Dairy to Singapore's Cost of Living - Post GE2006

by szhcornan73


We forget easily. By the time the next GE comes, many changes will be made. The heat to the water will continue to be added and the frog will still be in the pot.

GE2006 talked about serveral issues - Cost of Living
1. Public Transport Hike;
2. Medical Cost - esp. mean testing;
3. Increase of GST;
4. Cost of HDB flat ownership;
5. Unemployment;
6. Upgrading carrot & stick;
7. Education Cost
8. Utility Charges (electricity & water)
(you name it, we update it)

Extra - Minister's pay.

All this, the ruling party had failed to address them directly and properly, instead the focus was placed on "Gomez's form incident".

This thread is meant to record major events of change that affects our day-to-day life.

Let's start recording from 07 May 2006, the first day after GE2006.
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Date: 29 Sep 2008 (Latest)

- an increase of 21 per cent in the electricity bills in the last quarter of 2008.
- The average electricity tariffs from October to December would go up by 5.38 cents per kilowatt per hour.
- The Energy Market Authority (EMA) said it's due to higher fuel oil prices.
- For those living in the one to three room public housing flats, this would mean an increase of between S$90 and S$223 in electricity bills for 2008.
- For four room HDB households, the increase to the bill size for this year would be marginally higher than the U-Save rebate given.


Date: 12 Sep 2008

- Bus and train fares up on 1 October
- Most bus and train journeys except those for children, students and national servicemen, will see fare increase from 1 October 2008.
- PTC has given the green light for an overall net fare adjustment that will result in fare changes that will range from a 7-cent reduction to a 4-cent increase per journey.
- Adult EZ-Link fares on buses and trains and the senior citizen concession EZ-Link fare, will see a flat increase of 4 cents per ride.
- However, this will be offset by the 15-cent increase in transfer rebate from the current 25 cents to 40 cents.


Date: 17 Jun 2008

- Inflation erodes real gains in wages
- The impact of soaring food and fuel prices meant that for employees in manufacturing, transport and administrative jobs, their real wages - pay minus the effect of inflation - actually fell.
- The first set of official figures to show the impact of inflation, at a 26-year high of 6.6 per cent.
- National University of Singapore labour economist Park Cheolsung said it is a matter of time before real earnings dip for those in other sectors.
- Rising global prices of food and fuel saw the consumer price index rise by 6.6 per cent in the first three months of this year.
- Still, Prime Minister Lee Hsien Loong has said the best way to manage rising prices is to grow the economy so real incomes outpace inflation.
- salary consultant Peter Lee is not optimistic real earnings can do so. 'Nobody can control inflation, and most employers cannot adjust wages to fight it.'
- Analysts like Dr Park believe unemployment may rise and job growth could slow - a point backed by a Monetary Authority of Singapore survey of economists, who see growth slowing to 4.7 per cent this quarter.


Date: 09 May 2008

- Soaring crude oil prices drove the benchmark market price of electricity to a record last month, and there is not much relief in sight.
- The oil prices will continue to be high, and the six months from April to September tend to see higher power use nationwide.
- The wholesale price is what power companies pay for electricity, plus a small amount of regulation and administrative costs and adjustments. It affects how much consumers end up paying.
- The Energy Market Co, which runs the wholesale electricity market here, said that this price - known as the Uniform Singapore Energy Price - jumped 17.7 per cent from March to hit $173 per megawatt hour (MWh) last month.
- That is the highest monthly average since 2003.
- In response to rising wholesale prices, Singapore Power Services (SPS), which supplies electricity to about 1.2 million households, has been steadily increasing electricity tariffs.
- The so-called Low Tension Tariff, which is what the man-in-the-street pays, was 18.88 cents per kilowatt hour (kwh) from April to June last year.
- The rate jumped to 22.62 cents per kwh by the first quarter of this year. And a month ago, the rate - which is set by SPS every quarter - rose 5.7 per cent to 23.88 cents per kwh.


Date: 04 Apr 2008

- Premiums up slightly for those up to 80 years old; but people who are older will need to fork out more
- The scheme, expected to be in place by year-end, will affect about 1.2 million people on the basic MediShield plan for subsidised wards B2 and C.
- The plan, now up for public consultation, is the latest makeover of the MediShield scheme and comes three years after the last shake-up.
- Premiums will rise by approx. $5 a month for those younger than 60, and approx. $10 a month for those aged 60 to 80.
- Member of Parliament Dr Fatima Lateef thought the increase in premiums 'very reasonable'.
- The oldest people covered by MediShield - those aged 81 to 85 - will see their premiums rise sharply. Their current premiums are already the highest, ranging from $600 to $705 a year. Now they will have to pay up to $480 more per year.
- The reason is that there are too few - under 5,000 - of these oldest people in the insurance pool and these are also the people most likely to land in hospital.
- The ministry said in a statement: 'Given their small risk pool and the higher tendency to be hospitalised with large claims, it is a challenge to keep their premiums low.'
- Mr Khaw said this was unavoidable because these oldest people draw more highly on insurance. If they did not pay more of their hospital bill themselves, their premiums would have to be much higher.

Date: 03 Apr 2008

- There is no shortage in Singapore now, importers said, although supplies are getting more difficult to come by as some rice-producing countries have imposed export controls.
- Rice importer Goh Hock Ho paid US$820 (S$1,130) per tonne for Thai rice although he signed a three-month contract for US$570 per tonne last month.
- Said Mr Goh, managing director of Saga Foodstuffs Manufacturing: 'If we refuse the new price, the exporters will stop supplying us. Last year we signed contracts where prices stayed constant for three months to a year. Now we have to top it up.'
- Despite the price rises, Senior Minister of State for Trade and Industry S. Iswaran assured Singaporeans at the weekend that the rice supply is adequate.
- Although Singapore has not had to dip into its stockpile, supermarkets and provision shops are reporting brisk sales.
- At NTUC FairPrice - the biggest chain with 80 outlets - rice sales went up 50 per cent over the weekend, after it raised the prices of its cheaper house brands by 10 per cent to 15 per cent, said a spokesman.
- Buying three 10kg sacks of premium Song He rice for about $60 yesterday was 63-year-old retiree S.P. Chan. 'Prices are increasing and everyone's buying more, so I thought I'd better get a spare bag for myself in case they're sold out soon,' he said in Mandarin.


Date: 30 Jan 2008

- MediShield premiums will increase this year, said Health Minister Khaw Boon Wan.
- Mr Khaw said a hike of $10 a month was the limit most people were comfortable with.
- He added that this would be "probably the last round of MediShield adjustment" in his term as Health Minister.
- Currently, MediShield coverage is less than ideal due to several factors, such as a daily claim limit that does not take into account costly Intensive Care Unit stays and orthopaedic implants. The limits for both will be increased.
- Mr Khaw thinks the public will be receptive to the higher premiums. "If it's an adjustment without new benefits, then it's not fair ... but this comes with an increase in benefits."
- He also reminded Singaporeans to ensure they have appropriate insurance cover for their future hospital stays, especially with means testing to be implemented.

Date: 5 Dec 2007

- ComfortDelGro to increase taxi fares. The PTC could not say more.
- Fare increase as early as the week before Christmas, as taxi operators have to inform the council at least two weeks before any fare changes.
- ComfortDelGro again declined to comment.
- Adjustment will include a 30-cent rise in flag-down rate - Approx. 12% ↑.
- Minimum starting fare to $2.80. For newer cabs which meet the stringent Euro IV emission standard, the flag-down will go from $2.70 to $3.
- ComfortDelGro has about 2,000 of such cabs in its fleet.
- Commuters can expect changes to the distance and time-based charges too. Surcharges are also expected to be streamlined.

Date: 13 Nov 2007

- Along with the rise in home prices, the taxman is revising the value of most properties upwards.
- Annual values of all types of Housing Board (HDB) flats will be raised from Jan 1, 2008. This means property taxes, which amount to 4 per cent of the annual values of owner-occupied homes, will rise.
- Annual values will increase by an average of 18 per cent for HDB four-room and executive flats and 20 per cent for one-, two- and five-room flats. Three-room flats will face the greatest increase of 25 per cent.
- The last time the annual values of HDB flats were raised was in 2004, and that doubled the number of home owners paying property tax. The increase brought in an extra $40 million a year for the Government.

Date: 5 Nov 2007
- Random basket of basic goods sold at supermarkets revealed price increases in almost every category, from fresh chicken to coffee and milk formula.
- This, on the back of news that noodle and bread prices were on the rise.
- September's overall Consumer Price Index showed that prices generally retreated by 0.3 % cent from the previous month, but the food component - the biggest item at 23 % - rose 3.7 % as the cost of fresh vegetables, fruit, seafood and milk powder, as well as hawker and restaurant food, went up.
- Consumers The Straits Times spoke to said that while increases for each item may seem like a token sum, together, they add up to a much bigger grocery bill.
- There have been 15 cent to 25 cent increases for coffee and cooking oil.
- The past 11 months have also seen increases in the goods and services tax, public transport fares, fuel prices and rents.
- And now, more hawkers are giving notice that they may not hold out on price increases much longer as they are also feeling the pinch.

Date: 11 Sep 2007


- Bus fares will go up by one to two cents from Oct 1, the Public Transport Council has announced.
- The last fare increase was in October last year, when costs went up by one to three cents per ride.
- Back then, the operators blamed high costs for the need to raise their fares
- in particular the high price of fuel and manpower
- They are citing the same reasons this time.
- SMRT pointed out that the increase in the goods and services tax as well as the 1.5 percentage point rise in employers' CPF contributions will pull down its earnings by about $11 million a year.
- It said the fare increase, if kept to this year's cap of 1.8 per cent, would only partially offset the company's total cost increases.

Date: 24 Aug 2007
- Inflation rising → increased at the fastest pace in 12 years last month
- as the Goods and Services Tax (GST) hike kicked in, food costs rose and rents soared.
- Consumer Price Index (CPI) rose 2.6 per cent from a year earlier after rising 1.3 per cent in June, the Department of Statistics said yesterday. The rise was the fastest since January 1995.
- Compared to a year ago, gains were sharpest for healthcare, as more expensive Chinese herbs and higher medical consultation fees pushed the category up by 5.7 per cent.
- Food increased 2.9 per cent from a year ago, as the costs of cooked food, fruits, fish and milk powder went up.
- Housing prices went up by 0.7 per cent from a year ago, it crept up by 4.9 per cent compared to June as electricity prices climbed and rents increased.
- Public housing rents — which hit a 10-year high last month — is included in the CPI's housing component, unlike private rents.
- The Monetary Authority of Singapore expects inflation this year to be at the upper half of its 0.5- to 1.5-per-cent range, before rising to about 2 per cent next year.
- But private-sector economists expect full-year inflation to exceed 1.5 per cent this year. UOB economist Alvin Liew, whose forecast is 1.8 per cent, said the impact of the GST hike would be "felt for the next 11 months".

Date: 2 Aug 2007
- SBS Transit and SMRT Corp have applied for fare increases. (Yes, it's becoming our yearly event, chance for sending in application to increase income, why not!)
- If approved by the Public Transport Council (PTC), bus and train fares will rise by up to 1.8 per cent - or around three cents - from October.
- The most recent fare increase was in October 2006, It went up by between one and three cents per trip on buses and trains.
- Back then, the operators blamed high costs - in particular the high price of fuel and manpower for the need to raise their fares.
- In this latest, the companies are citing the same reasons - manpower and energy - for their fare increases.
- SMRT said the fare increase, if kept to this year's cap of 1.8 per cent, would only partially offset the company's total cost increases.

Date: 2 Jul 2007
- Ok, I heard smokers are screaming ... Cigarrettes will be increased by 40 cents on 2 July.

Date: 21 Jun 2007
- Minister-in-Charge of ageing issues, Mr Lim Boon Heng, is thinking of taking things a step further: To get Singaporeans to work beyond age 70.
- And such efforts to hold back retirement could see Singaporeans start making withdrawals from their Central Provident Fund (CPF) Minimum Sum at the later age of 65, instead of 62.
- The Minimum Sum scheme, which requires those 55 years old and older to leave a certain sum in their account, aims to ensure that Singaporeans have enough money to see them through old age. It will be raised from $94,600 to $99,600 next month.
- Said Mr Lim: "I think it is quite reasonable to raise it to 65 if the objective is to raise the employment rate of this group of people. But I think we should do so cautiously."
- Before any change is made to the withdrawal limit requirements, jobs must be available and employers willing to hire seniors.
- "We should make employment happen. We should not leave people in the situation where they can't get a job, and yet the Minimum Sum draw-down age is raised," Mr Lim said yesterday at a media conference about his study trip to Japan to learn about its care system for the elderly.

Date: 15 Jun 2007
- Electricity tariffs to be raised by almost 9% from July.
- This is an increase of about 1.6 cents per kilowatt per hour of electricity.
- SP Services attributes the hike to higher fuel oil prices.

Date: 5 Jun 2007
- From July, retailers will have to pay a higher administrative
fee to use NETS.
- CASE plans to lodge a complaint against the fee hike to the Competition Commission of Singapore.
- starting July, the fee will be increased to 1.5 to 1.8% (from 0.35 and 0.55% of purchases), to be phased in over three months. The increase is approx. three to four times.
- This will bring it close to credit card transaction fees.
- the extra cost likely to pass to the consumers by tweaking selling price.
- Another concern is the timing of the fee hike together with GST increase in July.
- Typical monopolistic behaviour of local banks, which two of them closely related to temasek.

Date: 29 May 2007
- Consultation fees at most public hospitals and some polyclinics will increase, to keep up with rising demand and operating costs.
- 4 public hospitals, subsidised patients will now fork out $24 or $25 for every visit to a specialist clinic, up from about $21.
- Changi General Hospital and Alexandra Hospital are the only ones which are keeping their charges unchanged at $20.
- 18 polyclinics used to charge a consultation fee of $8 per adult, they now charge anything form $8 to $8.80. The fee is now between $4 to $4.50 for the elderly and young children, up from $4.
- Fee hikes come just months after a similar round of fee increases for private patients in March. At that time, the inpatient ward charges for subsidised patients also increased.

Date: 9 Apr 2007
- Annual salaries of the prime minister and ministers will be increased by between 14% and 33%, with the average pay rise of 25%.
- adjustments will take effect from April, with a second revision at year's end -- Minister-in-Charge of the Civil Service Teo Chee Hean.
- PM Lee Hsien Loong earned $2.5 million in 2006; after the revision, he will draw $3.1 million in 2007.
- President SR Nathan will get $3.2 million dollars, this is up from the current $2.5 million.
- SM Goh Chok Tong & MM Lee Kuan Kwan Yew who earned $2.7 million each last year, will now get paid $3.04 million each.
- allowance for Members of Parliament which is pegged to the Administrative Service SR9 grade will be raised from the current $11,900 to $13,200, a 10.9% increase.
- GDP Bonus will also be extended to MPs, so as to link their annual package to the state of the economy, with MPs getting a one month GDP bonus if the GDP grows at 5%, but if GDP growth is 2% or less, there will be nothing.
- All adjustments will increase Government's wage bill by about $214 million or 4.7% for the Civil Service and $10.5 million (or 23%) for political appointment holders.

Date: 16 Feb 2007
- GST rate to rise to 7% from 1 July 2007
- will raise additional revenues of $750 million in 2007 and $1.5 billion per year going forward.
- Singaporeans will be compensated with a substantial offset package.
- $4 billion in total over five years. ($800 million per year)
- $1.8 billion (of $4 billion) will be given out as cash in the form of GST Credits.
- All adult Singaporeans will get them in annual instalments. (while you pay GST daily)
- amount will depend on a person's assessable income/ annual value of his home.
- average Singaporean household will get several years' worth of GST offset.
- lower income Singaporeans will get larger GST Credits of up to $1,000 in four instalments of $250 per year over four years. (2% increase for $1,000 per month expenditure is $240 in 2% GST increase per year, you do your sum)
- top income group, earning $100,000 a year, will get $100.
- NS men and NSFs will get an additional $100 of GST Credits. (wow!)
- first instalment will be paid out on July 1st, at the same time as the GST increase.
- older Singaporeans will also get more GST credits (what can you use for credits? when your income is so low and not liable for income tax?).
- two thirds of the money will be given in cash and one-third will go into their Medisave on July 1 each year. (in medi-save for? Haha...)
- Utilities-Save, Service and Conservancy charges and rental rebates for eligible households will be extended for five years to March 2012. (until the next GST increase)
- give a one-off property tax rebate of up to $100 per year in 2008 and 2009 for all owner-occupied residential properties.
- those with children, $400 will be credited into a secondary school child's post-secondary education accounts in 2008 and $400 in 2009.
- lower income families with young children will get increased financial assistance for kindergarten and childcare.
- more allowance too for pensioners, their gross pension ceiling raised from $1100 to $1140 a month.
- will give $10 million to the Public Transport Fund and will also top up the CCC ComCare Fund by $5 million over five years.
- will provide $2 million over five years to self-help groups and $3 million for government-funded VWO programmes.

Date: 26 Dec 2006
- The electricity tariff will be reduced by an average 7.53% or 1.62 cents per kWh for the quarter, 1 Jan to 31 Mar 07. The reduction is due to the lower cost of electricity arising from lower fuel oil prices.

Date: 24 Nov 2006
- announcement by Minister-in-Charge of the Civil Service Teo Chee Hean to adjust salaries (upward) of > 60,000 civil servants in Singapore
- to ensure civil servants continue to receive top dollar so that quality does not decline or losing people to private sector.
- private sector have on average risen by 3.5 percent this year, and are expected to go up further next year.
- Minister's pay is expected to rise too
- civil servants will enjoy 2.2 months bonus in December because economy is good.
You may wonder why Civil Servant's or Minister's pay got to do with Cost of Living. Do not read information on one piece by itself, learn to string up all the events to see the whole picture.

Date: 17 Nov 2006
- Singapore Post will revise postage rates on 18 Dec 2006 (upward of coz)
- postage rates would be increased to 25 cents, from the current 23 cents, for domestic mail weighing 20 grammes or less. (up 8.7%)
- International airmail postage rates will go up by between 5 and 40 cents.
- Postage fees for registered mail will see an increase of 20 cents, from S$2 to S$2.20. (up 10%)
- local stamp rates were last revised 11 years ago, while international postage rates were last revised six years ago.

Date: 13 Nov 2006
- GST to increase from 5% to 7%
- the hike is necessary to finance the enhanced social safety nets
- needed to help the lower income group
- PM Lee said, "offset package will more than counter the rise in GST."
- It will give us precious extra resources to implement social programmes like Workfare later on.
- will not just raise the GST but we will have a comprehensive offset package
- Mr Lee explained that it is better to do the increase now when the economy is doing well, rather than wait till later.
- More details of the GST increase will be announced on 15 February 2007, the Budget Day.

Date: 13 Sep 2006
- PTC approves 1.7% fare increase for bus, trains
- Senior citizen off-peak EZ-link fares will correspondingly increase by 1 cent.
- The Council says that given the positive economic outlook, it assessed that there were no "extenuating circumstances" to vary or reject the proposal.
- The increase range from 1 to 3 cents
- No increase of fare to those paying by cash (as poor people pay cash)

Date: 27 Aug 2006
- Prices climbed 1.3 per cent in the first half of the year compared to the same period in 2005 (Department of Statistics).
- Households in lowest 20% and middle 60% income groups felt the biggest pinch (bigger hike at 2.2 per cent and 1.4 per cent respectively).
- Electricity Tariffs and Food were main items responsible for the 2.2 per cent increase in CPI(Consumer Price Index) for the lowest 20% income group.
- Highest 20% income group only faced a 0.7% inflation rate as the increases in items such as electricity and food were moderated by lower car prices and the levy on foreign maids.

Date: 1 Aug 2006
- Both SBS Transit and SMRT go for the maximum cap for fare increase at 1.7 per cent of the current fares, according to the PTC's fare adjustment formula. Outcome shall be available in October by PTC.

Date: 10 Jul 2006
- Comfort to up taxi fares. The other cab companies - SMRT, Transcab, Premier and Smart - are expected to follow the lead of ComfortDelGro

Date: 12 May 2006
- After reviewing the evidence, the Public Prosecutor was satisfied that Mr Gomez had committed the offence of using threatening words towards a public servant. However, Gomez has been let off with a stern warning.

Date: 8 May 2006
- Mr Low TK invited for kopi session also

Date: 7 May 2006
- Gomez invited (at airport) by police for complain filed by Election Department on the form incident
- Ms Sylvia invited for Kopi also