Adult EZ-Link cards run on separate system from concession cards, S$40 million needed to extend system
Transport Minister Chee Hong Tat says the government will find ways to integrate the two card-based ticketing systems and reduce costs where possible.
A man going through a gantry at a MRT station in Singapore (Photo: TODAY)
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SINGAPORE: The government needs to spend S$40 million (US$30 million) to extend the system supporting adult EZ-Link cards because it runs separately from the system for concession cards, Transport Minister Chee Hong Tat said on Monday (Feb 5).
While the system for concession cards could continue running, the system for adult EZ-Link cards was due to reach the end of its operational life this year. The Land Transport Authority (LTA) will need the money to buy "new hardware and equipment" to allow the system to run until at least 2030.
Mr Chee was responding to over 20 parliamentary questions about the Ministry of Transport's (MOT) decision to pause its full rollout of SimplyGo and the costs involved.
The LTA initially announced on Jan 9 that those using adult EZ-Link cards and NETS FlashPay cards would need to switch to the SimplyGo platform by June. Many complained about not being able to see fare deductions and card balances. There were also technical difficulties with the upgrading process for some users.
On Jan 22, LTA said it would spend S$40 million to allow commuters to continue using the older ticketing system. Around 9,000 commuters converted their cards to the SimplyGo platform from Jan 23 to Jan 31, said Mr Chee. Around 70 per cent adult commuters use SimplyGo as of end-January.
Mr Chee said that LTA currently runs three systems: SimplyGo, which is an account-based ticketing system, one card-based ticketing (CBT) system for adult EZ-Link cards and NETS FlashPay cards, and one CBT system for concession cards. The two card-based systems were developed at different times.
When LTA consulted different groups of commuters to see if they were ready to switch to SimplyGo, seniors said they were not familiar with the SimplyGo app and preferred to continue seeing their fare deductions and card balances.
"Based on this feedback, LTA decided not to shift concession card holders over to SimplyGo and instead retain the concession CBT system for these commuters," said Mr Chee.
The LTA decided that the CBT system for adult commuters could be phased out since around two-thirds of this group were using SimplyGo by December last year. But the announcement last month was met with strong reactions.
"We therefore decided not to proceed with the earlier decision to sunset the CBT system for adult commuters, so that commuters who prefer to have the option of using CBT EZ-Link cards or NETS FlashPay cards to pay for public transport can still do so," said Mr Chee.
He reiterated that the cost of extending the ticketing system will not affect public transport fares.
"We will also find ways to integrate the two CBT systems over time without affecting commuters, and to reduce overall costs where possible," he said.
The Land Transport Authority (LTA) has been tasked to improve the features and user experience of SimplyGo, as well as find ways to overcome the technical challenges so that it can display fare deductions and card balances at the fare gates and bus card readers without slowing down the flow of commuters. Transport Minister Chee Hong Tat, who said this in reply to MPs’ questions in Parliament on Monday (Feb 5), also pledged to “consult widely” in the effort to overcome the current technical limitations of the account-based ticketing (ABT) system. He said LTA will consider the standard needs of different groups of commuters and carefully assess the costs and benefits. In planning and implementing the next steps, the Ministry of Transport and LTA will continue to spend public funds prudently, he said. “In areas where we can save money, we will try to reduce costs as much as possible,” he said. Mr Chee pointed out that the proportion of adult commuters using SimplyGo has continued to increase. He said 64 per cent, or about two-thirds, of adult commuters were using the SimplyGo ABT system in December 2023. After LTA announced it would extend the adult card-based ticketing (CBT) system until at least 2030, about 9,000 adult commuters, or around 1,000 per day, converted their CBT cards to the SimplyGo system between Jan 23 and 31 this year. Close to 70 per cent of adult commuters were using SimplyGo in end-January, with 44 per cent using bank cards, mobile wallets and 25 per cent using SimplyGo stored value cards. Mr Chee said many commuters chose to use SimplyGo because of its benefits. They can use bank cards and mobile wallets for public transport instead of carrying an additional card. If a registered user loses his SimplyGo stored value card, he can block it and protect the value in its account. Users can also top up their SimplyGo cards for their family members via the app. However, SimplyGo cannot display the fare reduction and card balance information at the fare gates and bus card readers without causing delays to the flow of commuters. Commuters can get the information at the ticketing machines at train stations and bus interchanges. Mr Chee said LTA is not aware of any current technical solutions to overcome the latency problems.
In response to a supplementary question by MP Lim Biow Chuan (PAP-Mountbatten) on the feasibility of integrating both systems, Mr Chee elaborated that the two CBT systems are currently "not compatible" so any integration cannot happen "overnight".
"But as you know, a lot of these stored-value cards, EZ-Link cards, for example, have an expiry date. So when the current cards expire, if we are able to then issue a new card under the integrated system, then in future we can gradually, progressively work towards having one CBT system," he said.
Nonetheless, "if we are able to ... have the two CBT systems come together earlier than 2030, we will certainly find ways to do so", the Transport Minister added.
In his main reply, Mr Chee also noted that he has asked LTA to improve the features and user experience of SimplyGo, and to find ways to overcome the technical challenge that currently prevents the display of fare deductions and card balances when commuters tap out of an MRT station or a bus.
He said no decision on CBT systems beyond 2030 needs to be made at this point.
"In making the decision subsequently, important factors would include whether we can overcome the current technical limitations of the ABT system, and which system commuters prefer to use."
Acknowledging a concern raised by MP Gerald Giam (WP-Aljunied) about the fact that SimplyGo currently cannot be used for motoring payments, Mr Chee pointed out that "the plan is not to stop here".
Instead, the goal is to enhance the features and user experience for SimplyGo, so it can eventually be used for retail, motoring and public transport - just like an EZ-Link card today, he said.
