In a statement announced yesterday (May 21), the Land Transport Authority (LTA) attributed the move to take over all bus operations as well as infrastructure, to an increase in the quality of public transport.
LTA intends to do this by slowly introducing competitive tendering, which will allow for bus operators to bid for the right to offer the service. The tender for the first batch of bus packages will be launched in the second half of this year, and will be implemented in the second half of 2016.
The LTA said that by using the government-contracting model —to be carried out in phases— it will be able to “respond more expeditiously to changes in travel demand and service level expectations”.
Unlike the privatised industry model where operators are expected to cover their own startup costs, operating expenses as well as salary, the government-contracting model will allow for easier entry into the market and thus attracting more bus operators.
Back in 2011, Minister of Transport Lui Tuck Yew implemented the Bus Service Enhancement Programme (BSEP) and doubled the number of buses operated from 550 to 1,000, he believes that now’s the time to move beyond BSEP. Citing London as an example, Lui is open to the possibility of introducing foreign bus operators as competition, which he thinks will keep the local ones on their toes.
“I believe this new model will enable us to respond more speedily to changes in ridership patterns and commuter needs and provide a better service to commuters,” said Lui on his Facebook page.
Photo: Wikimedia Commons
