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2009 Parliamentary Speech By Chiam See Tong - 9 Feb 2009

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Budget Statement 2009 by Chiam See Tong


09 February 09

This year’s Budget statement is a fair one. Both business people as well as the workers get benefits from this Budget.

In past years, when the economy was bad, the knee jerk reaction of the Government was to cut cost which meant that the CPF contribution rates were cut and there were widespread layoffs. This time round, no such thing happened. Instead, the Government’s priorities were in preserving jobs and building for the future. The budget speech sounded like the first manifesto of the PAP in 1954 whereby it stated that the workers’ wages shall not be cut as a solution to solve the recession of the day. I would urge the Government to encourage companies to train their workers to be more productive and competitive since there was no cut in CPF.

Under the WIS programme, the incentive programme given to low-paid workers is a reasonable one, provided the workers are in good health. I wish the Minister to would amend this programme to the effect that should the worker fall sick, he is given some financial help until he recovers from his sickness so that he can go back to work.

I agree with Mr Inderjit Singh that the number of foreign workers should be reduced. In times of economic slowdown, jobs are difficult to come by. The interests of local workers must come first. The Government must be seen to protect the interests of the local workers.

As regards the scheme to help households, help should be given to support education for the lower middle income group. There is a sharp difference paid by Junior College and Polytechnic students to purchase the same concession passes which have the same terms of use. I urge the Government to establish a fair system of charging concession passes for all students. By adjusting the prices for concession passes, we will be able to relieve the heavy financial burden for families of lower middle income with at least one child in a Polytechnic institution.

Every little concession goes a long way into meeting expenses for households already strapped with high financial burden.

Sir, I have a cut on CNG cars. However, I note that Mr. Edwin Khew has spoken on most of the points that I shall be bringing up. In order to contribute my little help in preventing global warming, I purchased a CNG hybrid car. But I found that there was only one CNG station sited in Jurong Island. This makes it a hassle to have my car refueled with CNG. The drive to Jurong Island is quite a far way off and it was a hassle to apply for a pass to enter Jurong Island. If the Government wants to encourage clean cars, they have to get the gas companies to site more CNG stations in Singapore.

Last year, the gas company did open a gas station in Mandai, which makes the filling up of CNG slightly easier. I hope the Government will encourage companies to open up more CNG stations in Singapore so that there is more incentive to buy a Green car.

As regards the distribution of 4.5 billion dollars, there must be complete transparency in its distribution. Is the Government going to form a corporate body to supervise the payment of out of this large sum of money? I urge the Government to look through the worse case scenario for those who are in dire need of help.
 

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Fairer Transport Cost For Full Time Matriculated Polytechnic/ Tertiary Students- Chiam See Tong

09 February 09

I like to talk about a proposal to help ease the financial burden of parents of full time matriculated Polytechnic/ Tertiary students.

All full-time students in Singapore are eligible to purchase monthly concession passes. However, full time matriculated Polytechnic/ Tertiary students are treated differently vis-à-vis Junior College (JC) students and students from the Institute of Technical Education (ITE).

For example, - A JC/ITE student now pays $27.50/month for a Bus Concession Pass, whereas a Polytechnic/Tertiary student is charged $52/month for the same Pass.

- A JC/ITE student pays $25 for a Train Concession Pass while a Polytechnic/Tertiary student is charged $45 for the exact same card. - A JC/ITE student pays $52.50 for a Hybrid Concession Pass (combination of Bus and Train Concession Pass); a Polytechnic/Tertiary student is charged $97 for the exact same card.

The percentage difference in prices ranges from 80 per cent to 89 per cent. There is a sharp contrast to the amount junior college (JC) students and students from the Institutes of Technical Education (ITE) are paying to purchase the same concession passes under the same terms of use. Why should JC students get more advantage over their polytechnic/ITE peers? After all, they were from the same GCE ‘O’ or ‘N’ level cohort a year ago. Students should not be penalized for studying in a Polytechnic or Institute of Technical Education (ITE).

In London, those students aged 16 to 18-year-old who live in a London borough and are still in qualifying full-time education can also apply to get free travel on buses and trams. 18 above Full time Student tickets costs 30 per cent lesser than adults for season tickets. Comparatively, the public transport operators in Singapore hardly qualify as generous.

I urge the Government to establish a fairer system of charging of Concession Pass for all students, whether be it from Junior Colleges, ITE or Polytechnic.

By adjusting the prices for Concession Pass for Polytechnic/ITE students, we will be able to relieve the heavy financial burden for families; especially those lower, middle income ones with at least a child in a polytechnic/ tertiary institution. At a time of belt-tightening in expenditure, every little concession will go a long way to cut expenses for households already strapped with high living costs.
 

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Fight Against Global Warming - Green Vehicles by Chiam See Tong

09 February 09

I applaud the Government for its efforts to promote the use of more energy efficient vehicles as part of its efforts on fighting against global warming.

The Green Vehicle Rebate (GVR) which the Government has introduced since Jan 2001 aims to bring about a change in consumer behavior to become more environmentally friendly and to support clean emerging technologies, by narrowing the cost differential between a green vehicle and the conventional equivalent model.

Currently, hybrid, electric and compressed natural gas (CNG) cars are accorded a 40 per cent cut in the Additional Registration Fee (ARF), the main car tax, up until 31 Dec 2009.

Other tax incentives enjoyed by green vehicles are: • For CNG vehicles: Special tax exemption until 31 Dec 2009 • For hybrid, electric and CNG buses and commercial vehicles: Road tax is pegged to that for petrol equivalents, which is 20% lower than their diesel equivalents.

I call upon the Government to further extend the Green Vehicle Rebate (GVR) as well exemption from "special tax” for green vehicles beyond 31 Dec 2009.

The Government should further consider greater tax incentives to bring about a change in consumer behavior to support clean emerging technologies, to encourage more Singaporeans to consider the purchase of green vehicles.

Confusing Signals to would-be Green Vehicle converters From January 2012, CNG will be taxed at the pumps, like petrol. The duty will be phased in at 20cents per kg of gas, compared with 41cents per litre of petrol.

With the take up rate of Green Vehicle at such low rates, would not the introduction of the CNG duty from January 2012 further impede potential converters? I call upon the Government to delay the introduction of the CNG duty, and in turn, put their efforts in thinking of ways to make the conversion effort easier for vehicle owners.

It was mentioned, the Government will be imposing a CNG duty rate that will be benchmarked against the prevailing petrol duty rate, taking into account the relative impact that these two fuels have on the environment."

Last year, the gas company did open a gas station in Mandai, which makes the filling up of CNG slightly easier. I hope the Government will encourage companies to open up more CNG stations in Singapore so that there is more incentive to buy a Green car.

This is sending mixed signals to car buyers or potential Green Vehicle upgraders. The Government said that CNG runned vehicles are not significantly cleaner than petrol cars except for lower carbon dioxide emission". Would the Government make a clear stand on this issue. If the Government really want to encourage the public to go to greener vehicles, then they should set the policies right in the first place."

Lack of CNG Refueling Stations Despite the introduction of the Green Vehicle Rebate (GVR) and special tax exemption, there are currently very few takers for Green Vehicles.

One of the reasons is that it is more inconvenient for CNG car owners to fuel up due to the lack of CNG Stations. I believe by February 2009, there will be only just 3 refueling stations in Singapore.

More efforts should be made to help the private sector take on more such CNG refueling projects.
 
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