Sep 16, 2026

At the National Day Rally, Prime Minister Lawrence Wong made an unusual but important point about land planning.

Of the additional land to be created on Pulau Tekong, about 500ha will be reserved for future civilian use - even though the Government has not decided what it will eventually be used for.

The proposed western island reflects the same logic. Rather than committing the reclaimed land to a single predetermined use, Singapore would create space that could support different combinations of industry, power generation and defence as future needs evolve.

Its value therefore lies not only in the additional land created, but also in the choices it preserves. This is what PM Wong meant by planning 50, 70 or even 100 years ahead for generations not yet born.

But what does it mean to "create options" through land-use planning, and why should leaving a use undecided be considered valuable rather than evidence of indecision?

Economists have a term for this: option value. When future needs are uncertain and present decisions are difficult to reverse, retaining the ability to choose later has value in itself.

The goal is not to postpone development indefinitely, but to prevent today's choices from unnecessarily closing off tomorrow's possibilities.

For further reading, please visit The Straits Times here where this article was first published on 27 August 2026.

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