HELP’S AT HAND: TO COUNTER THE CRISIS

Singapore Budget 2020: $112m package to help hard-hit aviation sector defray costs, keep jobs

The taxi queue at Changi Airport Terminal 3 on Feb 6, 2020. The aviation sector is among the sectors hardest hit by the coronavirus outbreak. ST PHOTO: ARIFFIN JAMAR

The Transport Ministry said yesterday that more than 80 per cent of scheduled flights between Singapore and mainland China have been cancelled following the coronavirus outbreak and that passenger traffic from other regions has started to fall.

Finance Minister Heng Swee Keat said the aviation sector, which is among the sectors hardest hit by the outbreak, will get a $112 million package to help defray business costs and protect jobs.

Assistance will be provided for a six-month period and aims to give immediate relief to companies affected by the coronavirus outbreak.

Mr Heng said: "We will implement a suite of measures, comprising rebates on aircraft landing and parking charges, assistance to ground handling agents, and rental rebates for shops and cargo agents at Changi Airport."

Changi Airport will also get a 15 per cent property tax rebate.

In addition, all airlines that had operated flights between mainland China and Singapore will get assistance in the form of landing credits, said Mr Heng.

Carriers such as Singapore Airlines (SIA), which continue to operate scheduled passenger flights between mainland China and Singapore during the outbreak period, will get 100 per cent landing charge rebates for these flights.

All Singapore carriers operating scheduled flights will also get to save an estimated $6 million on regulatory fees, as a result of the Civil Aviation Authority of Singapore (CAAS) providing a 50 per cent rebate on the annual fees for new and renewed certificates of airworthiness.

In addition, various other rebates will be provided to help airlines, with freighter airlines and cargo agents set to get some assistance as well.

The Aviation Sector Assistance Package will be co-funded by the Government, CAAS and Changi Airport Group (CAG).

More details will be provided by CAG and CAAS to affected companies.

SIA welcomed the package and said the SIA group will continue to be proactive and nimble in responding to challenges posed by the outbreak.

Yesterday, Mr Heng also announced help for the maritime sector to tide over the impact of the coronavirus outbreak.

The Maritime and Port Authority of Singapore will be giving 50 per cent port dues concession to cruise ships and regional ferries with a port stay of not more than five days and passenger-carrying harbour craft.

This will be on top of any existing concessions.

It will be implemented from next month to August and will cost about $1 million.

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A version of this article appeared in the print edition of The Straits Times on February 19, 2020, with the headline $112m package to help hard-hit aviation sector defray costs, keep jobs. Subscribe