Wednesday, January 31, 2007

Pay to suffer

I just read in Today newspaper that in due course, Singaporeans who drive in needs to pay RM 20 per entrance.

So now beside exposing yourself to snatch theft, horrible floods, pit holes roads, having your car stolen, you gotta pay the Malaysia government to bestow you with that opportunity.

I can't wait.

The RM20 barrier




KL wants S'porean vehicles to pay more to enter M'sia, but JB fears loss of business


Wednesday • January 31, 2007

Lee U-Wen

u-wen@mediacorp.com.sg

THE gantries are up, the equipment is in place and the testing is in full swing. At the Causeway and at the Second Link, they are just waiting for a date to be announced.

Once that happens, prepare to add RM20 ($8.70) to your shopping budget each
time you drive into Johor Baru (JB) to pick up some groceries or top up your petrol.


Kuala Lumpur has decided that all Singapore vehicles entering Malaysia will soon have to pay this new entrance levy over and above existing toll charges.

Malaysia's Tourism Minister Adnan Mansor, currently in Singapore for the Association of South-east Asian Nations' Tourism Ministers Meeting, said that the
details were being ironed out. "It has yet to be approved but when it is implemented, I am sure Singaporeans will get used to paying it," he said.


Singapore has been charging Malaysian motorists $20 to enter Singapore and "we don't grumble", said Tengku Adnan. "What is RM20? Singaporeans come to JB to buy food and petrol at subsidised prices.

"Besides, we have lots more roads for Singaporeans to travel on. Singapore has less road."

To Kuala Lumpur, the levy makes financial sense. It was first mooted last
April, Malaysia's High Commissioner to Singapore N Parameswaran told
Today. The logic is that Malaysia should not be giving away its subsidised fuel to Singaporeans without getting anything in return.


But already there are murmurs of protest — not from Singapore but from JB.

The Malaysian city, whose retail sector thrives on Singaporean spending,
doesn't want its government to scare its big buyers away.



Former Kampar MP James Wong said the justification for the levy was "simply not strong enough".

He told Today: "There has to be some extraordinary circumstance before you
do something like this. They cannot assume that just because Singapore
is rich, they can impose this fee."


The economic benefits of the Singaporean market — especially in Johor — are compelling.

Last year, Singaporeans spent a whopping RM1.83 billion on food, shopping
and entertainment in Johor, with most hoteliers, shops and restaurants
heavily dependant on the powerful Singapore dollar to remain profitable.


In all, Singaporeans went to Malaysia an estimated total of 9 million
times last year, and this number is expected to rise to 10 million with
the Visit Malaysia Year 2007 tourism drive.


What's more, statistics from the Tourism Ministry show that six in 10 Asian tourists to Malaysia hail from Singapore.

When contacted, Johor MP Shahrir Samad admitted that there was "a lot of unhappiness among Johoreans".

"Many have asked me for the need to have such a measure. Collect the money for what? Who will benefit?" he wondered.

Ms Jenny Chan, general manager for Johor Bahru City Square shopping
centre, said that the levy could keep some Singaporeans from crossing
the Causeway.


With more than 300 stores, Johor Bahru City Square is one of the most popular shopping centres in the state, with 20 per cent of its customers coming from Singapore.

"Johor and other states like Malacca rely on Singaporeans, so we really should welcome them with open arms. We've not heard of a fixed date for the levy yet,
but we hope that the government will delay it, at least until Chinese New Year is over. That is one of the busiest times of the year for us," she said.


On the flip side, Malaysian cars currently pay $20 to enter Singapore, with motorcyclists having to fork out $4. This amount is valid from 2am to 5pm on weekdays; entry is free on weekends and public holidays.

Tengku Adnan said he had not heard complaints from Malaysian drivers even though the amount was huge when converted into ringgit.

Observers, however, note that Malaysian car-owners do not pay Certificate of Entitlement (COE) costs as Singaporeans do. Without the fee, someone living in JB could simply sidestep the COE cost by driving his Malaysian car in Singapore.

In contrast, most Singaporeans drive to JB to shop and spend. Would the new levy deter them?

Said business consultant Angelina Lim, 32: "Of course it will discourage me. First there was a toll increase, and now this."

Sales manager Roland Ang, 34, on the other hand, said he would continue to
visit Johor at least once a month to eat at his his favourite seafood joint.


"Yes, it will soon be a bit more expensive, but if a family of four sits in one car, it works out to just RM5 per person. It's quite affordable," he said.

Kuala Lumpur believes — and JB deeply hopes — that more will think like him.

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