-powered motorised bicycles because it is better to focus on improving cycling behaviour, which is more critical from the road safety point of view. Mr Ang Mong Seng requested for statistics on the number of accidents involving cyclists in the last two years. There were a total of 569 fatal and injury accidents involving cyclists in 2010. This is down from 592 in 2009. The number of cyclists who died in accidents also decreased from 17 fatalities in 2009 to 16 in 2010.”
“They also need to have similar construction and performance characteristics as conventional pedal bicycles. For example, the electric motor of the approved motorised bicycles can only provide assistance when the rider is pedalling. The motor power must cut off when the bicycle reaches a speed of 25 km per hour or when the rider stops pedalling. So, it stops immediately. LTA takes a serious view of offences involving the use of unapproved motorised bicycles on public roads. They have worked with the Traffic Police Department (TP) to ramp up enforcement against offenders. Since the start of this year, LTA has also imposed heavier penalties on cyclists and retailers of unapproved motorised bicycles that do not meet LTA's technical requirements. Most of the fines were doubled. As part of these enforcement efforts, our officers will check that the motorised bicycles have been affixed with an approved LTA seal. Any suspected non-compliance with the stipulated technical requirements of motorised bicycles, such as riders throttling the power source and riding the bicycle without pedalling, will also be checked. A total of 44 offenders were caught for using unapproved motorised bicycles since the penalty regime was enhanced. This is lower than the average monthly figure of 84 in 2010. Bicycles, including motorised ones, are not allowed on expressways. Cyclists must not cycle against the flow of traffic or in a manner that would compromise the safety of other road users. Cyclists who cycle in a rash or in a negligent way that endangers the life of pedestrians or other road users are also liable for prosecution under the Penal Code. To introduce a system to mandate bicycle owners to register their bicycles would not be practical.”
“We will also incorporate cycling infrastructure requirements into the development of new towns as well as existing towns that are being re-developed. We are also looking into bicycle parking facilities. LTA is working closely with the public transport operators to provide bicycle parking racks within or near transport nodes. LTA recently concluded an on-site usage survey that has helped to identify stations that require additional racks. With this, we will roll out additional bicycle parking racks at 10 MRT stations. These 10 stations are Admiralty, Aljunied, Boon Lay, Chinese Garden, Khatib, Lakeside, Sembawang, Sengkang, Simei and Yishun. LTA is also teaming up with other agencies to enhance bicycle parking facilities at other key amenities in our towns. We will pilot these first in a few towns where cycling paths are being built, such as Taman Jurong, Yishun, Pasir Ris and Tampines, to take a more comprehensive approach towards providing bicycle parking facilities. Dr Lim Wee Kiak and Mr Ang Mong Seng have suggested that we reconsider requiring registration and licensing for bicycles, especially motorised bicycles, to allow cyclists and other road users to be protected. Motorised bicycles provide assistance with pedalling. I had spent some time to describe and distinguish between motorised bicycle and pedalling bicycle. I will not go into the details. I would just say that they are useful to our elderly and those with physical disabilities such as slight knee injuries. For the safety of motorised bicycle riders and other road users, LTA requires motorised bicycles to meet certain technical requirements. These requirements limit motorised bicycles to low-powered models that do not exceed 200 watts.”