Residents in 15 People's Action Party (PAP) Town Councils will have to pay for an increase in Service and Conservancy Charges (S&CC) starting from 1 June this year.
The increase is set to be phased over two years, the first tier takes effect from 1 June 2017, ranging from $0.50 to $9.00 per month for HDB one-room to executive flat home-owners, the Holland-Bukit Panjang town council (HBPTC) said in a statement on Friday (17 Feb).
The second tier will take effect on 1 June 2018, with HDB flat owners paying $0.50 to $8.00 per month.
The increase will affect HDB flats, offices, shops, markets and cooked food stalls in the locality of the town councils.
In the first tier, the increase for commercial property owners and tenants is ranging from $0.09 to $0.27 per sq m/month, and for market and food stalls it is ranging from $2.70 and $23.00 per month.
And in the second tier commercial property owners and tenants will see an increase between $0.05 to $0.21 per sq m/month, and for market and food stalls it is between $2.50 and $17.50 per month.
However, the charges are different for each town council and individual notices informing the new rates will be sent to residents.
The 15 Town Councils are:
- Ang Mo Kio,
- Bishan-Toa Payoh,
- Chua Chu Kang,
- East Coast-Fengshan,
- Holland-Bukit Panjang,
- Jalan Besar,
- Marine Parade,
- Marsiling-Yew Tee,
- Nee Soon,
- Pasir Ris-Punggol,
- Tanjong Pagar,
- West Coast.
The HBPTC said that the increase is to keep up with rising maintenance costs, including cleaning and pest and vector control.
The Government will typically provides rebates for S&CC in its annual Budget.
Last year, one-room and two-room HDB households received a total of three months of rebates, while three-room and four-room households collected two months of rebates, which cost the Government $86 million, and enjoyed by around 840,000 HDB households.
The HBPTC statement said, "The adjustments will enable the PAP Town Councils to build up their Sinking Funds to replace old lifts, undertake essential cyclical maintenance and component replacements, and carry out the Lift Enhancement Program."
"Expenditure requirements in these areas are significant and will continue to grow as our estates get older," it stated.
Last month, the Government has announced that beginning on 1 April 2017, all town councils have to set aside a minimum of 14 percent of their Service and Conservancy Charges (S&CC) collections and government grants for lift replacement.
Typically the S&CC goes towards the maintenance and upkeep of the common property within the town council. Some of these services include:
- Provision of essential maintenance and repairs of lifts, water pumps, switchrooms, lightings and lift rescue services
- Conservancy and cleaning works
- Landscaping and horticultural works
- Preventive and cyclical maintenance works including repainting and re-roofing
- Replacement of water pipes and automatic refuse chute-flushing systems.