Many suspicious questions unanswered in LTA Bus Contract tenders. Big Cover up?

red amoeba said:

split, merge, split, merge....many eons ago, we have many private bus companies in Singapore, then come riots and most notorious, Hock Lee, then merge...all of them merge into SBS. Then, split, to TIBS, CSS, now split even some more....soon....merge again...

split, merge, split, merge...just like how a CB look when being pumped by a LJ...

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Its the PAP way. Every time split merge and split merge, some MIW or MIW crony makes money. If there is no money in it, they will not do it. This is corruption free sinkieland mah

What's wrong with making money

As my Indonesian friends have pointed out, corruption in Spore is more organised & orderly. It's. Also Approved by 70% of Sporeans.

johnny333 said:

What's wrong with making money

As my Indonesian friends have pointed out, corruption in Spore is more organised & orderly. It's. Also Approved by 70% of Sporeans.

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I don't have a problem with that. I have a problem with the part where Gay Loong says THERE IS NO CORRUPTION in Singapore and lies to the world. Joko on the other hand will be the first to tell you there is corruption in Indonesia.

Papsmearer said:

I don't have a problem with that. I have a problem with the part where Gay Loong says THERE IS NO CORRUPTION in Singapore and lies to the world. Joko on the other hand will be the first to tell you there is corruption in Indonesia.

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When in power no charge can be against him for corruption, Kong Hee's case says it all.

Narong Wongwan said:

If no undertable then I wory

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more kopi money as our economy get more indianize.......... w ah neh as minister of industry n another as FM

in before wp keeping silence is "strategic".

LTA said there will be more to come. They are going to privatize more and more lines and open more and more tender. I guess SMRT and SBS told them these 2 tenders were for their most unprofitable routes. So, in the end, the taxpayers will end up buying a fleet rapidly depreciating buses, and lose money every year on this. Who carries the losses? LTA or MOT? will these 2 fucks ask for more money in the budget next year?

azacamis said:

1. All future model will be based on this new contract model. Sooner or later, all routes will go that way. You either start now or later. No difference.

2. Who do you think funds the building of ALL the infra now? It is the govt using tax payers money and then passing handing it to the transport company. We recently spend on 400 buses and whose colours was it painted with?

3. That is the whole point of this model. The govt is not to make huge profits like SMRT and SBS. The point is to sustain the cost so public transportation can be as affordable as it should be instead of having shareholders to please with profits to be factored in.

4. Give lowest bidder also kena complain. Don't give also complain

5. They did

6. Trains operations losing money? Don't think so

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Write so much for fuck? U have not given one fucking explanation to any of it. Any time the govt can avoid SMRT and SBS making huge profits and at the same sustain affordable public transportation. Its called nationalization. Just buy back all the shares of SMRT and SBS that they don't already own and take the companies private under govt ownership. This is what the much admired HK MTR does. They have only one main train operator owned by the govt. HK MTR costs are very affordable. Why can't the PAP adopt HKs bus model? The HK govt gives franchises to the bus companies. They operate the fixed lines, have a fixed fare they can charge and mist operate at a certain schedule and frequency. In return, they keep all the fares they collect. The cost of buying buses and supporting the maintenance infrastructure is borne by them. The HK govt does not give hundreds of millions of dollars to the Kowloon Bus Company or Citybus to operate lines, nor do they buy buses for them. The Kowloon Bus Company make money or lose money, that's their problem. You don't see bus fares as unaffordable in HKG, do you?

Can someone explain how this biz model works? Me no understand and never read oso. .. lol

Lta owns all the assets
Winning bidder only provides operations and maintenance services
Winning bidder also collects fares
Fares and revenue then retained by lta
Lta expects to make 500mil
Bidder's cost is 470mil something
So lta pay bidder 470mil for its services and make 30mil
Winning bidder's margin is if it could provide service at below 470mil?

Tio bo?

cocobobo said:

Can someone explain how this biz model works? Me no understand and never read oso. .. lol

Lta owns all the assets
Winning bidder only provides operations and maintenance services
Winning bidder also collects fares
Fares and revenue then retained by lta
Lta expects to make 500mil
Bidder's cost is 470mil something
So lta pay bidder 470mil for its services and make 30mil
Winning bidder's margin is if it could provide service at below 470mil?

Tio bo?

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Everything is correct except the last three lines. The bid winning tender is $497.7 million. SO, LTA only makes $500 - 497.7 million= $2.3 million over 5 years. Bidder already build in profit margin before tendering his bid. If his calculation is accurate and he can deliver all the services for $497.7 million, he has already hit his target profit margin. If he calculated wrong, and it costs him more then that, he loses money. He has a 1 in 2 chance to make money. LTA has a 100% chance to lose money because $2.3 million cannot possibly cover the cost of buying all the 300 odd buses plus building the depot and support infrastructure for them.

Papsmearer said:

Everything is correct except the last three lines. The bid winning tender is $497.7 million. SO, LTA only makes $500 - 497.7 million= $2.3 million over 5 years. Bidder already build in profit margin before tendering his bid. If his calculation is accurate and he can deliver all the services for $497.7 million, he has already hit his target profit margin. If he calculated wrong, and it costs him more then that, he loses money. He has a 1 in 2 chance to make money. LTA has a 100% chance to lose money because $2.3 million cannot possibly cover the cost of buying all the 300 odd buses plus building the depot and support infrastructure for them.

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thanks for clarifying.
the bus money will come from budget 2016

cocobobo said:

thanks for clarifying.
the bus money will come from budget 2016

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Yes, and of course useless WP will vote for it.