MRT Mission - Past & Present

[Baby1M]

Let me clarify that I do not know nor remember if the following quotes (Transport Minister and MRT CEO) are true...

I think the Transport Minister of the past did indeed said those words (anyone can verify?)... look at the current Transport Minister(s), sigh...

“In the old days, SMRT’s mission was to be a reliable and safe train system. But if that’s your mission in life, it’s very uninspiring!” - former SMRT CEO

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[casper77]

Re: MRT Mission - Past & Present

Bro, dats was hw long ago?? change boss change policy mah...

 

[Baby1M]

Re: MRT Mission - Past & Present

Bro, dats was hw long ago?? change boss change policy mah...

Which boss? U refering to LKY to LHL? Knn Garmen, no wonder many netizen call them Roti Prata seller.

 

[seanskye]

MRT Mission - Past & Present

It doesn't take a lot to separate SMRT's P&L to see that the operations segment of their business is loss-making. The revenue collected from fares simply cannot cover the cost of operations and ITDA.

Should we dissect the business and take the non-core activities away, the rail/bus business is a highly costly and non-profitable service. Compared to similar services in other countries like HK MTR and London Tube, the revenue side in my opinion (I am in no way related to LTA or SMRT/SBS Transit) is grossly under-charged.

The only reason why they actually made 'profits' in many years was because they ventured into non-rail/bus businesses like property and leasing. This was unfortunately done to such an extent that they allegedly lost focus on the core mission during Saw's time.

Had they done this in pace with the proper upkeep and upgrading of the train service, perhaps the SMRT would have become a truly great company today.

Unfortunately, this did not happen.

The public should not demand to be ENTITLED to $1-20,000 COEs and still expect the roads to be congestion free. Similarly, the public should not expect low fares and yet superbly maintained rail system at a cost that is way above revenues. We have all enjoyed low COEs and low MRT/bus fares in the past, but look at where that got us :
- congested roads with such high usage (due to number of cars on the roads) that potholes/sinkholes appear all over the place because the road authorities struggle to keep up;
- rail services breaking down because a commercial company struggles to keep up with the cost of maintenance from the fare revenues decided by non-commercial entities;
- overcrowded busses and long wait times due to non-profitability of certain routes and certain schedules, again from fare revenues decided by non-commercial entities.

In the meantime, the government can give out subsidies to the needy to relieve their pain. In the long term however, the entire system seriously needs a reality check. Loading the costs of a public transport system on a commercial and listed company is quite unrealistic.

 

[casper77]

Re: MRT Mission - Past & Present

change mee ne stir..... change policy lor

 

[Baby1M]

Re: MRT Mission - Past & Present

.....This was unfortunately done to such an extent that they allegedly lost focus on the core mission during Saw's time.

In the meantime, the government can give out subsidies to the needy to relieve their pain. In the long term however, the entire system seriously needs a reality check. Loading the costs of a public transport system on a commercial and listed company is quite unrealistic.

- Totally agree.

- Strangely Billions of taxpayer's money was given to this commercial and listed company not too long back, justification stated but now fare rise again contridicting the purpose of billions given... an act which I see alot of citizens (at least vocal ones) are unhappy about it. A lot do not understand this move, me inclusive.

 

[casper77]

Re: MRT Mission - Past & Present

ya... wait like changi race circuit.... d main con run road... still tot got chance take my R6 go there loot few rounds..

 

[seanskye]

MRT Mission - Past & Present

- Strangely Billions of taxpayer's money was given to this commercial and listed company not too long back, justification stated but now fare rise again contridicting the purpose of billions given... an act which I see alot of citizens (at least vocal ones) are unhappy about it. A lot do not understand this move, me inclusive.

Put it this way, if a person earned only $1000 a month and drives a BMW (that was say, given to him by a sugar mummy), would that person have the resources to keep the BMW in an excellent state, or even keep up with the servicing needs?

The answer likely is "no". In this case, he would keep driving and enjoy the sheer driving pleasure until one day, the engine goes "PIANG!". Then he would say "CCB BMW, Sugar Mummy, etc etc". Everyone but himself.

The cost of regular preventive maintenance is in the hundreds. The cost of a destructive failure, coupled with the expenses in terms of delays, cost of renting another car at last minute urgent basis, sugar mummy screaming at him why he didn't meet her on time at the same run lion place, chasing workshop to get the car repaired at triple quick pace so he can continue to service his clients, etc - priceless.

The problems SMRT had were always there, snowballing until the whole thing exploded. You get the picture.

 

[Red_Bean_Bun]

Re: MRT Mission - Past & Present

Thatcherism should go with Thatcher. Some things should be managed with the people first.

 

[Baby1M]

Re: MRT Mission - Past & Present

Put it this way, if a person earned only $1000 a month and drives a BMW (that was say, given to him by a sugar mummy), would that person have the resources to keep the BMW in an excellent state, or even keep up with the servicing needs?

The answer likely is "no". In this case, he would keep driving and enjoy the sheer driving pleasure until one day, the engine goes "PIANG!". Then he would say "CCB BMW, Sugar Mummy, etc etc". Everyone but himself.

The cost of regular preventive maintenance is in the hundreds. The cost of a destructive failure, coupled with the expenses in terms of delays, cost of renting another car at last minute urgent basis, sugar mummy screaming at him why he didn't meet her on time at the same run lion place, chasing workshop to get the car repaired at triple quick pace so he can continue to service his clients, etc - priceless.

The problems SMRT had were always there, snowballing until the whole thing exploded. You get the picture.

Bro, u power lah, illustrate it like tat

 

[seanskye]

MRT Mission - Past & Present

Bro, u power lah, illustrate it like tat

You are welcomed. I typed an entire wall of text, rem to thankew me hor!!!

 

[brosiss]

Re: MRT Mission - Past & Present

One of the way garmen can give back to society is still a cheap and efficient public transport.

Singaporeans pay tax, if not income tax, everyone working or not working pay GST and fuel tax since everything runs on fuel.

Even foreigners working here too, they pay gst for the consumables, living expenses and their companies pay levies to garmen. Even tourists also pay airport tax, hotel tax, etc...

Matters of want or don't want, not can or cannot.

Decades ago, garmen assume the subsidies with state run enterprises, now privatised state enterprises, the cost of living went up, again garmen still has to assume the subsidies. Moreover garmen also has corporate tax on these privatised enterprises. Yes, privatised state enterprises gives better standards but garmen must not neglect their roles in steering the right path for the people.

 

[Jason8822]

Re: MRT Mission - Past & Present

Loading the costs of a public transport system on a commercial and listed company is quite unrealistic.

Why did it went from a govt co. into a commercial entity ?
What is the rationale behind ?

 

[seanskye]

MRT Mission - Past & Present

Why did it went from a govt co. into a commercial entity ?
What is the rationale behind ?

Same reasoning as for the privatisation of air transport (Singapore Airlines), telecoms (Singtel), power (Singpower), postal (Singpost), steel making (NatSteel), and many other examples in construction, real estate, banking, port services, airport and airport services, naval yards converted to shipbuilding/repairs, etc.

 

[kenntona]

Re: MRT Mission - Past & Present

Put it this way, if a person earned only $1000 a month and drives a BMW (that was say, given to him by a sugar mummy), would that person have the resources to keep the BMW in an excellent state, or even keep up with the servicing needs?

$1000 per month definitely not from my agency. But please PM me the sugar mummy's contact.

 

[golfgti]

Re: MRT Mission - Past & Present

MTR > Business Overview > Corporate Profile

"Today, MTR Corporation is involved in a wide range of business activities in addition to its railway operations. These include the development of residential and commercial projects, property leasing and management, advertising, telecommunication services and international consultancy services."

This is the way forward IMO. Garmen still own alot of state properties. Y not inject some into SMRT so that it has diversified income to offset rail expenses? Its a much better way than perpetual subsidies injection which pple cannot agree with.

 

[SpoiltBrat]

Re: MRT Mission - Past & Present

I believe the intention for privatisation is so that the government is not saddled with the ever increasing cost of running such a service. Granted that is a valid argument and that government cannot continuously subsidise the service.

But looking at the situation we are facing now there seems to be little to no difference. We are still saddled with the need to pump in money to these so call privatised entities. Either directly as in the recent 1.1 billion dollars or indirectly as in providing citizens with top-ups.

If this is truly privatised then if they cannot make it, we should offer the "franchise" to the next higher bidder. All these pampering is just as good as the government running it themselves.

 

[seanskye]

Re: MRT Mission - Past & Present

Honestly, a one time "rescue" package of 1.1B of public funds to repair something that has been neglected for too long is not a lot if you compare it with spending in other areas. Especially for something as complicated as the mass rapid transit system and one that affects so many lives at once. I hesitate to speculate into what those "other sectors" are but I'm pretty confident a lot more than $1.1B can be saved over many years from things that are less critical.

 

[Oilman]

Re: MRT Mission - Past & Present

Does anyone know what the fare increases will be? Yahoo News is going all Latino with its reporting... :sleepy:

 

[totoseow]

Re: MRT Mission - Past & Present

I believe the intention for privatisation is so that the government is not saddled with the ever increasing cost of running such a service. Granted that is a valid argument and that government cannot continuously subsidise the service.

But looking at the situation we are facing now there seems to be little to no difference. We are still saddled with the need to pump in money to these so call privatised entities. Either directly as in the recent 1.1 billion dollars or indirectly as in providing citizens with top-ups.

If this is truly privatised then if they cannot make it, we should offer the "franchise" to the next higher bidder. All these pampering is just as good as the government running it themselves.

certain parts of a country's infrastructure shud never b privatized. ie utilities n transportation.