PLANNING (AMENDMENT) BILL

Order for Second Reading read.

7.06 p.m.

The Minister for National Development (Mr Lim Kim San): Mr Speaker,' Sir, I beg to move, "That the Bill be now read a Second time."

With the rapidly increasing population in Singapore which is estimated to reach 4 million in 1990, the Master Plan which was designed for a population of 2 million will have to undergo radical changes to take into account the population growth. Part of the lands presently allocated for rural uses, green belt, and even agriculture will have to be re-zoned for industry and other urban uses, and the density of population in residential zones will have to be increased to enable a more intensive use of land. All these will cause an increase in the price of land, since land is a scarce and limited factor in the resources of the State. In consequence, many landowners will stand to benefit from an increase of land values through no additional effort on their part, except that they are fortunate enough to own land near to areas developed by the State.

With a view to securing to the State the increases in value of land brought about by community development and not through the efforts of the landowner, the Government has considered various measures including the acquisition of development rights in land, the acquisition of the freehold in land, and the freezing of land prices, but after very careful consideration, the Government has decided that, as a practical and immediate measure, a development charge should be made on all written permissions for the development of land beyond the existing permitted use. The broad principle is that any written permission granted which allows development over what is normally permitted in the present Master Plan will attract a development charge. In other words, landowners or other interested persons who will benefit from the grant of permission must pay to the State a part of this benefit in the form of a development charge.

The Bill seeks to add a new part, Part III A, entitled Development Charge, to the Planning Ordinance. This provides for the levy of a development charge on the grant of written permission which permits development in excess of the average residential density prescribed in the Master Plan, or an average residential density of 50 persons per acre in the Island map of the Master Plan, or on an alteration to the Master Plan after 1st January, 1964.

The date 1st January, 1964, is intended to serve as a datum to distinguish between the provisions of the present Master Plan and subsequent alterations. The charge may be levied on the land owner or the person making the application, and must be paid or secured to the satisfaction of the Competent Authority before the grant of the written permission. Statutory Boards will be exempted from the charge. The charge is determined by an order of the Competent Authority, and any person who is dissatisfied with the order as to the development charge, may appeal to the Minister. The development charge, in default of payment, can be recovered as a first charge on the land of any person from whom the money is due. The Bill empowers the Minister to make rules for prescribing the different rates of development charges; the exemption of a particular, or class of development from such charge, and the procedure for an application for the determination of the charge.

It has also become increasingly evident over the past two years that a great majority of applications for development are made not with the intention of developing the site for which plann ing permission has been granted, but for the purpose of speculation. We get the absurd position of the planning permission or the planning script being hawked around the market, with no actual development taking place on the site. The Government views with concern the abuse of the planning machinery which has produced a large number of sites carrying planning approvals with little prospect of their being developed. Such approved sites can be obstacles to the future planning of the locality, as any Government schemes affecting them would render the Government liable to a larger compensation than if the site had not received planning approval. Clause 3 of the Bill accordingly provides that any written permission for building and other opera tions granted after, the appointed day, will lapse if the development is not, completed within two years of the grant of permission with the proviso that such permission may be renewed for such period as is considered necessary by the Competent Authority.

It is further provided in clause 4 that any written permission granted before the appointed day for building or other operations may be cancelled by the Competent Authority if the development is not completed within three years after the appointed day. This provision is similar to section 10 of the Planning Ordinance which provides for the cancellation of planning permission granted under the Singapore Improvement Ordinance.

The opportunity has been taken also to tighten and strengthen the existing provisions on planning enforcement. Clause 5 seeks to repeal and to re-enact the enforcement provision in section 13 of the Ordinance with amendments. Clause 5 now provides for enforcement notices to be served not only on the person who has carried out development without planning permission, but also on the owner or occupier of the land. A person who is convicted for failing to comply with the directions in an en forcement notice will now be liable to a continuing fine of a maximum of $100 per day for each day during which the offence is continued after conviction. It is further provided that a person who, after compliance with an enforcement notice, uses the land or carries out any re-instatement or restoration of the building, will be guilty of an offence punishable by fine or imprisonment, or both.

Clause 7 gives authority to persons authorised by the Minister or the Competent Authority to enter upon any land for the purpose of carrying out the provisions of the Ordinance, and makes it an offence for any person who obstructs such persons in the exercise of this authority. This is to afford protection to officers in the exercise of their duties under the Ordinance. This clause also provides for the methods of recovery of any money due under the Ordinance. The proceedings are similar to those provided for the recovery of property tax under the Property Tax Ordinance.

The purpose of clause 10 is to simplify the administrative process by transferring to the Minister all references to the Yang di-Pertuan Negara wherever this expression appears in the Ordinance.

The remaining clauses 1, 2, 6, 8 and 11 provide for minor and consequential amendments.

Sir, I beg to move.

Question put, and agreed to.

Bill accordingly read a Second time and committed to a Committee of the whole Assembly.

Assembly immediately resolved itself into a Committee on the Bill. - [Mr Lim Kim San].

Bill considered in Committee.

[Mr Speaker in the Chair]

7.16 p.m.

Clauses 1 and 2 ordered to stand part of the Bill.

Clause 3 -

Mr Lim Kim San: Mr Speaker, Sir, I beg to move,

In page 2, to leave out lines 22 to 24 inclusive and insert -

'(b) by inserting immediately after the word "decision" appearing at the end of subsection (13) thereof the expression "which shall be final. The decision of the Minister on any such application shall not be challenged or questioned in any Court.".'

Mr Speaker, Sir, the amendment proposed in clause 3 of the Bill already provides that the decision of the Minister shall be final. The purpose of the present amendment is to make it clear that the decision of the Minister shall not be challenged in any Court.

Amendment agreed to.

Clause 3, as amended, ordered to stand part of the Bill.

Clause 4 ordered to stand part of the Bill

Clause 5 -

Mr Lim Kim San: Mr Speaker, Sir, I beg to move,

In page 3, line 25, to leave out "date" and insert "determination".

The purpose of this amendment is to correct an error in drafting.

Amendment agreed to.

Clause 5, as amended, ordered to stand part of the Bill.

Clauses 6 to 8 inclusive ordered to stand part of the Bill.

Clause 9 -

Mr Lim Kim San: Mr Speaker, Sir, I beg to move,

In page 10, line 41, to leave out "(12)" and insert "(11)".

The purpose is to correct a typographical error.

Amendment agreed to.

Clause 9, as amended, ordered to stand part of the Bill.

Clauses 10 and 11, ordered to stand part of the Bill.

The Schedule ordered to stand part of the Bill.

Bill reported with amendments; read a Third time and passed.