The Singapore experience best illustrates this cohabitation of government agencies, private-sector organisations and socio-economic-driven cooperatives.

Make no mistake that cooperatives need not be non-profit social organisations. In seeking profit objectives, they can further the economic and social objectives of Singapore, and we have NTUC FairPrice as an exemplary model. It was founded in 1973 to moderate the cost of living for low-income households and it is even more relevant in today's environment of inflation and high energy prices, which affect the majority lower strata of the population hardest.

FairPrice is now a $1.5 billion company and profitable, having leveraged on contemporary management practices and state-of-the-art technology in its operations. Most noteworthy is that it does not operate under any government protection. In fact, it gives major retail competitors like Giant and Cold Storage a run for their money.

Transport is a major component in household expenditure and the inflation index. But, the two local transport operators have gone the route of profit-maximising, like public-listed organisations. The cooperatives' way of doing business, 'with heart and a mission',' can apply to public transport and contribute to a long-term solution to scarce land resources and the Government's policy of encouraging people to switch to public transport. As listed entities, the two local operators have to account to shareholders for return on investment and total shareholder returns, which literally means more profits and higher fares.

Ee Teck Siew