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May 19, 2008
Ministry clarifies on school bus fare subsidy
I REFER to yesterday's report, 'Seat belts compulsory for new minibuses'.

In reporting Minister for Transport Raymond Lim's comments on the subject, the article gives the impression that the Government will specifically provide a subsidy to help needy families cope with any increase in school bus fares following this rule. This is incorrect.

School bus fares are part of the overall cost-of-living issues some low-income families face. The Government's consistent approach is to provide targeted help to needy families to cope with these general cost pressures rather than subside specific expenditure items, as the latter approach does not allow each family to decide for themselves how best to allocate the benefits they receive.

For example, a low-income family living in a three-room HDB flat with two school-

going children will get substantial benefits, including Growth Dividends, GST credits and Workfare Income Supplement amounting to more than $4,000 this year which they can direct towards their needs.

For those who need further assistance, the Government has also provided additional funding to the CCC ComCare Fund, self-help groups and voluntary welfare organisations to help the needy.

Soffy Hariyanti Abdul Rahim (Ms)
Press Secretary to Minister for Transport

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