Increase in Public Transport Operators' Operating Costs

Debated in Parliament on 23 Feb 2015.

Summary written by AI (learn more)

The Parliamentary Secretary confirmed that both public transport operators experienced higher operating costs in 2014, with SBS Transit's costs rising by 11.8% ($98.6 million) and SMRT's increasing by 3.3% ($27.6 million) over the previous year.
He stated that the Ministry could not project specific cost increases for the next two years as the operators are publicly listed companies, but noted that while energy costs are currently lower, other expenses like staff salaries are expected to continue rising.
The Ministry also anticipates that operating and maintenance costs will increase from 2016 when the Land Transport Authority tightens operating standards.

Questions identified by AI (learn more)

Full Transcript

Gan Thiam Poh

Mr Gan Thiam Poh askedthe Minister for Transport (a) whether there is an increase in the public transport operators' operating costs last year; and (b) what will be the projected increase for the next two years.

Page: 18

The Parliamentary Secretary to the Minister for Transport (Assoc Prof Dr Muhammad Faishal Ibrahim) (for the Minister for Transport)

Mdm Speaker, both operators had seen higher operating expenses last year as can be seen from their most recent quarterly reports. For SBS Transit, for the period January 2014 to December 2014, operating costs increased by 11.8% or $98.6 million over the same period in 2013. SMRT's operating costs during the period April 2014 to December 2014 increased by 3.3% or $27.6 million, over the same period one year ago.

It is not appropriate for my Ministry to project the two operators' costs, given that they are publicly listed companies. However, generally speaking, while public transport operators are seeing lower energy costs today, other operating costs such as salaries for bus drivers and other public transport workers may continue to rise. We also expect their operating and maintenance costs to rise when LTA tightens the operating standards from 2016.

Summary written by AI (learn more)

The Parliamentary Secretary confirmed that both public transport operators experienced higher operating costs in 2014, with SBS Transit's costs rising by 11.8% ($98.6 million) and SMRT's increasing by 3.3% ($27.6 million) over the previous year.
He stated that the Ministry could not project specific cost increases for the next two years as the operators are publicly listed companies, but noted that while energy costs are currently lower, other expenses like staff salaries are expected to continue rising.
The Ministry also anticipates that operating and maintenance costs will increase from 2016 when the Land Transport Authority tightens operating standards.

Questions identified by AI (learn more)

Increase in Public Transport Operators' Operating Costs | PAPERCUTS

Increase in Public Transport Operators' Operating Costs

Debated in Parliament on 23 Feb 2015.

Summary written by AI (learn more)

The Parliamentary Secretary confirmed that both public transport operators experienced higher operating costs in 2014, with SBS Transit's costs rising by 11.8% ($98.6 million) and SMRT's increasing by 3.3% ($27.6 million) over the previous year.
He stated that the Ministry could not project specific cost increases for the next two years as the operators are publicly listed companies, but noted that while energy costs are currently lower, other expenses like staff salaries are expected to continue rising.
The Ministry also anticipates that operating and maintenance costs will increase from 2016 when the Land Transport Authority tightens operating standards.

Questions identified by AI (learn more)

Full Transcript

Gan Thiam Poh

Page: 18

The Parliamentary Secretary to the Minister for Transport (Assoc Prof Dr Muhammad Faishal Ibrahim) (for the Minister for Transport)

Summary written by AI (learn more)

The Parliamentary Secretary confirmed that both public transport operators experienced higher operating costs in 2014, with SBS Transit's costs rising by 11.8% ($98.6 million) and SMRT's increasing by 3.3% ($27.6 million) over the previous year.
He stated that the Ministry could not project specific cost increases for the next two years as the operators are publicly listed companies, but noted that while energy costs are currently lower, other expenses like staff salaries are expected to continue rising.
The Ministry also anticipates that operating and maintenance costs will increase from 2016 when the Land Transport Authority tightens operating standards.

Questions identified by AI (learn more)

Increase in Public Transport Operators' Operating Costs

Summary

Questions Identified

Full Transcript

Gan Thiam Poh

The Parliamentary Secretary to the Minister for Transport (Assoc Prof Dr Muhammad Faishal Ibrahim) (for the Minister for Transport)

Summary

Questions Identified

Increase in Public Transport Operators' Operating Costs

Summary

Questions Identified

Full Transcript

Gan Thiam Poh

The Parliamentary Secretary to the Minister for Transport (Assoc Prof Dr Muhammad Faishal Ibrahim) (for the Minister for Transport)

Summary

Questions Identified