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NEA To Call A Request For Proposal For Jurong West Hawker Centre; Hawker Management’s Contract For Centre Will Not Be Renewed

05 May 2020

NEA to call for proposals for new operators for Jurong West Hawker Centre, which will include ideas to rejuvenate the centre’s operations and offerings. Contract with Hawker Management will not be renewed after its expiry, and assistance will be rendered to all incumbent stallholders.

Singapore, 5 May 2020 – In 2017, the National Environment Agency (NEA) appointed Hawker Management (HM), a socially-conscious enterprise under Koufu Pte Ltd, to manage Jurong West Hawker Centre (JWHC), a two-storey hawker centre and market located at Jurong West Street 61. Hawker Management's three-year contract with NEA, which will end on 6 August 2020, will not be renewed.

Safeguarding interests of stallholders at JWHC

2          In the transition of the operatorship of JWHC, NEA’s top priority is to ensure that the well-being and interests of the incumbent stallholders are taken care of. Until contract expiry on 6 August 2020, HM will continue to manage JWHC. NEA and HM will assist stallholders, who wish to continue their trade, to relocate to available stalls at existing hawker centres and markets managed by NEA, or coffeeshops and food courts run by Koufu Pte Ltd.

3          To further support the stallholders, besides the Government’s three-month rental waiver as part of the Resilience Budget, HM will also waive the stall rentals from June until 6 August 2020. This means that stallholders will be operating rent free from now until their contracts expire. In addition, HM will offer a $1,000 relocation fee to eligible stallholders. For stallholders who choose to exit the trade and take on another job, or who may require financial assistance, NEA will work closely with relevant agencies to assist them.

Reinvigorating Jurong West Hawker Centre

4          NEA will conduct a Request for Proposal (RFP) to seek new ideas from operators to enhance the centre’s operations and offerings, and to better meet the needs of the residents. As part of the RFP, NEA will conduct public consultations to gather ideas and suggestions from the community, work with stakeholders and potentially conduct renovation works to enhance the centre’s layout. It is thus estimated that JWHC will be closed temporarily after the exit of HM until it re-opens sometime in the second half of 2021. Existing stallholders will be offered to return to the rejuvenated JWHC when it is ready, if they wish to do so. NEA will share more information, when the details are ready.

5          Senior Minister of State for the Environment and Water Resources Dr Amy Khor said, “Food & beverage business operators, including stallholders at our hawker centres, are badly hit by the COVID-19 situation. Given the poor business environment, when the lease of the current operator at Jurong West Hawker Centre, Hawker Management, expires on 6 August 2020, NEA will seek new ideas and also a new operator to rejuvenate the operations and offerings of JWHC through an RFP, to better serve future stallholders, patrons and residents of the area. Meanwhile, NEA’s immediate priority is to work with Hawker Management to ensure that the incumbent stallholders will be well taken care of during this period of transition and to assist all to find a stall to continue their hawker trade if they wish to”. 

The Socially-conscious Enterprise Hawker Centre Operating Model 

6          NEA started piloting the Socially-conscious Enterprise Hawker Centre (SEHC) model in 2015, with the most recent new hawker centre under this model opening only two years ago in 2018. Since its launch, the management model has been further refined and improved. Thus far, the majority of SEHC operators have brought benefits to the patrons and stallholders at most of the new hawker centres.

7          As the hawker centre operator, the impact of the SEHC operators is greatest at the centre-level, i.e. when one hawker centre competes with another hawker centre, or with other coffeeshops and food shop operators in the vicinity. Among other things, the SEHC operators have curated food stalls for quality and variety, organised events to enhance the centre’s footfall and vibrancy, as well as implemented initiatives such as shuttle bus services and free lunch-time parking to increase footfall to the centres. Beyond the immediate impact to stallholders and the centre itself, some operators have also attracted new entrants into the hawker trade through their own incubation stall programmes, to help sustain the hawker trade.

8          Even amidst the COVID-19 situation, in addition to the Government’s subsidies for hawkers such as rental rebates and waiver of table cleaning and centralised dishwashing fees, some SEHC operators have also extended additional help to stallholders at the centre-level. For example, Timbre+ Hawkers, the operator of Yishun Park Hawker Centre, has worked with an online food ordering service provider to make available islandwide food delivery service for the stallholders at Yishun Park Hawker Centre.

9          NEA will continue to work with both the operators and stallholders to ensure the success of our new hawker centres, by providing access to affordable food in a hygienic environment, while ensuring a decent livelihood for our hawkers.

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