SBS Transit Ltd to Continue Operating Seletar Bus Package

The Land Transport Authority (LTA) has awarded the contract for the Seletar bus package to SBS Transit Ltd (SBST). The contract, estimated at a total fee of $526 million^[1]over the five-year contract period, will commence from the first quarter of 2025. LTA has the option to extend the contract by between two and five years at the end of the five-year term.

2. The Seletar bus package is currently operated by SBST and consists of 29 routes^[2] operating from Seletar Bus Depot. Under the new contract, SBST will also continue to manage Ang Mo Kio and Yio Chu Kang Bus Interchanges.

3. The tender for the Seletar bus package was called on 30 October 2023 and bus operators were invited to submit bids. Tender submissions were evaluated based on a two-envelope process which considered both quality and price. The price submissions were only opened after the quality evaluation was completed. This two-envelope process ensures that LTA gets the best value-for-money proposal without compromising on quality. Please see Annex A for Bid Prices for Seletar Bus Package.

4. SBST^[3] was awarded the contract because they received the highest total score for their proposal after taking into account both quality and price factors. SBST's proposal also included initiatives that would help to raise standards for the public bus industry as a whole:

a. To better prepare the bus workforce for the transition towards the electrification of our public bus fleet, SBST will collaborate with the Singapore Bus Academy to set up Singapore's first electric bus satellite training centre at Seletar Bus Depot and adopt mixed reality technology for training. SBST will also install smart systems that track operational information and utilities usage in their premises to improve productivity and contribute to sustainability.

b. To foster an inclusive transport experience, SBST also proposed a sign language virtual assistant and school-friendly bus service. These have since been piloted at Ang Mo Kio bus interchange.

Annex A: Bid Prices for Seletar Bus Package

^[1] Excluding any adjustment for inflation, change in wage levels and fuel costs, service variation or incentive payment during the contract period.
^[2] Service 24, 70/70M, 71, 76, 130, 133, 135, 138, 162, 261, 262, 265, 268, 269, 652, 668, 800, 803, 804, 805, 806, 807, 811, 812, 850E, 851, 851E, 852 and 860.
^[3] SBST submitted compliant bids for its base and alternative proposals. The alternative proposal offers better value for money and more efficient use of resources.