Financing and Operating of Singapore´s Urban Rail Transit Infrastructure

Urban rail transit system development is important in public transport of compact cities such as Singapore in particular with rising population and limited land space. Due to its high frequency, capacity, reliability, speed and comfort, a comprehensive rail transit network is a better solution than bus network. However, a comprehensive urban rail transit system development often faces the bottlenecks in both financing and operating. Due to the high investment and relatively long operating period, with the consideration of public affordable fare price, private sector financing alone is mostly not favored by financing institute. These will affect the sustainable development of public transport system. One of the key to successful sustainable development of the Singapore´s urban rail transit, represented by its MRT (Mass Rapid Transit), is the financing and operating framework This paper will highlight the financing framework, operating and fare policies, and roles played by both public and private sectors in the urban rail transit development and operations.