Public Transport Subsidy for Each Singaporean

Mr Gan Thiam Poh asked the Minister for Transport how much subsidy has been given by the Government to each Singaporean for public transportation in the past 10 years.

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Mr Speaker, Sir, public transportation in Singapore is significantly subsidised by the Government. Before I go on to share more on what and how the Government subsidises public transportation, let me say at the onset that under our model, the transport operators bear the operational costs for running the system, and these operational costs are recovered largely from public transport fares. The Government, on its part, bears the cost of infrastructure development which includes capital intensive infrastructure like MRT tunnels, stations, depots as well as bus interchanges, terminals and bus stop shelters.

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The Government also pays for the first set of operating assets for rail, such as the trains and signalling systems. This funding by the Government for capital items represents a significant subsidy to the public transport system, and has helped ensure that our fares remain affordable. For example, over the past 10 years, from 2002 to 2011, such Government investments in public transport have amounted to around $17 billion.

In addition to what I have just stated, the Government has also provided targeted financial aid to low-income Singaporeans over the years to help mitigate the impact of fare increases. In the last five years, more than $10 million of such aid was disbursed.