TOWN COUNCIL-LIFT UPGRADING PROGRAMME (Review)

TOWN COUNCIL-LIFT UPGRADING PROGRAMME

**

(Review): **

1.

Assoc. Prof. Ong Soh Khim asked the Minister for National Development, in respect of Town Council-Lift Upgrading Programme (TC-LUP), whether his Ministry will consider (a) setting a guideline that Town Councils will only be allowed to select HDB blocks where the flat owner's share of the lift upgrading cost per benefiting unit does not exceed $3,000, similar to that in HDB's Lift Upgrading Programme; (b) HDB sharing a percentage of the total TC-LUP cost; and (c) raising the percentage of eligible flat owners' approval of the programme from 75% to 80% for the TC-LUP to proceed for a block of flats.

Mr Mah Bow Tan: The Town Council-Lift Upgrading Programme (TC-LUP) is a new programme which will help to speed up the pace of lift upgrading in HDB estates. It gives Town Councils greater flexibility in selecting blocks in their towns for lift upgrading, over and above the HDB's Lift Upgrading Programme (LUP). As such, it is not appropriate for HDB to co-pay for the TC-LUP.

The TC-LUP will be restricted to blocks where the cost per flat does not exceed $5,000. The share of contributions for benefiting lessees under the TC-LUP will be similar to HDB's LUP, i.e. between 5% for a 3-room flat and 12.5% for an Executive flat. At the cost cap of $5,000 per flat, the flat owners share is between $250 for a 3-room flat and $625 for an Executive flat, which is below the contribution cap of $3,000 for lessees under HDB's LUP.

As with HDB's LUP, it is important for Town Councils to have a clear mandate from residents who will benefit from the TC-LUP before proceeding. Under the Housing and Development Act, the requirement is to have at least 75% of eligible voters agree to the lift upgrading works before they can be carried out. This has similarly been provided for under the Town Councils Act. There is no reason to increase this figure to 80%.

Column: 1763