Date Published: 12 Mar 2013 Er Lee Bee Wah (translation of Mandarin script): Mdm Chair, I would like to seek a clarification in Mandarin, please. I am very pleased that the Minister (Second Minister Grace Fu) has agreed to look into my observation that the hawkers are concerned with having their license renewed. I would like to ask the Minister when the Ministry of the Environment and Water Resources contact the hawkers and settle this issue of renewing their licenses, so that they can just settle down and work. Response by Second Minister Grace Fu (translation of Mandarin script): I would like to thank Er Lee Bee Wah for her clarification, so that I have the opportunity to clarify on this matter. As Minister has said, apart from the new hawker centres, we are also concerned with the operation of some of the existing hawker centres. There are 15 hawker centres across the island where stalls were sold under the Stall Ownership Scheme. The stallholders’ 20-year leases expire over four phases, with the first four affected places being Bedok, West Coast, Aljunied and Ghim Moh. These centres will continue to operate after refurbishment, renovations or redevelopment, depending on the needs at each centre. Any stall-owner interested to continue his business will have the option to do so. Stall-holders on the subsidised rent scheme before they bought their stalls 20 years ago will be reinstated on this scheme if they wish to continue business. If not, they can either give up the stall and receive an ex-gratia payment or assign the stall to another hawker who will pay the prevailing market rent. Other stall-owners who were not formerly subsidised stall-holders can choose to continue to operate their stalls at the prevailing market rent. We will be very fair towards all affected stall-owners. Next, within the short term, we shall consult closely with various parties, and we hope that we can share further details soon, before 2014 when the first four centres’ leases expire. Mr Zainal Sapari: I would like to thank the Second Minister Ms Grace Fu for supporting and working with NTUC to push for the Progressive Wage Model to be embedded in the future licensing scheme for cleaning companies. Could the Second Minister share specifically the expected quarter in 2014 where the new licensing requirement for the cleaning companies will be made mandatory? Response by Second Minister Grace Fu: Mdm Chair, I thank the Member for his question. I think we will announce the details shortly. Mr Yee Jenn Jong: I would like to seek further clarification from the Minister about the management of the new hawker centres. I would like to know the basis of which the first centre was awarded to NTUC Foodfare, and the second one to the other social enterprise in Bedok. I would like to know what sort of rents these social enterprises are expected to pay to the Ministry and how are they in turn expected to select the hawkers and to pass the rent cost down to the hawkers, and how the prices will be kept affordable. Response by Minister Vivian Balakrishnan: Let me first deal with the very interesting social enterprise model which has been developed in Simpang Bedok. First, this is a purely private initiative. It is not a NEA hawker centre. Nevertheless, a group of people, good-hearted, business-minded, passionate people got together and said, “We want to operate a hawker centre.” They negotiated with the private landlord for the space which had not been very well utilised and they started it. I had the honour of opening it. I was very impressed with what I saw. What impressed me most is not the physical infrastructure but the attitude and the cohesiveness of the hawkers there −people who were given a second chance to start life anew, to start a business, to explore some new concepts, new ideas. And the fact that this started in a private area completely without subsidies, or, indeed, without even any urging or pushing from me, is to me something to be celebrated. So, that is for the centre at Simpang Bedok. For the one at Bukit Panjang, Dr Teo will know that −he has been campaigning for a new hawker centre in Bukit Panjang for, I think, well over a decade. When we announced that we would re-start the building programme, to me, it was an obvious choice that I should accede to a longstanding request. Having said that, the next point was the choice −I could either operate it directly as another NEA centre or, I said, “I want to try out new models and give social enterprises an opportunity.” Because it was the first one, at that point in time, in fact, Foodfare was the only game in town. The people who started Simpang Bedok were not yet available. The role, however, is that it is NEA that is developing the centre. It is NEA that is paying for the cost of construction of the centre. In fact, it is NEA that has to pay the Government on the basis of what the Chief Valuer assesses is the rate for it. Foodfare’s role is that of a managing agent. They do not own the place. They will not decide the policies of the place. But I want them to inject social responsibility, I want them to inject new ideas, I want them to try out new experiments and I want them to be able to manage the hawkers but still maintain the personal operation −the personal to holder nature of our hawker centres. So, it is a pilot and we will see how that has gone. We have had extensive negotiations at arm’s length on what, in effect, NEA has to pay them to perform this managing agent’s role. I now look forward that we have got at least another nine in the pipeline, to see who else puts up their hands and enters this field. I would stress, however, that all these are pilots and just because we award a contract for three years does not mean this will go on ad infinitum. So, it is my standing invitation to anyone here or if you know of people, both with a good heart, business experience and want to enter this field, please send us your proposal and we will look at it favourably. Mr Lim Biow Chuan: Going back to the sold food stalls, some of these food stalls that have been sold have been tenanted out to operators of the food centres. So, when you are going to renew the extension of the lease for the food stalls, who are you going to give to –the owners or the current people who are selling food? Response by Minister Vivian Balakrishnan: We will have to deal with the owners who, in a sense, are the people who currently have some locus standi for the stall. Our condition is that once we take over, we will insist that it be operated personally. If the owner is not in a position to operate it personally, I would expect that he or she would transfer that stall to someone who is willing to subsequently personally operate the stall. So, the key principle is personal operation of the stall. The changes to our policies for the last two years on hawker centres have been to remove the element of property speculation and arbitrage from it. I think this is a principle which I probably say all Members of this House support. So that it is not property play. Hawker centres are about good, cheap, hot, wonderful food and a relaxed place for all us to get together. Er Lee Bee Wah: 刚才部长提到那些新的小贩中心会如期完成。我想要问，在义顺，新的小贩中心是否 能够提早完成，因为如期的完成是在2015年，不过在2014年，我们有三个新的预购组 屋区将会完成，很多新的居民会搬进去。谢谢。 (Translation: Just now, Second Minister Ms Grace Fu mentioned that the new hawker centres will be completed on time. I would like to ask whether the new hawker centre at Yishun could be completed ahead of the scheduled 2015, as three BTO projects will be completed in 2014 and many new residents will be moving in.) Response by Second Minister Grace Fu: 感谢李议员的问题。我们当然非常了解议员在这方面的心情，非常期盼新的小贩中 心能够尽快的完成。环境局也是带着同样的心情，现在是日夜赶工，尽快把工程完成 。当然，现在大家也知道，我们在建筑方面受到人口、人手的控制，对我们的整个建 筑业带来一些紧张的情况。在尽可能的情况下，我们会尽快的把小贩中心，把美味可 口、价廉物美的事物带给义顺的居民。 (Translation: Thank you for the question. Of course, we very much understand the MP’s anticipation of the completion of the hawker centre. NEA shares the same sentiments, and it is now working day and night to try to complete the construction as soon as possible. However, as everyone knows, we are now limited by controls over manpower, which have brought about some pressures in the construction industry. As far as possible, we will try to expedite the hawker centre, as well as the cheap and good food it offers, to Yishun residents.) Ms Penny Low: I would like to ask the same question on behalf of the Punggol New Town residents. It is the fastest growing town and we have got many, many BTOs coming on-stream, and I think one of the biggest issues in Punggol New Town is the lack of the choices of food that is available. There are coffee shops and there are very few restaurants but there is no hawker centre at all in the entire new town. So, that is the first question. The second question is on "recycling, reuse and reduce". One of the biggest issues that the residents face is the lack of such facilities. There are some mega bins that are put in between a few blocks but they are too far and few.