Singapore’s Mass Rapid Transit: Privatisation and Re-Nationalisation

Abstract

As states have become more crowded and complex, and demands on transportation have grown, an issue that states continue to grapple is deciding on the types of public and private roles in the ownership, funding, planning, managing, and operating arrangements of public transport. In Singapore, this struggle is best observed in the management of the Mass Rapid Transit (MRT) system. Since its inception, the MRT system has changed from being completely state owned and operated, to being managed and operated by a government-linked company (SMRT), then being managed and operated by two listed companies (SMRT and SBS Transit), and to the current public-private hybrid model where operations are privatised under SMRT or SBS Transit, but operating assets are state-owned. This case study seeks to explore the effect of privatisation and listing on the performance of the MRT, focusing on the period between 2011 to 2017 when SMRT struggled with multiple high-profile rail disruptions and widespread public criticism.