Archive for February 29th, 2008

EDS-led group wins $1.3b Singapore govt IT contract

Posted on February 29th, 2008 by Mindy Yong.
Categories: Singapore News.

EDS-led group wins $1.3b Singapore govt IT contract 

oneMeridian will set up standard computer systems for civil servants

By Grace Chng, Deputy News Editor 
WINNERS: oneMeridian, led by Mr Yeo (foreground), trumped the hot favourite - the ST Electronics and Hewlett-Packard team - to win the biggest IT deal outsourced by the Government. — ST PHOTO: DESMOND WEE
 
A CONSORTIUM led by global technology firm EDS International has won a $1.3 billion deal to put standard computer systems on the desks of about 60,000 public sector workers here by 2010.
The EDS-led group, oneMeridian, trumped the hot favourite - the Singapore Technologies (ST) Electronics and Hewlett-Packard team - and the other consortia: NCS- IBM and NEC Solutions Asia- Pacific-CSC Computer Systems.

Locally-listed Singapore Computer Systems (SCS) is the key local partner for the winning group, which also includes Alcatel-Lucent, Cisco Systems, Microsoft and Avanade.

The eight-year contract - first announced in April 2005 - will streamline government IT purchasing by grouping about 200 public sector contracts into a single deal to benefit from bulk discounts.

This will yield about 28 per cent in savings over current spending for similar services.

The EDS-led team snagged the prize because it offered the best technical benefits and price, said Ms Pauline Tan, senior director of Infocomm Development Authority of Singapore (IDA) and the Government’s point person driving this project.
The Standard ICT Operating Environment (SOEasy) is the biggest-ever infocommunications technology (ICT) deal outsourced by the Government. Singapore will be the first government in the world to implement a public sector- wide standard operating environment.

Once it is up and running, public servants will use common brands of PCs or laptops and the same software to send e-mail, surf the Internet and create office documents.

They will also be able to share their work in real time with colleagues and use technologies like video conferencing for communications.

The public will be able to get government information at any time. For example, when a government data centre caught fire last year, access to information was lost until the centre came online again a few days later. ‘With SOEasy, there’ll be a back-up data centre, and access to information will always be available,’said Ms Tan.

The EDS-led consortium’s first priority will be to get the key people ready to run the project. Experts from EDS’ global offices are already coming to Singapore. At its peak, the consortium expects to have about 850 staff, mostly newly hired engineers.

An elated Mr Stephen Yeo, EDS’ vice-president for Southeast Asia, said: ‘The different teams in the consortium have rehearsed how they want to implement the project, so we’re ready to go.’

The IDA, the Ministry of Information, Communications and the Arts and the Ministry of Finance will be among the first 17 agencies to go live with SOEasy by mid-2009.

All 74 government agencies will switch to SOEasy by 2010 except for the Defence Ministry, the Defence Science and Technology Agency - which have their own systems - schools and tertiary institutions. These will call for a tender for their version of SOEasy in the next two years.

Mr Tan Tong Hai, SCS president and chief executive, said yesterday that SOEasy ‘will help us learn about programme management for a project of this size and scope, a skill that will help us win future business’.

 Common standard
Standard ICT Operating Environment (SOEasy)

First announced:
April 2005
Size of contract:
$1.3 billion (up to $1.5 billion if there is customisation work)
Length of contract:
Eight years
Users: 60,000 civil servants in 74 government agencies

Expected savings:
28 per cent of operating costs or $500 million over eight years
First live SOEasy site: Mid-2009
Completion: By 2010
Project’s tender award delayed from October 2007 to February 2008

Largest public sector information technology project

Effort by Government to standardise desktop computing system is a world first
Source : Straits Times  - 29 Feb 2008

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Singapore will be ‘important node’ in Arab network

Posted on February 29th, 2008 by Mindy Yong.
Categories: Singapore News.

Singapore will be ‘important node’ in Arab network 
 
SINGAPORE has always been an ‘important node’ in the international Arab network, and Foreign Minister George Yeo is confident that the country will become one again in the 21st century.
With the Middle East fast becoming a ‘new frontier’ for Singapore, he told the House yesterday that the region is ‘full of opportunities, though not without risks’.

In the last few years, relations between Singapore and the Arab nations have seen a ’sea change’ and high-level bilateral visits are so common, it is happening almost every month.

Mr Yeo was responding to Dr Mohamad Maliki Osman and Mr Hawazi Daipi (both Sembawang GRC), who asked about Singapore’s ties with the Middle East.

Relations with the six countries of the Gulf Cooperation Council (GCC) have been stepped up, said Mr Yeo, and negotiations on a free-trade agreement between Singapore and the GCC were successfully concluded last month.

The GCC members are Bahrain, Kuwait, Qatar, Oman, Saudi Arabia and the United Arab Emirates.

It is estimated that about 35 million people live in these GCC states.

Beyond the GCC, Singapore’s ties with Libya have also ‘begun to flower’, said Mr Yeo, since the establishment of relations last year.

Senior Minister Goh Chok Tong will be making an official visit to Libyan capital, Tripoli, later this year.

Mr Yeo also revealed that Shell’s Singapore chairman Lee Tzu Yang has been appointed to chair the new Middle East Institute. An international search for a director is ongoing.

Source : Straits Times  - 29 Feb 2008

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Mindy Yong

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Why income cap for Singapore HDB buyers won’t be raised

Posted on February 29th, 2008 by Mindy Yong.
Categories: Singapore Real Estate News.

Why income cap for Singapore HDB buyers won’t be raised 

By Lynn Lee 
 
THE Housing Board will not raise the $8,000 income ceiling for first-time buyers of HDB flats, despite numerous calls from MPs and the public for it to do so.
The reason: The income criteria capture some eight in 10 Singaporean families, including upper middle-income earners, said National Development Minister Mah Bow Tan yesterday.

‘I hope Members will agree with me this is more than generous and will not be surprised if I tell them HDB has no plans to revise the income ceiling,’ he added.

His reply during the debate on his ministry’s budget was sparked by calls from MPs such as Mr Christopher de Souza (Holland-Bukit Timah GRC) during the debate earlier in the week on the Finance Minister’s Budget statement.

Mr de Souza said buyers, especially young couples, had no access to affordable housing if they earned more than $8,000.

Mr Mah acknowledged HDB resale prices saw ‘heady’ growth of about 17 per cent last year. But he did not expect the spike to continue.

There are other affordable alternatives for such couples, he said, citing the resale market in executive flats.

Mr Mah also assured Singaporeans that the Government will ensure HDB flats remain within reach of the vast majority, especially young couples seeking to buy their first home. For instance, they will get more chances in balloting exercises for new flats.

On average, the Government spent $1.4 billion a year over the last five years on public housing. In the coming 2008 financial year, it has set aside $1.6 billion.

The vast sums are spent on providing Singaporeans with various housing types to meet changing aspiration and various needs, said Mr Mah as he detailed HDB plans, policies and programmes.

Affordable housing

NEW HDB flats are priced below market value. And the subsidy for first-time buyers can go up to $88,000.

As a result, first-time home owners last year used, on average, only 20 per cent of their monthly income to pay their home loan.

This is well within the 30 per cent benchmark for affordability.

Also, at least 70 per cent do not fork out cash from their pockets each month but settle their mortgage entirely with their CPF contributions.

Many choices

THREE more sites will be offered to private developers to build condo-style flats, under HDB’s Design, Build and Sell scheme.

It will bring the total of such HDB flats to around 4,000 units, to cater to families who can afford to pay more.

But Mr Mah stressed that HDB-built flats will still be the mainstay of new flat supply.

Sufficient supply

ABOUT 700 new flats in Punggol and Sengkang are still available for purchase, said Mr Mah, who allayed concerns over whether supply is enough to meet growing demand.

HDB builds flats only if buyers show firm commitment, in the form of a deposit. It started the practice following a glut of unsold flats in the 1990s.

This build-to-order scheme has not reduced supply. Some 10,500 flats have been launched since last year, and HDB will continue to do more of such projects.

Mr Mah also assured the House that getting a new flat was not a case of tikam-tikam (’trying your luck’), a phrase Mr Baey Yam Keng (Tanjong Pagar GRC) used of couples who came to see him when they could not get flats.

Mr Mah said his checks with HDB showed in the past six years, only 250 were still unsuccessful after taking part in more than four HDB sales exercises. ‘This is less than 1 per cent of first-timer applicants applying for a new HDB flat,’ he said. Also, four out of five of the 250 applied only for homes in established towns.

Such outcomes, Mr Mah said, are why he repeatedly advises young couples to be flexible and go for new flats in newer towns or resale flats.
Source : Straits Times  - 29 Feb 2008

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Mindy Yong

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Three-pronged strategy to resolve Singapore rental flat shortage

Posted on February 29th, 2008 by Mindy Yong.
Categories: Singapore Real Estate News.

Three-pronged strategy to resolve Singapore rental flat shortage 

A review of the public rental scheme will also be carried out to ensure more holistic assessment criteria

By Jessica Cheam 
 
THE Government has unveiled a three-pronged strategy to tackle rising demand for public housing rental flats.
National Development Minister Mah Bow Tan yesterday said he has asked the Housing Board to resolve the shortage in three ways.

One is to increase flat supply. Secondly, the eligibility criteria for rental flats will be reviewed; and thirdly, enforcement will be stepped up to weed out those who abuse the rules on use of flats.

To address stronger demand, the stock of rental flats will go up by 20 per cent to 50,000 over the next few years, said Mr Mah. Since 2006, when building for rental flats resumed, some 2,200 new units have been built.

Another 930 rental flats converted from vacant blocks will also be ready by next month.

This year, another 2,000 units will be built across different estates, and ready for families to move in from 2011.

WEEDING OUT THOSE WHO ABUSE RULES
‘HDB will not hesitate to terminate the flat tenancy of those who abuse or violate the conditions of the lease.’
NATIONAL DEVELOPMENT MINISTER MAH BOW TAN, responding to MPs who shared anecdotes of tenants installing air-conditioning units or sub-letting their rental flats
 
Mr Mah was responding to calls by some MPs to review the policy on rental flats.

Ms Irene Ng (Tampines GRC) questioned whether the current 5 per cent of total housing stock for rental was sufficient. She also called for rules on rental flats to be relaxed ’so that Singaporeans have more access to them’.

Mr Mah disclosed that a ‘comprehensive review’ will be done on the public rental scheme.

‘This review will put in place more holistic assessment criteria of rental flat applicants,’ he said.

Mr Mah also noted that Singaporeans who can afford home ownership or have family support should not join the queue, otherwise, ‘the more needy cases will be crowded out’.

He referred to an example raised by Mr Masagos Zulkifli (Tampines GRC) of elderly residents who had no place to go after selling their flats and giving the proceeds to their children who subsequently refused to live with them.

‘Our rental flats cannot be used to support such irresponsible behaviour of the children,’ said Mr Mah.

Addressing another point raised by Ms Ng on low-income divorcee families who are increasingly turning to rental flats, Mr Mah said: ‘We have to look at the overall issue of low-income dysfunctional families from a wider perspective together with the Ministry of Community Development, Youth and Sports and other ministries. The issue cannot be just limited to housing.’

Among others, the review will also study how existing tenants can buy their own homes when their situation improves.

In reply to MPs who shared anecdotes of tenants installing air-conditioning units or sub-letting their rental flats, Mr Mah said that ‘HDB will not hesitate to terminate the flat tenancy of those who abuse or violate the conditions of the lease’, and will re-distribute these to the more deserving cases in the queue.

The Government will continue to be flexible to help families in financial hardship, added Mr Mah.

‘But the individual has to exercise prudence and financial responsibility.’

Source : Straits Times  - 29 Feb 2008

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Mindy Yong

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Low: When will it be Hougang’s turn for Singapore HDB upgrading?

Posted on February 29th, 2008 by Mindy Yong.
Categories: Singapore Real Estate News.

Low: When will it be Hougang’s turn for Singapore HDB upgrading? 

By Goh Chin Lian 
 
OPPOSITION MP Low Thia Khiang crossed swords with Minister of State (National Development) Grace Fu over the upgrading of HDB flats, especially those in his Hougang constituency.
Mr Low yesterday repeatedly pressed her for answers as to when his residents could benefit from upgrading and asked if they were being fairly treated.

He accused the Government of using upgrading as a political tool to change voting behaviour, and wanted to know how much it spent on upgrading flats in different precincts.

He also claimed that the Government ‘owes every eligible flat owner in Hougang constituency $22,500 to $27,000 for the long overdue upgrading’.

This is based on the average cost of $30,000 for a basic upgrading package, of which the Government pays the major portion and residents the rest.

It has been 12 years since he was told that Hougang’s turn for the Main Upgrading Programme (MUP) would not happen for ‘many, many years’, he said during the debate on the National Development Ministry’s budget.

Noting that the MUP has since been replaced by schemes such as the Home Improvement Programme (HIP), he asked: ‘Will opposition wards need to start all over again and wait many, many years for HIP to happen?’

Ms Fu said the HIP was the result of residents asking for more flexibility and consultation in upgrading.

The programme would benefit 300,000 flats across the island.

Explaining that the MUP was restructured so that flats could be spruced up more quickly, she said the change applied to PAP and non-PAP constituencies.

Mr Low had asked about the amount spent upgrading each flat and how these government funds would be applied fairly to everyone.

Responding, Ms Fu said the amount was about $30,000 a unit. But she told Mr Low that the question of fairness did not arise in this matter.

‘It is not a case of an entitlement. It does not mean that every Singapore household can come and claim for this sum of money,’ she said.

‘It is something that we will prioritise. It’s something that we will do depending on the age, the quality of the flats.’

And who gets HIP first also depends on the funds available.

The Government’s focus now is to have lifts stop at every floor of HDB blocks by 2014, she said.

‘And Hougang residents can look forward to that by 2014,’ she said, adding that Mr Low could speed the process up by having his town council undertake the upgrading of the lifts in his constituency.

Source : Straits Times  - 29 Feb 2008

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Mindy Yong

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Roadmap to make Singapore a leading eco-city

Posted on February 29th, 2008 by Mindy Yong.
Categories: Singapore News.

Roadmap to make Singapore a leading eco-city 

By Clarissa Oon 
GO GREEN: Mr Mah said a government panel will look at green solutions in transport (such as compressed natural gas, above), housing and industry. — PHOTO: SEMBCORP
 
A GOVERNMENT panel will release a 10-year roadmap next year for Singapore to grow its economy in an environmentally sound way, National Development Minister Mah Bow Tan said yesterday.
This inter-ministerial committee aims to make Singapore the leading eco-city in Asia and will look at green solutions in transport, housing and industry, he added.

Mr Mah is co-chairing this recently formed committee on sustainable development, along with Minister for the Environment and Water Resources Yaacob Ibrahim.

Other members include Finance and Education Minister Tharman Shanmugaratnam, Transport Minister Raymond Lim and Minister of State for Trade and Industry S. Iswaran.

Sustainable development has become a global buzzword as countries try to develop their economies while minimising fallout on the environment.

While the term ’sustainable development’ began to catch on only from the late 1980s, Singapore had already adopted such principles from the start of nation building, said Mr Mah in Parliament.

This ”Singapore way’ of sustainable development’ was not out of choice but necessity, because of its small size and scarce resources.

Now, its strengths include integrated township planning and maximising land use, as well as breakthroughs in water and waste management. Still, Singapore can do better and create an even cleaner and better-quality living environment, he said.

However, Mr Mah stressed this would not be at the expense of economic growth. ‘We need to remind ourselves that sustainable development is still about development… We still want growth and we still want good jobs.’ Without economic growth, he said, there would not be enough resources to invest in renewable energy or implement cuts in energy consumption.

Renewable energy comes from sources such as the sun, wind and waves, as opposed to fossil fuels like coal and oil. Burning fossil fuels has been blamed for releasing harmful greenhouse gases that cause climate change.

Singapore has also formed another inter-ministerial panel on climate change, with which Mr Mah said his committee would work closely.

Mr Mah was earlier asked by Nominated MP Edwin Khew if more financial incentives would be offered to companies and individuals to encourage green practices. Mr Mah said he would not rule it out.

But it would be one of a slew of measures to address sustainable development, including public education, research and development, and possibly legislation.

This drive would also not be complete without partnerships with community and grassroots organisations, non-governmental organisations and other ground-up movements, he added.

At the end of the day, ’sustainable development is as much about changing lifestyles as it is about new technologies or green buildings’.

Apart from doing more at home, Singapore hopes to share with other cities its model of sustainable development, he added.

It has embarked on a project with China to create an eco-city in the northern port city of Tianjin.

Source : Straits Times  - 29 Feb 2008

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Mindy Yong

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Singapore Marina Bay prime office space equal to HK business site

Posted on February 29th, 2008 by Mindy Yong.
Categories: Singapore Real Estate News.

Singapore Marina Bay prime office space equal to HK business site 

It’ll be a ’seamless extension’ of CBD, to rival London’s and Hong Kong’s

By Alvin Foo 
LIVELY WATERFRONT: Fifteen years from now, the new Marina Bay financial district will provide premium office space, pedestrian-friendly covered walkways and an extensive underground network. — PHOTO: URBAN REDEVELOPMENT AUTHORITY
 
THE new Marina Bay growth area will be a ’seamless extension’ of the Central Business District (CBD) and will offer a significant amount of office space, said National Development Minister Mah Bow Tan yesterday.
Adjacent to Raffles Place and Shenton Way, it will be more than twice the size of London’s Canary Wharf and provide as much premium office space as Hong Kong’s Central district.

Mr Mah was responding to a question by Mr Liang Eng Hwa (Holland-Bukit Timah GRC) on plans to rejuvenate the CBD and develop Marina Bay.

Mr Mah said: ‘Marina Bay remains the centrepiece of our efforts. It will be a seamless extension of Raffles Place, and will offer high-quality office spaces along a lively waterfront.’

The district will have a land area of 85ha, more than double the size of London’s bustling financial and shopping hub, Canary Wharf.

It will also offer an estimated 2.82 million sq m of office space, the equivalent of Hong Kong’s main business district.

MAIN FOCUS
‘Marina Bay remains the centrepiece of our efforts. It will be a seamless extension of Raffles Place, and will offer high-quality office spaces along a lively waterfront.’
MR MAH BOW TAN

Ministry of National Development
FY08/09 budget: $2.1 billion
Up 1.8%
Mr Mah also revealed that the Urban Redevelopment Authority (URA) will release more sites in this area over the next five to six years.

Once built, these projects will provide more than 1.1 million of office space - the total amount of office space in Raffles Place.

The new Marina Bay financial district is expected to take more than 15 years to materialise, he added.

Mr Mah also said the URA will release land around Tanjong Pagar and ‘redevelop the Ophir-Rochor corridor into a vibrant office cluster’.

Mr Mah also addressed a query from Mr Zainudin Nordin (Bishan-Toa Payoh GRC) on having more underground connections between buildings in the downtown area.

He said Marina Bay will be a pedestrian-friendly area, with covered walkways on the ground and an extensive underground network linking developments to MRT stations.

He added that the Government is working to ease the office space crunch in both the short and long term.

In the short term, the Government has released land for transitional office sites and vacant state properties, which will yield 150,000 sq m of space. These spaces will be available within a year.

The Government has also temporarily disallowed the conversion of office space to other uses in the central area.

Over the long term, about 1.4 million sq m of office space, equal to about five years of supply, will be completed mostly in 2010 and beyond.

Mr Mah said: ‘These measures are going to take some time to filter through to the market. I will suggest that in the meantime, tenants can look at alternative locations outside the central area.’
Source : Straits Times  - 29 Feb 2008

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Mindy Yong

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Career fair going big on tourism - Singapore

Posted on February 29th, 2008 by Mindy Yong.
Categories: Singapore News.

Career fair going big on tourism  - Singapore
 
JOBS and training courses in tourism were among the hits at Singapore’s largest career and education fair, which opened yesterday.
About 20 per cent of the 600 participants at the Career 2008 & Education 2008 were either offering jobs or courses in the field - another sign that the industry is among the hottest in Singapore right now.

About 1,000 jobs and a myriad of training courses in tourism and hospitality are awaiting takers at the fair in the Suntec convention centre.

The InterContinental Hotels Group, for instance, has more than 60 positions available - ranging from housekeeping attendants to sales managers.

On the education front, Australia’s Murdoch University, which expects about 400 new students, predicts that about a quarter will take up its tourism programmes.

According to Minister of State for Education and Manpower Gan Kim Yong, who spoke at the opening ceremony, opportunities are being generated by the upcoming integrated resorts, hotels and shopping malls, as well as conventions and events such as the Formula One race.

By all accounts, Singaporeans are jumping at the chance to work in the industry - there is an overwhelming demand for polytechnic courses in tourism and hospitality management, for example.

The Singapore Tourism Board, which took up about 5 per cent of booths at the exhibition, expects some 50,000 to 60,000 additional tourism jobs to be created by 2010. There are currently 170,000 to 180,000 tourism jobs in Singapore.

Other industries - from marine engineering and aerospace to banking and health care - are also represented at the fair, which was initiated by the Ministry of Education, and jointly organised by Singapore Professional Centre and IIR Exhibitions.

The fair will be held till Sunday at Suntec’s halls 601 to 603, level 6. Admission is free.

Source : Straits Times  - 29 Feb 2008

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Mindy Yong

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Singapore HDB unveils ‘income for life’ scheme for the elderly

Posted on February 29th, 2008 by Mindy Yong.
Categories: Singapore Real Estate News.

Singapore HDB unveils ‘income for life’ scheme for the elderly
 
It will buy back tail-end of flat lease at market rate, with money going to CPF Life

By Jessica Cheam 
TO SELL OR NOT TO SELL?: Mr Teng, 68, a retiree who owns a three-room HDB flat in Toa Payoh, will be able to sell part of his flat’s remaining lease to the HDB next year, but he is undecided about taking up the option.
 
FOR 68-year-old retiree Teng Kiat Hwa, who owns a three-room HDB flat in Toa Payoh, his home is his only asset.
Since he fell ill and stopped driving a taxi, he has had no income and his CPF money has been dried up by medical bills.

But come next year, Mr Teng will be able to sell part of his flat’s remaining lease to HDB, and receive a cash payment of $5,000 and an annuity payout of about $500 monthly from CPF Life.

Details of the long-awaited ‘Lease Buyback Scheme’, which helps the elderly sell their HDB flats to the Government for cash - while still being able to stay in them - were unveiled yesterday by National Development Minister Mah Bow Tan.

This is how it works: HDB will buy back the tail-end of a flat lease at market valuation, leaving a 30-year lease for the household. So, for example, if a flat has a remaining lease of 70 years, HDB buys 40 years of the lease from the flat owner. It pays market rate for the lease it buys and this money goes to the new CPF Life annuity in the flat owner’s name.

According to Mr Mah, the cash is enough to give a typical flat owner about $500 monthly for life. At the end of 30 years, the flat’s ownership is then transferred to HDB.

If the flat owner dies before the 30 years is up, his family gets a pro-rated refund from the HDB. If he outlives the 30-year lease, HDB may extend the lease or relocate the flat owner to rental housing.

To encourage people to opt for the scheme, HDB is also providing a $10,000 ‘bonus’ for anyone eligible for the scheme who signs up. Half of this - $5,000 - will be paid immediately in cash. The other $5,000 goes into the CPF Life annuity.

One catch: the scheme will be available only to 25,000 low-income households in Singapore. That’s because the eligibility criteria restricts the scheme to those aged 62 and above and who own two- or three-room HDB flats.

Among other things, they must also have fully paid up for their flats, or else have a loan amount outstanding of less than $5,000.

Mr Mah said in Parliament yesterday that this is consistent with the objectives of the scheme, which was first announced by Prime Minister Lee Hsien Loong at last year’s National Day Rally.

He said the scheme is meant to supplement the recently announced CPF Life annuity by providing a stream of retirement income for poor households who may not have the minimum sum needed to sign up for CPF Life, but still need steady income in old age.

He added that the 25,000 households that qualify for the scheme represent about 70 per cent of elderly households in two- and three-room flats.

Asked for his reaction, Mr Teng said in Mandarin that it was ‘an interesting option’.

‘But we must consider it thoroughly before taking it up. My wife and I wanted to leave this flat to our kids,’ he added.

Meanwhile, industry players yesterday welcomed the scheme, but expressed concern that the criteria were too strict.

This was also brought up in Parliament by Madam Ho Geok Choo (West Coast GRC), who asked if owners of larger HDB flat can qualify for the scheme.

Mr Mah replied that this can be examined after the scheme was implemented and feedback given.

Mr Eugene Lim, the assistant vice-president of ERA Realty Network said renting out the flat may give better yield or payouts than the annuity.
 

Source : Straits Times  - 29 Feb 2008

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Mindy Yong

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mindy@mindyyong.com