Why did HDB increase its parking charges after 14 years?
Car park charges were last reviewed in 2002. Since then, the costs of constructing and operating car parks have increased significantly, by about 40%.
This has been due to:
- Rising overheads in the construction industry
- Improvements to new and existing HDB car parks for the convenience of residents – installing lifts in multi-storey car parks, providing link bridges to connect car parks to surrounding flats, installing the Electronic Parking System to regulate the demand for parking
- Additional repair works to maintain an increasing number of ageing car parks
Our operating costs* from building, maintaining, and improving HDB car parks add up to more than $700 million per year. Without the increase in the car park charges, we will face a shortfall of more than $100 million to fund our car park operations in the coming financial years.
The new parking charges implemented would help meet some of these rising costs.
*Total costs of operating car parks include maintenance, financing, depreciation, and overall operating expenses