Town councils must set aside 14% of conservancy fees for lift replacement

Town councils must set aside 14% of conservancy fees for lift replacement
Posted 23 Jan 2017 12:08 Updated 23 Jan 2017 19:11

SINGAPORE: Starting April this year, all town councils will have to set aside at least 14 per cent of their service and conservancy charges (S&CC) collected from residents, as well as Government grants, for lift replacement.

This will be on top of their regular contributions – a minimum of 26 per cent of collections – to the general sinking fund, the Ministry of National Development (MND) said on Monday (Jan 23).

To help cover their costs, the ministry will increase the S&CC operating grants it now gives to the town councils, and also provide additional grants to match part of the town councils’ contributions to their Lift Replacement Fund.

Details of the MND assistance measures will be released separately, it said.

“As our HDB estate infrastructure gets older, more expenditure will be needed for the maintenance and replacement of these infrastructure assets. Town councils must therefore plan ahead and contribute more to their sinking funds to pay for these major expenses,” the ministry said.

Last September, the Housing and Development Board (HDB) said it will launch a new S$450 million Lift Enhancement Programme to help fund the costs of modernising older lifts in public housing estates. All town councils will also have to set up dedicated Lift Replacement Funds, to be carved out from their sinking funds and ring-fenced for future lift replacements.

The announcement came after a spate of well-publicised lift malfunctions last year, including one where an elderly man died and another where an elderly woman’s hand was severed.

In response to media queries on Monday, PAP Town Councils said they support the move to set aside 14 per cent of the S&CC for the lift replacement fund, and that any additional grants are welcomed.

"Expenditures have increased significantly especially in lift maintenance, conservancy, and pest control work," said the coordinating chairman of PAP Town Councils Teo Ho Pin. "Furthermore, as our estates get older, it will require more cyclical maintenance work to be carried out.

"The PAP Town Councils will continue to adopt a prudent approach to provide quality maintenance services to our residents."

- CNA/cy


- wong chee tat :)