Tuesday, September 9, 2008 9:24

PTW Week: Time to review performance of millionaire ministers?

In Main Stories, Rachel Chung, Top Story • 1,446 views • 19 Comments

TOC welcomes Rachel Chung, our new columnist. She will pen a forthnightly column for us. Rachel also writes at xtralicious.com.

Rachel Chung / Columnist


If there is one thing I have noticed about the culture of Singapore bureaucrats, the government ministries and government-vested companies, it is that there is a common love. The love of using money to solve every given little problem.

Inflation and fuel hikes? Push for a public transport hike. This is despite SMRT having posted record net profit of S$150 million last year. How much is enough?

Want an Olympic medal? Buy one.

Traffic jams due to poor policies and planning? Increase taxes.

‘When ERP was increased, we also reduced road tax and improved public transport. As a result, many more Singaporeans can now own cars. With more cars on the road, we need to increase ERP to keep traffic flowing.‘ Lee Hsien Loong – Prime Minister of Singapore

This is a parallel argument and I am ashamed it came from our Prime Minister. Can anyone see the flawed logic in this?

Being a small country, car ownership is logically a privilege, and not a right. Instead of legistrating measures to restrict car ownership, likely by per capita in each household, COE was lowered. Whether it is a calculated move to engage more car dealerships as a sweetener deal or as a bait to create higher percentage of car ownership – it remains that the “stop gap solution” of ERP was then offered by the cabinet and ministry in question. This is the ERP that was implemented because of a questionable policy. This is the ERP that has to be increased due to more cars on the road.

This is the ERP that is raking in S$160 million for the government.

After all, there has got to be a stream of income for ministerial salaries, buying medals and the likes.

**

Inflation has gone up by 6-7%, the highest in 26 years.

Oil prices escalated to a high of US$140 a barrel this year before stabilizing at US$115 a barrel. Compare this with the US$20 a barrel in 2000.

What is the impact?

  • Lower income workers will have problems coping with the public transport hike.
  • Vehicle owners pay more for their fuel usage.
  • Some car owners might sell their cars as a cost saving measure. This in turn will contribute to the congestion ratio in public transport.
  • Some folks might cut down on taxi rides due to the taxi fare hike .

Suggestions

  • Cut down on commuting. Where possible, work near home or from home. This not only cuts down on transport expenses, it also contributes to lesser congestion on public transport.
  • Lower taxi rentals. Comfort Delgro operates a fleet of 15,000 cabs or so under its Comfort and Citycab umbrellas. At a daily rental of S$90.00 (lowest) a day, the turnover for the company is at least S$40 million a month. The raison d’être for the taxi fare hike is because the taxi drivers find it hard to cover their rental daily and make a decent income after deducting rental costs. Again, it is a circular argument to push for taxi fare hike so as to break even with the rental. The solution is to lower the rental and if possible, to cap it at a monthly amount, instead of the current daily amount. This will address the concerns for days when the drivers are not able to drive
  • Carpooling – personally I am a big advocate of this. Being a full time working mother, my pre-schooler goes to day care at about 8am. I have to pick her up after work before 7pm (closing time of day care centre). It does not make sense for us to take the bus or the train because of the time constraint – it would be stressful rushing around everyday. Secondly there is no direct route to our destination via either bus or train. Thirdly, it costs me $15 odd per trip in taxi fares but only S$5 per trip if I car pool – savings of more than S$500 a month.

The benefits of carpooling are as follows:

1. You reduce transport expenses.

2. You save on travelling time (direct route, no stops etc).

3. There is no driving stress or fatigue if you are the passenger.

4. You could read/ check emails/ work etc if you are the passenger.

5. You enjoy co-savings on petrol costs if you are the driver.

6. It is environmentally friendly.

7. It reduces traffic congestion.

8. It reduces parking problems.

My ideas may or may not work, but my point is, one does not require a million dollar salary to be creative and take risks in problem solving.

But if one is drawing a million dollar salary and not coming up with concrete or viable solutions – in the private sector, they say it is time for a review.

——————-

Related posts:

  1. Where is the leadership from millionaire ministers?
  2. Performance-related pay doesn’t encourage performance
  3. TOC’s Public Transport Week – with event at Hong Lim Park
  4. PTW Week: World class service?
  5. PTW Week: The private public transport



19 Comments

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loop
Sep 9, 2008 10:51

We should start by making buses & MRT rides free for all commuters. This will encourage people to abandon the usage of cars & take up public transport instead. Since the authorities has collected some many millions from road taxes & ERP, I’m sure this idea is feasible.

Dell
Sep 9, 2008 12:10

Well done, Rachel, for unravelling the convoluted (il)logic at the heart of this tired rationalisation. It is simple enough — there is an inherent contradiction in the government’s insistence that every household own a car, yet insist that more should be taking public transport. It’s a clever means of revenue collection: COEs, road tax, ERP; meanwhile, the privatisation of the PTS allows the govt to stand apart from taking responsibility for a system which most Singaporeans believe can be improved — while allowing the political-corporate ruling elite to stand undivided, of course.

Something must be set straight. If there is a RIGHT for each household to own a car, then there must be a corresponding OBLIGATION to be held to each household. That is the basis of ANY right asserted. So, if the govt’s asserted this right, then who’s taking on this obligation?

Jojo
Sep 9, 2008 12:24

I don’t think the government has insisted that every household own a car. That wouldn’t make any sense.

But I agree with the original article. It always seem to come down to money that’s waved around as a solution.

gtiong
Sep 9, 2008 16:52

You forgot to mention about the increasing influx of not-so-talented “foreign talents” which also contribute significantly to the congestion ratio in public transport.
Those more talented “foreign talents” will more likely contribute to the congestion ratio in expressways.

Wheregothike
Sep 9, 2008 19:15

Rachel, I beg to differ. There is one problem that they didn’t try solving with $$$ –
there is a huge HIKE in inflation, but they didn’t solve the problem with $$$ – they say salary cannot increase! Very wise!
Oh, another one. No dignity for the poor, maids and foreign workers, but they did not opt for the simple solution of minimum wage. Must remain competitive!!!

HO Pinkie , ho my pinkie
Sep 9, 2008 21:44

Economy .
When good, who takes credit?
When bad, I know for sure it must be due to global market forces.
What to do?
Its happened,
let close shanks
and move onwards?

KPI ? Performance appraisal?
Done by who?

People’s representatives should be appraised by … ? make a wild guess.

How about give the people 10 million dollar raise?

Vandalin
Sep 10, 2008 3:22

Before any minister dare comment on our world class transport system, I say, leave the car at home, and take public transport.

for a month.

after that, comment.

after all, it’ll only cost a measely $200 of their $83k they get a month.

Jackson Tan
Sep 10, 2008 8:42

‘When ERP was increased, we also reduced road tax and improved public transport. As a result, many more Singaporeans can now own cars. With more cars on the road, we need to increase ERP to keep traffic flowing.‘ Lee Hsien Loong – Prime Minister of Singapore

This is a parallel argument and I am ashamed it came from our Prime Minister. Can anyone see the flawed logic in this?

Heh, I think our dearest PM needs to level up his speech-giving skills. I believe what he’s trying to say is that by reducing road taxes, more Singaporeans own cars, and to restrict traffic, ERP is implemented. In short, the idea is to charge people for using cars instead of owning cars, which I tend to agree to a certain extent. For example, it can benefit a family who takes public transport to work/school but drive out on a weekend family outing.

As for carpooling, I do quite agree with you that it’ll ease quite a lot of our traffic problems, but the issue is not so much of raising it, but implementing it and getting it to work. And this is a rather serious challenge given the mentality of Singaporeans with regards to car ownership. You and I, anyone, can suggest carpooling; it takes much much more to get it working (and I’d be the first to admit I won’t be up to the challenge). This is why, perhaps, we’re paying huge salaries to the ministers to get them to “solve” this problem. But then…

HowLeh
Sep 10, 2008 12:23

More gantries and higher ERP charges seem to be the only way for Raymond Lim to prove his worth to his political masters. Remember his Yellow Pages rule, as in if a service can be found in the Yellow Pages, the government will not provide it inhouse or start some new entity to provide it? All the perm secs and ministers bo-chap him and formed new stat bords, etc. So he probably now further up the angkat ladder and maybe can raise enough funds thru COE and ERP to build new LTA HQ (almost all minsitries and stat boards have their own, LTA doesn’t)

Hong Konger
Sep 10, 2008 14:02

Take a minute to appreciate what Singapore has in public transport infrastructure in comparison to any noteworthy first world city. In any discussion it is also good to count one blessings as well.

A long time ago , public transport worldwide was somewhat a social welfare provision – the HK MTR somewhat helped changed the model.

Respectfully to suggest studying the Hong Kong transportation system as well in PTW week.

Kenny
Sep 10, 2008 15:29

Nice article Rachel. I see your logic, but I don’t quite agree. I actually would like Singapore to move towards a Swiss like system, where car ownership is cheap, but car usage in the city is hugely expensive. These are the things I would like to see:
1) Triple or quadruple ERP charges. The multiple’s not the key but it has to get massively more expensive that it really hurts people’s wallets .
2) Reduce COE.
3) Taxi drivers should not need to pay ERP charges.

What does this achieve?
1) People are unlikely to want to drive into the city because its massively expensive.
2) there’s also no need to drive into the city because taxis are readily available.
3) One can still keep a car to drive to Punggol on the weekend for seafood with the family.

Donaldson Tan
Sep 10, 2008 18:03

In the Swiss System, the car looses its position as a social symbol since it is so cheap. This means people tend to buy cars out of necessity, and not for looking good. Do we really need cars in a tiny tiny Singapore?

Jackson
Sep 10, 2008 18:12

I think the ERP revenues can make public transport free for all.

Swiss Standardise
Sep 10, 2008 20:39

12) Donaldson Tan on September 10th, 2008 6.03 pm

Exactly. My penpal from europe says the same.

Switzerland does not have too many cars.
They base on world class train system which leaves exactly on schedule , every time each and every day.

They rely on cycling and trams and some cars.

Swiss standard is truely 1st world and high standard.

Is singapore Swiss Standard already? Based on what? figures on the paper? or Quality of Life? If not , what is it? advise leh. I no no what . I am Clueless, nice to meet you!

Wer class tansport sytem
Sep 10, 2008 20:45

“Time to review performance of millionaire ministers?”

Review whose appraisals specifically?

My ‘favorites’ are, in no particular order or ranking :

1. Mah Bow Tan
2. Raymond Lim
3. Ho PengKee
4. Ng Eng Hen
5. Last but sure aint the least, the honorable and high integrity WKS.

Singapreans are so blessed to have them serve us. Not the other way round hor.

Victor
Sep 11, 2008 17:12

12) Donaldson Tan ,u V lame…

u can”T compare sing to swiss…

becos have not reach..

if u say sing no need car,,u TELL THE GOV MEMBER ALL DON USE CAR,USE MRT OR BUS LO…U dare anot?? don dare don talk such thing to WE.
hahas…lame pp.

13) Jackson ,yr idea can”T accept by GOV,becos they just want to earn yr money..
so no money NO TALK…hahahss,.

MMSMPMMC
Sep 12, 2008 7:52

The way I see it:
When a company is to make more profit, they need a sure catch strategy to attract more customer. yet they cannot kill the goose for the golden egg.

Our dear gahmen is exactly plotting this strategy, “milk the cow until it doesn’t even have milk for its own”.

Also, in order to “justify” their super duper high income every month, their performance is pegged with the “revenue” they can bring to the “party” from the Sillyporean who are so helplessly kenna “milked” on every daily expenses …. food, public transport, tax….. etc.

MarikitaOsama
Sep 15, 2008 23:00

Last few days, I submitted comments on Lousy Bus 67 Service. It must have been censored or held back as I cannot find my contribution published. why ?
MartikitaOsamasama

tiredsingaporean
Sep 15, 2008 23:22

Just wondering how much more $$$ is call enough to feed all these multi-millionaires? this is no difference compared to an addict being hooked on drug? the more the better, right? I just cannot imagine what would be the outcome when the whole entire nation could not take it anymore.

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