MAIN UPGRADING PROGRAMME AT PANDAN GARDENS

Dr Tan Cheng Bock asked the Minister for National Development if he will consider granting the Main Upgrading Programme (Standard Package) to the Pandan Gardens precinct as the polling results show that a majority of 68.84% of eligible voters voted "yes" even though it fell below the 75% mark.

The Minister for National Development (Mr Mah Bow Tan): Mr Speaker, Sir, under the Housing and Development Act, the Main Upgrading Programme (MUP) can be implemented in a precinct only if at least 75% of the eligible households vote for it.

In the Pandan Gardens precinct, 68.84% of the eligible voters voted for the MUP. As this is less than the required 75%, the precinct cannot be upgraded as there is no legal mandate for HDB to proceed.

The MUP is heavily subsidised. Having residents poll and co-pay for the programme ensure that upgrading is only carried out in precincts where there is overwhelming support for it. That is why the minimum support level is set at 75%, rather than a simple majority of 50%.

The MUP was introduced in 1990 to upgrade older HDB estates to a standard that is comparable to newer estates. HDB residents find upgrading attractive as it brings them tangible benefits. Five other precincts polled for the MUP earlier this year have all strongly supported it. Three precincts achieved more than 90% "Yes" votes, while the other two had "Yes" votes exceeding 80%.

In the case of Pandan Gardens, some residents felt that it would be prudent not to commit to expenditure on upgrading during this period of economic uncertainty. Nevertheless, I note that more than two-thirds still voted for the programme.

HDB will continue to offer upgrading to older HDB estates as it improves the living environment of our residents. The number of precincts we select for the various upgrading programmes will take into account prevailing economic conditions and what the Government's budgetary position allows.

Dr Tan Cheng Bock (Ayer Rajah): Sir, can I ask the Minister whether he would consider the precinct for Interim Upgrading as the vast majority of families have supported the upgrading programme, not in the immediate future but, at least, later on?

Mr Mah Bow Tan: Sir, the Main Upgrading Programme (MUP) and the Interim Upgrading Programme (IUP) are two separate programmes, and selection of precincts for upgrading under these two programmes is based on different criteria (age, flat types, geographical spread, etc). So, if this particular precinct in Pandan Gardens is one day nominated for interim upgrading under the interim upgrading selection criteria by the adviser, then we will consider it together with other eligible precincts.

Mr Chiam See Tong: Sir, is it true that if a precinct rejects the offer of the Main Upgrading Programme, its chances of future upgrading shall be forfeited?

Mr Mah Bow Tan: No. As I explained in my answer to Dr Tan just now, if at some future point in time that particular precinct is nominated again, it could be selected for MUP or IUP.