MASS RAPID TRANSIT CORPORATION (AMENDMENT) BILL

Order for Second Reading read. 3.24 pm

The Minister for Communications and Information (Dr Yeo Ning Hong): Mr Deputy Speaker, Sir, I beg to move, "That the Bill be now read a Second time."

Sir, at the Parliamentary sitting in March this year, I gave this House a progress report on the construction of the MRT system. I indicated that the first train is expected to begin its public service in early December this year, running from Yio Chu Kang to Toa Payoh, and then towards the end of the year to Outram Park. The Mass Rapid Transit Corporation has maintained good progress and the project is still on schedule.

I also indicated that detailed studies are undertaken to look into how we can privatize the MRT operations. Members of the House will recall that the objective of privatization is to ensure that the MRT system will be run efficiently and be more responsive to the changing needs of the travelling public.

Sir, the impending commencement of operation and privatization of the MRT system have made it necessary to update the Mass Rapid Transit Corporation Act. The amendments in this Bill are divided into four main categories:-

Firstly, amendments related to the operation of the MRT system by a licensee;

Secondly, provisions required for the purpose of operating the railway;

Thirdly, provisions relating to the safety of the railway; and

Fourthly, other incidental amendments.

I shall now highlight the major amendments. Clause 3 of the Bill provides for amendment to section 4 of the MRTC Act so as to allow the Corporation to become a regulatory and licensing authority of the MRT system, in addition to its primary role as the builder of the MRT lines. Clause 4 of the Bill provides for the Corporation to license the MRT operations to any such company that it deems fit.

It is important that there be sufficient safeguards to protect the travelling public and the MRT system which is a national asset. As such, in clause 5 the considerations in granting a licence are the financial standing of the licensee and its ability to maintain an adequate, safe, satisfactory, and efficient service. The MRTC may impose conditions relating to the general level of service, the safety of persons using the railway and the maintenance and operation of the railway. The MRTC can suspend or revoke the licence if the licensee fails or is likely to fail to provide and maintain an adequate, safe, satisfactory, and efficient service.

At present the MRTC Act deals only with the construction of the MRT system. So, amendments to the MRTC Act are necessary to enable efficient operation of the railway. So clauses 7 and 8 permit the Corporation or any person authorized by the Corporation to enter upon State or other land within the railway area for the purpose of operation and maintenance of the railway. The MRT system when fully operational is projected to have about 860,000 passenger trips daily. It is therefore essential that the system be operated and maintained safely.

Incidental to the operation of the MRT system by a licensee, the provisions presently in the MRTC Act concerning the rights to claim compensation from the Corporation have been extended to the licensee in clauses 9 and 10. Procedures for making such claims shall apply to the licensee as with the MRTC.

Clause 12 of the Bill inserts a new Part VIA to the Act relating to the safety of the railway. One of the provisions, for example, empowers the Minister to appoint inspectors to carry out inspections for the purpose of ensuring the safety of the railway or when an accident has occurred on any part of the railway. The Bill also makes it an offence to wilfully do any act which endangers the safety of any traveller, for which on conviction there is a maximum fine of $10,000 or imprisonment of up to five years or both. The provisions pertaining to the safety of the railway are similar to those provided in other MRT systems.

Clause 14 of the Bill gives the Corporation powers to make regulations on matters concerning the maintenance, use, operation, and safety of the railway, the protection of the property of the railway, and the powers and duties of inspectors.

Finally, clause 17 adds a new Schedule to the Act which gives the MRTC or permitted parties the exclusive right to use the well-known MRT logo.

Sir, I beg to move.

Question proposed.

Mr Chng Hee Kok: Mr Deputy Speaker, Sir, I just want to raise a point with the Minister that relates to section 48(G), subsection (2) on the use of the symbol belonging to the MRT. In most countries the underground or mass rapid system tends to be part of the tourist highlights. Such Mass Transit symbols tend to appear in most tourist items like T-shirts, souvenirs, and so on. And many small companies do take advantage of this symbol by making tourist items out of it. So I do not see why there should be a need in our case to protect the symbol exclusively for the use of the MRT. I think the symbol should be treated just like the Merlion or the Singapore Lion which many Singapore companies take advantage by making some business out of it to promote Singapore. More importantly, everyone should be able to use it and not to restrict it only to the use of the MRT.

Dr Yeo Ning Hong: Mr Deputy Speaker, Sir, as stated, the symbol should be used by the Corporation or permitted parties. Sir, we want to ensure that the MRT logo does not go on to undesirable products.

Mr Chng Hee Kok: Surely the situation is the same for the Singapore Lion or the Merlion, is it not? This is a national symbol. We do not want it to be used for undesirable purposes. But why must we license it? Why must we get permission for it? And how does one ensure that licence will be granted? And what is the appeal process for the person who has written to the Corporation for permission and has been refused and there is no ground given? What can he do about it? Can he appeal to the Minister? But the point really is, why should that be the case? I think it should be made completely free for everyone to use.

Dr Yeo Ning Hong: Mr Deputy Speaker, Sir, the MRT system represents a gigantic step for us in the development of our land transport system. The logo has now been associated with that major project. It is a project that all Singaporeans are proud of. I would prefer that we move cautiously rather than open the floodgates, and to find the symbol used to market all kinds of undesirable products.

Question put, and agreed to.

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

The House immediately resolved itself into a Committee on the Bill. - [Dr Yeo Ning Hong].

Bill considered in Committee; reported without amendment; read a Third time and passed.