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Parking Places (Deficiency Charge — Exemption) Order 2018

Overview of the Parking Places (Deficiency Charge — Exemption) Order 2018, Singapore sl.

Statute Details

  • Title: Parking Places (Deficiency Charge — Exemption) Order 2018
  • Act Code: PPA1974-S282-2018
  • Type: Subsidiary Legislation (SL)
  • Authorising Act: Parking Places Act (Cap. 214), section 21
  • Commencement: 8 May 2018
  • Current version status: Current version as at 27 Mar 2026 (per provided extract)
  • Key provisions:
    • Section 1: Citation and commencement
    • Section 2: Exempt persons from deficiency charge
    • Section 3: Exempt private parking places (with multiple sub-categories)
  • Relevant cross-references: Parking Places Act (notably section 6B(1)(b)), Planning Act (Cap. 232), Charities Act (Cap. 37), Societies Act (Cap. 311), Parks and Trees Act (Cap. 216), Parking Places (Provision of Parking Places and Parking Lots) Rules 2018 (G.N. No. S 286/2018), Traffic Impact Assessment Guidelines for Developments (2017 Edition) (Annex H)
  • Amendment noted in extract: Amended by S 75/2019 with effect from 1 Feb 2019

What Is This Legislation About?

The Parking Places (Deficiency Charge — Exemption) Order 2018 is a Singapore subsidiary legal instrument that creates exemptions from the “deficiency charge” regime under the Parking Places Act. In practical terms, it addresses a common development scenario: when a landowner or occupier carries out (or plans to carry out) development that requires a certain number of parking lots, but the development does not provide the “applicable number” of parking lots. Under the Parking Places Act, a deficiency charge may be payable for that shortfall. This Order carves out specific situations where the deficiency charge is not payable.

The Order operates by identifying categories of persons and development circumstances that are exempt from paying any deficiency charge under section 6B(1)(b) of the Parking Places Act. It does not abolish the deficiency charge system; rather, it narrows it by specifying when the charge should not apply. The exemptions are tied to (i) the status and purpose of the owner/occupier (for certain non-profit and charitable bodies), and (ii) particular characteristics of the parking provision in “private parking places,” including safety, transport accessibility, and regulatory or functional reasons for providing fewer lots.

For practitioners, the Order is best understood as a targeted compliance tool. It is frequently relevant in planning and development negotiations, due diligence on development sites, and disputes about whether a deficiency charge assessment should be made. Because the exemptions depend on factual matrices (e.g., whether the land is within a public park, whether the Authority determined safety constraints, whether a PTAL score is below a threshold), lawyers must treat the Order as both a legal and evidential framework.

What Are the Key Provisions?

Section 1 (Citation and commencement) is straightforward. It provides the short title and states that the Order comes into operation on 8 May 2018. This matters for determining which developments fall within the Order’s temporal scope, especially where deficiency charge assessments arise after commencement.

Section 2 (Exempt persons) sets out who is exempt from paying any deficiency charge under section 6B(1)(b) of the Parking Places Act. The exemption applies to the “owner or occupier of any land or premises” in respect of a development (as defined by the Planning Act) carried out or to be carried out on that land or premises. The exempt categories are:

(a) an organisation or association (whether corporate or unincorporated) that is not operated or conducted for profit; and

(b) a body of persons established for charitable, benevolent or philanthropic purposes only that is either:

  • registered under Part III of the Charities Act; or
  • not required to be registered under section 5(4) of that Act.

For legal practice, Section 2 is significant because it is status-based rather than parking-design-based. If the owner/occupier qualifies, the deficiency charge exemption applies regardless of the parking-lot shortfall—so long as the development is within the scope of “development” under the Planning Act and the exemption is claimed in respect of deficiency charge under the specified provision of the Parking Places Act. This can be decisive in structuring development vehicles (e.g., whether a charitable body is the relevant owner/occupier) and in documenting the organisation’s non-profit or charitable status.

Section 3 (Exempt private parking places) is the most complex part of the Order. It addresses exemptions where the development involves the provision of parking lots in a private parking place, and the number of parking lots provided is less than the applicable number. The exemption is not blanket; it is conditional on specific reasons and circumstances.

Section 3(1) provides an exemption “to the extent” of the shortfall that occurs directly because of either:

  • (a) the use of parking lots for car waxing or polishing; or
  • (b) a requirement by or under any written law other than the Act.

This provision is important for developments where parking spaces are repurposed for operational activities (e.g., a facility requiring waxing/polishing) or where other statutory regimes impose constraints that reduce the number of parking lots that can be provided. Practitioners should note the phrase “directly because of,” which implies a causation requirement: the reduced number of parking lots must be attributable to the specified cause, not merely coincidental.

Section 3(2) creates exemptions for certain situations involving land within a public park or where the Authority determines no parking lots should be provided for safety reasons. Specifically, exemption applies where the land or premises:

  • (a) is situated entirely within a public park (within the meaning of the Parks and Trees Act) and no development is being carried out; or
  • (b) is subject to a determination by the Authority that, in the interests of safety, no parking lots are to be provided.

Section 3(3) then sets out the matters the Authority must have regard to when making the safety determination under Section 3(2)(b). The Authority must consider, and give such weight as it considers appropriate to, factors including:

  • whether there is (or is proposed) direct access from expressways, slip roads, acceleration/deceleration lanes, bus or taxi bays, or major arterial roads;
  • whether the land is close to traffic junctions, road bends, pedestrian crossings, or bus stops;
  • the safety of pedestrians, drivers, riders, and other road and public path users;
  • traffic flow at or around the land or premises; and
  • other relevant matters and evidence.

From a practitioner’s perspective, this is a procedural and evidential anchor. If a safety-based exemption is relied upon, counsel should ensure that the Authority’s determination is properly documented and that the decision-making factors are addressed. This can be relevant in administrative law contexts (e.g., challenges to the adequacy of consideration) or in negotiations where the exemption is contested.

Section 3(4) provides additional exemptions where the number of parking lots provided is more than the applicable number, but the exemption still applies in specified circumstances. The wording is somewhat counterintuitive at first glance, but it reflects a policy choice: the exemption is framed around the deficiency charge mechanism under the Act and the way “applicable number” and requirements interact. The exemption applies if either:

  • (a) no part of the land is within 3 km of a railway station of a rapid transit system and the PTAL score is less than 2; or
  • (b) the shortfall results directly from a change in applicable parking requirements arising from a development (within the meaning of the Planning Act) that does not involve demolition and reconstruction.

Section 3(5) defines key terms used in Section 3(4). Notably:

  • “applicable number” refers to the requirement prescribed in the Parking Places (Provision of Parking Places and Parking Lots) Rules 2018, but explicitly excludes a minimum requirement.
  • “distance” from a rapid transit station is measured using a geometric-centre method based on boarding areas.
  • “PTAL score” is the public transport accessibility level score determined in accordance with Annex H of the Traffic Impact Assessment Guidelines for Developments (2017 Edition), published by the Authority and accessible on its website.

These definitions are crucial for disputes. A deficiency charge assessment may hinge on whether the land is within the 3 km threshold and whether the PTAL score is below 2. Practitioners should therefore obtain authoritative measurements and PTAL determinations early—ideally during planning submissions or due diligence—because these are technical inputs that can be difficult to reconstruct after the fact.

How Is This Legislation Structured?

The Order is structured as a short instrument with three operative provisions:

  • Section 1 sets out the citation and commencement.
  • Section 2 provides person-based exemptions for non-profit and charitable bodies.
  • Section 3 provides development-based exemptions for private parking places, with multiple sub-categories addressing operational repurposing, public park contexts, safety determinations, and transport accessibility or changes in applicable requirements.

There are no additional parts or schedules in the extract provided; the operative content is contained entirely within these sections, supported by definitions and cross-references to other statutory instruments and guidelines.

Who Does This Legislation Apply To?

The Order applies to the owner or occupier of land or premises in respect of a development carried out or to be carried out on that land or premises. The deficiency charge exemption is relevant only where the deficiency charge would otherwise be payable under section 6B(1)(b) of the Parking Places Act.

Section 2 applies to owners/occupiers that meet the non-profit or charitable criteria. Section 3 applies to owners/occupiers where the relevant development involves the provision of parking lots in a private parking place and the number of parking lots provided is below the applicable number (subject to the specific exemption pathways). In practice, this means that developers, landowners, and occupiers must identify both (i) their legal status and (ii) the nature of the parking provision and the factual circumstances that trigger an exemption.

Why Is This Legislation Important?

This Order is important because it directly affects the financial exposure of development projects under the Parking Places Act. Deficiency charges can be material, and exemptions can substantially reduce or eliminate that cost. For lawyers advising on development feasibility, the Order provides a structured basis to argue that deficiency charges should not be imposed where statutory conditions are met.

From an enforcement and compliance perspective, the Order also clarifies what evidence and determinations may be necessary. For example, safety-based exemptions depend on an Authority determination and the Authority’s consideration of defined factors. Transport accessibility exemptions depend on PTAL scores and distance measurements. These are not merely policy statements; they are legally operative criteria that must be satisfied.

Finally, the Order has practical implications for transaction structuring and documentation. In due diligence, counsel should verify whether the relevant party is a qualifying non-profit or charitable body, and whether the development’s parking strategy fits within any exemption category. In planning and submission processes, counsel should ensure that the technical inputs (PTAL scores, distance calculations, and the “applicable number” under the 2018 Rules) are correctly identified and recorded to support any exemption claim.

  • Parking Places Act (Cap. 214), including section 6B(1)(b) and section 21
  • Planning Act (Cap. 232)
  • Charities Act (Cap. 37), including Part III and section 5(4)
  • Societies Act (Cap. 311)
  • Parks and Trees Act (Cap. 216)
  • Parking Places (Provision of Parking Places and Parking Lots) Rules 2018 (G.N. No. S 286/2018)
  • Traffic Impact Assessment Guidelines for Developments (2017 Edition) (Annex H)

Source Documents

This article provides an overview of the Parking Places (Deficiency Charge — Exemption) Order 2018 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.

Written by Sushant Shukla

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