Besides the Pioneer Generation Fund, the committee also looked at the Merdeka Generation and Majulah Package Funds in its report.
On the impact of healthcare inflation on the long-term sustainability of the Pioneer Generation and Merdeka Generation Funds, MOF said that the government regularly reviews subsidy and payout levels to ensure sufficient coverage against rising healthcare costs.
As of Mar 31, 2025, around 450,000 seniors had benefited from the Pioneer Generation Package, with a current surviving cohort of around 300,000 seniors. The average amount received per person was about S$11,800.
“Given that these Funds are lifetime commitments to their respective beneficiaries, the Committee urged the Government to continue monitoring the sustainability of all three Funds and to continue reviewing subsidy and payout levels under these Funds to ensure that they provide adequate coverage against rising healthcare costs,” said the Estimates Committee in its report.
It also said that any significant findings arising from the government’s regular reviews of each fund’s planning assumptions and projections could be shared with Parliament to “ensure prudent planning and intergenerational fiscal balance over successive terms of governments”.
FUTURE ENERGY FUND
Set up in 2024, the Future Energy Fund aims to support infrastructure investments for Singapore’s energy transition so as to decarbonise and safeguard the country’s energy security.
It was designed to ensure that the government can provide financial support for energy transition projects that may involve nascent technologies or require significant upfront capital expenditure.
The fund started with an initial injection of S$5 billion. A year later, the government topped up the fund by S$5 billion, bringing the total to S$10 billion.
MOF informed the Estimates Committee that no expenditure has been made from the Future Energy Fund so far, but that a “drawdown will occur in the coming years after careful consideration of the viability, reliability and cost-effectiveness of the energy pathways”.
MOF said that the fund could be used to support the infrastructure for a nuclear power programme, should Singapore eventually decide to deploy nuclear energy.
The fund could be used to “support the construction, improvement, extension, replacement, acquisition or leasing of infrastructure or property for low-carbon energy projects, as well as feasibility studies or site surveys in preparation for projects involving such infrastructure”, added MOF.
