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:
- Lease operating assets from the Government as specified in the awarded contract.
- Adhere to specified performance standards in operating their assigned bus services.
- Operate and maintain the leased buses and onboard equipment (e.g., fare equipment and fleet management equipment) provided by the Government.
- Operate and maintain the Bus Interchanges and new Bus Depots included in the Route Packages, along with all the equipment and systems provided within.
- 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.
- Provide bus service information at all bus stops and bus interchanges served by the Route Packages’ Services.
- 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:
- Bus service reliability, incorporating indicators on Excess Wait Time (EWT) and On-Time Adherence (OTA) as per the Bus Service Reliability Framework.
- First and last bus punctuality to ensure accessibility for commuters.
- Maintenance of the buses provided by LTA.
- Maintenance of the Bus Interchanges and Bus Depots awarded under the Route Packages.
- 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
My hope for future,Most Int/Ter will have 4 different operators.
SBS Transit:Sengkang-Hougang,Seletar,Bedok,Bukit Merah,Clementi & Bishan-Toa Payoh.
SMRT:Pasir Ris-Punggol,Woodlands & Jurong West.
Keolis SG:Sembawang-Yishun,Bukit Batok-Jurong East & Serangoon-Eunos.
Firstgroup SG:Choa Chu Kang-Bukit Panjang & Tampines.
EastWest Line,NorthEast Line,Circle Line,Thomson-East Coast Line & Sengkang/Punggol LRT>SMRT
NorthSouth Line,Downtown Line & Bukit Panjang LRT>SBST
Jurong Region Line>Keolis SG
Circle Line>Firstgroup SG
Hopefully
2020:Bulim & Sembawang-Yishun either France or German multi-modal Operators win.
2021:Loyang>New operator.
2021:Sengkang-Hougang>Winner of the Bulim & Sembawang-Yishun package.
2023:Seletar>SBST.
2023:Choa Chu Kang-Bukit Panjang,Woodlands & Bedok>SMRT.
2023:Bukit Merah>SBST.
2024:Tampines & Jurong West>SBST.
2025:Serangoon-Eunos & Clementi>Winner of Loyang package.
2026:Bishan-Toa Payoh>SBST.
Honestly its very obvious Nothing can compare to SBS Transit or SMRT Buses. This two local company does a really good job with the bus ops. Its really a waste of time bringing in new companys to do bus ops. Just look at how its is now sbst are doing a very gd job wit seleter n ulu pandan. Where as TT and Go ahead is really nt up to standard.
That’s why LTA need to be transparent,Come to think how long SBST & SMRT established in Singapore with majority bus and train packages under them?Where TTS & GAS holding only one package each for almost 5 years!
I can understand packages like Bukit Merah & Woodlands should be remain status quo as there is cross border services but again the incumbents doesn’t have iron rice bowls after the BCM is implemented.Furthermore LTA has something to learn about Australian and British contracting models.For Bulim & Loyang they can always opt for France and Germany multi-modal operators which they can tank in more experience from those top European operators.We are no more living in stone age where certain operators is above others else can totally eradicate the BCM and back to square one.ComfortDelgro and SMRT strides has investments in other countries too.
Bus Packages that i think other operators beside the incumbents have high chances is Sembawang-Yishun,Bedok,Seletar,Serangoon-Eunos,Jurong West & Bishan-Toa Payoh.
SBST can retain the Sengkang-Hougang,Bukit Merah,Tampines,Clementi.
SMRT can retain Choa Chu Kang-Bukit Panjang & Woodlands.
My best bet would be SBST bags Sengkang-Hougang,Bukit Merah,Tampines,Choa Chu Kang-Bukit Panjang,Seletar & Bishan-Toa Payoh.
SMRT will only have Sembawang-Yishun,Woodlands & Jurong West.
European operator A will have Bulim,Bedok & Serangoon-Eunos.
European operator B will only have Loyang & Clementi.
GA is performing better than SMRT. TT worst performing than SMRT.
Not shocking to see GA clinching one of the upcoming packages.
Are you working for SBST or what?What weed have you been taking lately?Theyre no more juggernauts in Singapore.
No more jauggernauts indeed. Except for the services 160 and 170, everything is ok. Only 160 and 170 needs to squeeze like sardines everyday.
I prefer if Bt Merah & Clementi package swap some service.
Bukit Merah:Out 145 & 160 to Clementi.
Clementi:Out 91,92/M,95,191,200 & 201 to Bukit Merah.
Hopefully new operator will win Sembawang-Yishun and SMRT takes Bulim.
New operator also win Loyang and the Sembawang-Yishun winner gets Sengkang-Hougang.
RATP Transdev Dev Asia or RTDA & Firstgroup eyeing on SG bus and train packages for long term..Why not LTA just award Sembawang-Yishun,Choa Chu Kang-Bukit Panjang & Jurong West to RTDA while Loyang & Seletar to Firstgroup.Jurong Region Line award to RTDA & Cross Island Line to Firstgroup respectively thus create more job opportunities for Singaporeans and ex-BCs who wish to join public transport back but cannot rework at SBST & SMRT.
SBST can take Sengkang-Hougang,Bedok,Bukit Merah,Tampines,Clementi & Bishan-Toa Payoh for bus and NorthSouth Line,Downtown Line & Bukit Panjang LRT for rail.
SMRT can operate Bukit Batok-Jurong East,Woodlands & Serangoon-Eunos for bus while take EastWest Line,NorthEast Line,Circle Line,Thomson-East Coast Line & Sengkang-Punggol LRT for rail.
Temasek owns SMRT & quarter of ComfortDelgro shares and why not buy 15% of RTDA & Firstgroup shares as well?
SBST & SMRT both got train captains and its all win-win situation..After Sembawang-Yishun extend bus & rail contracts to 10 years with 5 years extension for good performance.