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You are being short-changed – Reform Party

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From Voting RP

In his speech to the PAP Conference on 27th November, PM Lee said that Singaporeans could expect a good Budget because government revenues had been better than expected.

The Reform Party is not surprised by this. The real question is why Singaporeans have not benefited for so many years from excessive government surpluses all these years.

The way the Budget is presented makes it difficult to discover what the true state of government finances are. The Finance Minister first reports what is called the primary balance which is the difference between operating revenue (the amount raised in taxes and user fees) on the one hand and the sum of operating expenditures and development expenditures on the other.

The Minister then adjusts this balance for special transfers (the main item is GST credits) including top-ups to endowments and trust funds. This results in what is called the basic balance before the net investment returns contribution is added in.

The net investment returns contribution is up to half of Temasek and GIC’s income in any year. Again we are not told the exact percentage and any capital gains (or losses) on their portfolios are not included. After adding this in Minister Tharman forecast a deficit of about 1.1% of GDP for 2010.

The question is whether this is in any sense a meaningful indicator of the government’s fiscal position. Since the primary balance does not include interest income, investment income and capital grants yet includes development expenditure, the Reform Party contends that it clearly is not.

The Yearbook of Statistics 2010 shows that the general government surplus (which is more comprehensive than the government surplus since it includes extra-budgetary amounts) was $18 billion in 2005 and 2006, $35 billion in 2007 and $22 billion in 2008. In 2009 the government deficit (the general government figure was not available) was $4 billion but according to the Monthly Digest of Statistics for November 2010 this has been reversed this year and up to October the surplus was about $16 billion for the first six months. If one could crudely extrapolate from that then one might expect the total surplus for the year to be around $32 billion. To arrive at a rough estimate as to what this means for the ordinary Singaporean, if I divide the surplus by the number of Singapore citizens (roughly 3.2 million as of June 2010) then that gives a figure of $10,000 which could theoretically be distributed to every Singaporean man, woman and child without reducing the Government’s net asset position. And do not forget that is not just a one-off windfall. A similar sum could have been distributed in every year except 2009.

In fact the government’s statement of assets and liabilities as at 31st March 2009 shows a net asset position of over $300 billion (if it is assumed that the entire Government Securities Fund is a liability to bond-holders). And that would appear to be before two important elements:

The equity in our Sovereign Wealth Funds (Temasek and GIC)

The value of the land to which the government holds the freehold which comprises about 80% of Singapore’s area.

Singaporeans have learnt to expect that in an election year there will be some exceptional transfer payments and tax credits (which will be subsequently more than clawed back through increases But what my analysis highlights is just how generous the Government can afford to be. Or to put it another way how much higher both consumption and investment could have been if the government had aimed to balance its budget rather than run surpluses close to 10% (and sometimes considerably more than 10%) of GDP in most years . Furthermore this surplus does not take account of:

The income earned by our investments in Temasek and GIC let alone any capital gain on these investments; and

Any change in the value of the government’s holdings of land. Land prices have risen strongly in recent years yet that is not reflected in the government’s net asset position.

The Reform Party would like to know why there is such a lack of transparency in the budgetary process and it is so difficult to get information as to the government’s true fiscal position.

Furthermore we want to know why the PAP always talks about the danger of bankrupting Singapore and no money being available to fund investment in our people when in fact the government’s net asset position is so inefficiently large. The Reform Party is a liberal free market party and not a socialist party. We believe that these assets can be put to much more productive use if they are in the hand of the private sector. In addition we believe better returns can be earned by investing more in our people than can be earned in low-yielding foreign government securities. Therefore we want to see:

Cuts in taxes and fees across the board especially on the lower-income segments

Universal health insurance from a reform of the current Medisave, Medishield and Medifund system

Universal free and inclusive education up to secondary level

More investment in reforming the education system and making it relevant to the broad mass of our population in a 21st century knowledge-based economy

More generous income support for working low-income families with children

Control of CPF returned to the individual and right to withdraw employee contributions at 55 restored

Basic old age pension to be funded through CPF but to be paid to everyone who has worked for minimum number of years even if they do not have minimum sum in CPF account.

Privatization of Temasek and GIC and distribution of shares to Singapore citizens

We will have no difficulty in answering the question we are frequently asked, “How do you intend to pay for this?”

So the Reform Party calls upon Singaporeans not to be deceived by the usual hand-outs that will come with next year’s Pre-Election Budget. Not even if these amount to several thousand dollars, as is entirely possible. You are being short-changed.

PM Lee said at his speech that “Provided Singaporeans support the Government and its plans, we can do it. We will make this one of the best countries in the world to live, work, bring up families and retire in.”

Don’t be fooled. Despite so many years of record surpluses, the PAP has failed to raise the living standards of the median Singaporean significantly since 1997. We can do better for you. Support the Reform Party and take your country back!

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Ng Eng Hen: Dust clouds likely caused armoured vehicle collision during Exercise Wallaby

Dust clouds limiting visibility likely contributed to the collision between two Hunter vehicles during Exercise Wallaby, Defence Minister Ng Eng Hen explained in his parliamentary reply. 12 servicemen sustained mild injuries, but safety measures prevented more serious outcomes. A formal investigation is ongoing to ensure further safety improvements.

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SINGAPORE: Low visibility caused by dust clouds was identified as the likely cause of the collision between two Hunter armoured fighting vehicles (AFVs) during Exercise Wallaby last month, Defence Minister Ng Eng Hen said in a written parliamentary response on Tuesday (15 October).

The incident, which occurred in Queensland, Australia, on 24 September 2024, resulted in mild injuries to 12 servicemen.

Dr Ng’s statement was in response to a parliamentary question from Mr Dennis Tan, Workers’ Party Member of Parliament for Hougang SMC.

Mr Tan asked for details on the accident, specifically its cause and whether any lessons could be applied to enhance training and operational safety within the Singapore Armed Forces (SAF).

The collision took place during a night-time movement of Hunter AFVs at the Shoalwater Bay Training Area.

The vehicles were returning to base when one rear-ended another. Dr Ng explained that the dust clouds generated by the AFVs’ movement significantly impaired visibility, might likely contributing to the accident.

The 12 affected servicemen sustained mild injuries and were promptly taken to the nearest medical facility.

None of the injuries required hospitalisation, and all 12 servicemen were able to rejoin their units for training the next day.

According to the minister, adherence to safety protocols—such as wearing seat belts and protective gear—played a crucial role in limiting the injuries to mild ones.

Following the incident, a safety pause was immediately implemented, with all drivers being reminded to maintain proper safety distances, especially when visibility was compromised.

Troops were also reminded to adhere strictly to safety protocols, including the proper use of safety equipment, Dr Ng added.

The safety lessons from the incident were shared not only with the affected units but also with other participating groups in the exercise, as well as units back in Singapore, through dedicated safety briefings.

Mr Tan also asked about the broader implications of the incident. In his response, Dr Ng said that a formal investigation had been launched in accordance with SAF’s safety incident protocol.

The investigation aims to assess the circumstances more thoroughly and identify any further measures that could be taken to enhance safety.

Dr Ng shared that recommendations arising from the investigation will be implemented where necessary.

Exercise Wallaby is SAF’s largest unilateral overseas exercise, and the 2024 edition began on 8 September, running until 3 November.

The exercise involves approximately 6,200 personnel, including 500 operationally ready national servicemen.

The exercise has been conducted at Shoalwater Bay Training Area in Queensland since 1990, and it is a key part of SAF’s overseas training program.

The Hunter AFV, one of the vehicles involved in the collision, is a state-of-the-art platform jointly developed by the Defence Science and Technology Agency, the Singapore Army, and ST Engineering.

It replaced the SAF’s aging fleet of Ultra M113 AFVs in 2019, which had been in service since the 1970s. The Hunter is equipped with advanced features, including a 30mm cannon, a 76mm smoke grenade launcher, and an automatic target detection and

tracking system designed to enhance operational effectiveness. It is also capable of traveling at increased speeds and covering longer distances, making it a versatile asset for the SAF.

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Government to “carefully consider” Lee Hsien Yang’s demolition application for 38 Oxley Road

The Singapore Government will “carefully consider” Mr Lee Hsien Yang (LHY)’s application to demolish the house at 38 Oxley Road. LHY announced his intent on Tuesday morning following the recent death of his sister, Dr Lee Wei Ling, reaffirming his commitment to honour his parents’ wish for the house’s demolition.

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The Singapore Government has indicated that it will “carefully consider” Mr Lee Hsien Yang’s (LHY) application to demolish the family home at 38 Oxley Road.

LHY, the youngest son of Singapore’s founding Prime Minister, the late Lee Kuan Yew (LKY), announced his intention to apply for the demolition in a Facebook post on 15 October 2024, following the death of his sister, Dr Lee Wei Ling, on 9 October.

The announcement marks a significant development in the ongoing saga over the fate of the historically significant property, which has been at the heart of a family dispute since LKY’s passing in 2015.

In his will, executed in December 2013, LKY expressed his desire for the house to be demolished “immediately after” Dr Lee moved out of the property. Dr Lee, a prominent neurologist, had been the last remaining resident of the house.

LHY reaffirmed his commitment to carrying out his father’s wishes, stating, “After my sister’s passing, I am the only living executor of my father’s estate. It is my duty to carry out his wishes to the fullest extent of the law.”

He added that he would seek to build a small private dwelling on the site, which would be “held within the family in perpetuity”.

LHY also referenced his brother, Senior Minister Lee Hsien Loong’s (LHL) remarks in Parliament in 2015, when he was Prime Minister, stating that upon Dr Lee’s passing, the decision to demolish the house would rest with the “Government of the day.”

In response to media queries regarding LHY’s announcement, a spokesperson for the Ministry of National Development (MND) acknowledged the intended application and emphasised that the Government would “carefully consider issues related to the property in due course”.

The spokesperson also highlighted that any decision would need to balance LKY’s wishes, public interest, and the historical value of the house.

The house at 38 Oxley Road, where key decisions about Singapore’s path to independence were made, has been a focal point of public and political discussion.

The future of the house became contentious in 2017 when LHY and Dr Lee publicly accused their elder brother, LHL, of trying to preserve the house against their father’s wishes for political reasons.

LHL denied the accusations, issuing a Ministerial Statement in Parliament, where he also raised concerns over the preparation of their father’s final will. He clarified that he had recused himself from all decisions regarding the property and affirmed that any government action would be impartial.

In 2018, a “secret” ministerial committee, which was formed in 2016 to study the future of 38 Oxley Road, proposed three options: preserving the property and designating it as a national monument, partially demolishing the house while retaining the historically significant basement dining room, or allowing complete demolition for redevelopment. LHL accepted the committee’s conclusions but stated that no immediate decision was necessary, as Dr Lee was still living in the house.

In a statement conveyed by LHY on behalf of Dr Lee after her passing, she reiterated her strong support for her father’s wish to demolish the house. “My father, Lee Kuan Yew, and my mother, Kwa Geok Choo, had an unwavering and deeply felt wish for their house at 38 Oxley Road to be demolished upon the last parent’s death,” the statement read.

She added, “He had also appealed directly to the people of Singapore. Please honour my father by honouring his wish for his home to be demolished.”

Despite selling the house to LHY at market value in 2015, LHL’s stance regarding the house’s preservation became a public issue, especially after the family disclosed that the Government had raised concerns about reinstating the demolition clause in the 2013 will. The ministerial committee had reviewed the matter, but a final decision was deferred until now.

The fate of 38 Oxley Road remains to be seen, but the Government’s decision will likely have lasting implications for the legacy of the Lee family and the conservation of Singapore’s historical landmarks.

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