Higher transport and meal subsidies for students under MOE help scheme next year

SINGAPORE — From 1 January next year, transport and meal subsidies for primary and secondary students under the Ministry of Education (MOE) Financial Assistance Scheme (FAS), as well as bursaries for pre-university students, will be increased.

Some 44,000 students will benefit from the changes, said the MOE in a media release on Wednesday (24 August).

From 1 January, the cap for school bus fares under current school bus contracts between schools and bus operators will be allowed to rise by seven per cent, said MOE.

"This will let bus operators exercise the flexibility to raise their fares up to the revised cap, if necessary, to continue providing transport services to students, while keeping their operations sustainable," it added.

School bus fares are set by bus operators through a competitive bidding process with the respective schools, with a fixed pricing cap valid for a number of years.

The rise in fuel and manpower costs in recent months has made it challenging for school bus operators to operate at pricing caps that had been fixed before the recent cost rise, said MOE.

MOE will continue to work with school bus operators to ensure that school bus fares are kept affordable for students.

Bus operators will inform parents or guardians of any revisions to the bus fares from September to enable the latter to plan for transport arrangements in the new school year.

Students who require financial help will get more support through enhancements to the MOE FAS, and through school-based FAS if necessary, said MOE.

The MOE FAS helps defray the cost of basic schooling expenses for students from lower-income households.

For primary and secondary school students, the MOE FAS fully covers the cost of school and standard miscellaneous fees, textbooks, school uniforms, as well as meal and transport subsidies.

For pre-university students, it fully covers the cost of school and standard miscellaneous fees and provides a cash bursary and transport subsidies.

In a Facebook post on Wednesday, Education Minister Chan Chun Sing said that he himself had benefitted from scholarships, bursaries, and subsidies during his years in school and understood the impact that such support can make.

"We hope that the increased assistance for schooling, transport, and meal expenses will give students from lower income households greater peace of mind, and support them in maximising their potential," he added.

MOE's announcement comes three days after Prime Minister Lee Hsien Loong said in his National Day Rally speech that the cost of living is on top of everyone’s minds. Inflation, which was already a problem due to the COVID-19 pandemic, has been further aggravated by the war in Ukraine, he added.

Lee gave the assurance that the government is doing everything necessary to support Singaporeans, especially middle- and lower-income families.

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