MINISTRY OF COMMUNICATIONS

Mr Mah Bow Tan Minister for Communications

1 The regional boom will fuel growth in the communications sector for our seaport, airport and telecommunications services. On land transport, we will continue to upgrade our road and rail network. As our neighbours in the region advance, we must continue to keep our communications infrastructure effective and efficient to stay competitive. Telecommunications

2 Singapore relies on its excellent telecommunications network to be an attractive business hub. We currently provide a wide range of innovative and reliable services at very competitive prices. But telecommunications technology is advancing rapidly. Regulatory barriers are crumbling. WTO has just concluded a new agreement to liberalise basic telecommunications world-wide. Innovative services are revolutionising telecommunications markets. The Internet and satellite communications are rendering old distinctions and restrictions obsolete. We must not be left behind.

3 We have cut short the period of exclusive licences for Singapore Telecom. We will have competition in mobile communications from this year. TAS will call tenders for new operators for our public basic telecommunications services, including IDD services, this year. Up to two new mobile cellular telephone operators will be licensed in the middle of next year, to provide service from the year 2000.

4 We are rolling out Singapore ONE, an interactive multimedia broadband network. This will provide high speed interactive access from homes and businesses. It could be the start of a new way of accessing and transacting information for business, entertainment and knowledge upgrading.

5 We must continue to develop our telecommunications infrastructure and grow the industry, bringing in new players and introducing value-added services aggressively. This will strengthen Singapore's position as a business hub, and make available the best telecommunications services to Singaporeans.

Air Transport

6 Air travel will increase as the region booms. We will expand our airport capacity to cater for the increase in air travel. 24.5 million passengers used Changi Airport in 1996. This will increase year by year. Our two passenger terminals at Changi Airport are being expanded. We will build Passenger Terminal 3 to be ready by 2004. The MRT extension will reach Changi Airport by 2001. Land for a third runway is being reclaimed.

7 Regional countries are building newer and bigger airports to gain market share of the growing traffic. To stay competitive, we will not only upgrade our physical airport infrastructure, but also the quality of service of the airport staff. Changi must remain the best airport in the world.

8 We will continue to expand Changi Airport's connections with the rest of the world, linking up to new destinations and increasing service frequencies to support Singapore's growing economic links. Visits to and from Singapore for business and leisure will become even more convenient. We have signed an Open Skies agreement with the US. We seek similarly to expand our air services agreements with major trading partners and emerging economies.

Sea Transport

9 We will build on our excellent port services to keep Singa pore an international maritime centre. But competition in the port business is getting fiercer. Major shipping lines are forming large consortia to bargain for favourable terms from port operators. A few hub ports will cover the whole world, each fed by many feeder ports. We must consolidate and enhance our position as a hub port for the whole region, or else become a feeder.

10 The new Pasir Panjang Terminal will cater to growth in container traffic. Phase I will be completed in 1998. Hong Kong is still ahead of Singapore in terms of number of container movements, but we have narrowed the gap with Hong Kong.

11 We will corporatise PSA. Then it can respond more aggressively to new business opportunities and changing market trends, and compete more effectively internationally. PSA has invested in port projects in Dalian and Fuzhou, China, as well as Cigading, Indonesia. It will seek more overseas alliances and investment opportunities to complement its operations in Singapore. Land Transport

12 We will continue to work towards a world class land transport system, by better land use and transport planning, expanding the road network, managing the population and usage of vehicles and demand for road space, and improving public transport.

13 We will integrate transport facilities with building developments to make it easier for commuters to get to key places of work, living, leisure and other social activities.

14 We will expand our road network, and maximise its capacity by upgrading and installing intelligent traffic management systems. We will continue to manage the vehicle population through the COE scheme. To manage vehicle usage, we will extend road pricing to expressways and ring roads, and automate the scheme through the Electronic Road Pricing (ERP) system. The better we manage vehicle usage, the more COEs we can release and still keep traffic flowing smoothly, and the more people will be able to own cars.

15 In urbanised Singapore, most trips will always be by public transport. The public transport system will be accessible, safe, speedy and affordable. The North-East MRT line will be completed by 2002. The Bukit Panjang LRT will be completed in 1999. More LRT lines will be built in new towns like Sengkang. We will progressively free up controls on other public transport modes like taxis and buses, to enable new schemes like Bus-Plus, Express Bus and premium taxi services to take off and meet the varied needs and rising expectations of commuters.