Debated in Parliament on 17 Feb 2014.
Ms Tin Pei Ling asked the Minister for the Environment and Water Resources in light of the recent feedback from hawker associations, whether the Ministry will review the not-for-profit management model for hawker centres, such as the one at Aljunied Avenue 2.
Hawker centres have evolved into an integral aspect of life in Singapore. They serve as focal points for the local community to have good affordable fresh food in an informal relaxed setting. That is why we changed policy after a hiatus of 26 years – to build new centres and sought fresh perspectives into improving the layout, design, workflow and management of our current centres. One key consideration has been to maintain stability of rentals – and, hence, I announced in 2011 that all hawker centres would be run on a not-for-profit basis. Hawker centres are social infrastructure – and not an opportunity for property speculation or rent seeking by commercial entities.
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A Hawker Centres Public Consultation Panel was convened in 2012. One of their recommendations was to explore the potential for social enterprises to act as managing agents for some hawker centres. They may be able to bring fresh ideas, improve branding, optimise tenant mix, achieve economies of scale and explore bulk purchasing. Consequently, NEA conducted a Request for Information (RFI) exercise in January 2014 to invite not-for-profit entities to share ideas on the management of four hawker centres whose leases under the Stall Ownership Scheme will expire on 31 May 2014. The four centres are Block 207 New Upper Changi Road, Block 117 Aljunied Avenue 2, Block 20 Ghim Moh Road and Block 503 West Coast Drive.
Twelve organisations have responded to the RFI and NEA is studying their suggestions. We have not yet made any decisions on the appropriate management model. NEA will continue to manage these four hawker centres directly if there are no better management models.
PAPERCUTS