SPEECH BY MR RAYMOND LIM,

MINISTER FOR TRANSPORT AND SECOND MINISTER FOR FOREIGN AFFAIRS,

ON LAND TRANSPORT

AT THE COMMITTEE OF SUPPLY DEBATE,

ON 9 MARCH 2007

Introduction

1. Mr Chairman, Sir, I thank Members for their comments and suggestions on our land transport system. Several, including Mr Cedric Foo, Mr Liang Eng Hwa, Mr Seah Kian Peng and Mdm Cynthia Phua have asked how our land transport system would be able to cope if our population were to increase to 6.5 million in the long term. This is a pertinent question that goes to the crux of our land transport policy.

2. Looking into the future, as Mr Liang Eng Hwa has pointed out, we must position our land transport system to meet the significantly greater travel demands of a larger, more diverse population and a more vibrant economy. We will have to do this within the constraints of finite land resources, and without sacrificing the quality of our living environment. Forward planning, as Mr Cedric Foo and Mdm Cynthia Phua said – I think Mr Foo used the words “advanced planning” - is essential. We have three principle strategies to deal with these future challenges. Firstly, we must make public transport a choice mode because this makes best use of our scarce land and preserves our environment. Secondly, we must manage and optimize road use. Thirdly, our transport system must meet the diverse needs of a more complex and socially inclusive society.

3. Let me start with our strategy to make public transport a choice mode, a topic that many MPs have spoken about, supported and given many useful suggestions.

Promoting Public Transport

4. To begin with, as Mdm Cynthia Phua has asked, what is the state of play of our public transport system? She is not here right now but I would like to thank her because she alone, among all the speakers, had said that, if you look back at where we were and where we are now, we have made significant improvements. I think we should always bear that in mind with our public transport system. You know, the complaints are plenty and if you listen enough to them, you sometimes might lose your sense of perspective of what the larger picture really is. So if you look at surveys that have been done - the Public Transport Council conducts a Bus Satisfaction Survey every year – last year, 2006, it was 8 out of 10 who said that the overall service level, they are satisfied with it. This is an improvement. In 2005 it was 7 in 10. So we should always bear this in mind. If we look at international benchmarks, where do we stand? The International Union of Public Transport (UITP), in its 2006 “Mobility in Cities Database”, had surveyed more than 50 cities and named Singapore along with Vienna and Helsinki, as the top three cities with the most striking success in providing an efficient and enjoyable public transport system. Our public transport system was also ranked among the top four in terms of operating cost and affordability of fares to commuters. Recently, I met Mr Hans Rat, Secretary General of UITP, who was here on a visit to look at our public transport system, and he said, “If public transport is a religion, Singapore will be a holy place.” He said this is because we have a very good public transport system. So as I said earlier, when it comes to public transport, let us keep it in perspective, let us look at the larger picture in view. We have a good public transport system but yes, there is room for improvement, and this is something that we must and will do to improve it.

5. My aim is to make public transport more attractive, no longer positioned as merely catering to a captive market, as Ms Sylvia Lim has said, of those who have no other means of transport, but to win over those who do not have alternatives. We must make public transport attractive to this group of “non-customers”, so that significant numbers would choose public transport because they find it to be convenient, reliable and offering far better value for money than private transport.

6. To promote public transport as a choice mode, we have embarked on a slew of measures:

(i) Expanding our rail network;

(ii) Giving priority to our buses on our roads. So bus will have priority on the road;

(iii) Raising the quality of our buses and trains;

(iv) Enhancing the choices for our commuters;

(v) Improving connectivity and accessibility

(i) Expanding our Rail Network

7. We have set ourselves a target of raising the public transport share of all morning peak-hour trips from the current 63% to at least 70% by 2020. To achieve this, it is important that we increase the density of our rail network. In most major cities that have a high public transport modal share such as London, New York and Tokyo, the rail network – density and frequency – plays a critical role as it is the most competitive alternative to the car, in terms of speed, reliability and comfort.

8. We see this too in Singapore. Commuters surveyed in LTA’s 2006 Public Transport Customer Satisfaction Survey gave the thumbs-up for the MRT. 94% of users surveyed were satisfied with MRT services. It scored well in critical attributes such as travel time (94% were satisfied), reliability (93%) and station accessibility (93%). Looking ahead, and this is in answer to Liang Eng Hwa, we will expand our MRT network. It is a key plank of our strategy to improve public transport journey times, to close the gap with private transport.

9. So what can Singaporeans look forward to? The Circle Line will open from 2010 onwards, improving connectivity and reducing travel times. From Bishan to Paya Lebar, 30 minutes now. When the Circle Line is up and running, 17 minutes. For Bishan residents, an exciting night out at Holland Village will be less than 20 minutes away, while an evening stroll at the Botanic Gardens is just two stops away from Bishan Station. The Circle Line will also help to spice up our city life by connecting people and places. For example, sports fans will be glad to know that after watching their favourite football team at the new Sports Hub, they can, if they wish, take a train ride from the Stadium Station to Mountbatten Station to have supper at Old Airport Road.

10. Beyond this, the LTA is completing its feasibility studies for a new 33-station Downtown Line that will link the north western and the eastern parts of Singapore to the Marina Bay. When the Downtown Line is up, residents in Bukit Panjang, Bukit Timah, Bedok Reservoir and MacPherson can take the trains to see the bright lights of the Marina Bay Sands Integrated Resort. A trip from Bukit Panjang to the city centre that now takes 60 minutes will be shortened by one-third. A resident in the Bedok Reservoir area will no longer need to take a feeder bus to Bedok Central to catch a train into the CBD. The Downtown Line will connect his home in the heartlands directly to the Marina Bay.

11. Beyond the Downtown Line, we are identifying other possible rail lines and extensions required to support Singapore’s development to 2020 and beyond. As part of our long-term planning for a future Singapore of 6.5 million population, we expect that we will need to at least double our current rail network of 138 km for a 50% increase in population. That means putting in the equivalent of at seven North-east Lines. Our expansion plans will bring the MRT to areas that are currently not well-served, enhance connectivity, reduce travel time, and relieve congestion on heavily-used MRT routes.

(ii) Giving buses priority on our roads

12. The other key measure, if we want to get more people to choose public transport, is to give greater priority to buses on the road, as this will improve the reliability of bus services and reduce delays. This we will do. For example, LTA had conducted a pilot on full day bus lane along Orchard Road in October 2005. Average bus speeds have improved, with non-peak speeds increasing by 10% on weekdays and 23% on Saturdays. Following this, the LTA will be extending the full day bus lane scheme next month to other areas in the CBD, namely Eu Tong Sen Street, Hill Street, Victoria Street, Bras Basah Road and Somerset Road, benefiting over 50,000 commuters on about 40 bus services.

13. LTA is also looking at ensuring that buses are able to get out of bus-bays without being impeded by other road-users. In some instances, widened roads with linear bus stops may be the right trade-off, but for others, bus bays, coupled with right of way for buses to exit, may be the better approach. Like Mr Ong Kian Min, many members of the public have suggested that this right of way be made mandatory, rather than as a matter of courtesy. LTA is currently studying this suggestion.

(iii) Improving the quality of our buses and trains

14. Mr Cedric Foo, Mr Liang Eng Hwa, Mr Seah Kian Peng, Mr Ong Kian Min and others have cited problems of overcrowding on our buses and MRT, long waiting times for buses and long journey times on public transport. These are the top 3 concerns. I mentioned earlier about the PTC Bus Satisfaction Survey and these are the 3 top concerns. What is encouraging is that if you look at the survey results, compared 2006 and 2005, it has improved marginally, but it has improved. But I agree that these are important issues and we should tackle them head on.

Quality of Service Standards

15. Besides the two key measures of expanding our rail network and giving buses priority on our roads, we have also taken steps to ensure that the public transport operators themselves play their part in raising service standards. This is the point that Mdm Cynthia Phua brought up. It is an important point and it is something that we will be doing. Last year, the Public Transport Council (PTC) put in place a more stringent set of Quality of Service Standards (QoS) for basic bus services. This set of QoS Standards better reflects the travel experience of commuters and focuses on areas that are important to commuters: overcrowding, waiting time, and journey time. For example, one of the standards that had been tightened was that at least 85% of total trips on each bus service should depart the bus interchange and terminals not more than 5 minutes from its scheduled headway on a daily basis. This will help improve the timeliness of buses arriving at bus stops and reduce waiting times. Over time, through continual refinement of the QoS Standards, the PTC aims to raise the bar for public transport operators and improve the reliability, journey time and waiting times for buses, while ensuring affordable fares.

Passenger Loading on MRT Trains

16. As for concerns on overcrowding on our MRT trains, LTA’s audit shows that the passenger loading at the busiest MRT stations such as Toa Payoh and Kallang during the morning peak is about 1400 passengers per train, or about 80% of the train’s passenger capacity. This is nothing like the morning commuter crush in Tokyo. I think Seah Kian Peng alluded to this. I visited Tokyo recently and I went to the Shinjuku station. Very busy during the morning peak and you see long lines of people but all very orderly. And they go into the trains and they pack themselves in, shoulder to shoulder. And I was told that this was already an improvement compared to the past. In the past, they had white-gloved attendants whose job is to pack them even more, push them in. But they have stopped now because of their greying population. But I would like to assure this House that the Japanese standard of loading is not something that we aspire to. So Seah Kian Peng does not need to have nightmares that, in Singapore, we intend to pack people into MRT trains like sardines.

17. To experience for myself the crowding situation on our trains, I recently visited Toa Payoh MRT station during the morning peak period. I was told that this is the peak of peak, when the Toa Payoh station is the busiest. When I tried to board a south-bound train at about 8 am, it was indeed difficult to get in at first, because passengers were crowding at the train doors. But once you get through and move to the center of train, it was much better. I noticed that some of the commuters had enough space to read their newspapers. Nevertheless, I agree with Mr Liang Eng Hwa that improvements should be made, where feasible. SMRT is upgrading 66 of its trains over the next two years. This upgrading, which includes a redesigned interior layout to allow smoother passenger flow, will improve the comfort level of commuters.

More Travel Information

18. I agree with Dr Lam Pin Min that travel information, including real-time information, such as bus arrival times, can help commuters make more informed travel decisions, as well as better manage waiting time and transfers. Dr Lam would be happy to know that LTA is working closely with both bus operators to roll out a system that will display real-time bus information of both operators’ services at selected bus stops. LTA actually conducted a previous trial on such a service. It ended in 2003 because of technological constraints and costs. Since then, the technology has improved, with the public transport operators having now developed operational systems which facilitate the provision of real-time information. The current trial, which begins from the middle of this year, will complement PTO’s efforts such as SBST’s “iris Next Bus” initiative, which provides real-time bus arrival information through mobile phones and the SBST website. In addition, LTA has provided funding support for TransitLink to develop an electronic bus journey planner so that commuters will be able to find out various ways of getting from A to B, using the bus services provided by the two public transport operators. This journey planner is part of our on-going efforts to ensure that services are seamless and integrated across different operators.

19. Dr Lam, Mr Ong Kian Min and Mr Lim Biow Chuan also suggested having more real-time information for motorists, such as a dedicated radio channel for traffic news. Currently, LTA keeps motorists updated through the one.motoring website, EMAS message signs, travel time displays and radio broadcasts. So for the example that Lim Biow Chuan gave, that by the time he saw the EMAS information, he was already close to the CTE tunnel, I would suggest that he switch on his radio while driving. There is constant feed on the radio when you switch it on and you will get the feed in. LTA will continue, however, to enhance existing platforms, and continue to explore new platforms where feasible and effective, including learning from best practices overseas. When I was in Japan, they have this system where they provide not just journey planning but tell you where are the areas which are congested. But it is very expensive; it is a private and public initiative where they have the car manufacturers to be involved in this. This is one service that they have and LTA will start to explore things like this.

(iv) Enhancing the choices for our commuters

Premium Buses

20. We are also expanding the number of public transport choices available to commuters. I agree with Mr Cedric Foo that we should facilitate more premium bus services for commuters who want a more direct and comfortable ride.

21. The Public Transport Council (PTC) recently simplified its premium bus service guidelines to encourage operators to provide more services. In answer to Mr Cedric Foo, COE-exempted buses, such as school buses or other omnibuses, can be used to operate premium bus services under the guidelines. It has been simplified. Barely 2 weeks after the revision, the PTC received more than 40 new applications, compared to an average of about one application per month previously. It is still early days to take stock of the revision, but we can be encouraged by the interest shown by the bus operators so far.

22. Mr Ong Kian Min made the point that premium bus services should be expanded to cater to those living in the HDB estates. I am pleased to inform him that the PTC is currently considering a number of applications for services originating from HDB towns to the CBD area.

Public Transport Industry Structure

23. Mr Cedric Foo, Mr Ong Kian Min and Mr Wee Siew Kim have also raised various suggestions on the public transport industry, including allowing buses and trains to compete, as well as allowing more competitors such as mini-buses to enter the market.

24. With the premium bus services scheme, we are already allowing more competition on a limited basis, as such bus services can run along existing MRT and bus routes. Beyond this scheme, we are looking hard at the fundamental public transport industry structure and related competition issues, to see how we can make our public transport system more efficient and integrated, while giving commuters more choices. We have commissioned a consultancy study to give us further inputs and insights on these issues and these will be incorporated into the ongoing land transport review. Ms Sylvia Lim brought up the issue of the listed status of the public transport companies. I think she raised the point because they are listed companies and have shareholders to answer to, they need to earn an adequate return. This might make them less efficient and perhaps less customer-centric. But I would be slow in coming to that conclusion because if you look at the weight of evidence, it is a fact that the public transport operators have a profit motive and profit incentive and have to meet adequate returns that incentivise them to be efficient, to be innovative and customer-centric. If we look at countries that have not done so, where the public transport operations are run by the State, you will find that the weight of evidence is that they end up with higher costs, less efficient, and over time, service levels go down.

(v) Improving connectivity and accessibility

Connectivity and Access

25. We are also enhancing the connectivity and accessibility of our public transport system. As it is, our public transport system already has a high level of connectivity and can be accessed easily. There is a bus stop within 400 m radius of most residential developments, with services that connect commuters to all parts of the island. 67% of commuters take 5 minutes or less to walk to a bus stop or MRT station, and 93% take 10 minutes or less. We are also integrating our MRT stations and bus interchanges with building developments, enhancing convenience and connectivity. We have seen such improvements at Toa Payoh and we will bring in the concept to the new Ang Mo Kio Bus Interchange which will be ready by mid-2007. When it is ready, commuters will be able to pick up groceries on their way home from work, take a break in between transfers or do some shopping at the numerous lifestyle boutiques.

More Sheltered Walkways

26. However, I agree with Mr Ong Kian Min that we must do more to improve connectivity, and in particular, improve the walking experience. Walking is an essential part of the public transport journey and we should take into account our tropical, humid weather, and sudden downpours. I think Mr Ong Kian Min referred to it as the freaky weather, i.e. when you go out, and there is a sudden downpour, you get wet and it is a dampener for people to use the public transport system. While we cannot change our weather, we can ameliorate its effects. As such, we have decided that current programme of building sheltered walkways and covers over pedestrian overhead bridges should be accelerated, and this will be dovetailed with HDB’s covered linkway programme in the housing estates.

An Affordable Public Transport System

27. I fully agree with Mr Cedric Foo, Mdm Cynthia Phua and Mr Seah Kian Peng that even as we strive to develop a first rate public transport system, we must ensure that we make it accessible to all, including the less well-off in our society. The PTC will continue to ensure that fares remain affordable to the general commuting public. Our public transport fares are among the most affordable internationally.

28. However, we do recognise that more would need to be done to help lower income households in their public transport expenses. The correct way to help them is not through suppressing fare increases, but to find ways to help the lower income households directly. For a start, the Government has put $10 million into a Public Transport Fund to be used over 3 years. A portion of the funds can be used to help low-income households cope if there is a fare increase in October 2007, to alleviate the immediate impact of the fare increase. We will also look at other longer-term measures to help such households cope with rising transport costs through this Fund and other measures.

Concession Hours for Senior Citizens

29. Also on the issue of accessibility, Ms Lee Bee Wah has proposed that senior citizen concession hours be extended because more senior citizens are returning to the job market. Senior citizen concessionary travel granted by the public transport operators is a form of cross–subsidy by other full-fare paying adults - the more extensive it is, the higher the fares would be for others. Hence, the operators have to take this into account in extending concessions. Nevertheless, the operators have taken in feedback and have been extending the concession hours for senior citizens over the years, most recently in 2005. I think they will take into account what Ms Lee Bee Wah said as they will need to constantly review this matter as part of their business plans.

Safety at MRT Stations

30. I would also like to assure Ms Lee Bee Wah that we take seriously the safety of the public at the MRT stations. We have various safety measures. There are signages at the trackside to advise commuters not to stand beyond the yellow line, Emergency Train Stop plungers at all platforms and Passenger Service Centres, and CCTVs to monitor the crowd situation. The train operators carry out public education on MRT safety and deploy staff to patrol station platforms and assist commuters.

31. I would also like to assure her that LTA and SMRT continually take into account various suggestions to enhance safety including the proposal to install half-height platform screen doors. I think Bee Wah brought up the example of Hong Kong and the amount of money they spent on that. I visited Hong Kong recently. I met the operators and I asked them. Most of the money that they spent was to put up platform doors for the underground stations. In Singapore we already have that throughout the whole MRT stations. For the above ground, only 4 stations because of the costs. How do they deal with the costs? They passed it to the commuters. Ten cents increase in fares because of the platform screen doors. But I think the point she made that in assessing this, we should also take into account the disruption caused to the MRT system is a valid point and this is something that LTA is reviewing it. However, ensuring safety is a shared responsibility. LTA and SMRT will play their part but so too should commuters take responsibility for their personal safety. The open platform at MRT stations is no different from public roads where commuters exercise personal caution, by not standing too close to the edge and look out for traffic. Likewise, for commuters at MRT stations, they should stand behind the yellow lines while waiting for the trains. Shared responsibility is the principal way to minimize accidents because even if we put in the half-height platform screen doors, this cannot be a hundred-percent guarantee as a fool-proof way against future mishap.

EZ-Link Cards

32. Mdm Cynthia Phua asked about adopting open standards for the EZ-Link card system and when LTA would divest ownership of its subsidiary company EZ-Link. When the EZ-Link system was introduced in 2002, the current proprietary system was chosen because it was a proven technology which had already been implemented in Hong Kong. LTA is currently upgrading the system to adopt open standards for its ticket payment infrastructure, which will allow other card suppliers and managers to enter the market and potentially, like she said, lower cost for commuters. This is expected to be ready when the Circle Line opens around 2010.

33. I agree with Mdm Phua that the role of the card manager, which entails the sale, distribution and management of the EZ-Link cards, is best performed by a private company. LTA’s ownership of EZ-Link is only meant to be transitional. LTA is looking into the divestment of this company and any divestment will be done in an open and transparent manner. With the introduction of the regulatory framework for ticket payments and services last year, the PTC is also able to impose licence conditions to prevent card managers such as EZ-Link from levying unreasonable charges on commuters or engaging in any anti-competitive behaviour.

Taxi Services

34. Mr Ong Kian Min has highlighted taxi services and the need to better match supply and demand of taxis, particularly during peak periods. Fundamentally, when there is an imbalance, either price or quantity will need to change. He cited Hong Kong as an example where there is no difficulty in getting a taxi even at peak periods. As I have mentioned, I visited Hong Kong recently and I met up with their taxi operators and taxi regulators. I asked them what is the secret. They said that there is no secret, there is an excess supply situation in Hong Kong. So why is it that when you walk out, you can get a taxi? Because they have an excess supply. The taxis are waiting for the commuters. But this comes at a cost. When I talked to the taxi associations, they said that it comes with high cost because the taxi drivers in Hong Kong are having an even more difficult time making ends meet than in Singapore. So, if we were to adopt this approach, Mr Seng Han Thong would have concerns, as he is already worried about whether de-regulation will lead to more taxis on the road. It is important when we are dealing with transport issues, not to take a “NIMBY” (or Not In My Backyard) approach – which simply shifts the impact to others, in this case taxi drivers, by having an excess supply of taxis in Singapore which will result in lower fares and lower income for taxi drivers.

35. The approach we have taken is to let the market determine the balance of all these different interests – taxi passengers, taxi drivers and taxi operators. By liberalizing the taxi industry, market forces determine the supply of taxi services and encourage competition within the taxi industry to improve taxi services for the benefit of taxi drivers and commuters.

36. The liberalisation has seen the entry of three new companies and an increase in the taxi supply to better meet commuter needs. Competition among the companies have spurred them to improve their services and provide more choices for the commuters through differentiated services such as limousine services as well as in niche areas like the medical chaperon and drink jockey services. Furthermore, competition among the taxi companies has also benefited taxi drivers, as the companies need to put together attractive taxi rental packages and work hard to attract and retain drivers.

37. The role of the government in this liberalized market is to facilitate its workings and ensure that taxi service standards are not compromised. For instance, to ensure that commuters can get a taxi if they choose to phone-book a taxi, LTA has, with effect from January 2007, extended the monitoring period on taxi companies’ call booking performances from between 5 pm and 8 pm to between 5 pm and 11 pm under the Quality of Service standards.

38. LTA is also working with various stakeholders in this – like Ngee Ann City – you may have read in the newspaper. They are working with the operators at Ngee Ann City to try to de-conflict the traffic near the taxi stand there, improve the through-put of the road leading into Ngee Ann City and also talk to the taxi companies to get more taxis into Ngee Ann City during the peak period. This shared approach is very important. We need all the stakeholders to play their part. There have been some feedback which ask us why do we not put up call booking information at the taxi stands. It is sensible, because firstly, not everybody who goes to a taxi stand wants to make a booking and will know the number. Or what about tourists? They may not know the number. So LTA has been working to put up this information at taxi stands, shopping centres and major buildings and also to get shopping centres to work with them. So, if you are a tourist or if someone who needs to make a booking, you go to the information counter which will put the booking through for you, as in some countries. We need everybody to play their part to do this. Some shopping centres and developments asked why they should do this, as this is free advertising for the taxi companies. As I have said, everybody needs to play their part in order to raise the quality of our taxi service.

39. I am glad to hear from Mr Seng Han Thong that the taxi associations have come together to discuss how to move the taxi industry forward. I look forward to receiving the report and we will study it very carefully.

40. Let me now turn to our strategy to manage and optimize road use.

Managing Road Use

41. Many of you would have noticed that the traffic on our roads have gone heavier, especially in the past few years, despite building more roads and highways. Why is this so? Mr Liang Eng Hwa was absolutely spot-on in his speech. He said the reason this is so is because from 1997 to 2004, our road capacity grew by 5%, the car population grew by twice as much by 10%, and daily car trips went up by even more, 23%.

42. To address this problem effectively, I agree with Mr Ong Kian Min, Mr Seng Han Thong, Mr Lim Biow Chuan and Liang Eng Hwa that we need to adopt a holistic, multi-pronged approach to ensure a sustainable land transport system for a growing city. ERP alone would not be effective. And as I mentioned previously in this House, there is no single solution to land transport problem. So the Government has never relied on ERP alone. It has always taken an integrated approach dealing with this urban transport issue. So we need to complement ERP with proper land use and transport planning, a good road network and traffic management system including the use of an intelligent transport system (ITS) such as GLIDE to maximize road capacity and continue to improve our public transport.

Vehicle Growth Policy

43. On vehicle growth, Mr Cedric Foo and Mr Seng Han Thong asked about my Ministry’s policy, going forward. Our vehicle quota system provides for the vehicle population to grow at a pace which can be sustained by our road infrastructure. The vehicle population growth rate has been set at 3% per annum until quota year 2008, which ends in April 2009. We will do a review in 2008 to set the long-term directions on vehicle growth. For the Quota Year 2007 beginning in May, the LTA will be issuing a total COE quota of 127,021.

44. If we continue to allow 3% annual vehicle growth, our current vehicle population of 800,000 would increase by about 50% to about 1.2 million by 2020. On the other hand, our road capacity is expected to increase by about 9-12% over the same period. If you were to line up all these 1.2 million vehicles bumper to bumper, it would fill up our existing expressways 5 times over! And if you were to line it up the other way, the 1.2 million vehicles will go all the way to Beijing! It is clear that the current 3% annual growth rate cannot be maintained indefinitely given our land constraint and a slower pace of road-building as Singapore is becoming more built-up. Already, some 12% of our land is used for transport, which is the same as that used for industry, and almost the same as housing which is 15%. The tradeoffs associated with higher vehicle population growth are real, because of competing demands on land use as well as the impact on the environment.

ERP Policy

45. In any case, simply building more roads will not solve our transport problems in a sustainable way because the demand for road space just keeps growing unless it is sensibly restrained. If we do not wish our city to resemble a giant car park lot, we will need, apart from moderating vehicle growth, to continually review our ERP coverage to ensure smooth-flowing roads.

46. Nevertheless, I assure Mr Lim Biow Chuan that LTA’s approach is indeed to consider and exhaust traffic engineering solutions such as road-widening before imposing ERP. This had been done for the CTE, and even now, the LTA is working on a project to widen the CTE stretch between Ang Mo Kio Ave 1 and Ang Mo Kio Ave 3. Likewise, to relieve the evening congestion on the ECP, the LTA is re-marking the stretch between Fort Road and Marina South to add one more lane in either direction. But the fact remains that the ERP is a necessary tool in our traffic management toolbox. It has helped to keep speeds on our expressways such as the CTE above 45kph and on our arterial roads above 20kph. Had we not introduced ERP, we would probably be facing gridlock on our key roads and expressways now.

47. Mr Ang Mong Seng has suggested that we dedicate the rightmost lane of the expressway for vehicles travelling at 90km/h and the remaining lanes for vehicles travelling below 90km/h. Today, the ERP system is designed to allow maximum traffic throughput on our roads by keeping vehicle speeds within the optimal speed range of 45 to 65 km/h. To demarcate one lane for vehicles to travel at 90 km/h will not allow us to maximise the use of our road space. Moreover, it is likely that the sheer number of cars that will want to go into the fast lane will simply congest the fast lane in no time.

48. Mr Lim Biow Chuan highlighted the transport needs of the residents in the Northeast. Residents like Ms Karen Lee, who wrote to TODAY recently on her journeys on the CTE and its alternatives, highlighting the congestion that she and her husband encounter on their drive to work from Punggol to Buona Vista, the place where her husband works.

49. Let me highlight the various measures we are taking to help Ms Lee and other Northeast residents. Firstly – the CTE. LTA aims to complete the widening of the CTE stretch between Ang Mo Kio Ave 1 and Ang Mo Kio Ave 3 which I mentioned earlier by end 2008, which will relieve the congestion there. Secondly, when the KPE, i.e. the Kallang-Paya Lebar Expressway, is fully opened by 2008, it will provide Ms Lee and her husband with an additional expressway link from the Northeast to the City.

50. Thirdly, we are improving the public transport options. When the Circle Line opens, the journey from Punggol to Buona Vista will take about 35 minutes, compared to the current 45-minute journey on the North-east Line.

51. Mr Cedric Foo asked for a clarification on my Ministry's position on car ownership costs. There is no change to our approach, which is to gradually reduce ownership costs so as to strike a better balance between the ownership and usage costs of a car.