Bus contracting model of Singapore#Negotiated bus packages

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The Bus Contracting Model (BCM), formerly known as the Government Contracting Model, is a contracting model introduced by the Land Transport Authority (LTA) in 2014 for public buses in Singapore, implemented in 2016. The BCM is based on the Transperth model in Perth, Western Australia, with quality incentive elements from London Buses.{{cite news|last1=Sim|first1=Royston|title=Govt to overhaul public bus sector, shift from privatised to contracts model|url=http://www.straitstimes.com/singapore/transport/govt-to-overhaul-public-bus-sector-shift-from-privatised-to-contracts-model|accessdate=1 January 2018|work=Straits Times|date=21 May 2014|archive-url=https://web.archive.org/web/20180102020317/http://www.straitstimes.com/singapore/transport/govt-to-overhaul-public-bus-sector-shift-from-privatised-to-contracts-model|archive-date=2 January 2018|url-status=live}} Under the BCM, local and overseas bus operators bid for contracts to operate public bus services on behalf of LTA. The LTA has also adopted a new unified lush green livery and logo for all buses, and now procures and owns the bus fleet for all public bus services in Singapore.

History

First introduced in 2014, the Government of Singapore claimed that the new contracting model allows public bus services to be more responsive to changes in ridership and commuter needs and to encourage competition between bus operators, improving bus services for commuters.{{Cite web|url=http://www.lta.gov.sg/apps/news/page.aspx?c=2&id=28fca09a-bed6-48f4-99d4-18eeb8c496bd|publisher=Land Transport Authority|title=Transition to a Government Contracting Model For the Public Bus Industry|date=21 May 2014|accessdate=1 November 2016|archive-url=https://web.archive.org/web/20161013024125/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=28fca09a-bed6-48f4-99d4-18eeb8c496bd|archive-date=13 October 2016|url-status=live}}

With the Bus Service Operating Licenses (BSOL) of SBS Transit and SMRT Buses expiring on 31 August 2016, the Land Transport Authority (LTA) decided to revamp the country's bus operations into a competitive tendering process. Under the contracting model, bus operators bid for the right to operate services while with the LTA as central planner, setting service levels and service standards. The LTA retains ownership of bus, depot and fleet management system assets. Operators that win a tender for a bus package are paid a fixed fee to operate the services.

Under the bus industry model, the LTA claims that the commuters will benefit with lesser waiting time for buses. All bus services will run at intervals of not more than 15 minutes, and feeders will run at even shorter intervals at 6 to 8 minutes.

The LTA initially tendered out three packages. These contracts are for five years, with two years extension if performance criteria are met. The remaining nine packages were reorganised into 11 packages, and are being run by the existing operators for periods of two to 10 years - this marked the completion of transition to the BCM. LTA will tender out these packages after these negotiated contracts expire.{{Cite web|url=http://www.businesstimes.com.sg/transport/lta-to-move-sbs-transit-smrt-bus-services-into-11-packages-worth-s72b|publisher=The Business Times|title=LTA to move SBS Transit, SMRT into 11 packages worth $7.2B|date=11 August 2016|accessdate=1 November 2016|archive-url=https://web.archive.org/web/20160913125928/http://www.businesstimes.com.sg/transport/lta-to-move-sbs-transit-smrt-bus-services-into-11-packages-worth-s72b|archive-date=13 September 2016|url-status=live}}{{Cite web|url=https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=e1fbdb6d-3200-4b23-846e-bb2184ba3dcc|publisher=Land Transport Authority|title=Bus Industry to complete Transition to Bus Contracting Model on 1 September 2016|date=11 August 2016|accessdate=1 November 2016|archive-url=https://web.archive.org/web/20160915150721/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=e1fbdb6d-3200-4b23-846e-bb2184ba3dcc|archive-date=15 September 2016|url-status=live}}

Tendered bus packages

=Bulim Bus Package=

In October 2014, the LTA called for tenders to operate the Bulim Bus Package comprising 26 existing bus services{{Cite web|url=https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=c645d50b-36ca-4cff-a6f7-38f5bcb5fa49|publisher=Land Transport Authority|title=First Bus Package under the Government Contracting Model up for tender|date=3 October 2014|accessdate=29 August 2016|archive-url=https://web.archive.org/web/20160915172106/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=c645d50b-36ca-4cff-a6f7-38f5bcb5fa49|archive-date=15 September 2016|url-status=live}} originating from Bukit Batok, Jurong East and Clementi bus interchanges. Since then, services 653, 657 and 944 were added into this package under SMRT Buses on 13 April 2017, 24 April 2017 and 27 August 2017 respectively. In 2020, Service 651 was also added into this package.

Aedge Holdings, Busways, Go-Ahead Group, a Jiaoyun Group / Travel GSH joint venture, Jinan Public Transportation, Keolis, RATP Dev Transdev Asia, SBS Transit, SMRT Buses, Transit Systems and Woodlands Transport lodged bids.{{Cite web|url=http://www.straitstimes.com/singapore/transport/first-bus-tender-draws-11-bidders|publisher=The Straits Times|title=First bus tender draws 11 bidders|date=20 January 2015|accessdate=9 February 2017|archive-url=https://web.archive.org/web/20170211155256/http://www.straitstimes.com/singapore/transport/first-bus-tender-draws-11-bidders|archive-date=11 February 2017|url-status=live}} In May 2015, the LTA awarded the contract to Transit Systems with the new Bulim Bus Depot handed over to Tower Transit Singapore on 31 July 2015.{{Cite web|url=https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=6bc7cedf-2390-4c4f-904c-de12115b1354|publisher=Land Transport Authority|title=LTA awards first tendered bus package to Tower Transit Group Limited|date=8 May 2015|accessdate=1 November 2016|archive-url=https://web.archive.org/web/20161112052230/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=6bc7cedf-2390-4c4f-904c-de12115b1354|archive-date=12 November 2016|url-status=live}}{{Cite web|url=https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=65969789-93c7-41ec-951b-17a83fdf59a9|title=LTA hands over Bulim Depot to Tower Transit.|last=|first=|date=|website=|archive-url=https://web.archive.org/web/20171201031745/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=65969789-93c7-41ec-951b-17a83fdf59a9|archive-date=1 December 2017|url-status=live|access-date=}} The depot is able to accommodate about 550 buses.

In September 2020, the LTA awarded the contract for the second term of this package to Tower Transit Singapore. Operations under the second term commenced on 29 May 2021, which also involves the transfer of services 653, 657 and 944 from SMRT Buses to Tower Transit Singapore.{{cite web|url=https://www.channelnewsasia.com/news/singapore/tower-transit-bulim-sembawang-yishun-bus-interchanges-lta-13164090|title=Tower Transit to run Sembawang and Yishun bus interchanges, taking over from SMRT|publisher=Channel News Asia|date=30 September 2020|accessdate=1 October 2020}}{{cite web|url=https://www.asx.com.au/asxpdf/20200930/pdf/44n6vsn2848r5b.pdf|title=Sealink awarded contracts for bus services in Singapore|website=Australian Securities Exchange|publisher=Sealink Travel Group|date=30 September 2020|accessdate=1 October 2020}}

With the development of Tengah New Town, Route 944 was extended to Tengah Interchange and renumbered 992. Two new routes originating from Tengah itself, namely Routes 870 and 871, were also introduced.

=Loyang Bus Package=

In April 2015, the LTA called for tenders to operate the Loyang Bus Package comprising 24 existing bus services originating from Changi Airport Bus Terminal, Changi Village Bus Terminal, Pasir Ris Bus Interchange and Punggol Temporary Bus Interchange. Later on, services 381 and 12e were introduced. On 1 April 2018, service 68 was added into this package.{{Cite web|url=https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=721d3fea-797d-4e70-b83c-dce9870ab1c3|publisher=Land Transport Authority|title=Second Bus Package under the Government Contracting Model up for tender|date=15 April 2015|accessdate=12 December 2016|archive-url=https://web.archive.org/web/20161220094350/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=721d3fea-797d-4e70-b83c-dce9870ab1c3|archive-date=20 December 2016|url-status=live}} On 9 September 2019, service 43e was added into this package. On 27 December 2020, service 384 was added into this package.

Busways, Go-Ahead Group, Keolis, RATP Dev Transdev Asia, SBS Transit, SMRT Buses, a Tian Tan Shipping/Kumho Buslines joint venture and Woodlands Transport lodged bids.{{cite press release|url=http://www.lta.gov.sg/data/apps/news/press/2015/20151123_BidPriceLoyangBusPkg.pdf|title=Bid Prices for Loyang Bus Package|archiveurl=https://web.archive.org/web/20160408064620/http://www.lta.gov.sg/data/apps/news/press/2015/20151123_BidPriceLoyangBusPkg.pdf |archivedate=8 April 2016|website=Land Transport Authority}} The contract was awarded in November 2015 to Go-Ahead Singapore.{{cite web|url=https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=b788c5ef-a7cc-4de3-b5d8-9fc1cd1d1b2e|publisher=Land Transport Authority|title=LTA awards second bus package to Go-Ahead Group PLC|date=23 November 2015|accessdate=12 December 2016|archive-url=https://web.archive.org/web/20161112052527/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=b788c5ef-a7cc-4de3-b5d8-9fc1cd1d1b2e|archive-date=12 November 2016|url-status=live}} The 29 bus routes are based at the new Loyang Bus Depot{{Cite web |date=4 August 2016 |title=Joint News Release by The Land Transport Authority (LTA) and Go-Ahead Singapore - Loyang Bus Package to roll out on 4 and 18 September in 2 Tranches |url=https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=fd3edf0d-3778-466c-a595-ea8ac75cd19b |url-status=live |archive-url=https://web.archive.org/web/20160915181229/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=fd3edf0d-3778-466c-a595-ea8ac75cd19b |archive-date=15 September 2016 |accessdate=12 December 2016 |publisher=Land Transport Authority}} which was completed in June 2015 and is able to accommodate about 505 buses.

In August 2020, Go-Ahead Singapore received a two-year contract extension to continue operating the bus package until September 2023.{{Cite web |title=Singapore bus contract extension |url=https://newsroom.go-ahead.com/news/singapore-bus-contract-extension |access-date=26 September 2022 |website=Go Ahead News |date=26 August 2020 |language=en-GB}} In September 2022, this was further extended until September 2026.{{Cite news|url=https://www.straitstimes.com/singapore/transport/go-ahead-singapore-gets-further-extension-on-loyang-bus-contract|title=Go-Ahead Singapore gets further extension on Loyang bus contract|newspaper=The Straits Times|first=Kok|last=Yufeng|date=31 October 2022|access-date=31 October 2022}}

=Seletar Bus Package=

In June 2016, the LTA called for tenders to operate 24 existing bus services originating from Yishun Bus Interchange, Yio Chu Kang Bus Interchange and Ang Mo Kio Bus Interchange, with 3 new bus services (71, 668 and 851e under SBS Transit as well as 652 and 807 initially under SMRT Buses) to be introduced.{{Cite web|url=https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=acdde246-d3b3-48bd-80a7-ce5a508b47ae|publisher=Land Transport Authority|title=Calling of Tender for This Third Bus Package under The Bus Contracting Model|date=7 June 2016|accessdate=28 December 2016|archive-url=https://web.archive.org/web/20160822071815/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=acdde246-d3b3-48bd-80a7-ce5a508b47ae|archive-date=22 August 2016|url-status=live}} The 29 routes are based at the new Seletar Bus Depot which was completed in the 3rd quarter of 2017 and is able to accommodate about 515 buses including 20 lots for electric buses. The tender was closed on 27 October 2016 (with original deadline as 6 October 2016).{{Cite web|url=http://www.straitstimes.com/singapore/transport/lta-extends-deadline-for-seletar-bus-tender|publisher=The Straits Times|title=LTA extends deadline for Seletar bus tender|date=27 September 2016|accessdate=1 November 2016|archive-url=https://web.archive.org/web/20161101104506/http://www.straitstimes.com/singapore/transport/lta-extends-deadline-for-seletar-bus-tender|archive-date=1 November 2016|url-status=live}}{{Cite web|url=http://www.straitstimes.com/singapore/transport/nine-bids-received-for-seletar-bus-package|publisher=The Straits Times|title=Nine bids received for Seletar bus package|date=27 October 2016|accessdate=1 November 2016|archive-url=https://web.archive.org/web/20161101103251/http://www.straitstimes.com/singapore/transport/nine-bids-received-for-seletar-bus-package|archive-date=1 November 2016|url-status=live}}

Busways, Go-Ahead Singapore, a Jiaoyun Group / Travel GSH joint venture, National Express, SBS Transit, Shenzhen Bus Group, SMRT Buses, a Tian Tan Shipping/Kumho Buslines joint venture, Tower Transit Singapore and Woodlands Transport lodged bids.{{cite press release|url=https://www.lta.gov.sg/data/apps/news/press/2017/20170419_Bid_Prices_SeletarBusPackage_AnnexA.pdf|title=Bid Prices Seletar Bus Package|archiveurl=https://web.archive.org/web/20180705033103/https://www.lta.gov.sg/data/apps/news/press/2017/20170419_Bid_Prices_SeletarBusPackage_AnnexA.pdf |archivedate=5 July 2018|website=Land Transport Authority}} In April 2017, the LTA awarded incumbent operator SBS Transit the package.{{cite web|url=http://www.straitstimes.com/singapore/transport/sbs-transit-wins-seletar-bus-contract|publisher=The Straits Times|title=SBS Transit wins Seletar bus contract|date=20 April 2017|accessdate=26 May 2017|archive-url=https://web.archive.org/web/20170525124154/http://www.straitstimes.com/singapore/transport/sbs-transit-wins-seletar-bus-contract|archive-date=25 May 2017|url-status=live}}

In 2022, SBS Transit received a two-year contract extension to continue operating the bus package until March 2025. They subsequently retained control of said package for the second term, edging out four other bidders, including Bravo Transport of Hong Kong, and SBS Transit will allow more bus services not from Seletar Bus Package to park in this bus depot, allowing the closure of Ang Mo Kio Bus Depot.{{cite web|url=https://www.lta.gov.sg/content/ltagov/en/newsroom/2024/7/news-releases/SBS_Transit_Ltd_to_continue_operating_seletar_bus_package.html |title=LTA | SBS Transit Ltd to Continue Operating Seletar Bus Package }}

=Bukit Merah Bus Package=

In April 2017, the LTA called for tenders to operate 17 bus services originating from Bukit Merah Bus Interchange, HarbourFront Bus Interchange, Buona Vista Bus Terminal, Marina Centre Bus Terminal, Kampong Bahru Bus Terminal, Queen Street Bus Terminal and Shenton Way Bus Terminal.{{cite web|url=https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=9e964d5e-c368-40e5-a78e-c6697c62f280|publisher=Land Transport Authority|title=Bukit Merah Bus Package Up for Tender|date=28 April 2017|accessdate=26 May 2017|archive-url=https://web.archive.org/web/20170810130637/https://www.lta.gov.sg/apps/news/page.aspx?c=2&id=9e964d5e-c368-40e5-a78e-c6697c62f280|archive-date=10 August 2017|url-status=live}} The 17 bus routes (including cross border services 160 and 170/170X) will be supported by the new Ulu Pandan Bus Depot which was completed in the first quarter of 2018 and is able to accommodate about 480 buses.{{cite news|title=Bukit Merah bus package put up for tender|url=http://www.channelnewsasia.com/news/singapore/bukit-merah-bus-package-put-up-for-tender-8799978|accessdate=24 February 2018|work=Channel NewsAsia|date=28 April 2017|archive-url=https://web.archive.org/web/20180705150743/https://www.channelnewsasia.com/news/singapore/bukit-merah-bus-package-put-up-for-tender-8799978|archive-date=5 July 2018|url-status=live}}

Go-Ahead Singapore, a Jiaoyun Group / Travel GSH joint venture, SBS Transit, Shenzhen Bus Group, SMRT Buses and Tower Transit Singapore lodged bids.{{cite press release|url=https://www.lta.gov.sg/data/apps/news/press/2018/20180223_Bid_Prices_for_Bukit_Merah_Bus_Package_AnnexA.pdf|title=Bid Prices for Bukit Merah Bus Package|archiveurl=https://web.archive.org/web/20180705064138/https://www.lta.gov.sg/data/apps/news/press/2018/20180223_Bid_Prices_for_Bukit_Merah_Bus_Package_AnnexA.pdf |archivedate=5 July 2018|website=Land Transport Authority}} In February 2018, the LTA awarded incumbent operator SBS Transit the package and allows more bus services not from Bukit Merah Bus Package to park in this bus depot, allowing the closure of Ayer Rajah Bus Park.{{cite news|title=SBS Transit wins Bukit Merah bus package for S$472 million|url=https://www.channelnewsasia.com/news/singapore/sbs-transit-wins-bukit-merah-bus-package-for-s-472-million-9985310|accessdate=24 February 2018|work=Channel NewsAsia|date=23 February 2018|archive-url=https://web.archive.org/web/20180223232231/https://www.channelnewsasia.com/news/singapore/sbs-transit-wins-bukit-merah-bus-package-for-s-472-million-9985310|archive-date=23 February 2018|url-status=live}}

Tenders for the second term of the Bukit Merah bus package were called on 23 November 2022, along with the initial term of the Jurong West bus package. The tender closed on 3 April 2023. On 18 August 2023, it was announced that SBS Transit won the tender for the package and will continue operating the bus services in this package, similar arrangements from the previous tender are carried out.{{Cite web |title=LTA Awards Bukit Merah and Jurong West Bus Packages to SBS Transit and SMRT Buses |url=https://www.lta.gov.sg/content/ltagov/en/newsroom/2023/8/news-releases/lta_awards_bt_merah_and_jurong_west_bus_packages.html |access-date=2023-08-18 |website=www.lta.gov.sg}}

=Sembawang-Yishun Bus Package=

In November 2019, the LTA called for tenders to operate the Sembawang-Yishun bus package, which was held concurrently with the tender for the second term of Bulim bus package. This involves 24 bus services operating out of Woodlands, Sembawang and Yishun bus interchanges. Service 110 will be handed over to Woodlands Bus Package while 652 will be handed over to Seletar Bus Package. They are based at the new Mandai Bus Depot which is able to accommodate about 550 buses (co-located with the Thomson–East Coast line MRT depot) from September 2021.{{cite news|date=30 November 2019|title=Tenders called for 56 Sembawang-Yishun and Bulim bus routes|website=straitstimes.com|url=https://www.straitstimes.com/singapore/transport/tenders-called-for-56-sembawang-yishun-and-bulim-bus-routes|access-date=12 December 2019}}

In September 2020, the LTA awarded the contract for this package to Tower Transit Singapore. Operations commenced in 3 tranches from 5 September 2021, involving the transfer of the services from SMRT Buses to Tower Transit Singapore.

In January 2022, route 801 was introduced and added to the package.

Route 861 was introduced and added to this package in September 2024.

= Jurong West Bus Package =

In November 2022, LTA called for tenders for the Jurong West Bus Package, along with the second term of the Bukit Merah package. This involved 26 bus services operated by SBS Transit operating mainly out of Boon Lay and Joo Koon bus interchanges. The tender closed on 3 April 2023. On 18 August 2023, LTA announced that SMRT Buses had won the tender for this bus package and will take over the bus services from 2024 onwards.

= Tampines Bus Package =

In December 2024, LTA called for tenders for the Tampines Bus Package. This involves 26 bus services operating out of Tampines, Tampines Concourse and Tampines North bus Interchanges.{{Cite web |date=25 December 2024 |title=淡滨尼巴士配套开放竞标 陆交局注重电动车队运营提案 |url=https://www.zaobao.com.sg/news/singapore/story20241225-5644788 |access-date=2024-12-29 |website=Lianhe Zaobao |language=zh-Hans}}

Negotiated bus packages

In August 2016, the LTA announced the completion of the transitioning to bus contracting on 1 September 2016. The remaining nine packages covered 230 routes. They were organised in a way such that no change of employees from one operator to another was needed. Each package will last from five to 10 years. As the negotiated contracts expire, they will be put up for tender. These are the following bus service packages:{{cite press release|url=https://www.lta.gov.sg/data/apps/news/press/2016/20160811_Details_11_negotiated_packages_AnnexB.pdf|title=Annex B: Details of the 11 Negotiated Packages|archiveurl=https://web.archive.org/web/20161101101932/https://www.lta.gov.sg/data/apps/news/press/2016/20160811_Details_11_negotiated_packages_AnnexB.pdf |archivedate=1 November 2016|website=Land Transport Authority}}. Retrieved 14 January 2017.{{Cite web|url=http://landtransportguru.net/bus-industry-completes-transition-to-bus-contracting-model/|publisher=Land Transport Guru|title=Bus industry completes transition to Bus Contracting Model|date=27 August 2016|accessdate=9 February 2017|archive-url=https://web.archive.org/web/20161221124436/http://landtransportguru.net/bus-industry-completes-transition-to-bus-contracting-model/|archive-date=21 December 2016|url-status=live}}

Table of bus packages

class="wikitable sortable" style="text-align:center"
PackageBus depotOperatorCommencement DateEnd DateSubject to a 2-year extension
colspan="6"|Tendered packages
BulimBulim Bus Depot
Tengah Bus Depot (From 2026)
Tower Transit29 May 20212028
LoyangLoyang Bus Depot
Lorong Halus Bus Depot (From 2029)
Go-Ahead4 September 20162026
SeletarSeletar Bus DepotSBS Transit16 March 20252030
Bukit MerahUlu Pandan Bus Depot
Pasir Panjang Bus Depot (From 2029)
SBS Transit28 April 20242029
Sembawang-YishunMandai Bus Depot
Simpang Bus Depot (From 2029)
Tower Transit5 September 20212028
Jurong WestSoon Lee Bus ParkSMRT Buses1 September 20242029
colspan="6"|Negotiated packages
Sengkang-HougangSengkang West Bus DepotSBS Transit1 September 2016{{TBA}}
BedokBedok North Bus DepotSBS Transit1 September 2016{{TBA}}
Choa Chu Kang-Bukit PanjangKranji Bus Depot
Gali Batu Bus Depot (From 2026)
SMRT Buses1 September 20162026
WoodlandsWoodlands Bus DepotSMRT Buses1 September 20162026
TampinesBedok North Bus Depot
East Coast Bus Depot (From 2026)
SBS Transit1 September 2016July 2026
Serangoon-EunosHougang Bus Depot
Kim Chuan Bus Depot (From 2026)
SBS Transit1 September 2016{{TBA}}
ClementiBukit Batok Bus Depot
Ulu Pandan Bus Depot (From 2030)
SBS Transit1 September 2016{{TBA}}
Bishan-Toa PayohHougang Bus DepotSBS Transit1 September 2016{{TBA}}

Notes

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References

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{{Singapore bus stations|state=expanded}}

Category:2014 establishments in Singapore

Category:Bus transport in Singapore