Bus Contracting Model (BCM)

The Bus Contracting Model (BCM), formerly known as the Government Contracting Model (GCM), is a gross-cost contracting model for public bus services in Singapore where Public Transport Operators bid for the right to operate bus routes under the Land Transport Authority.

First announced in 2014 and implemented on 1 September 2016, the BCM brought all public buses and related infrastructure under the ownership of the government. Under this model, LTA assumes the central role of planning bus services, while public transport operators bid for the right to operate the bus routes in a package.

Bus operators are paid to run bus routes according to service standards set by LTA. The competitive tendering process fosters competition in the bus industry, encouraging operators to adopt a low-cost operating model while running a reliable bus service for commuters, with financial incentives awarded based on good performance. The model also encourages operators to invest in areas like recruitment, staff training, and enhancing the professionalism of the bus workforce.

Presently, there are 14 bus packages managed by four operators in Singapore.


Overview

Under the BCM, bus operators are required to:

  1. Lease operating assets from the Government as specified in the awarded contract.
  2. Adhere to specified performance standards in operating their assigned bus services.
  3. Operate and maintain the leased buses and onboard equipment (e.g., fare equipment and fleet management equipment) provided by the Government.
  4. Operate and maintain the Bus Interchanges and new Bus Depots included in the Route Packages, along with all the equipment and systems provided within.
  5. Collect and enforce fares approved by the Public Transport Council for travel on the allocated Route Package Bus Services, acting on behalf of the Government.
  6. Provide bus service information at all bus stops and bus interchanges served by the Route Packages’ Services.
  7. Offer customer management services, including lost and found services, as well as a hotline for commuter feedback and inquiries.

Additionally, an Incentive Framework is established to encourage operators to deliver quality bus services to commuters and maintain the provided assets effectively. If the operator meets the standards, it can receive a performance payment of up to 10% of its annual service fee. Conversely, if the operator fails to meet the standards, up to 10% of its annual service fee may be deducted. The framework includes five performance indicators covering:

  1. Bus service reliability, incorporating indicators on Excess Wait Time (EWT) and On-Time Adherence (OTA) as per the Bus Service Reliability Framework.
  2. First and last bus punctuality to ensure accessibility for commuters.
  3. Maintenance of the buses provided by LTA.
  4. Maintenance of the Bus Interchanges and Bus Depots awarded under the Route Packages.
  5. Maintenance of the Bus Ticketing System.

BCM Route Packages

Bus services were consolidated into 14 route packages, each comprising approximately 300-500 buses, in August 2016. The contracts for these services are set to run for an initial five years, with the possibility of extension for another two years contingent upon satisfactory performance.

Contracts awarded from 2023 onwards allow for LTA to consider extensions ranging from two to five years after the initial five-year term.

The original inception of the Bus Contracting Model in 2014 originally planned for bus services to be divided into 12 packages.

The first three Tendered Contracts (TC) were for the Bulim, Loyang and Seletar Bus Packages, which were announced between May 2014 and June 2016. These packages were awarded to Tower Transit Singapore, Go Ahead Singapore & SBS Transit respectively, ushering in foreign operators into the local bus industry.

The remaining 11 packages were extended under Negotiated Contracts (NC) for periods ranging from 2 to 10 years, commencing from 1 September 2016. Upon the conclusion of these negotiated contracts, the bus services within these 11 packages will progressively undergo a tendering process. This phased transition approach enables LTA to refine and enhance contract management procedures, as well as the tendering and handover processes, while minimizing the risk of service disruption.

See also: Bus industry completes transition to Bus Contracting Model | Land Transport Guru


List of Bus Packages

Contract references and periods reflect the current and upcoming term(s) only.

Package Contract Ref Contract Period Incum-
bent
Bulim Bus Package PT217A 29 May 2021 – 2028
(with 2 year extension)
TTS
Loyang Bus Package PT201 4 Sep 2016–2026
(with 2+3 year extension)
GAS
Seletar Bus Package
PT219 16 Mar 2025 – 2030 SBST
Bukit Merah Bus Package
PT218A 28 Apr 2024 – 2029 SBST
Sembawang–Yishun Bus Package PT217B 5 Sep 2021 – 2028
(with 2 year extension)
TTS
Jurong West Bus Package
PT218B 1 Sep 2024 – 2029 SMRT
Tampines Bus Package
PT207 Sep 2016 – Jul 2026
(with 1 year 10 months extension)
SBST
PT220 From 5 Jul 2026 GAS
Sengkang – Hougang Bus Package PT206 1 Sep 2016 – 2024*
(with 3 year extension; further extended for undisclosed duration)
SBST
Choa Chu Kang – Bukit Panjang Bus Package PT215 1 Sep 2016 – 2026
(with 3 year extension)
SMRT
Woodlands Bus Package PT216 Sep 2016 – 2026
(with 3 year extension)
SMRT
Bedok Bus Package PT211 Sep 2016 – 2023*
(extended for undisclosed duration)
SBST
Serangoon – Eunos Bus Package PT209 Sep 2016 – 2025*
(extended for undisclosed duration)
SBST
Clementi Bus Package PT210 Sep 2016 – 2025*
(extended for undisclosed duration)
SBST
Bishan – Toa Payoh Bus Package PT208 Sep 2016 – 2026*
(extended for undisclosed duration)
SBST

Notes:

  • Due to periodic contract extensions, the ultimate duration of many existing bus contracts may vary.
  • The bus depots and bus interchanges/terminals linked with each package are subject to change, and bus services could be added or removed at LTA’s discretion.
  • Service fees provided to bus operators are determined by the awarded sums announced during the contract award. These figures may be adjusted due to inflation and changes in operating mileage resulting from LTA route amendments, new bus routes, or withdrawn bus routes that affect the total mileage covered.

Timeline

Notes:

  • Owing to periodic contract extensions, the final duration of many ongoing bus contracts is subject to change.

Former Bus Package Terms

Package Contract Ref Contract Period Incum-
bent
Seletar Bus Package PT204 1 Sep 2016 – 10 Mar 2018 SBST
PT214 1 Sep 2016 – 24 Mar 2018 SMRT
PT202 11 Mar 2018 – 15 Mar 2025
(with 2 year extension)
SBST
Bukit Merah Bus Package PT205 1 Sep 2016 – 17 Nov 2018 SBST
Bulim Bus Package PT200 29 May 2016 – 28 May 2021 TTS
Sembawang–Yishun Bus Package PT213 1 Sep 2016 – 2 Oct 2021
(with 1 year extension)
SMRT
Bukit Merah Bus Package PT203 18 Nov 2018 – 27 Apr 2024
(with 5 month extension)
SBST
Jurong West Bus Package
PT212 1 Sep 2016 – 14 Sep 2024 SBST

Continued on Page 2:

  • Advantages of BCM
  • BCM Contract Extensions
  • Dual-Depot Arrangements
  • New Bus Services
  • Rationalisation of Bus Services
  • LTA Bus Assets
  • Refurbishment of Buses
  • Advertising on BCM buses
  • Comparison of Old and New frameworks

153 thoughts on “Bus Contracting Model (BCM)

  • 24 June 2023 at 6:42 PM
    Permalink

    KNN,Bukit Merah gets 5 months extension for F?

    Reply
  • 19 March 2023 at 10:02 AM
    Permalink

    Got a feeling that Go-Ahead will bag Jurong West and SBST will retain Bukit Merah.

    Reply
  • 10 December 2022 at 6:21 PM
    Permalink

    Given a choice I would prefer the bus packages distributed like this.

    Tower Transit Singapore stays with Bulim & Sembawang-Yishun.

    SMRT Buses operate Jurong West,Woodlands and Sengkang-Hougang.

    Go-Ahead Singapore operate Loyang & Choa Chu Kang-Bukit Panjang.

    The remaining 7 packages stays with SBS Transit.

    GA61,67 & 985 can be dual control between Gali Batu Depot & Loyang Depot.

    SMRT178 & 187 dual depot between Woodlands Depot & Soon Lee Depot.SMRT51 & 151 dual depot between Sengkang West & Soon Lee Depots.

    Orchard Rd got all operators with GA36,190,518 & 972.
    TTS got 77,106,143 & 167.
    SMRT has 132 & 502.

    All operators operate bendy buses>GA184,300 & 302.
    SMRT for Woodlands feeders,TTS with 858 and SBST for Yishun feeders.

    Chinatown also has all operators.

    Reply
  • 29 November 2022 at 1:51 AM
    Permalink

    Continue

    Choa Chu Kang-Bukit Panjang Package(Tower Transit Singapore)
    67,75,172,176,180,184,188,188e,190,300,301,302,307,920,922,927,970,972/M,973,974,975,976,979,982E,983,985 + 2 new service.
    Anchor operator of Choa Chu Kang Int,Bukit Panjang Ith & Gali Batu Ter.
    Depot:Gali Batu 500 capacity.

    Sengkang-Hougang Package(SMRT Buses)
    27,80,85,86,87,89,89e,102,107/M,112,113,114,115,116,117,151,153,156,161,163,165,324,325,329,371,372,374,654,660,671,672 + 3 new service.
    Anchor operator of Hougang Int/Bus Park,Sengkang Ith,Compassvale Int,Buangkok Ith.
    Tenant operator of Punggol Int.
    Depot:Sengkang West 600 capacity.

    Bedok Package(SBS Transit)
    7,9,13,14,14e,16,25,26,30,30e,35/M,36,40,42,45,47,168,196,196e,197,222,225G/W,228,229,401 + 3 new service.
    Anchor operator of Bedok Ith,Upper East Coast Ter,Changi Airport PTB2 & Changi Village Ter.
    Depot:East Coast Integrated 740 capacity.

    Tampines Package(SBS Transit)
    4,8,10,10e,18,19,20,21,23,28,29,31,37,38,39,46,65,69,81,127,291,292,293,298,513 + 3 new service.
    Anchor operator of Tampines Int & Tampines North Int.
    Tenant operator of Pasir Ris Int.
    Depot:Bedok North 435 capacity Future Depot:Tampines Industrial Area.

    Serangoon-Eunos Package(SBS Transit)
    11,53/M,55,58,59,60,63/M,64,93,94,100,101,103,109,134,137,140,141,150,154,158,315,317 + 3 new service.
    Anchor operator of Serangoon Ith,Bidadari Ith,Lor 1 Geylang Ter,Sims Place Ter & Eunos Int.
    Tenant operator of Bishan Int.
    Depot:Kim Chuan 550 capacity.

    Clementi Package(SBS Transit)
    33,51,52,91,92/M,95,96,99,105,111,147,160,166,175,200,201,282,284,285,655,667 + 3 new service.
    Anchor operator of Clementi Ith,Kent Ridge Ter,Ghim Moh Ter & Buona Vista Ter.
    Anchor operator of Jurong East Int & Jurong Town Hall Int.
    Depot:Bukit Batok 300 capacity Future Depot:Ulu Pandan MRT integrated 600 capacity.

    Bishan-Toa Payoh Package(SBS Transit)
    50,54,56,57,73,88,90,125,129,139,142,155,157,159,231,232,235,238,410G/W + 1 new service.
    Anchor operator of Toa Payoh Ith,Bishan Int & Saint Michael’s Ter.
    Depot:Ang Mo Kio 450 capacity / Braddell Bus Park 235 capacity.

    Reply
  • 29 November 2022 at 1:26 AM
    Permalink

    Future suggestions

    Bulim Package(Tower Transit Singapore)
    41,49,61,66,77,78,79,97,97e,98/M,106,143/M,173,177,183,189,333,334,335,653,657,941,944,945,947,990,991 + 3 new service.
    Anchor operator of Bukit Batok Int,Tengah Blvd Int,Jurong East Int & Jurong Town Hall Int.
    Depot:Bulim 550 capacity Future Depot:Tengah Integrated Depot 600 capacity.

    Sembawang-Yishun Package(Tower Transit Singapore)
    167,169,171,656,663,670,850E,851,851e,852,853/M,854,854e,855,856,857,858,859,882,883/M,961,965,966,969,980,981 + 2 new service.
    Anchor operator of Sembawang Int & Yishun Ith.
    Tenant operator of Woodlands Ith.
    Depot:Mandai 550 capacity.

    Loyang Package(Go-Ahead Singapore)
    2,3,5,6,12,12e,15,17,34,43/M,43e,62,68,82,83,84,118,119,354,358,359,381,382G/W,384,386,403,518,661,666 + 2 new service.
    Anchor operator of Punggol Int,Punggol North Ith & Pasir Ris Int.
    Tenant operator of Changi Village Ter.
    Depot:Loyang 505 capacity.

    Seletar Package(SBS Transit)
    22,24,70/M,71,72,76,130,133,135,136,138,162/M,261,262,265,268,269,652,668,800,801,803,804,805,806,807,811,812,825,860 + 1 new service.
    Anchor operator of Yio Chu Kang Int & Ang Mo Kio Ith.
    Tenant operator of Yishun Ith.
    Depot:Sungei Seletar 525 capacity.

    Bukit Merah Package(SBS Transit)
    32,48,74,120,121,122,123/M,124,131,132,145,170/X,174,186,195,198,272,273,400 + 2 new service.
    Anchor operator of Bukit Merah Int,Harbourfront Int,Kampong Bahru Ter,Queen St Ter,Marina Centre Ter & Shenton Way Ter.
    Tenant operator of Buona Vista Ter.
    Depot:Ulu Pandan 485 capacity.

    Jurong West Package(Go-Ahead Singapore)
    179,181/M,182/M,185,192,193,194,199,240/M,241,242,243G/W,246,247,248/M,249,251,252,253,254,255,257,258,405,502,651 + 2 new service.
    Anchor operator of Boon Lay Ith,Joo Koon Ith & Tuas Ter.
    Depot:Soon Lee 475 capacity Future Depot:Tuas West Integrated Depot 550 capacity.

    Woodlands Package(SMRT Buses)
    178,187,665,900/M,901/M,902,903/M,904,911,912/M,913/M,925/M,950,951E,960,960e,962,963,963e,964 + 2 new service.
    Anchor operator of Woodlands Ith & Woodlands Int.
    Depot:Woodlands 300 capacity / Woodlands Bus Park 235 capacity.

    Reply

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