Search
Close this search box.

We are creating some awesome events for you. Kindly bear with us.

Singapore amends Postal Services Act to support e-commerce landscape

A press release by the Ministry of Communications and Information (MCI) and the Infocomm Media Development Authority has explained the proposed amendments to the Postal Services Act (PSA), which have been passed in Parliament.

To support the growth of e-commerce and the resultant increased use of the postal network for e-commerce items, the PSA has been updated to facilitate the deployment of a nationwide network of parcel lockers to complement the existing letterbox infrastructure, amongst other improvements.

The amendments are expected to bring convenience to e-commerce users and level the playing field for logistics service providers. The introduction of open-access parcel lockers will benefit e-commerce users as SMEs and businesses digitalise and e-commerce continues to grow.

Additionally, the PSA amendments will improve access to letterboxes by logistics service providers to deliver non-letters. It will strengthen IMDA’s regulatory oversight of the postal sector and its infrastructure.

The PSA was last amended in 2007. The changes had provided a legislative framework for the liberalisation of the postal services sector. Since then, market and technological changes, especially the rise of e-commerce, have transformed the postal landscape.

The volume of parcel delivery is expected to intensify and domestic e-commerce parcel volume growth in Singapore is projected to grow at a compound annual growth rate of 16% from now till 2025. The existing letterbox infrastructure is not designed for parcel delivery, and the current market for locker infrastructure is fragmented and unable to support projected growth.

The Senior Minister of State of MCI explained that parcels are typically delivered to the doorstep. However, based on industry estimates, about 7% of deliveries are unsuccessful, causing inconvenience to consumers and reducing the Delivery Service Providers (DSPs) productivity. Self-collection parcel lockers are also currently concentrated in high-traffic commercial areas, catering to only 5% of total parcel volume and leaving residential areas underserved. These parcel lockers, which are operated by individual DSPs, are also not accessible to other operators, resulting in a fragmented market and infrastructure duplication.

To enhance DSPs’ productivity and the efficiency of Singapore’s urban logistics sector, the Ministry previously announced that 1,000 parcel lockers would be rolled out in HDB estates, MRT stations, bus interchanges, community centres, and clubs by the end of this year.

Facilitating one of the world’s first nationwide open-access locker infrastructure

The PSA amendments will allow IMDA, as the appointed Postal Authority, to establish, install, operate, and maintain the public parcel locker network at specified premises, such as HDB estates, public transport nodes, and community centres, and clubs managed by the People’s Association. This will help address the current fragmentation of the parcel lockers and minimise duplication of locker infrastructure.

The amendments will provide for access to selected public spaces and facilities to deploy the parcel locker network and provide IMDA with enforcement to ensure its safe use and operation.

Strengthening regulatory oversight and improving letterbox infrastructure

The PSA amendments will allow other postal licensees, delivery service providers, and online merchants to deliver small packets and other non-letters into letterboxes through the public postal licensee (i.e., SingPost), at regulated terms and conditions. This will further facilitate competition in last-mile delivery services.

When the COVID-19 situation improves, the government intends to leverage IMDA’s events aimed at raising Singaporeans’ digital literacy, such as SG: Digital Wonderland, in an attempt to broaden the outreach to residents of all ages.

PARTNER

Qlik’s vision is a data-literate world, where everyone can use data and analytics to improve decision-making and solve their most challenging problems. A private company, Qlik offers real-time data integration and analytics solutions, powered by Qlik Cloud, to close the gaps between data, insights and action. By transforming data into Active Intelligence, businesses can drive better decisions, improve revenue and profitability, and optimize customer relationships. Qlik serves more than 38,000 active customers in over 100 countries.

PARTNER

CTC Global Singapore, a premier end-to-end IT solutions provider, is a fully owned subsidiary of ITOCHU Techno-Solutions Corporation (CTC) and ITOCHU Corporation.

Since 1972, CTC has established itself as one of the country’s top IT solutions providers. With 50 years of experience, headed by an experienced management team and staffed by over 200 qualified IT professionals, we support organizations with integrated IT solutions expertise in Autonomous IT, Cyber Security, Digital Transformation, Enterprise Cloud Infrastructure, Workplace Modernization and Professional Services.

Well-known for our strengths in system integration and consultation, CTC Global proves to be the preferred IT outsourcing destination for organizations all over Singapore today.

PARTNER

Planview has one mission: to build the future of connected work. Our solutions enable organizations to connect the business from ideas to impact, empowering companies to accelerate the achievement of what matters most. Planview’s full spectrum of Portfolio Management and Work Management solutions creates an organizational focus on the strategic outcomes that matter and empowers teams to deliver their best work, no matter how they work. The comprehensive Planview platform and enterprise success model enables customers to deliver innovative, competitive products, services, and customer experiences. Headquartered in Austin, Texas, with locations around the world, Planview has more than 1,300 employees supporting 4,500 customers and 2.6 million users worldwide. For more information, visit www.planview.com.

SUPPORTING ORGANISATION

SIRIM is a premier industrial research and technology organisation in Malaysia, wholly-owned by the Minister​ of Finance Incorporated. With over forty years of experience and expertise, SIRIM is mandated as the machinery for research and technology development, and the national champion of quality. SIRIM has always played a major role in the development of the country’s private sector. By tapping into our expertise and knowledge base, we focus on developing new technologies and improvements in the manufacturing, technology and services sectors. We nurture Small Medium Enterprises (SME) growth with solutions for technology penetration and upgrading, making it an ideal technology partner for SMEs.

PARTNER

HashiCorp provides infrastructure automation software for multi-cloud environments, enabling enterprises to unlock a common cloud operating model to provision, secure, connect, and run any application on any infrastructure. HashiCorp tools allow organizations to deliver applications faster by helping enterprises transition from manual processes and ITIL practices to self-service automation and DevOps practices. 

PARTNER

IBM is a leading global hybrid cloud and AI, and business services provider. We help clients in more than 175 countries capitalize on insights from their data, streamline business processes, reduce costs and gain the competitive edge in their industries. Nearly 3,000 government and corporate entities in critical infrastructure areas such as financial services, telecommunications and healthcare rely on IBM’s hybrid cloud platform and Red Hat OpenShift to affect their digital transformations quickly, efficiently and securely. IBM’s breakthrough innovations in AI, quantum computing, industry-specific cloud solutions and business services deliver open and flexible options to our clients. All of this is backed by IBM’s legendary commitment to trust, transparency, responsibility, inclusivity and service.