Restriction on Claims for Compensation for Structural Damage to Building during Construction

Mr Murali Pillai asked the Minister for Transport whether the Ministry intends to maintain the current restriction of claiming compensation for damage to any building arising from the construction or operation of the railway or road tunnel to just structural damage and loss due to displacement resulting from structural damage and, if so, why.

The Land Transport Authority (LTA) works closely with its contractors to minimise the impact of rail and road works on buildings. For example, prior to the commencement of construction activities, LTA undertakes engineering studies and site investigation works to ascertain the effects of the construction activities on the surrounding areas and pre-emptively carries out any necessary engineering protection works.

If damage is caused by LTA’s construction activities, LTA and its contractors will, as a general rule, try to rectify the damage and the issue of compensation, therefore, does not arise.

Should there be a need for compensation, the Land Transport Authority of Singapore Act (LTA Act) lays out a framework for different types of compensation claims. The compensation framework is not limited to the types of claims mentioned by the Member. For example, in cases where LTA exercises its powers to enter private land to construct railways or public roads, compensation may also be claimed by owners of buildings which suffer damage, including non-structural damage, or building owners who are displaced.

In all cases, LTA will evaluate based on the circumstances and handle each case in consultation with the stakeholders.