You may have to pay more for your kopi peng.
You might have to pay 10 cents more for your “kopi”.
Some drinks stalls in the Redhill and Jalan Berseh area have increased the prices at the start this month, after the first phase of the water tariff hike was introduced.
Rising Costs Of Water Prices
While the pricing hike occurred inline with the increase in the water tariff, it is not entirely attributed to it.
Other factors were taken into consideration such as the rising costs of rental and salaries amongst others.
In February earlier on this year, the Government announced that the water prices will go up.
This comes as the first time in 17 years, and will be done in two phases.
The first phase started this month and by July next year, there will be an increase of a total of 30 per cent.
Warning From The Government
Senior Minister of State for Finance and Law Indranee Rajah said after the Budget that the water tariff hike would have a minimal impact on the price of coffee or tea.
The Government also had warned businesses against profiteering from the water tariff hike.
Complaints On Rising Costs
The Consumer Association of Singapore (CASE) revealed that they received six pieces of feedback from consumers with regards to higher beverage prices at coffee shops, between February and June.
CASE has noted that no feedback has been received yet with regards to the first phase of the water price hike.
CASE President, Lim Biow Chuan who is also the MP for Mountbatten, however, had acknowledged that businesses do have the autonomy to set prices, especially in lieu of rising labour costs.
The coffee shop that you frequently patron might soon increase their prices, will you be one of the customers handing over the additional 10 cents begrudgingly?
