Committee of Supply – Head W (Ministry of Transport)

Head W (cont) –

Resumption of Debate on Question [6 March 2018],

"That the total sum to be allocated for Head W of the Estimates be reduced by $100." – [Mr Sitoh Yih Pin.]

Question again proposed.

The Chairman: Minister Khaw Boon Wan.

The Minister for Transport (Mr Khaw Boon Wan): Mr Chairman, our excellent connections to the world provide huge advantages for our businesses, create good jobs for Singaporeans and raise our quality of life. They make Singapore a global city and a vibrant economic hub.

The role played by Changi Airport and PSA is well-understood. But remember these are not permanent strengths. As the Chinese saying goes, "一 山 还 有 一 山 高". There is always a taller mountain elsewhere. Many airports and seaports in the region are working hard to replace us. Changi Airport and PSA are working even harder to make sure we are not easily replaceable. The Ministry of Transport (MOT) is fully behind them, together with other Government agencies.

That is why we are expanding Changi Airport, even though we have just opened Terminal 4 (T4). This is not just about building another terminal in Changi. We are actually building a second airport, complete with a third runway, an extensive underground network of tunnels and a mega terminal to serve up to 50 million passengers per year in the first phase of development. By adjoining the current airport, it will almost double our overall airport capacity. More importantly, we can synergise both airports to make the entire Changi an unbeatable air hub.

Likewise, the capacity of our seaport at Tuas will be double our current container throughput. But more than physical size, the new seaport will leverage the latest technology and help create new innovative solutions. As the operator of the new seaport, this will set PSA apart from its rivals. It will help make PSA’s customers even more efficient and cost-effective in their operations.

While the external connectivity dimensions of Changi Airport and the seaport are obvious, the role played by land transport is also crucial. No point being able to fly or sail into Singapore easily, only to be stuck in traffic jams. This is a common phenomenon in many other cities around the world. Singapore must never be like that.

The key is to ensure our land transport matches the standard of Changi and PSA. Our approach is to make public transport the preferred mode of transport within Singapore. This is a continuing work-in-progress. As Mr Sitoh Yih Pin put it, there will be growing pains, but I am confident we will get there. Our target is to have 75% of all peak hour journeys made on public transport by 2030. We are on track to achieve this target. To answer Mr Ang Hin Kee's question, the peak hour public transport mode share last year was 67%: with bus at 34%, rail at 28%, and taxi and private hire car at 5%. With the introduction and growing popularity of personal mobility devices (PMDs), we can be increasingly confident.

We are clear that for public transport to be the preferred mode, it must be extensive, affordable, reliable and seamless.

First, an extensive public transport network. A well-connected and resilient rail network forms the backbone. Eight in 10 households will live within a 10-minute walk of a train station by 2030. That is why we are expanding our rail network to 360 kilometres (km). We will also increase the number of stations to 270. This will put our rail network density ahead of Tokyo and New York City today. This is hard work, patient work over many years and several Transport Ministers. When we fully opened the Downtown Line last year, we took a giant step forward.

The next giant step will be the opening of the Thomson-East Coast Line. The project is on schedule. We have also started planning the Jurong Region Line and Cross Island Line. These new Mass Rapid Transit (MRT) lines will help to catalyse the development of the Jurong Lake District and Punggol Digital District and transform them to enable an exciting car-lite lifestyle for more Singaporeans.

Besides the MRT, we have also enhanced bus services significantly, as noted by Mr Melvin Yong. Through the $1.1 billion Bus Service Enhancement Programme (BSEP), we have added 1,000 new buses to our fleet and introduced 80 new routes. Through the Bus Contracting Model, we have raised service standards by injecting additional capacity for more than 100 services. To support the expansion of our bus fleet, four new depots as well as seven interchanges and terminals have been built or upgraded over the past five years.

We have also incorporated an incentive-disincentive framework in the bus contracts. For the first service year, the operators have already earned incentives of about 1.5% of their total service fees. This is nearly $20 million of incentive payment. The more they improve their services to commuters, the more incentives they stand to gain. This has aligned their corporate objectives with ours. Together, these measures have contributed to greater bus connectivity, less crowded rides and shorter waiting time for commuters. Commuters have felt the difference. It showed up in the Public Transport Customer Satisfaction Survey. I see this as a vote of confidence by commuters for BSEP and the new Bus Contracting Model.

Second, an affordable public transport service. Our transport fares are affordable. To measure affordability, we track the percentage of income that lower-income Singaporeans spend on public transport. In other words, out of your monthly salary, how much do you spend on public transport? It is low, below 2%. So, if you earn $1,000, less than $20 is spent on public transport. While transport fares must be affordable, we must be careful that they are not priced too cheaply, as maintaining a high-quality transport system requires resources. Cheap fares are popular, but they are not sustainable.

The story of the New York City subway is instructive. A recent New York Times article, reproduced in our local media, which chronicled the woes of the New York City subway. It was once an engineering marvel. It is now a broken system with many safety issues. It is estimated that over US$100 billion is needed just to fix the subway’s most pressing needs.

The investments we are making to improve the transport system are huge. MOT’s budget is now the second biggest amongst Ministries, after the Ministry of Defence (MINDEF), and ahead of the Ministry of Health (MOH), the Ministry of National Development (MND) and the Ministry of Education (MOE).

Miss Cheng Li Hui has observed an alarming spike in public transport subsidies. She is right. And we should all be alarmed. She is in business. She knows that rising cost against declining revenue has only one outcome – a disaster. What are the facts? Over the past five years, improvements to public transport services have increased operating costs by about 60%. One major contributing factor is the huge increase in network capacity as we opened new lines and added more buses and trains. This huge cost increase has been borne by the Government, namely, taxpayers. Against such rising cost, fares have gone down by 2% over the same period. So, 60% rise in operating costs but fees reduced by 2%. That is the past five years.

But what about the future? Over the next five years, we will provide subsidies of about $5 billion for public bus services and $4 billion to renew our rail operating assets. Another $20 billion will be invested in infrastructure to further expand the public transport network. The Government will continue to subsidise public transport to keep fares affordable. However, every dollar spent on transport is a dollar less for other expenditure, like schools, healthcare and security. The Public Transport Council (PTC) is currently reviewing the fare formula, and I agree with Miss Cheng Li Hui that the current formula is inadequate. It can be improved to better track total costs. I am confident that they can work out a fair and sustainable arrangement. Please support the PTC when they make their recommendations.

Meanwhile, we need to be prudent about where and when to inject new services, especially in low ridership areas, so as to not overburden taxpayers. I hear Mr Zaqy Mohamad’s call, on behalf of Mayor Low Yen Ling, for better rail connectivity in Bukit Gombak. Mayor Low is a good Member of Parliament (MP). She is reflecting her residents’ demands. I have to be a good Transport Minister. I have to balance the needs of all Singaporeans in a fair manner. We are committed to opening Hume MRT station eventually. But the exact timing of this will depend on the pace of developments and ridership growth in the area. I seek Mayor Low's patience and understanding.

Third, a reliable public transport system. We do not need the story of the New York City subway to remind us of the importance of reliability. The Singapore Mass Rapid Transit (SMRT) has its own bad experience of past neglect and, hence, its fair share of reliability problems in recent years. Correcting these problems is a multi-year effort. But we will get there; we just need time. I asked for five years when I took over this portfolio two and a half years ago. So, I am at mid-point.

Mr Melvin Yong asked for an update. We are making good progress. I have set yearly targets. My target is for the MRT network to achieve a Mean Kilometres Between Failures (MKBF) of 400,000 train-kilometres (km) this year, 600,000 train-km next year and one million train-km by 2020. These are not soft, easy targets. They are very difficult targets to achieve. That is why very few metros in the world have achieved that.

After a painful 2017, the new signalling system in the North-South Line has finally stabilised. I am pleased to report that the MKBF of the MRT network, for January and February this year, has exceeded next year’s target of 600,000 train-kilometres. In fact, the North-South Line hopes to cross its 150th consecutive day of no disruption today. This is the good news. The bad news is that we will soon start testing of the new signalling system on the East-West Line with passengers. We have been testing it without passengers; that means, at midnight. We will soon be testing it with passengers on board. I will be spending many days and nights briefing the MPs along this stretch of East-West Line to explain to them what re-signalling is all about, why we need to re-signal, why it is good for Singapore and the commuters and what to expect, especially the unpleasant experience of the North-South Line. Do expect glitches and delays. So, please bear with us.

Extended engineering hours have been very useful to our engineering team. They allow us to speed up the renewal of ageing assets, as well as the installation of noise-barriers around the island. For residents living next to MRT tracks, this is a welcome development – my residents as well as residents of Er Dr Lee Bee Wah.

10.15 am

Extended engineering hours have also allowed us to step up preventive maintenance and repairs. To answer Miss Cheng Li Hui’s question, we require our rail operators to fulfil stringent Maintenance Performance Standards (MPS). If they fail to comply, we will impose regulatory action and financial penalties. More importantly, after several years of interacting with them, my sense is that our two rail operators themselves have already internalised the importance of maintenance and they have accepted their responsibility to regain public confidence in our MRT system. I am optimistic they will not fail us. They are ramping up the number of maintenance staff. Over the past five years, our maintenance workforce has grown by over 1,500 staff, a 50% increase, with plans to further increase this by more than 600 over the next three years.

I thank commuters for allowing us to close earlier and open later – Early Closure, Late Opening (ECLO). To answer Mr Melvin Yong’s question, ECLO will continue, especially for the older lines where we have to juggle limited engineering time between maintenance and the renewal of ageing systems.

We have learnt to manage such planned closures with an extensive shuttle bus arrangement so that affected commuters have convenient travel options. During the recent planned closures along the entire East-West Line, we mobilised 350 buses and 700 bus captains to support the shuttle services. I thank all our transport partners and the Land Transport Authority (LTA) for their commitment to this effort. It was Team Singapore at its best.

Many readily adjusted their work schedules to accommodate the additional works. Many made personal sacrifices. During one Sunday closure, this was in December, along the North-South and East-West Lines, many members of SMRT's track circuit replacement team were unable to attend the wedding of their teammate, Mr Mohammed Idris bin Zakaria. The team managed to send him a photo and message from the worksite, which read: "Hi Idris, we are working at Jurong due to ECLO, hot sun and rain are a big challenge here. In fact, it is going to rain, but we know today is your big day, we all just want to say, Happy Marriage". There are many such examples.

We are determined to make our system among the best in the world. It can be done. Until all the ageing assets are fully replaced and upgraded, we may still encounter some delays or disruptions. But we are doing our best to eliminate such risks and, should they happen, to minimise inconvenience to commuters.

To accelerate the renewal of the ageing assets, we will reinforce our bus network to provide some back-up capacity. We will be deploying 450 buses to bolster capacity along existing bus routes which support critical stretches of the rail network undergoing renewal. These are new buses. They were ordered to meet growing ridership demand and to replace our ageing bus fleet. We are opportunistically bringing forward their purchase and deployment to strengthen the resilience of our public transport network in the interim.

Like Mr Melvin Yong, we, too, are concerned about staff fatigue. Planned closures are generally over the weekends, when bus services are thinner, so we have been able to tap on the existing pool of bus captains for these shuttle services. To manage driver fatigue, bus captains are rostered to ensure that they have sufficient rest. We will continue to work closely with the public bus operators and National Transport Workers' Union (NTWU) to ensure that such shuttle services are sustainable, and that we maintain strong morale amongst our bus captains.

Besides our oldest MRT Lines, enhanced maintenance and renewals are also underway for all the other MRT and Light Rail Transit (LRT) lines, which are at different stages of their lives. The Bukit Panjang LRT, in particular, is reaching the end of its useful life. After evaluating all possible options, LTA has decided to work with the original equipment supplier, Bombardier, to renew the entire network. We will also try out a new service support arrangement whereby SMRT will engage Bombardier through a long-term maintenance contract for spares, training and technical expertise. Bukit Panjang residents can look forward to more reliable rides in due course.

Fourth, a seamless public transport experience. Commuter perception of public transport is often shaped by their first- and last-mile experience. Is it convenient? Is it pleasant? Is it safe? We are helping pedestrians by providing more covered walkways to transport nodes.

Shared bicycles and PMDs have also provided commuters with a new option for shorter journeys. However, disamenities, specifically indiscriminate parking and reckless behaviour, are a growing irritation.

I remember Mr Sitoh Yih Pin's reservations on e-bikes and PMDs when the Act was debated in this House last year. This year, I noticed, out of the 33 cuts for MOT, 14 were on shared bicycles and PMDs. That is a high percentage. Yesterday evening, I heard all the passionate pleas from the Members who spoke. So many spoke, including Ms Foo Mee Har, despite her loss of voice.

Let me share with Members a little secret. I heard such complaints from my wife, too. Not every night, but very often. Every time when she drives around our estate and sees such yellow, rainbow-coloured bicycles parked indiscriminately, blocking the footpaths, believe me, I would get an earful. So, clearly this is a hot topic among many people on the ground! Senior Minister of State Lam Pin Min will address this topic in full later.

I hear Mr Pritam Singh's call to significantly tweak the Certificate of Entitlement (COE) system to favour families with young children and also low-income motorcyclists. COE is a sound market-based mechanism to allocate limited vehicle supply. Favouring one specific group would inevitably disadvantage others. Far more correct is to keep the COE system pure and formulate separate specific policies to encourage couples to have babies and to help low-income Singaporeans. Meanwhile, we are committed to making public transport the preferred mode for all Singaporeans. This applies not just for new families, but also for the elderly and persons with disabilities. Senior Minister of State Lam Pin Min will also elaborate on this later on.

We also facilitate the introduction of car-sharing services, such as BlueSG, and welcome the growth of private hire car services. They have provided commuters with more on-demand and point-to-point alternatives to owning a car. We will make car-lite Singapore a reality. But the point-to-point industry is rapidly consolidating. How it consolidates can have serious implications on contestability and the welfare of commuters and drivers.

In other words, will the industry remain open and contestable? Today, we have choices between Grab and Uber, and that is why service level improved. What if the market consolidates and you end up with only one player or a very huge dominant player? I am quite sure that pricing will change drastically overnight, both for taxi drivers as well as commuters. So, as regulators, we have to anticipate such possible outcomes and try to pre-empt them. Second Minister Ng Chee Meng will discuss this very important issue later on.

Finally, we are harnessing technology to transform land transport. Last month, we launched the Land Transport Industry Transformation Map (ITM). Emerging technologies are unsettling, but the opportunities to transform land transport for the better are compelling.

The ITM will help the industry and its workers move up the value chain and serve commuters in new and better ways. Mr Melvin Yong and Mr Ang Hin Kee spoke about Autonomous Vehicles (AVs). AVs have the potential to transform transport, reinvent transport. We are working with some of the best in the world and in Singapore to tap on this exciting technology which is still developing. We are keenly watching where this technology will take us next and the benefits that it will bring to commuters. It is too early to say how widely adopted AV technology will be by 2030, but the progress of AV trials overseas and in Singapore is very encouraging.

Waymo of Google has tested their AVs on public roads in the United States (US) without a safety driver. This is what we call Level 4 or 5 of a driverless vehicle. It intends to launch a commercial AV ride-sharing service later this year. Here in Singapore, we expanded our AV testbed at one-north last year to about 70 km. As we gain experience and expertise, we will expand trials to other precincts and also pilot the use of other vehicles, like AV buses and AV shuttle services in Punggol, Tengah and Jurong.

Mr Melvin Yong asked if we have the necessary infrastructure and legislative framework. We are not yet fully ready. In fact, no cities are. But the AV trials have given us insights into the gaps which we will fill. We have amended the Road Traffic Act to facilitate our AV efforts, and we will make further amendments if necessary. We have also launched a Request for Information to seek inputs from industry and other experts.

This week's Economist magazine had a special report on AVs. Several pages of this developing technology are worth a quick flip through. It spells out possibilities, an exciting world of transport. Singapore was mentioned in the article as an example of pro-innovation regulation. It is so easy to snuff out innovation. If you regulate too tightly, too early, nothing will happen. If you maintain a light touch for too long, as has happened in the bike-sharing situation, then you have disamenities.

This reminded me of what Laozi said 2,500 years ago on the art of frying a small fish: too much fire and you burn the fish. It becomes carcinogenic, you may get cancer. Too little fire, the fish remains uncooked and you may get a stomachache.

Although it is difficult to predict the timing of widespread AV adoption, the potential for such technologies to disrupt the livelihoods of transport workers is undeniable. I, therefore, agree with Mr Melvin Yong and Mr Ang Hin Kee that we should help our transport workers adapt early.

The Government is working closely with unions and the transport operators to upskill, reskill and to transition some of them to adjacent vocations. This is being done through our Institutes of Higher Learning (IHLs), as well as the Bus Academy and Singapore Rail Academy. We will also work with Government agencies, industry champions and service providers to identify other areas of employment growth outside the land transport industry for affected workers to transition to.

LTA, SkillsFuture Singapore (SSG), our public transport operators and NTWU are jointly developing the Skills Framework for Public Transport, and we will launch this very soon in May. It will provide our transport workers with a clearer picture of what skills they should develop as well as the programmes available, if they want to upgrade. As we expect to create 8,000 new jobs in the public bus and rail sectors by 2030, we will also enhance talent management and engagement efforts for the sector to attract a pipeline of skilled workers and retain more in-service staff.

10.30 am

Mr Chairman, the future transport scene is truly exciting. We are lucky to be living in Singapore, and at this time. For example, AVs, combined with the sharing economy and improvements in mobile telephony, have made on-demand point-to-point transport service a reality. And when it comes about, who needs to own a car? No need to. If you want to go anywhere, use your mobile phone, call up. Likely, it would not be a car. It will be a driverless pod. Why should a car look like a car?

Once you have driverless vehicles, there is no need for steering wheel, brakes and pedals, the car does not need to look like a car. Some of these autonomous pods in the trials do not look like cars at all. And they can be reconfigured very easily to take one passenger or two passengers, if you want greater intimacy. Or if you have a family of five children, it can be reconfigured too, much like Hollywood’s transformers. Most exciting. This will have a huge impact on city planning. The roads and carparks will be freed up.

Another very important positive impact is a significant drop in casualties and road accidents because a well-programmed robot is safer than human beings. Much of the accidents are due to human errors. It will change our quality of life. Do flip through the Economist's special report this week to have a glimpse of this brave new world. Is it a dream or will it be a nightmare? Hard to say. We can never guarantee how the future will be like. But the articles in the Economist's special report offer good advice. It is in our hands to shape this future to make sure that it will not be a nightmare; it will be a good dream, provided our policies remain pro-innovation, pro-market and also, very importantly, right pricing of limited resources. The quality of life of our children will definitely be better than ours. This, I am confident.

The Chairman: Minister Ng Chee Meng.

The Second Minister for Transport (Mr Ng Chee Meng): Mr Chairman, I thank the MPs for their cuts on aviation and private hire cars (PHCs).

The air hub is a cornerstone of our economy. It contributes significantly to our gross domestic product (GDP) and provides many good jobs. The excellent connectivity that our air hub provides also helps to facilitate trade, investments and tourism. Singaporeans, our businesses and our economy continue to benefit from a strong air hub.

The year 2017 was a good one for Changi. We handled a record 62.2 million passenger movements, a 6% increase from the previous year. Airfreight throughput grew by 7.9%, and reached 2.13 million tonnes, crossing the two-million tonne mark for the first time.

Changi Airport is currently connected to over 400 cities around the world. It is well-connected to the three most populous Asian countries, with links to 34 Chinese, 16 Indian and 14 Indonesian cities.

The number of passengers in the wider Asia Pacific region is also expected to grow from 1.4 billion to 3.5 billion in the next 20 years. This is 2.5 times today's number, and more than double the expected passengers in the next biggest region, Europe.

As air traffic in our region and the world continues to grow, the Government is committed to ensuring that Changi Airport remains best positioned to capture its share of the growth. For 2018, Changi Airport is projected to grow between 3.5% and 5.5%. And in the coming years, traffic growth is expected to be at 3% to 4% annually. To ensure that Changi Airport has sufficient capacity to capture this growing demand, we need to enhance our airport infrastructure. Infrastructure development is a long-term endeavour.

We have successfully built up a strong air hub over the last 30 years, in large part due to our bold and forward-thinking approach to anticipate our future needs. Some Members in the House might recall that the Government decided to build Terminal 2 (T2) in 1975, even before we moved our airport from Paya Lebar to Changi. This was 15 years before its opening in 1990. We then made plans for a new Terminal, T3, and decided to build it in 1996.

When we opened T3 in 2008, Changi Airport was serving close to 38 million passengers and, at that time, there were some who wondered if we needed such a large increase in capacity. Today, we have almost fully utilised all the 66 million passengers per annum (mppa) capacity across Terminals 1 to 3. If we had not built T4 in good time, Changi Airport would have reached its maximum capacity in two years. T4 added a capacity of 16 mppa.

By 2019, Jewel Changi Airport will open and bring the total capacity in Changi Airport to 85 mppa. It will also further enhance the passenger experience by providing a wide range of new retail and dining offerings in what would be Singapore's largest indoor garden to come.

Our long-standing approach of building ahead of demand has served us well. It has allowed Changi Airport to consistently deliver a high standard of service to passengers, even during the peak hours. This "Changi Experience" is what distinguishes Changi from all other airports around the world.

We have, therefore, adopted a similar approach in planning and building T5. T5 is an integral part of our airport expansion at Changi East. It is a bold move to firmly cement Changi Airport's position as a premier air hub for the future. This is important. Air connectivity is a key link for Singapore. It is critical that our aviation sector can continue to grow and support the growing needs of our economy.

As Minister Khaw said earlier, building Changi T5 is not just building another new terminal; it is akin to constructing a second airport. The project's scale and complexity are unprecedented. Our airport expansion thus far has largely consisted of the construction of new terminals. But the Changi East project goes far beyond the terminal building itself.

Extensive land preparation and drainage works at Changi East have been ongoing since 2014. The works for a three-runway system have commenced since 2016. We are extending an existing military runway and constructing a network of taxiways to allow for Changi Airport to cater to more flights. If we actually laid out the runway and taxiways in a long line, it would stretch from Changi Airport all the way to Tuas, almost as long as the Pan Island Expressway (PIE) of 42 km!

Next comes a network of tunnels and systems, including a baggage handling system and automated people-mover system. These will allow for the efficient transfer of passengers, baggage and airside vehicles within Changi East itself, and also between Changi East and the existing Terminals 1 to 4.

Last but not least, is the T5 terminal itself. T5 is going to be a game-changer. This will be a mega terminal with satellite terminals. It will allow Changi Airport to serve up to an additional 50 mppa in its initial phase. Fifty mppa is a 60% increase from Changi's current capacity and is more than the combined capacities of Terminals 2 and 3.

T5 will allow better integration of airport operations, improving their efficiency as it allows us to pool resources. It will benefit passengers like you and me by offering quicker access to boarding gates and convenient transfers. The "Changi Experience" will be further enhanced and new standards for passenger experience will be set.

Mr Zaqy Mohamad raised a pertinent question about the cost and funding of T5. The entire Changi East project is expected to cost tens of billions of dollars. The Government will invest substantially in Changi East and foot the majority of the costs. To date, the Government has committed more than S$9 billion into the project. The airport operator, Changi Airport Group (CAG), has also committed S$3.6 billion to date, and will commit its reserves and future surpluses, as well as take on substantial borrowing to fund the project.

Airlines and passengers will also need to contribute towards enhancing this airport infrastructure. Currently, airlines and passengers pay various aeronautical charges to CAG. As announced last week, to help fund airport infrastructure enhancement, passengers departing from Singapore Changi Airport from 1 July 2018 will also pay a new Airport Development Levy (ADL).

Some have questioned why we are increasing the charges now when T5 will only be completed around 2030. As I have explained, Changi East is not just about Terminal 5. It is a massive project with many phases. Airport users will start to benefit from Changi East progressively. For example, Runway 3 will be ready for civil aviation by 2020, and the three-runway system will be operationalised in the early 2020s, even as T5 will only be completed around 2030. Having users start paying earlier will also avoid large spikes in the amount they have to pay later on.

I would like to thank Mr Zaqy Mohamad for his suggestion to differentiate the ADL by distance. We have, indeed, considered it, but decided on our current option, which is a flat rate, regardless of the distance travelled. Passengers use the same facilities at the airport, regardless of where they are flying to. So, it is only fair that the charges that they pay are the same. This is the same principle that has been used for other passenger charges, such as the Aviation Levy and the Passenger Service and Security Fees.

Mr Zaqy Mohamad also asked why the Government is funding the majority share of the project. Changi Airport is vital to Singapore's economy and connects us to the world. It yields significant economic benefits for Singapore beyond the airport directly and the aviation industry. By funding Changi East, the Government is making a strategic investment into Singapore's future. Without Government funding, airport charges will have to increase much more. Given the importance of the air hub to Singapore, we need to strike the right balance and keep charges for airlines and passengers at a level that will ensure that Changi remains competitive and continues to be the air hub of choice.

Mr Zaqy Mohamad also highlighted the example of Seoul’s Incheon Airport. When comparing the costs of that airport expansion, we need to take into account the difference in scale and complexity of each project. Seoul Incheon's expansion adds 18 mppa, equivalent to our T4. In comparison, Changi East and T5 is like building a brand-new airport for 50 mppa, with possibilities of growth.

The Government will ensure prudent spending on Changi East. The project will deliver good value for money. We have thoroughly analysed the traffic projections for Changi. We are also carefully scrutinising the cost of Changi East. We will strive for the most cost-effective way to develop Changi East and ensure that Changi continues to be world-class. In developing Changi East, we are building for the long term. This is a major investment, to meet our future needs and reap benefits for Singapore and Singaporeans in the long run.

CAG is in the midst of evaluating proposals from three consortiums bidding to be the Master Building Consultant for T5. The three consortiums have all submitted designs that will set T5 apart from other airports around the world. I am confident that Singaporeans will be proud of our new T5 when it is completed around 2030.

10.45 am

Mr Chairman, we are at an exciting time in Singapore's transport history. Besides Changi East, we are also building the new mega port at Tuas, the High Speed Rail and Rapid Transit System connecting us to Malaysia, as well as extending our MRT network. These enhancements and investments will enhance our transport infrastructure and bring with them a multitude of benefits.

First, Singaporeans will enjoy the direct benefits of greater convenience and access in their travel around the island and to other parts of the world. Second, local enterprises and their workers will have valuable opportunities to gain new expertise and enhance their capabilities.

I thank Mr Lee Yi Shyan for his suggestion to place concerted effort to develop a new industry cluster to generate more economic spin-offs. As highlighted by Mr Lee, our transport infrastructure investments create new and exciting possibilities for our businesses. Singapore businesses have the opportunity to work on complex projects which, in some cases, are of an unprecedented scale. Many of our transport projects, in fact, have stringent and unique requirements for which they need to apply innovative solutions. For example, a joint venture formed by our local companies Hock Lian Seng Infrastructure and Sembcorp Design and Construction are working on a part of the three-runway system under the Changi East development project. The works involve extensive aircraft pavement and drainage works.

On the maritime side, SurbanaJurong is the engineering design and construction supervision consultant for Tuas Terminal and has taken the opportunity to apply many innovative engineering solutions in the planning and construction process.

Our companies will gain valuable expertise and knowledge, deepen their experience and burnish their credentials from working on these and other projects. In fact, a number of projects and initiatives that the Government is supporting will result in the creation of valuable intellectual property (IP). Where there is IP created as a result of such projects, companies would typically have the rights to use the IP for their commercial purposes. And we encourage them to do so, including to develop exportable solutions, to seize opportunities abroad, especially as Asia's demand for infrastructure and transport solutions grow.

One example is Singapore Technologies Kinetics (STK), which has partnered MOT and LTA to develop autonomous buses and shuttles. I hope that, one day, we can see STK-developed AVs driving around in other cities.

The Government will continue to champion research and development (R&D) in the transport sector to ensure that local capabilities continue to grow and are showcased globally. There are already many such opportunities, such as the Singapore Airshow, the Singapore Maritime Week, and the Singapore International Transport Congress and Exhibition.

I thank Mr Lee for his suggestions, which we will explore further. As Mr Lee also highlighted, the Government can spur industry development and the growth of the transport sector by championing R&D and working with industry players to develop new technologies and adopt innovative processes. In air transport, there are two areas of focus to leverage technology developments. The first is airport operations, and the second is in the area of unmanned aircraft systems (UAS) or drones.

First, let me touch on leveraging technology for airport operations. Passengers using T4 today will be familiar with some of the new technologies, such as the use of facial recognition to get passengers from the kerbside to the plane in a speedy fashion. Advanced computed tomography (CT) X-ray machines have also been deployed at T4, which do not require passengers to remove their laptops from their bags during security checks. These are examples of the suite of Fast and Seamless Travel (FAST) self-service options which we have already tapped on to create a better, smoother and more seamless travel experience for those using Changi Airport.

We are also excited about the possibilities of using such technologies to change the way we work. By automating the routine processes, we free up workers’ time to focus on areas where the human touch cannot be replaced. For example, passenger service agents at T4 now do not stay behind the counter. They roam around helping passengers. They feel more fulfilled, contributing in more meaningful ways. This has reaffirmed their commitment to continue working as a part of the Changi Airport community.

The Government is prepared to collaborate with industry to spur further adoption of technology. For example, Singapore Airlines (SIA) launched its Digital Innovation Blueprint programme in January this year, in collaboration with the Agency for Science, Technology and Research (A*STAR), the Civil Aviation Authority of Singapore (CAAS), the Economic Development Board (EDB) and the National University of Singapore (NUS).

SIA aims to set up a Digital Innovation Lab and tap on data analytics to further enhance customer experience as well as boost the operational efficiency of its aircraft maintenance processes. This is an example of how the Government’s partnership with industry can help support companies and their staff in their digitalisation efforts, so that they can bring service standards to even higher levels.

The Government will also invest significant resources into developing innovative processes and technologies to entrench Changi as the world-class hub it is today. CAAS will launch an Aviation Transformation Programme (ATP) to promote the use of new technologies, like AVs, AI and augmented reality, to improve airport operations. ATP will focus on four crucial areas for the continued success of Singapore's air hub: (a) Strategic Air Traffic Management; (b) Seamless Ground Operations; (c) Effective and Efficient Security; and (d) Premium Travel Experience.

ATP will not only level up the system capabilities of our air hub but also ensure that our workers remain at the forefront of their fields. For example, as air traffic volume grows, our air traffic controllers (ATCOs) will have a more challenging job. We will, therefore, leverage technology to further enhance our Air Traffic Management (ATM) capabilities. This will provide our ATCOs with a wider range of tools to do their job well and ensure that Singapore remains a leading Air Navigation Services Provider in our region.

As we tap on advancements in technology to manage our skies, the ATCO's job will also evolve and require deeper skills and a wider range of expertise.

Recognising this, CAAS has taken the initiative to introduce a new scheme of service that will better enable ATCOs to hone their skills, provide them with more exposure across the range of ATM functions, and allow them to delve even deeper into specific functions, if they are so inclined. They will even participate in the development of advanced software and hardware that are more sophisticated than those available today.

Under the new scheme, ATCOs can progress along two tracks – Management or Specialist – and build their expertise along either track. The new scheme will allow ATCOs to progress to higher grades, compared to the past. By providing more avenues for progression and targeted professional development based on the aptitude and interest of each ATCO, the new ATCO scheme of service will further professionalise the job of the ATCOs. It will also deepen their expertise and allow us to develop a pool of ATCO professionals who will help to drive CAAS up the ATM value chain.

The levelling up of capabilities of workers in our air transport sector is part of the vision we set out to achieve through the Air Transport ITM. The ITM aims to create 4,700 good jobs by 2020 and grow the value-add per worker. In the third quarter of this year, we will launch a Skills Framework for Air Transport which will set out the core competencies and skills for all key air transport jobs. This will serve as a reference for those who are already in the sector or for those wanting to join the aviation industry.

It is paramount for us to support workers in the air transport sector to continually retrain and upgrade themselves, even as we leverage more advanced technologies to improve the sector's productivity. We want our air transport workers to be able to manoeuvre technological changes at the workplace to their advantage and take on new roles that will challenge and fulfil them even more. This will also allow them to add greater value to their jobs and their companies and, overall, to our economy.

The second key technological development in the air transport sector is the unmanned aircraft systems (UAS). Today, UASes are already being deployed for tasks, such as worksite inspections, surveying and mapping, improving processes and saving time and manpower. There is huge potential for UAS to spur new and innovative applications across industries. This would further increase productivity and enhance service delivery. One such area is in logistics, where UAS can quickly deliver parcels by air to the end-consumer.

In time to come, UAS can potentially even ferry people through the air, adding a new dimension to urban mobility. At the same time, we recognise that UAS operations could pose concerns about safety and security. These concerns must be addressed before the full potential of UAS can be realised. In particular, given Singapore’s busy airspace and dense urban environment, we need to be extra careful that UASes do not pose risks to manned aircraft operations or public safety.

The Government, having said all that, has been pushing the boundaries in exploring UAS in our urban environment so as to seize the potential benefits that the use of UAS could bring. For instance, LTA is trialling the use of UAS to perform rail and road tunnel inspections with greater ease and accuracy. In addition, LTA has also deployed UAS at selected Thomson East-Coast Line worksites to help our engineers monitor construction progress and identify defects.

The Government also recently designated one-north as a drone estate to serve as a living lab and testbed for drone solutions, which Mr Ang Wei Neng also highlighted. We are, indeed, excited about the drone estate’s potential to spur more R&D on UAS technologies and foster meaningful commercial partnerships. We intend to progressively expand the scope and scale of the UAS activities there, bearing in mind that we must do so responsibly and not compromise safety. I thank Mr Ang Wei Neng for his suggestions, and we will look into them. Recreation UAS flying may take a while longer.

Mr Chairman, let me now turn to how technology has transformed the point-to-point (P2P) industry. The introduction of third-party booking apps and PHC services has revolutionised the P2P industry in Singapore. The PHC industry has significantly expanded the supply of P2P services, especially during our peak. There are now more than 40,000 PHC drivers, in addition to 96,000 licensed taxi drivers. The matching of demand and supply is also enhanced through the platforms and through dynamic pricing.

Commuters have benefited the most. Commuter satisfaction has risen significantly. Based on the PTC’s latest survey, almost 99% of commuters surveyed were satisfied with taxi and PHC services in 2017. Complaints about taxi unavailability, which were prevalent before, have also come down significantly.

Taxi drivers, who were initially affected, are now starting to reap some of the benefits, too. Taxi companies are offering more flexible rental schemes, lower rental rates and more choices of service platforms to drive for. Additional booking channels have also given taxi drivers an additional revenue stream and have helped reduce empty plying of roads.

Take Mr Luen Chi Keung, for instance. Mr Luen is a GrabTaxi driver currently driving for SMRT. He likes that there are multiple rental schemes now that he can pick from. While he is currently paying a daily rental for his taxi, he is looking to switch to an hourly rental scheme which may better suit his needs.

At the same time, I also note that there is some concern on how taxi and PHC drivers could be impacted by technology changes. I thank Mr Ang Hin Kee for his suggestion and he will be pleased to know that we will continue to work closely with the National Taxi Association (NTA) and National Private Hire Vehicle Association (NPHVA) to upskill taxi and PHC drivers. We will also explore having modules in the Taxi Driver’s Vocational Licence and the PHC Driver’s Vocational Licence courses to help equip taxi and PHC drivers with digital skills, such as using navigational apps.

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We had decided a few years ago, when the PHC industry was still in its early stages of development, to impose minimal conditions on PHC booking service operators. This is to avoid stifling innovation in the then nascent industry. This is why the current regulatory regime for PHCs focuses primarily on protecting commuter safety and interests via licensing of PHC drivers and PHCs. The PHC booking service operators are required to dispatch only licensed drivers and cars.

However, since then, the PHC sector has grown and changed the P2P industry significantly. From an emerging fringe transport mode, PHCs have become an important part of our land transport system. Based on PTC’s latest survey, it is estimated that there may be more than twice as many rides taken on PHCs as compared to taxis. The PHC industry has evolved and consolidated rapidly. There are currently two large players – Grab and Uber. Both companies allow taxis to use their booking services, which blurs the lines between the PHC and taxi industries.

Mr Ang Hin Kee asked whether the Government will be reviewing our regulatory approach for the P2P sector. The answer is yes, given how fast the industry is changing.

First, the sheer size of the PHC industry means that the actions of PHC booking service operators affect a significant number of commuters and drivers today.

Second, today, there are limitations to our current regulatory regime. We only have basic requirements on booking service operators to protect commuter safety. In exceptional situations, LTA can issue a suspension order to forbid drivers from driving for these PHC booking service operators. But this is a very blunt tool, which impacts commuters and drivers as well. Given the growing PHC industry, it is imperative that the Government has sufficient regulatory oversight over the PHC booking service operators to protect the interests of commuters and drivers.

Third, PHC booking service operators should bear greater responsibility in ensuring the safety of commuters, beyond the requirements today.

Finally, as the PHC and taxi industries consolidate, as the regulator, the Government has to act in good time to ensure that it remains open and contestable. We must make sure that commuters and drivers continue to have options, and that no single market player will dominate the industry to the detriment of commuters and drivers.

Hence, we are reviewing the broader regulatory framework for the P2P sector, including studying how to structure the industry and license PHC booking service operators. Licensing will give the Government a broader range of regulatory levers to ensure that the rapidly evolving PHC industry grows in a manner which meets the needs of commuters, drivers and our broader transport policy. More details will be made known in due course.

Mr Chairman, MOT is committed to making travel even more convenient and seamless, across our island and beyond, for Singaporeans. Our efforts to develop Changi East will help to achieve this, as will our investments in more advanced technologies. At the same time, we will help our workers to keep up with the changes and have good careers in the transport sector. We are confident that besides Singaporeans, Singapore companies will benefit from these efforts, as they harness new productivity gains throughout the entire transport ecosystem. We can look forward to a more liveable and well-connected Singapore, supported by robust and effective transport systems.

The Chairman: Senior Minister of State Lam Pin Min.

The Senior Minister of State for Transport (Dr Lam Pin Min): With your permission, Mr Chairman, may I display some slides on the LED screens during my speech?

The Chairman: Yes, please. [Some slides were shown to hon Members.]

Dr Lam Pin Min: Mr Chairman, Maritime Singapore is a thriving ecosystem, anchored on our global hub port and vibrant international maritime centre (IMC). Overall, the maritime sector remains a strong pillar of Singapore’s economic growth, contributing about 7% of our GDP and more than 170,000 jobs in over 5,000 maritime establishments.

Let me now provide an update on the performance of Singapore’s maritime hub and our efforts to ensure its continued competitiveness.

Singapore's port registered a strong performance in 2017. Our container throughput rose significantly by 8.9% to 33.7 million twenty-foot equivalent units (TEUs). We also handled a record total of 626.2 million tonnes of cargoes, an increase of 5.5% over the previous year.

Our IMC also performed well and was ranked the world’s top international shipping centre by Baltic-Xinhua for the fourth consecutive time. We welcomed new players, such as Ocean Network Express, which will set up its global headquarters in Singapore this April. Existing players like Maersk, CMA CGM and Thome also expanded their presence in Singapore with the establishment of their new vessel monitoring hubs.

We have done well. However, we are mindful that the sector’s landscape is evolving rapidly and remains challenging. Digitalisation is already transforming global transportation and supply chains, blurring the boundaries between the shipping and logistics sectors. Emerging technologies, like blockchain, are paving the way for new business models, forcing companies to rethink the way they do business or risk being disintermediated altogether.

The external environment is also changing. Faced with structural problems like slowing trade growth and shipping overcapacity, the outlook for the global maritime sector remains uncertain. And as Mr Ang Wei Neng noted, several developments have sparked talk about the emergence of alternative trade routes in the region. China is investing in ports and transport infrastructure across Southeast Asia under its Belt and Road Initiative (BRI). These include several ports and the East Coast Rail Line in Malaysia. Interest in the Kra Canal has also recently surfaced, but it remains uncertain whether it will be built. We will continue to monitor these developments.

As the region develops, it is inevitable that our port will face greater competition from alternative ports and trade routes. Thus, while we are well-placed, we cannot be complacent. The only way for us to stay ahead is to continue to innovate and look for new growth opportunities. For instance, with our strong connectivity, we are in a good position to contribute to and pursue opportunities under BRI. In the longer term, the growth in trade and networks in the region will also benefit Singapore.

To build on our strengths to meet new challenges, we have set out new growth strategies for Singapore’s maritime sector, which are in line with the IMC 2030 Advisory Committee's recommendations to grow Singapore as a "Global Maritime Hub for Connectivity, Innovation and Talent". These strategies will prepare our companies and workers for the future. Let me speak about each of them in turn.

First, we will continue to enhance Singapore’s connectivity. This will enable us to remain plugged into the regional and global economy and continue to be relevant as a hub for maritime activity and businesses.

To boost our physical connectivity, we are investing in long-term port capacity and infrastructure to meet the industry’s needs. Pasir Panjang Terminal Phases 3 and 4 will be fully operational by the end of this month. Significant investments, such as in the Next Generation Tuas Port, will ensure that Singapore retains its leading position as a global hub port. Reclamation works for the first phase of Tuas Terminal are progressing well. As of last month, more than 70% of the 200-plus caissons have been installed, and the remainder will be completed by early next year.

We will also strengthen our connections to the region to enhance Singapore's position as a key node in the region's maritime network. I spoke about how we can pursue opportunities under China’s BRI. Under the Chongqing Connectivity Initiative, which is the third government-to-government (G2G) project between Singapore and China, we have developed the Southern Transport Corridor (STC), the maritime route linking China’s overland Silk Road Economic Belt and the Maritime Silk Road. This will strengthen our position as China's gateway to Southeast Asia and create new opportunities for our local companies to venture overseas. We are working on enhancing and growing the STC.

In fact, many of our companies are already participating in BRI. To tap on growing trade from Western China, PSA operates many ports along the BRI, including Qinzhou in the Guangxi-Beibu Gulf, which provides direct access by rail to Chongqing, a gateway to China's vast inland area. Local shipping line, Pacific International Lines, has similarly invested in logistics facilities in the region and runs shipping routes between the Guangxi-Beibu Gulf and Singapore. Back home, PSA has also entered into a joint venture with China Ocean Shipping Company (COSCO) Shipping to operate three berths at Pasir Panjang Terminal, which will help bring trade volumes through Singapore.

Building up our physical connectivity alone is not enough. We must also build a more interconnected and vibrant network, to be a node for maritime business activities and information flows. Today, Singapore's IMC is home to over 5,000 establishments and offers a comprehensive range of maritime services. Looking ahead, we will continue to grow the diversity of our services. Besides encouraging established companies to venture into new business activities, we will catalyse the growth of non-traditional players. These include maritime technology enterprises, such as Alpha Ori and Metcore, and digital platforms like VesselsValue. To facilitate expertise and resource sharing among companies in the sector, the Maritime Port Authority (MPA) will also co-fund the costs of shared workspaces and services.

In the longer term, we will explore setting up a port and logistics cluster at Tuas to encourage collaboration and co-innovation with related sectors. This will open up new growth areas for our companies and enable us to leverage Singapore’s hub connectivity to enhance our value-capture. For example, co-locating logistics firms near the port could spur more efficient supply chain management and allow them to experiment with fresh concepts, such as inter-modal logistics.

Second, we will create a vibrant and innovative maritime sector to help drive industry transformation. Singapore’s maritime sector is already on the steady pathway of innovation and experimentation. But more needs to be done.

Mr Lee Yi Shyan asked about our plans to champion R&D in transport technology. We will continue to provide an enabling environment for innovation to facilitate the development of smarter solutions. MPA’s Living Lab, which was set up last year, aggregates lead user demand and allows for the test-bedding of technologies in real operational conditions. Several projects have been initiated. These include the development of a remote-assisted pilotage system for harbour pilots to steer vessels from shore, and the testing of vessel traffic management solutions.

To spur the development of more of such solutions, MPA will set up the new Singapore Maritime Data Hub (SG-MDH). For a start, the SG-MDH will make available to the industry and the public real-time access to MPA’s port and ship-related data. Over time, other kinds of industry data will also be shared. With this rich information resource, anyone will be able to analyse or even overlay the data with their own datasets, opening up possibilities for the development of new applications, services and products.

At the same time, the new Maritime Transformation Programme (MTP), which was announced by the Minister for Finance during his Budget Statement this year, will further strengthen research and innovation efforts in the sector. Supported by the National Research Foundation (NRF) and MPA, the MTP will co-fund, with matching investments from industry players, the development of technologies with high potential for industry application. With its focus on automating and digitalising port and shipping operations, and enhancing maritime safety and security, MTP will be pivotal in driving industry transformation, making our port smarter and safer, and our IMC more competitive.

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To ensure that our companies and workers benefit from the sector’s transformation, we will grow and build the capabilities of local enterprises. Take, for example, Xjera Labs, a local startup that has ridden on the digitalisation wave to design AI-based solutions for the sector. With funding support from MPA, they worked with Jurong Port to develop a proof-of-concept that uses video analytics to automatically track container vehicles at the port. With this system, Jurong Port will be able to streamline security checks and improve operational efficiency, resulting in manpower savings of about 15%.

To give more startups like Xjera Labs a helping hand, MPA will launch the Maritime Technology Acceleration Programme (MTAP) to help startups translate their ideas into marketable solutions. Under MTAP, promising startups and entrepreneurs will receive tailored mentorship from industry partners, and networking opportunities with potential investors.

The Government will do its part as a convenor, demand aggregator and facilitator to help catalyse innovation. But ultimately, companies must take ownership in rethinking their operations to pursue higher productivity and new opportunities. We, therefore, encourage more companies to come on board MPA's schemes and projects under the Sea Transport ITM.

Last but not least, a skilled maritime workforce is critical to meet the needs of the industry and set us apart from our competitors. Through our Sea Transport ITM efforts, more than 5,000 new jobs will be created in the sector by 2025, the majority of which will be professionals, managers, executives and technicians (PMET) jobs. To equip Singaporeans with the necessary skills and experience to take up these good jobs, we will introduce new and enhanced training programmes.

For those who aspire to join the sector, MPA's Global Internship Award (GIA) offers students the opportunity to intern with international maritime companies in Singapore and overseas. For example, GIA was vital in helping Ms Melisa Yeo decide on embarking on a career in the maritime sector. In 2015, she completed a 10-week internship at shipping company Oldendorff, including a two-week stint in Lubeck, Germany. Melisa enjoyed the experience so much that she joined Oldendorff full-time upon graduation. She is now an operations trainee based in Singapore. Going forward, MPA will be enhancing the GIA to strengthen the relevance of the internship experience, and more details will be released ahead of the next run of the programme.

For those in the sector, we will help them progress in their careers. MPA will roll out a new Global Talent Programme (GTP) to groom Singaporeans for leadership roles in the maritime sector, by offering them opportunities to hone their skills through structured rotations and overseas exposure. For seafarers who wish to upgrade themselves beyond their captain or chief engineer positions, MPA will also provide more progression pathways for their sea-to-shore transition. More details will be announced later this year.

To implement these new manpower programmes and other initiatives in the Sea Transport ITM, MPA will top up its Maritime Cluster Fund by $100 million. The funds will also be used to grow non-traditional players in the maritime space, and support pilot projects to test new business concepts.

But as we push on with these ambitious plans to grow Singapore as a maritime hub, we cannot neglect the basics. Mr Dennis Tan expressed his concerns about vessel traffic safety in the Singapore Strait. Let me assure Mr Dennis Tan that maritime safety remains an important priority for MPA. This is especially since the Singapore Strait is a very busy waterway used for international navigation, with 83,000 vessels transiting through it last year. Despite the heavy traffic, the number of major accidents in Singapore waters has dropped over the years, from 13 in 2011 to just two in 2017.

To maintain navigational safety, MPA operates the Vessel Traffic Information System (VTIS) to monitor shipping traffic in the waters around Singapore. With the capability to concurrently track more than 10,000 vessels, VTIS enables MPA to provide timely information and advice to help vessels transit safely through the Strait. MPA carries out regular enhancements to its VTIS, which was installed in 2011 and upgraded early last year. In addition, MPA has built on the International Maritime Organisation's (IMO's) International Convention for the Safety of Life at Sea, and required all vessels, except for government and naval vessels, to turn on their Automatic Identification System (AIS) when calling at our port.

Regulations also play an important role in ensuring safety. I thank Mr Dennis Tan for his several suggestions. Mr Dennis Tan proposed to ban crossings over the Traffic Separation Scheme (TSS) for ships leaving or entering our port and, instead, require them to make U-turns at the eastern and western ends of Singapore. We have looked into this and assessed that it is not that practical.

Let me explain. Vessels that are east-bound via the Straits of Malacca will have to travel all the way to the east of Singapore, make a U-turn before calling at our port. This will require additional travel time. Moreover, if vessels are only allowed to make U-turns at these two designated areas, it may also result in bunching and congestion, potentially increasing the risk of incidents.

So, this will affect the efficiency of our port and prevent vessels from proceeding to their next destination expeditiously. Instead, areas are demarcated within the TSS where vessels, taking necessary precaution, may make their crossing. Vessels have to play their part in ensuring safety. They must also comply with the rules of crossing.

Mr Dennis Tan also suggested that MPA review the location of our pilot boarding grounds to minimise the risk of ships drifting when waiting for pilots. Indeed, we regularly review this. Most recently, in 2014, MPA worked with the industry to revise the locations of our pilot boarding grounds to reduce the risk of incidents. MPA also introduced a scheduling system for vessel arrivals. This reduced waiting time for ships and enhanced safety of navigation.

Beyond rules and regulations, we seek to improve the practice of good seamanship and advocate a safety-first culture at sea. MPA established the National Maritime Safety at Sea Council in 2015 to drive such efforts. MPA also holds safety conferences, workshops and briefings under its Safety@Sea campaign. The Third International Safety@Sea Conference will be held in June this year.

Mr Chairman, this is an exciting time for Maritime Singapore. Our maritime sector is not only growing but transforming fast. In the next few years, we expect many rewarding jobs to be created and new growth opportunities to emerge. The Government will continue to work closely with our partners so that we stand ready to seize these opportunities and ensure Singapore's continued success as a leading global maritime hub.

So, even as we create more good jobs and opportunities for our workers and companies, we are also working to enhance the quality of life for all Singaporeans.

Minister Khaw Boon Wan spoke about a more reliable and smarter land transport system. I will now share MOT's plans towards a more inclusive and safer land transport system.

Our land transport system should serve all Singaporeans, from the young and mobile, to the elderly, families with young children and persons with disabilities. We have made significant strides in our journey towards a more inclusive transport system but there are still areas where we can do better and in making the journeys more comfortable and convenient for Singaporeans from all walks of life.

We will, therefore, need to continue to make our roads and paths safer for all, not just for the young and active, but also for those who are less mobile. We will also need to ensure that our transport system is accessible to all commuters, including those with diverse needs.

Let me first elaborate on our initiatives to make our roads and paths safer for all, which both Mr Ang Hin Kee and Mr Png Eng Huat have spoken about. On Mr Png Eng Huat's concern about signalised junctions with shared green time, LTA has adjusted traffic light timings to give pedestrians a headstart in crossing the road, and installed lighted road studs, additional road markings and signs at higher risk junctions to remind motorists to give way. We will continue to study the situation and do more where we can.

Mr Ang Hin Kee asked about the progress of Silver Zones. These are special areas with modified road designs and lower speed limits to make our streets safer. We have implemented 15 Silver Zones and the results have been very encouraging. We have observed a 70% decrease in the number of accidents involving the elderly in the completed Silver Zones. We will complete another six Silver Zones this year and expand the programme to 50 by 2023. As and when the need arises, we will look into providing more Silver Zones.

We will also strive to make everyone’s journey to public transport more comfortable. This starts from your doorstep. In 2012, we embarked on the Walk2Ride programme to build a comprehensive network of covered linkways, connecting public transport to nearby developments. As mentioned by Mr Ang Wei Neng, and I agree totally, LTA usually consults the grassroots advisers and grassroots leaders before determining the alignment of the covered linkways to best serve the needs of pedestrians. I am pleased to announce that we are on track to meeting our target to have more than 200 km of covered linkways by the end of this year.

We have also received feedback from the elderly and persons with disabilities that they have encountered difficulty climbing the stairs of pedestrian overhead bridges in order to cross the road. By the end of this year, we will complete lift installations for 47 pedestrian overhead bridges near public transport nodes. We will extend this programme to about 50 more overhead bridges, starting with those within walking distance from hospitals and polyclinics.

We will do our best to meet the needs of the less mobile. However, we need to prioritise our efforts, given the high costs of about $4 million per pair of lifts. In this regard, I would like to reassure Mr Ang Wei Neng that we will be prudent in our efforts, focusing on locations which most benefit those commuters who are less ambulant.

We also believe that everyone should be able to travel independently on public transport. We do acknowledge that the elderly, families with young children, and commuters with disabilities may face some challenges. We have, therefore, worked towards building a more inclusive public transport system that caters to all commuters, including those with diverse needs.

Today, all MRT stations and bus interchanges are already barrier-free. Ninety-six percent of our public buses are wheelchair-accessible, and we are well on track to achieving our target of 100% by 2020. To facilitate priority boarding for people with special needs, the elderly and families, we have implemented priority queues at 17 MRT stations, seven bus interchanges and two Integrated Transport Hubs. We target to extend this initiative to all MRT stations by 2019 and to all bus interchanges and Integrated Transport Hubs by 2021.

I would also like to take this opportunity to commend our commuters for showing care towards one another. At Outram Park MRT Station, the PTC launched the "Heart Zone" and "Heartwheels @ Linkway" initiatives in August 2017. I was there. Commuters who need help getting to Singapore General Hospital can wait at two designated areas for assistance. Wheelchairs are also provided at both ends of the transfer linkway. Many commuters have extended a helping hand to those in need, guiding them to their destinations, or pushing the wheelchairs along the linkway. I am very heartened by the success of these initiatives.

We will continue to explore innovative solutions to help commuters with disabilities. Last year, we shared LTA’s plan to collaborate with SG Enable to "adopt" Redhill Station, to improve the first and last mile between the station and the Enabling Village. LTA and SG Enable have, in the past few months, spoken to and followed commuters with special needs on their journeys to understand the pain-points and challenges in their daily commute.

LTA has since installed rest stops with seats that allow pedestrians to rest, and edge markings along the footpaths to help pedestrians, those with low vision especially. Students from the Pathlight School also contributed their artistic talent, putting up unique and colourful signages to help direct the way to the Enabling Village.

LTA will also collaborate with industry partners to develop and pilot assistive technologies for commuters with special needs. One of the ideas surfaced is an Assistive Passenger Information System for buses.

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It includes a mobile application that allows special-needs users to notify bus captains of their intention to board. For visually impaired passengers, there will be internal and external speakers to announce the service number, destination and the next bus stop. It also directly transmits audio announcements via hearing aids to hearing-impaired passengers. The trial will start later this year on bus service 139, which serves the Enabling Village.

Earlier, Minister Khaw spoke about the various transport options for families. We are also making public transport friendlier for families with young children. For example, all new bus interchanges, Integrated Transport Hubs and all interchange stations on the Thomson-East Coast Line will be equipped with nursing rooms. In addition, all 35 stations along the Thomson-East Coast Line and Circle Line 6 will have family-friendly washrooms, with diaper changing stations, child-size toilets and barrier-free facilities.

At the Committee of Supply (COS) last year, we announced that we would start allowing families to board public buses with open strollers from 2 April 2017. We have received positive feedback from families that these initiatives have made their journeys more convenient. Some commuters have also given feedback that there may not always be sufficient room for more than one open stroller or wheelchair. Going forward, new buses will be equipped with two wheelchair spaces, to accommodate more commuters in need.

All these efforts will make getting around more convenient for families, without the need to own a car. We will continue to listen to commuters' suggestions to make further improvements. My Parliamentary colleague Mr Sitoh Yih Pin, Chairman of the Government Parliamentary Committee for Transport, and Mr Richard Magnus, Chairman of PTC, are leading a Panel to gather feedback and will be making recommendations on how we can make our public transport system more family friendly. The Panel comprises diverse members, from academics to parents with young children. We look forward to hearing their recommendations in the middle of this year.

We will continue to push our boundaries and explore creative solutions to make our environment safer and more accessible to all. The growing use of bicycles and PMDs has made first- and last-mile journeys more convenient for many commuters. Dockless bicycle sharing services have also made active mobility more accessible and affordable.

I agree with Mr Zaqy Mohamad and Er Dr Lee Bee Wah that our infrastructure needs to keep up with the increasing prevalence of active mobility. Our priority is to build a comprehensive network of off-road cycling paths that separate cyclists from fast-moving vehicles on the roads, as these paths provide a safer environment for all cyclists of different skill levels and ages. We have built cycling path networks in nine Housing and Development Board (HDB) towns and will do so for an additional six towns in the next five years. Moving forward, new footpaths will be at least 1.8 metres wide, which will allow two wheelchairs to pass each other safely. When planning our new towns, we will also prioritise the allocation of space to pedestrians, cyclists and PMD users.

However, the rising popularity of active mobility brings new challenges. Let me start by addressing Members' concerns over the safety of active mobility, which can arise from dangerous devices and reckless user behaviour.

We have observed a number of fire incidents involving motorised PMDs. LTA is working with relevant stakeholders to study imposing more safety requirements on motorised PMDs, in addition to our existing requirements on their weight, size and maximum speed. In the meantime, users should exercise caution and purchase compliant PMDs from reputable sources and refrain from modifying their PMDs.

To deter reckless behaviour, we have enlisted the help of other agencies and community partners in our enforcement and education efforts. Since May 2016, LTA has issued over 3,000 advisories for unsafe riding on paths. The National Parks Board (NParks) rangers and the Traffic Police officers have also stepped up their patrols in parks, on park connectors and on roads. About 900 volunteers from the grassroots are patrolling their neighbourhoods to educate cyclists and PMD users on safe and gracious behaviour. We thank these enforcement officers and volunteers for their tireless efforts to keep our paths safe.

In February 2018, LTA also rolled out the Safe Riding Programme. To address Assoc Prof Randolph Tan's concerns, the programme will educate cyclists and PMD users about the appropriate use of our active mobility infrastructure, and safe and considerate behaviour when sharing paths with others. I agree with Mr Dennis Tan that we need to build a right culture for safe riding. And as Mr Dennis Tan suggested, we are already working with schools to educate students about the key active mobility rules and safe riding practices. We will also require cyclists and PMD users caught riding recklessly to attend this programme.

Despite our efforts to educate and encourage safe riding practices, Mr Sitoh Yih Pin, Mr Ang Wei Neng, Mr Yee Chia Hsing, Miss Cheng Li Hui, Ms Foo Mee Har and Ms Joan Pereira have shared their concern about the number of accidents involving bicycles and PMDs. Assoc Prof Randolph Tan had also pointed out the danger of PMDs being used on roads. I agree totally with Members that inconsiderate cyclists and PMD users not only endanger themselves, but also pedestrians and road users, and this is very worrying. We have zero tolerance for reckless behaviour and will further tighten up our enforcement efforts.

We recently enhanced the penalties for PMD users caught riding on roads. They may face a composition sum of up to $500 for the first offence. Those who ride on expressways will not be offered composition and will be charged in Court. If convicted, they will be liable to a fine of up to $2,000 and/or imprisonment of up to three months for the first offence.

Last month, the Active Mobility Advisory Panel recommended the introduction of a registration regime for e-scooters. After carefully studying the Panel's suggestion, I am pleased to announce that the Government has decided to accept the recommendation and will be reviewing the Active Mobility Act to allow such a regime. Registering e-scooters will help deter reckless behaviour, accord more responsibility to the users, and facilitate enforcement officers in tracking down errant users. We will implement the registration regime by the end of the year and will try to keep the process as simple and low-cost as possible.

The Active Mobility Advisory Panel will also take a deeper look at our active mobility rules. Ms Joan Pereira, Mr Zaqy Mohamad, Mr Yee Chia Hsing and Er Dr Lee Bee Wah have given us valuable suggestions for the Panel to look into, such as reviewing the speed limit on footpaths, and the insurance and compensation framework. The Panel will look into these issues, weighing the need for these initiatives against the impact on the large majority of responsible users and taking into account the practices of other jurisdictions. The Panel will publish its recommendations by the end of this year.

Our tough stance targets the minority of reckless users to deter bad behaviour. It should not discourage the majority of responsible and considerate users from enjoying the benefits of active mobility. With a safer environment, the benefits of active mobility far outweigh the obstacles we are facing.

Next, let me move on to addressing Members' concerns over the indiscriminate parking of dockless shared bicycles. Many Members, including Er Dr Lee Bee Wah, Miss Cheng Li Hui, Mr Png Eng Huat, Mr Yee Chia Hsing, Ms Foo Mee Har, Mr Zaqy Mohamad and Mr Lim Biow Chuan have spoken on this issue very passionately.

These bicycles obstruct other commuters and cause clutter in community spaces. It is the responsibility of every shared bicycle user to park their bicycles appropriately in bicycle racks or designated bicycle parking zones, which are widely available at all MRT stations and housing estates.

Over the past year, LTA has stepped up efforts to address the problem. Since March last year, we have significantly increased the number of bicycle parking spaces by implementing yellow boxes at housing estates, MRT stations, bus stops and parks. We now have about 174,000 public bicycle parking lots islandwide and will provide another 50,000 more by 2020.

In October last year, LTA, Town Councils and NParks signed a Memorandum of Understanding (MOU) with the bicycle sharing operators. It sets out guidelines for responsible operation in public spaces. We have also enforced strictly against indiscriminately parked bicycles. Since the middle of 2017, LTA has issued more than 2,100 removal notices and collected about $180,000 in fines and administrative fees from the operators.

Unfortunately, the problem of indiscriminate bicycle parking persists. Earlier this week, I tabled a Bill in Parliament to propose amendments to the Parking Places Act. This Bill will enable LTA to regulate the bicycle sharing operators through a licensing framework. Let me elaborate on some of the key aspects of the proposed regulatory regime.

First, LTA will be able to manage the size of each operator's fleet by setting a maximum cap for each operator. This is similar to what Miss Cheng Li Hui suggested. We will start off conservatively in the first instance. If an operator can demonstrate that it is able to manage indiscriminate parking and ensure good utilisation of its fleet, it will be allowed to grow over time. This ensures that we start off right and put in place the appropriate incentive structure for operators to proactively manage indiscriminate bicycle parking.

Second, LTA will have stronger levers to ensure operators do their part to manage indiscriminate parking. Under the proposed licensing regime, we can impose standards and conditions, for example, to require operators to remove indiscriminately parked bicycles within a stipulated period. Operators who do not comply with our standards and conditions will face regulatory sanctions, such as financial penalties of up to $100,000, reductions in fleet size, suspension or even cancellation of their licence. These penalties are higher than the $500 per bicycle fine we currently impose on operators.

We also intend to implement Er Dr Lee Bee Wah's suggestion of requiring licensed operators to provide a security deposit. This deposit can be used to defray the costs of removing abandoned bicycles of any operator that has gone bankrupt.

Er Dr Lee Bee Wah and Mr Lim Biow Chuan have also suggested requiring operators to provide bicycle parking spaces or docking stations. Operators have already helped to provide some of the yellow parking boxes at bus stops, and LTA will be able to impose requirements on them to do more under the licensing regime, if necessary. Mr Png Eng Huat suggested the implementation of docking stations. The experience of other countries is that docked systems tend to be unsustainable without private sponsorship or government subsidies. These tend to be more costly to set up, so, taxpayers or users would have to pay more for the use of the bicycles.

As Miss Cheng Li Hui, Mr Yee Chia Hsing and Mr Lim Biow Chuan have rightly pointed out, we should not just focus on the operators alone. It is also important to ensure that users act responsibly and considerately. We feel that the most effective way of doing so is through the operators. For example, LTA will require all licensed bicycle sharing operators to collectively ban users who repeatedly park the bicycles indiscriminately from using any bicycle sharing service for a period of time.

The Bill will be tabled for Second Reading later this month. We will implement the licensing framework in the second half of this year.

Mr Png Eng Huat asked about the effectiveness of geofencing. First, geofencing will be done in addition to the other measures that I have outlined earlier. Second, under the proposed licensing regime, LTA will require all licensed operators to complement global positioning system (GPS) geofencing with quick response (QR) code-enabled geofencing. And each designated parking area will have a unique QR code. Operators will be able to match the QR code used with the appropriate or approximate location of the parked bicycle obtained via GPS geofencing. So, if the location of the parked bicycle is far away from the QR code for that particular parking space, the user will not be deemed to have parked in a parking space appropriately and will continue to be charged. It is not a perfect measure but can be implemented quickly to address the urgent issue of indiscriminate bicycle parking.

11.45 am

In the meantime, LTA has started trials for other types of high-accuracy geofencing technology that will further improve the tracking of errantly-parked bicycles. We plan to conclude the first phase of the trials by 2019.

Mr Chairman, to conclude, we have come far in making our transport system more inclusive and safer for all commuters. However, we cannot do this alone. I would like to thank the strong support from the industry stakeholders and the constructive feedback from commuters, as well as many Members of this House, to help us develop innovative and effective solutions to improve our transport system.

We also need the community’s support in instilling a culture of safety and civic-mindedness so that everyone can enjoy the benefits of active mobility. Used safely and responsibly, bicycles and PMDs offer great convenience, promote a healthy lifestyle and is environmentally-friendly and will also help fulfil our vision of a car-lite society. Like what Er Dr Lee Bee Wah shared yesterday "make this a beautiful dream for all, not a nightmare."

With our continued infrastructural enhancements, the use of technology and enhanced enforcement measures against reckless and irresponsible behaviour, I am confident that our future transport system, centred on public transport, will be safe and inclusive, leaving no one behind.

The Chairman: Clarification time. Mr Ang Hin Kee.

Mr Ang Hin Kee: Mr Chairman, I have three clarifications for Second Minister Ng Chee Meng.

First, now that we are better matching taxi and private hire services to commuters, the Second Minister mentioned a 99% satisfaction level. So, I wonder whether we still need the taxi availability indicator since we have hit such a high level of satisfaction.

Second, the Minister mentioned that he will incorporate digital training into private hire car and taxi drivers' course curriculum. My concern is more with new entrants coming into this industry. If they were to be displaced later by AV, perhaps we should better advise them as to how to make a career choice when they come to thinking about driving as a vocational skill.

Third, I welcome the move to regulate Uber and Grab-type of third-party apps operator. I was wondering whether LTA will adopt part of the tripartite workgroup's recommendation for self-employed persons, as announced by Minister Josephine Teo earlier this week concerning protection and coverage that we should be giving to self-employed persons, particularly when it comes to regulating these two operators.

Mr Ng Chee Meng: Mr Chairman, I thank the Member for his questions.

For his first question on availability on the taxi framework, well, I did say 99% satisfaction for both PHC and taxis. It is a combination. But the situation is evolving. As I have said in this Chamber for the last two years, we are monitoring but are always open to a review. Let it settle for a while and see whether we can review this again.

The second question is basically on career counselling. That, I think, is not difficult to do. We can easily put up a couple of preambles for the public coming in to apply for the licence.

On the last part, we will study the proposal.

The Chairman: Mr Dennis Tan.

Mr Dennis Tan Lip Fong: Mr Chairman, my questions are for the Senior Minister of State Lam Pin Min. I thank the Senior Minister of State for his answers. I have a few clarifications.

First, regarding his answers to me in respect of my suggestion for the TSS, the arguments the Senior Minister of State has raised regarding my suggestion for non-crossing, he mentioned about vessel bunching and the suggested U-turn spot. I have considered these arguments. May I also suggest equally, at this moment, that where vessels are coming out from the various anchorages or the terminals towards the Straits of Singapore, there is already a certain amount of vessel-bunching in any event?

I would describe it this way. The suggestion I have is more akin to a safer flow, because vessels will be moving, imagine by analogy to land transport. What I am suggesting is something like imagine cars merging and going into a one-lane highway and entering an expressway, all in the same direction. But at this moment, the ships are coming out from the various anchorages and terminals, the eastern and western anchorages, the terminals at Tuas and Keppel, and they are crossing over. So, this is akin to something like on the road, they are coming across to an uncontrolled multi-junction where there is no traffic light, and we are relying on the rules of the road. And seafarers will know that rules of the road alone are not sufficient to prevent a collision.

So, I would like to ask the Senior Minister of State to reconsider this. I know that, ultimately, it is a cost-benefit analysis. I know that time is important for our port, for PSA. But where I am coming from is a safety imperative. We cannot afford any accident, especially the kind of accident that will create oil pollution, for example, which will be a big disaster for Singapore and, hopefully, it will never happen.

I would also like to suggest regarding my AIS suggestion for Government-enabled vessels, perhaps this is a little bit awkward as a matter of diplomacy—

The Chairman: Can the Member keep it as a clarification, rather than a speech, please?

Mr Dennis Tan Lip Fong: —but I would really like the Government to consider raising a dialogue on this at the IMO-level.

On the issue of enforcement between bikes and PMDs, I have said this in my cut, and I would like to ask the Senior Minister of State to consider a more consistent enforcement against bike offences. For example, I do not see there is any difference between a PMD travelling on the road, and a bike travelling against the direction of beating the red light. I think that the enforcement measure should be equal.

Dr Lam Pin Min: I would like to thank Mr Dennis Tan for the several clarifications.

Indeed, safety is paramount along the Straits of Singapore. Like I have explained in my reply, for the traffic separation scheme, we need to have a balance between safety as well as efficiency and expediency of the vessel traffic. Currently, there are already existing safety measures put in place ‒ code of conduct for the vessels when they do the crossings. But we will continue to monitor this very carefully, bearing in mind, like what Mr Dennis Tan has said, safety is paramount. We do not wish to compromise that.

With regard to the turning on of the AIS for government as well as naval vessels, we are abiding by the IMO Convention, and I think this is widely accepted by many jurisdictions.

With regard to the enforcement on bikes and PMDs, we take this very seriously. Like I have explained in my last Parliamentary Sitting, there are measures put in place to step up enforcement action. At the same time, together with the implementation of the Parking Places (Amendment) Bill, we will be able to have more teeth in controlling the way the bike sharing operators operate and to put in measures to ensure that users of bicycles and PMDs behave in the appropriate manner, including indiscriminate parking.

The Chairman: Dr Teo Ho Pin.

Dr Teo Ho Pin (Bukit Panjang): Chairman, on behalf of Bukit Panjang residents, I would like to thank the Minister for Transport for announcing the upgrading of Bukit Panjang LRT.

Just one clarification – will the upgrading work include building a noise barrier because some parts of the LRT are very close to the HDB flats?

Mr Khaw Boon Wan: We can take a look.

The Chairman: Mr Sitoh Yih Pin.

Mr Sitoh Yih Pin: I would like to ask this question to Minister Khaw if I can. The MOT Budget has increased by more than half ‒ from $9 billion in 2017 last year, to $13.7 billion this year, a 52% increase. In fact, this year's Budget is very close to the budget for MINDEF which, traditionally, has been the highest.

I would like to ask Minister Khaw, while this is money well-spent, how long do we expect this high expenditure to persist?

Mr Khaw Boon Wan: Some are medium-term and long-term projections ‒ I cannot remember ‒ but the huge increase, much of it is capital expenditure (capex). Capex is one-off, not recurring. Unfortunately, the one-off can last several years, because the projects are so huge, especially T5. It will really be our largest integrated project for the Government in the history of modern Singapore.

It may take more than a decade. Likewise, my other MRT projects are also multi-year projects. So, it imposes a heavy responsibility on us to make sure that we spend every single dollar very carefully and, at the same time, be on a constant lookout for ways and means to save money. For example, the Changi East Coast integrated depot that we highlighted a few days ago was one of those efforts. It saves a few billion dollars. Remember when implementing a $50-billion project, even a 1% saving means saving half a billion dollars.

The Chairman: Mr Png Eng Huat.

Mr Png Eng Huat: Chairman, I have a question for the Senior Minister of State. Would the Senior Minister of State share why LTA is not in favour of reducing the number of signalised junctions with shared green time from 90%, in view of the fact that such junctions do present a safety concern for all road users, apart from the given answer of ensuring a smoother flow of traffic, which, for some urban junctions, it is never an issue?

Dr Lam Pin Min: I would like to thank Mr Png for the clarification on some of the concerns at signalised junctions. As it is, like what the Member has mentioned, about 90% of signalised crossings in Singapore have shared green time. Many of them already come with a set of standard safety features. I have already explained in my reply this included integrated pedestrian countdown timers and the turning pockets for cars to stop and wait for the pedestrians to complete their crossing.

In addition, we also have added safety enhancements which include things like "Give Way to Pedestrian" signs at the junction, of which some may be static while some may be Light Emitting Diode (LED)-lighted to enhance their visibility. We have also implemented lighted road studs along the crossings, to also increase visibility for drivers and alert them to the possible presence of pedestrians.

Like I have also mentioned in my reply, there are special traffic light settings to allow the pedestrians to have a headstart in crossing the road, so that by the time the driver can make the turning, the position of the pedestrian will be more obvious to the driver.

We are watching this very closely. We understand the concerns on the ground and we are doing what we can to ensure safety at signalised junctions. That also includes public education on good road safety practices, as well as to remind drivers that it is their responsibility to look out for pedestrians.

The Chairman: The very enthusiastic, as always, Er Dr Lee Bee Wah.

Er Dr Lee Bee Wah: Thank you, Sir. I have three clarifications for the Senior Minister of State.

First, I am glad to hear that the Ministry is supporting the registration of e-scooters. My question is: will the registration be extended to other motorised PMDs?

My second question is: in my speech, I asked about the on-road cycling lanes at Tanah Merah Coast Road. What is the result of the piloting, and will more such on-road cycling lanes be built? I think this is not answered.

Lastly, among the infrastructure improvements for the safety of cyclists and pedestrians, I would like to ask for a safer cross-junction between cycling lane and the pedestrian crossing, as what I have suggested in my speech, the one that I have seen in Copenhagen. And if the Senior Minister of State needs a place to pilot, I will offer him the one at Naval Base Primary School main gate.

12.00 pm

Dr Lam Pin Min: I would like to thank Er Dr Lee Bee Wah for the passionate plea. To answer the Member's first question on registration of all motorised PMDs, at this point in time, we are going to only require e-scooters to be registered. This is based on the recommendation of the Active Mobility Advisory Panel. They have also studied the possibility of registering other PMDs, especially those that are motorised. But we are taking a risk-based approach because we feel that the speed that can be generated by the e-scooter is actually much faster than the other smaller-scale PMDs like unicycles.

We are not saying we will never implement registration for them, but at this moment, we accept the recommendation of the Advisory Panel to start registering e-scooters first. We will monitor the situation.

On the Member's second question on the Tanah Merah Coast Road designated cycling lane, it is quite well-utilised and welcomed by cyclists, especially the recreational cyclists, who cycle at a higher speed. But we also do understand that because of the limitations of the size of many roads in Singapore, it is very difficult to implement this islandwide. Although the one at Tanah Merah Coast Road stretches for a whole of 10 km, which is ideal for that sort of cycling purpose, it may not be practical on normal day-to-day roads. You may have certain roads that are wide enough for such a cycling lane, but it may come to a point where certain roads become narrow and not implementable. So, it is not that practical.

On the Member's third point on infrastructure developments, yes, we are looking at how to improve the infrastructure to make active mobility more conducive. With regard to the Member's particular suggestion about certain crossing zones, drawing from her example of some concerns outside the school, I think we do have pedestrian-priority zones that can be implemented at areas that the Member has mentioned. Meaning to say that, if you do designate this particular area as a pedestrian-priority zone, then cyclists will have to give way to pedestrians or to slow down whenever cyclists approach such a junction.

The Chairman: Mr Ang Wei Neng.

Mr Ang Wei Neng: I would like to thank Minister Khaw Boon Wan for painting a bright future on land transport in Singapore and the resolution to make it happen and make it as good as Changi Airport. Before I continue, I would like to declare my interest as a part of the management team in ComfortDelGro.

Minister Khaw Boon Wan said that the Government will spend about $20 billion over the next five years to improve the public transport infrastructure. Are we using the opportunity to also nurture local enterprises so that they can take part meaningfully in building the MRT tunnels, refurbish trains, as well as maintaining the signalling system? Because I noted that Second Minister Ng Chee Meng said that they are nurturing local enterprises in building airport runways, building seaport, but he did not touch on land transport.

Mr Khaw Boon Wan: The intent is yes. In my recent visit to our newest depot in Tuas, we deliberately invited quite a number of our local companies, particularly from the Singapore Technologies (ST) Group because they have real experience doing modern maintenance, preventive maintenance, predictive maintenance in the aviation sector. Transporting the expertise over to land transport should not be too difficult. They, in fact, used the exhibition to demonstrate to some of us how it could be done. I certainly hope that they will be able to strengthen the skillsets and then export the ideas overseas. I have mentioned this point before in this House that among the three transport sectors, the most advanced in terms of technology and applying engineering technology to maintenance, is aviation, followed by maritime, and the rail is really slow. My job is to try to see how we can help accelerate their adoption, catch up with aviation, close the gap and, along the way, build up local capabilities that we can sell overseas.

The Chairman: Would the mover wish to withdraw the amendment?

Mr Sitoh Yih Pin: Mr Chairman, I thank Members for their participation and I also thank Minister Khaw Boon Wan, Second Minister Ng Chee Meng and Senior Minister of State Lam Pin Min, as well as the entire MOT team for the responses. Sir, with that I beg leave to withdraw my amendment.

Amendment, by leave, withdrawn.

The sum of $1,809,017,700 for Head W ordered to stand part of the Main Estimates.

The sum of $13,087,199,900 for Head W ordered to stand part of the Development Estimates.