Photo of Lawrence Wong from Ngau Kai Yan CNA

An anonymous* spokesperson representing the Ministry of National Development (MND) announced today (Jan 23) that a new lift replacement fund will be created from 1 April 2017 onwards, which will require an additional increase of at least 14% of the collection of Service and Conservancy Charges (SNCC) from residents. This is on top of the current requirement where 26% of the SNCC payments have to go into an existing sinking fund.

(State media has not been reporting the spokesperson of the ministries giving an official response to protect the reputation of the ministry’s minister.)

MND also said that they will announce the specific amount each town council have to pay, and in the meantime, also requested for an undisclosed tax funding from the government to fund the lift replacement sinking fund.

“MND will increase the S&CC operating grants it currently gives to the town councils to help cover their costs, and also provide additional grants to match part of the town councils’ contributions to their lift replacement fund. Details of these assistance measures will be released separately.”

Singapore lifts recently see a series of lift incidents resulted from malfunctioning HDB lifts. The town councils however blamed the lift contractors for failing to maintain due diligence in maintenance and a long-time lift contractor, Sigma, was singled out for blame.

According to MP Teo Ho Pin, PAP Town Council will start raising SNCC collection from residents for lift upgrading. The Opposition Workers’ Party-held Aljunied Town Council however will not be raising charges.

Read: PAP Town Councils to raise SnCC charges to collect S$45 million for lift safety and reliability