REDUCTION OF CONSERVANCY AND SERVICE CHARGES LEVIED BY TOWN COUNCILS

Mr Tay Beng Chuan asked the Minister for National Development if his Ministry will request town councils to consider a reduction of the conservancy and service charges levied on flat dwellers and shopkeepers in Housing and Development Board estates.

Mr Lim Hng Kiang: Town Councils are empowered under the Town Councils Act to levy conservancy and service charges (S&CC) at such rates as they may determine. Each Town Council has the power to adjust the charges to fit the standard and cost of services it provides to the residents. It should manage its own financial affairs prudently according to the desired level of services and the most effective way of allocating resources. The Town Councils have responded appropriately to the economic downturn. They have maintained the level of services as far as possible without raising S&CC. The last increase was in October 1997 and the Town Councils have pledged not to increase S&CC this year.