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18-11-2014, 07:17 AM
The timing can't be more perfect to soothe the pain of red cab...
The implications on incumbents would be that... don't expect too much from the phasing in of new model... if you screwed up, then let new players to try out...
All the fancies of incumbents getting a windfall selling existing assets to govt must be muted since by then assets will be further depreciated and incumbents may be better looking for alternative avenues for disposals...
MORE ROUTES, MORE CHOICES
The public will be happy if more routes are available. But adding routes can be costly in terms of capital investment, so bus companies are usually reluctant to do it... But since operators do not own assets under the new model, the public is definitely in a better position.
- Mr Voo Soon Sang, managing director of Woodlands Transport, on the new bus contracting model
Transport boss misses hard days of driving a bus
He worked long hours to turn 3-bus fleet into largest private outfit here
Money | Updated today at 01:24 AM
By Christopher Tan Senior Transport Correspondent
AS SINGAPORE steers its bus industry towards a new operating model in a bid to raise service standards, Mr Voo Soon Sang recalls the days when "service" merely meant being able to get on a bus.
The 65-year-old managing director of Woodlands Transport - Singapore's largest private bus operator - said the industry was fragmented in the 1970s, and buses were rickety, packed to the brim and broke down regularly.
"Back then, commuters had lower expectations. Most of them were just happy that they were able to get onto the buses."
But today, when buses are new, low-floor, air-conditioned and riding on air suspension, commuters seem less satisfied.
Mr Voo acknowledged that it is natural for expectations to rise as a country develops.
"The fast-growing population has also put a lot of pressure on the transport infrastructure," he added, explaining that it also led to more crowded buses and longer waiting times.
In response to this, the Government bankrolled a billion-dollar fleet-expansion plan that will add 1,000 new buses to the public fleet by 2017.
At the same time, it is shifting the public bus industry to a contracting model, under which the state owns operating assets and collects fare revenue, while operators bid competitively to run a package of routes.
The winner is paid a fixed sum - its bid - over a five-year contract. It stands to clinch bonus payments if it meets or exceeds stipulated service standards, and faces penalties - including contract termination - if it fails to do so.
Mr Voo said Woodlands Transport will be bidding for the maiden package of 26 services operating from the Bukit Batok, Clementi and Jurong East interchanges, as well as future contracts.
The implications on incumbents would be that... don't expect too much from the phasing in of new model... if you screwed up, then let new players to try out...
All the fancies of incumbents getting a windfall selling existing assets to govt must be muted since by then assets will be further depreciated and incumbents may be better looking for alternative avenues for disposals...
MORE ROUTES, MORE CHOICES
The public will be happy if more routes are available. But adding routes can be costly in terms of capital investment, so bus companies are usually reluctant to do it... But since operators do not own assets under the new model, the public is definitely in a better position.
- Mr Voo Soon Sang, managing director of Woodlands Transport, on the new bus contracting model
Transport boss misses hard days of driving a bus
He worked long hours to turn 3-bus fleet into largest private outfit here
Money | Updated today at 01:24 AM
By Christopher Tan Senior Transport Correspondent
AS SINGAPORE steers its bus industry towards a new operating model in a bid to raise service standards, Mr Voo Soon Sang recalls the days when "service" merely meant being able to get on a bus.
The 65-year-old managing director of Woodlands Transport - Singapore's largest private bus operator - said the industry was fragmented in the 1970s, and buses were rickety, packed to the brim and broke down regularly.
"Back then, commuters had lower expectations. Most of them were just happy that they were able to get onto the buses."
But today, when buses are new, low-floor, air-conditioned and riding on air suspension, commuters seem less satisfied.
Mr Voo acknowledged that it is natural for expectations to rise as a country develops.
"The fast-growing population has also put a lot of pressure on the transport infrastructure," he added, explaining that it also led to more crowded buses and longer waiting times.
In response to this, the Government bankrolled a billion-dollar fleet-expansion plan that will add 1,000 new buses to the public fleet by 2017.
At the same time, it is shifting the public bus industry to a contracting model, under which the state owns operating assets and collects fare revenue, while operators bid competitively to run a package of routes.
The winner is paid a fixed sum - its bid - over a five-year contract. It stands to clinch bonus payments if it meets or exceeds stipulated service standards, and faces penalties - including contract termination - if it fails to do so.
Mr Voo said Woodlands Transport will be bidding for the maiden package of 26 services operating from the Bukit Batok, Clementi and Jurong East interchanges, as well as future contracts.