Financial Liberalization and the Impact of the Financial Crisis on Singapore
by Michael Lim Mah-Hui & Jaya Maru, Third World Network (Sep 2009)
It has been recognized that there is a need for a cross-country analysis that can be used to identify the factors that contribute to the problems of state incapacity in South and Southeast Asian nations. In taking up this challenge, we explore selected initiatives of new public management (NPM) in the region to analyse cross-country variations. For this purpose we have chosen four South and Southeast Asian countries, namely: Singapore, Malaysia, Sri Lanka and Bangladesh.
(Oct 2009) -- PLN is seeking $300 million to finance the construction of an electricity connection to Malaysia as part of the unified Asean power grid project. The interconnector will link Riau in Sumatra with Penang state in Malaysia. PLN and Malaysia’s state electricity provider, Tenaga Nasional (TNB), signed a preliminary agreement in October 2009 for power swaps via the interconnector. The Asian Development Bank, the Japan International Cooperation Agency and the World Bank have shown interest in financing the project, which is expected to start in 2012 and be finished by 2015.
Sep 5, 2008 - The consortium comprised of Marubeni Corporation (30%), GDF Suez S.A. (30%), Kansai Electric Power Co., Inc. (15%), Kyushu Electric Power Co., Inc. (15%) and Japan Bank for International Cooperation (10%) has reached agreement with Temasek Holdings (Private) Limited to acquire all the shares of Senoko Power Limited (“SPL”) . SPL is located in the Northern part of Singapore, and is the largest power generation company in the country. SPL owns and operates total generation capacity of 3,300MW, which constitutes about 32% of installed generation capacity in Singapore. Electricity generated by SPL is mainly supplied to customers through its wholly owned retail providers. By participation to this acquisition, the Consortium will gain stable profit through electricity sales in Singapore, a worthwhile market as a foundation of overseas projects in Asia, and where expansion of electricity demand accordingly with stable economic growth is continuously expected. Furthermore, by providing electricity supply after the acquisition, and by energy streamlining through the repowering operation, this acquisition would be a foothold for each of the private enterprises to further develop overseas investment business, together with contributing to the development of power project as an essential infrastructure in the country. http://www.jbic.go.jp/en/about/press/2008/0905-01/index2.pdf
SINGAPORE POWER NEWS (2005) from 'Energy Briefing - Asia Pulse"
Singapore’s Public Utilities Board (PUB) trained representatives from the Shenzhen Merchants Water Supply Company through a week-long course on developing and implementing a water safety plan, a structured approach to managing water quality. PUB demonstrated its approaches to ensure safe water delivery to its customers, including its advanced customer feedback system that recognizes users as system-wide monitors of service quality, a key component of water safety plans.
Singapore's Public Utilities Board advises all its customers of the imposition of Goods and Services Tax (GST) on the sanitary appliances fee and waterborne fee with effect from 1 Apr 2001. This is in compliance with the Goods and Services Tax Act. Prior to 1 Apr 2001 these fees for services provided by the Ministry of the Environment were exempted from GST and were shown as ENV services in the utilities bill. On 1 Apr 2001, the sewerage and drainage services of the Ministry of the Environment were integrated with PUB.
Since May 2000, Singapore's PUB and the Ministry of the Environment have jointly commissioned and operated a 10,000 cubic metres/day (2.2 million gallons per day [mgd]) advanced water treatment plant at Bedok Water Reclamation Plant using the latest membrane technology including reverse osmosis to treat used water. The product water, called NEWater, is of very high quality and is suitable for industries needing clean water. NEWater will be supplied to the wafer fabrication plants in the Tampines/Pasir Ris and Woodlands Wafer Fabrication Parks by end 2002. It will involve the construction of two 22,750 cubic metres/day (5 mgd) NEWater plants at Bedok and Kranji Water Reclamation Plants, laying of transmission mains and construction of storage tanks.
In 2000, total water sales in Singapore increased by about 3.3 per cent from 1.205 million cu m per day (265 mgd) in 1999 to an estimated 1.244 million cu m per day (274 mgd) in 2000. The sale to domestic customers accounted for 53 per cent, with non-domestic sale accounting for the remaining 47 per cent. The last of four annual increments in the water tariff for domestic customers and the water conservation tax, announced by the Government in 1997, was implemented in July 2000. The rates for the domestic water tariff and water conservation tax are uniform (except for water consumption more than 40 cubic metres per month and water supplied to ships) with the non-domestic tariff. This is to reflect the strategic importance and scarcity of water, which must be conserved by all users, households and industries alike.
Human Resources - Training is an important component of PUB's strategy for manpower development and upgrading of its employees as PUB moves to be a learning organisation. $3.39 million was invested on staff development in year 2000. All Division I professional graduate officers participated in the "People-Centred Management" workshops to equip them with team leading skills and emotional intelligence. A total of 2,052 employees attended courses at the Board's Training Centre and courses conducted locally and overseas. A training framework was also developed for the various schemes of service to cater for training requirements at different phases of an employee's career.
Singapore's Public Utilities Board (PUB) was reconstituted with effect from 1 April 2001 to take over the sewerage and drainage departments of the Ministry of the Environment (ENV). PUB is now a comprehensive water authority managing all aspects of the water cycle to optimise the use of Singapore's limited water resources. PUB now constructs and maintains the reservoirs, waterworks, rivers, drainage systems, water reclamation plants and sewerage system. It secures and provides an adequate supply of water for Singapore at a reasonable price and regulates the supply of piped water for human consumption. Responsibility for the reconstituted PUB was transferred from the Ministry of Trade and Industry to the Ministry of the Environment. Effective from 1 April 2001, a new statutory board, the Energy Market Authority was also set up under the Ministry of Trade and Industry to take over PUB's other function of regulating the liberalised electricity and piped gas industries as well as the district cooling services.
In May 2000, a 2 mgd NEWater Demonstration Plant at Bedok was commissioned. Wastewater was successfully treated at affordable cost using membrane technology to produce water that is purer than PUB potable water and far exceeds WHO Drinking Water Standards. Since then, stringent water quality tests have been carried out and the Plant has continued to prove its reliability by consistently producing water of high quality. In March t2001, ENV announced plans for PUB to supply NEWater to wafer fabs to replace their present use of PUB potable water. ENV also announced plans to build two NEWater plants of 5 mgd capacity each at Bedok and Kranji. The target of ENV is to increase the recycling of used water from the present 5% to 20% by 2010 through the use of NEWater.
Singapore's Public Utilities Board (PUB) awarded the second contract (Contract C2A) for the Changi Water Reclamation Plant (CWRP) Project in Sep 01. CWRP is part of the DTSS (Deep Tunnel Sewerage System) which is PUB's long term solution to meet Singapore's needs in used water collection and reclamation through the 21st century. This contract has been awarded to M/s Econ Corporation Limited at a contract sum of $50.2 million. This contract to commence on 1 Oct 2001 and is scheduled for completion within 20 months.
In February 2000, the Government announced that Singapore's Public Utilities Board would purchase desalinated water from the private sector, as part of planned diversification of water sources. The supply by the private sector would be through Build-Own-Operate projects. In 2001-02, PUB to undertake competitive bidding for the supply of 136,000 cubic metres (30 million gallons) of desalinated water per day through a Build-Own-Operate (BOO) project. PUB will then enter into a water purchase agreement for the supply of the desalinated water for 20 years commencing from 2005; agreement will set out the tariff structure, terms and conditions for the purchase of desalinated water. Pre-qualified bidders: 1. The AES Corporation; 2. Bechtel Enterprises/ PowerSeraya Ltd/ Preussag Wassertechnik Gmbh; 3. Cadagua S.A./ Inima S.A./ Proyectos E Instalaciones De Desalacion S.A.; 4. Ionics Inc.; 5. Keppel FELS Energy Pte Ltd; 6. Mirant Corporation/ Hyflux Ltd; 7. Ondeo-Services/ Ondeo-Degremont; 8. SembCorp Utilities Pte Ltd; 9. Tuas Power Ltd/ Mitsubishi Corporation; 10.Union Fenosa Internacional/ Jurong Engineering Ltd/ IDE Technologies Ltd/ Actividades De Construccion Y Servicios; 11.Vivendi Water S.A.
Singapore's PUB to spend $541.8 million in 2002 on water, sewerage and drainage projects to develop new facilities, enhance reliability of supply and increase operational efficiency. $206.77 million will be funded by the Board and the remaining $336.08 million will be funded by the government. PUB will spend $16 million in 2002 on the construction of a new complex at Toh Tuck Road. PUB will also install a $1.5 million feedback and fault monitoring system at its new PUB Call Centre. $39.13 million will be spent to expand and improve the water distribution network. $18.99 million will be spent for replacing pipelines to improve reliability of water supply. $20.14 million will be spent on extensions to the water supply network. The Board has approved a $115 million project to construct an additional treatment unit within Chestnut Avenue Waterworks. PUB, jointly with Jurong Town Corporation, is proceeding with the Pang Sua Diversion Canal project to build a canal to channel stormwater from the Pang Sua West Catchment into Kranji Reservoir. PUB will spend $107 million to upgrade the treatment processes at Choa Chu Kang, Chestnut Avenue and Johor River Waterworks. The Board is enhancing security at its installations and will invest $5.2 million in 2002 on measures such as fence intrusion detection and other alarm systems at our installations. The Board will carry out a $152 million project to construct flow equalization basins at four Water Reclamation Plants. The Board will spend $91 million on the construction of two NEWater plants at Bedok and Kranji Water Reclamation Plants, including pipelines and service reservoirs. To cope with the projected increase in wastewater flows within the catchments of Kim Chuan and Jurong Water Reclamation Plants, the Board will be expanding the treatment capacity of these two plants at a total cost of $241.1 million. About $46 million will be funded by the government for the inspection and rehabilitation of the older sewers and pumping mains throughout Singapore. The government will also invest $27 million on a number of projects to provide new sewers. The government will fund $2.6 million for improvement works to Alexandra Canal - Phase II and $630,000 for Joo Chiat Drainage Scheme Phase II in 2002; these two projects will cost $44.78 million and $18.25 million respectively. The government-funded $3,274 million Deep Tunnel Sewerage System project to cater for used water collection, treatment and disposal in Singapore through the 21st century is making good progress and will be completed in Dec 2008.