Cpe-Ar 2015-16 (Full) - Low Res

Council for
Private Education
Annual Report 2015 / 2016
CONTENTS
01 About the Council for Private Education
02 Chairman’s Message
04 CE’s Report
07 The CPE Board
08 The Management
09 Organisation Chart
10 The Committees
12 Sectoral Statistics
14 Key Milestones
16 Regulation and Quality Assurance
20 Consumer Education and Student Services
23 Industry Development
25 Our Organisation
29 Financial Statements
About the
COUNCIL STRATEGIC THRUSTS
FOR PRIVATE THRUST 1
Effective regulation and quality assurance
of private education institutions
EDUCATION THRUST 2
Effective consumer education and
student support
The Council for Private Education was THRUST 3

Strategic development and promotion
of the private education industry
formally constituted as a statutory
board under the Ministry of Education THRUST 4
Sustained operations and
organisation excellence
on 1 December 2009, to formulate
and oversee the implementation of
initiatives to regulate and develop
Singapore’s private education sector.
CORE VALUES
Underpinning the Council for Private
VISION Education’s work are four core values:
A Trusted and Well-Regarded Private
Education Sector INTEGRITY
As officers of the Council for Private Education, we
carry out our duties with honesty, objectivity and
MISSION uprightness. We act without fear or favour.
To raise standards in the private
education sector through effective CARE
regulation, industry development The well-being of our fellow officers, the private school
students we work with and the private education
and consumer education sector as a whole is always our key concern.
PROFESSIONALISM
We are competent and passionate about our work,
and are proud of the standards we set.
EXCELLENCE
We always aim to do our very best in whatever we undertake.
1
CPE Annual Report 2015/16
CHAIRMAN’S CPE’S JOURNEY
Prior to the formation of the CPE in 2009, there were inadequate
MESSAGE
standards to ensure proper governance of the Private Education
Institutions (PEIs). Precipitous PEIs closures involving schools
with errant practices threatened public confidence in the
entire private education industry. There was a pressing need to
Financial year 2015/16 saw a renewal of the Council for regulate the sector, to protect the interests of students as well
Private Education’s (CPE) Board. The Board Members as to safeguard the reputation of Singapore.
who left included Mr Lin Cheng Ton who stepped
down as Chairman of the CPE Board after serving six The CPE was established as a statutory board under the
consecutive years. On behalf of CPE, I would like to Ministry of Education (MOE) in December 2009 with the
thank Mr Lin and all the outgoing Board members for enactment of the Private Education Act to regulate the private
their dedication in leading CPE through the years and education sector.
for playing a pivotal role in laying a strong foundation
for the organisation’s work. CPE introduced the Enhanced Registration Framework
(ERF) and established mandatory standards in areas of
CPE made considerable progress in regulating the governance, information transparency and quality of service
Private Education sector. It was helped by industry provisions for all PEIs. A voluntary EduTrust Certification
associations such as the Singapore Association for Scheme was also established for those PEIs that saw value
Private Education (SAPE) and the Association of in further improving their systems and processes beyond
Private Schools and Colleges Singapore (APSC). On the requirements of the ERF.
behalf of CPE, I would like to thank these associations
and all other organisations that had contributed to CPE worked closely with industry partners such as the SAPE and
lifting standards of governance for the industry. APSC, to assist and prepare PEIs for the new regulations. CPE
also conducted public consultation exercises to seek feedback
from the public and key stakeholders of the sector on the
measures to be implemented.
To help prospective students make more informed decisions

when choosing programmes offered by the PEIs, CPE
provided platforms on the web to provide information on
private education, including the different PEIs and their course
offerings. In addition, CPE, through participation in career
fairs, reached out to prospective students in Post-Secondary
Education Institutions (PSEIs) and to national servicemen in
the Home Team, Singapore Civil Defence Force (SCDF) and
Singapore Armed Forces (SAF) camps.
2
The private education sector has consolidated significantly
as a result of the higher standards of governance. Those that
were unable to comply left the industry. The number of PEIs
declined from more than 1,000 in 2009 to around 300 in 2015.
LOOKING AHEAD
On 12 January 2016, MOE announced that a new statutory
board, SkillsFuture Singapore (SSG), would be set up to drive
and coordinate the implementation of SkillsFuture, and
promote a culture of lifelong learning in Singapore.
CPE will be a part of the SSG, under which it will continue to

work with the private education sector to seek closer alignment
with the national SkillsFuture movement. There will be a
greater focus on the provision of high-quality, industry-relevant
training, which could in turn lead to better jobs and careers for
Singaporeans.
APPRECIATION
I would like to take this opportunity to commend the CPE
management and staff for the commitment and professionalism
displayed in their work.
I also wish to thank the CPE Board members and the various
committees for their steadfast support in providing invaluable
advice to guide CPE’s work.
Khoo Chin Hean

Chairman
3
CE’S REPORT WORKING TOGETHER WITH THE SECTOR
As the sector matures, it becomes more important that there
is a deeper engagement between the regulator and the sector.
This is to ensure that we understand the evolving context and
CPE continued to work towards our vision of a challenges, and where appropriate, make changes in what we
trusted and well-regarded private education sector do to focus attention on what is more important and to reduce
in 2015/2016. Building on the foundations laid in unnecessary regulatory and administrative burden. During
previous years, we sought to enhance our knowledge the many one-to-one and small group engagement sessions
of and relationship with the sector, to ensure that with Private Education Institutions (PEIs) over the past year,
we could help guide it towards a more relevant we were able to have frank and substantive discussions on the
role as part of the national SkillsFuture movement. challenges that individual PEIs faced, as well as how the sector
This effort was given greater significance and as a whole could become more relevant to the national agenda.
momentum with the announcement in January 2016 While there was not always agreement, there was at least a
that CPE would become part of a new statutory robust exchange of views that could only make our future
board, SkillsFuture Singapore (SSG). The details of decisions better informed.
CPE’s activities and work can be found in the rest of
the report – but it is important to consider them in We provided more guidance to PEIs to help them meet
the context of what we have been trying to achieve. existing regulatory requirements and deal with changes
in the system. For example, we sent out more industry
advisories last year to remind PEIs of the more common
contraventions of the Private Education Act so that they
could avoid making them. We also conducted more briefings
and training sessions to help PEIs when we made changes to
our systems and processes, for example when we transited
to the new LicenceOne system from the Online Business
Licensing Service (OBLS) system and similarly before we
conducted the 2015 Annual Returns Exercise. These sessions
not only helped to reduce the uncertainty and anxiety of
PEIs before the changes were introduced, it also improved
compliance and reduced issues when the changes were
finally implemented.
CPE also continued to seek views from the sector in a pro-

active and substantive manner. One example was the
consultations that allowed us to further simplify the Annual
Returns Exercise, especially for Foreign System Schools and
PEIs providing preparatory courses. Another was the trials
with selected PEIs to validate draft changes to the current
EduTrust Guidance Document and improve on the existing
EduTrust assessment processes.
4
And where students’ interests were at stake, as was the case Quality Assurance Agency for Higher Education (QAA) of the
in the voluntary closure of M2 Academy, we worked swiftly United Kingdom, and the Tertiary Education Quality Standards
and closely with other PEIs to place-out affected students Agency (TEQSA) in Australia through strategic and operational
into related courses to ensure that there was minimal exchanges of information as well as staff attachments.
disruption to students.
SkillsFuture will also see consumer education and information
SETTING THE STAGE FOR THE FUTURE transparency become increasingly vital. To support the latter,
In support of the SkillsFuture movement, it was clear to us that we had worked with the Ministry of Education (MOE) and
we had to do more to support efforts to improve the relevance the Ministry of Manpower (MOM) over the past year on the
of private education courses. CPE stepped up its engagement trial Private Education Graduate Employment Survey (GES),
with other government agencies and industry associations which aimed to shed light on the employment outcomes of
to better understand the needs of different sectors, and graduates from the private education sector. We hope that the
to inform them of the potential capacity that the private information from such surveys, and potentially more detailed
education sector could provide, in support of their sector’s information relating to student outcomes and regulatory
manpower plans. For example, we approached the Singapore information about PEIs would help prospective students make
Accountancy Commission (SAC) to learn more about the more informed decisions about their educational choices in
sector’s skills needs and pathways and to discuss how this private education.
could be bolstered by courses offered by existing PEIs. We
also worked with agencies like the Infocomm Development NO PLACE FOR ERRANT PLAYERS
Authority of Singapore (IDA) and the Media Development All the efforts that the sector and CPE had put in thus far to ensure
Authority Singapore (MDA) to facilitate the entry of new players that the sector can be trusted and well-regarded would be all for
that would directly support the development of manpower in naught if we allowed errant players to continue to operate. Two
new skills. Where possible, CPE facilitated the link-up between PEIs had their registration cancelled by CPE in the last year
PEIs and other government agencies such as SPRING Singapore - the registration of Stamford Raffles College was cancelled
through roundtable sessions to generate greater awareness of because it did not have proper premises, and the registration
the demand and supply for specific skills. of Kings International Business School was cancelled because it
had offered and awarded some students with diplomas without
To ensure that CPE would be in a better position to assess the requiring class attendance or assessment. CPE also penalised
quality of External Degree Programmes offered by overseas a number of PEIs for misleading advertising and marketing
universities, we conducted a study of the policies, systems and practices; in one instance, CPE issued a direction to a PEI to
processes they had in place to assure the quality of their courses stop advertising for four months until it resolved its issues.
delivered in Singapore. The aim was to establish a clearer CPE will continue to take a strict stance and will not hesitate to
baseline of the practices in the sector, especially since the take strong action against PEIs that contravene the Private
overseas universities are ultimately responsible for assuring Education Act.
the quality of their courses. The key findings are still being
finalised but we hope to highlight good practices where we
can and where necessary, raise concerns with our counterpart
regulatory and quality assurance agencies in the overseas
universities’ home jurisdictions. To that end, we also continued
to strengthen our relationships with our counterparts like the
5
APPRECIATION
The progress that CPE made over the past few years was a result
of all the stakeholders’ combined efforts. I would like to give
special mention to all CPE staff who had worked tirelessly and with
utmost dedication towards achieving a common vision. I thank my
colleagues for their hard work and professionalism, especially for
all the additional effort to ensure a smooth transition to the new
statutory board in 2016.
Finally, I would like to extend my sincere gratitude to the members

of the CPE Board and committees for their guidance and support in
our operations over the last year.
Brandon Lee
Chief Executive
6
The
CPE BOARD
1. MR KHOO CHIN HEAN 2. MR BRANDON LEE 3. MR LEONG KENG THAI
Chairman Chief Executive Deputy Chief Executive
Council for Private Education Council for Private Education Infocomm Development Authority
of Singapore
4. MR WAN AIK CHYE 5. MR CHOE PENG SUM 6. MR ANDREW LIM

Chief Examiner Chief Executive Officer Partner and Co-head
Banking & Insurance Frasers Hospitality Pte Ltd Corporate Mergers and Acquisitions
Monetary Authority of Singapore Allen & Gledhill
7. MR TED TAN 8. MR JOHN LIM 9. MR WONG KIM YIN

Deputy Chief Executive Divisional Director Group Chief Executive Officer
SPRING Singapore Higher Education Policy and Higher Singapore Power Limited
Education Operations
In appreciation of their contributions to the CPE Board:
1. MR LIN CHENG TON 2. MR ALVIN TAN 3. MR EDMOND KHOO

Chairman Assistant Chief Executive Officer Deputy Principal
Council for Private Education Cluster Group 1, JTC Corporation (JTC) Temasek Polytechnic
(Mar 2009 - Nov 2015) (May 2012 - Nov 2015) (Dec 2009 - Nov 2015)
4. MS MELISSA OW 5. MR TEO ENG CHEONG 6. SAC ANWAR ABDULLAH

Deputy Chief Executive Deputy Chief Executive Senior Director
Singapore Tourism Board (International) (Emergency Services)
(Nov 2011 - Nov 2015) Surbana Jurong Singapore Civil Defence Force
(Dec 2009 - Nov 2015) (Dec 2012 - Nov 2015)
7. PROFESSOR RAJENDRA 8. MS JACINTA LIM

K. SRIVASTAVA Director, Quality Management,
LKC Distinguished Chair Professor Policy & Corporate Development
of Marketing Strategy and Cluster (Policy)
International Business People’s Association
(Dec 2012 - Nov 2015)
Singapore Management University (SMU)
(Dec 2012 - Nov 2015)
7
The
MANAGEMENT
1. MR BRANDON LEE 2. MR TAN TOW KOON 3. MR REMY CHOO
Chief Executive Deputy Chief Executive Director
(from 1 Apr 2015) (Assessment, Registration,
Monitoring and Investigation)
4. MR LAWRENCE TAN 5. MR KEVIN LEE 6. MR PANG TONG WEE

Deputy Director Deputy Director Chief Investigator
(Student Services, Consumer (Assessment, Registration)
Education, Corporate Services Chief Assessor
and Development)
7. MS MICHELLE YAM 8. MR TONG KOK YIN 9. MS KOH SU CHING

Chief Registrar Assistant Director Assistant Director
(Corporate Services and (Corporate Communications)
Development)
10. MS KHOR HWEE SHIN 11. MS NAGAH DEVI RAMASAMY 12. MR SAMUEL LEW
Assistant Director Assistant Director (Policy) Assistant Director
(Consumer Education) (from 16 Nov 2015) (Industry Development)
(from 1 Feb 2016)
Covering Assistant Director Assistant Director
(Student Services Centre) (Student Services Centre)
(from 16 Nov 2015) (from 1 Apr 2015 to 15 Nov 2015)
In appreciation of their contributions to the CPE management team:
1. MR RICK ONG 2. MR RENNY LEE

Assistant Director Assistant Director (Policy)
(Industry Development) (Feb 2014 – Aug 2015)
(Oct 2013 – Jan 2016)
8
ORGANISATION
Chart
BOARD
CHIEF EXECUTIVE
DEPUTY CHIEF EXECUTIVE
DIRECTOR
Assessment, Registration,
Monitoring & Investigation
DEPUTY DIRECTOR
CORPORATE DEPUTY DIRECTOR Student Services, Consumer
COMMUNICATIONS Assessment, Registration Education, Corporate Services
& Development
INDUSTRY
DEVELOPMENT
MONITORING & STUDENT
REGISTRATION INVESTIGATION SERVICES
POLICY
CONSUMER
ASSESSMENT EDUCATION
LEGAL &
PROSECUTION
CORPORATE SERVICES
& DEVELOPMENT
9
The
COMMITTEES
The CPE Board is assisted by Committees, which have been AUDIT COMMITTEE
delegated the authority to provide guidance to the CPE Chaired by Mr Wan Aik Chye, the Audit Committee provides
management. oversight and guidance for the internal and external audit
functions of CPE.
REGULATION AND QUALITY ASSURANCE COMMITTEE
Chaired by Mr Leong Keng Thai, the Regulation and Quality The Committee’s Terms of Reference are:
Assurance (RQA) Committee provides oversight and guidance • Review and endorse the Internal Audit objectives, scope of
for the regulatory functions of CPE. work and work plans for Board’s approval;
The Committee’s Terms of Reference are: • Review with Internal Auditors on processes and measures to
provide a satisfactory and effective level of internal control
• Exercise the approving authority for key decisions under
and minimise any risk exposures;
the Enhanced Registration Framework and the EduTrust
Certification Scheme as delegated by the Board; • Review Internal Audit reports;
• Exercise other regulatory functions delegated by the Board; • Review effectiveness of the actions taken by CPE
Management in response to the Internal Auditors’
• Provide oversight on the registration and certification
recommendations;
process; and
• Review the Internal Audit performance and effectiveness;
• Provide guidance for process benchmarking and
administration of the regulatory and quality assurance • Advise the Board on all Internal Audit matters;
frameworks. • Review and recommend the appointment of external
auditors;
• Review external auditor’s audit plans and reports;
• Review effectiveness of actions taken by CPE Management
in response to external auditor’s recommendations; and
• Review the audited financial statements for Board’s
approval.
10
In appreciation of their contributions to the CPE Board:
INDUSTRY DEVELOPMENT COMMITTEE CONSUMER EDUCATION AND STUDENT SUPPORT

(TILL DEC 2015) COMMITTEE (TILL DEC 2015)
Previously chaired by Mr Ted Tan, the Industry Development Previously chaired by Mr Choe Peng Sum, the Consumer
(ID) Committee provides oversight and guidance for CPE’s Education and Student Support (CE&SS) Committee provides
industry engagement and development initiatives to raise oversight and guidance for CPE’s consumer education initiatives
standards and quality of the private education sector. and student support services.
The Committee’s Terms of Reference are: The Committee’s Terms of Reference are:
• Developing the private education sector into a trusted • The development and implementation of initiatives to
and well-regarded sector that is able to provide a credible provide timely and relevant information to consumers and
pathway for educational upgrading; to enable prospective students to make more informed
• Working in collaboration with economic agencies to choices;
facilitate and develop appropriate assistance programmes • The functions of the Student Services Centre (SSC);
to support Private Education Institutions in: • The dispute resolution mechanisms for students; and
a. Manpower and capabilities development; • To facilitate the placement or teaching-out of students
b. Industry promotion; and affected by Private Education Institution closures.
c. Export of education services.
ADMINISTRATION AND FINANCE COMMITTEE
• Fostering effective industry stewardship through (TILL DEC 2015)
partnership with industry association(s) to: Previously chaired by Mr Teo Eng Cheong, the Administration
and Finance (A&F) Committee provides oversight and guidance
a. Develop industry norms and manpower competency
in the establishment, monitoring and effective implementation
maps;
of policies relating to corporate administration, finance, human
b. Share best practices through dedicated sharing resource and information technology.
platforms; and
The Committee’s Terms of Reference is: Exercising the
c. Facilitate process benchmarking and study missions.
approving authority as delegated by the Board.
11
SECTORAL
as at 31 December 2015
STATISTICS
A. NUMBER OF REGISTERED PRIVATE EDUCATION C. TYPES OF COURSES OFFERED BY PEIs
INSTITUTIONS (PEIs) • In 2015, there were 2,872 active1 course offerings by
PERIOD OF REGISTRATION NO. OF PEIs (2015) PEIs. The breakdown by course types is shown in the
following pie chart.
Six Years 24
Four Years 223 6% Certificate
One Year 57
8% Postgraduate
Total 304
9% Preparatory
25% Diploma
B. NUMBER OF EDUTRUST-CERTIFIED PEIs
TYPES OF AWARD NO. OF PEIs (2015) 15% Others2
21% Bachelor
EduTrust Star Award
2
(Four years)
EduTrust Award
62 16% Foreign System
(Four Years)
Schools (FSS)
EduTrust Provisional
43
Award (One Year)
• The pie chart below shows the distribution of
Total 107 post-secondary courses (diploma, bachelor and
postgraduate) based on fields of study.
5% Engineering Sciences 4% Education
7% Fine & Applied Arts
7% Information
Technology
48% Business
10% Others3
& Administration
9% Humanities
& Social Sciences
10% Services
12
D. COURSE COMMENCEMENTS F. PEI STAFF
• Total new course commencements4 in 2015 were ITEM 2015
148,781. In terms of unique students, there were 135,088
new students who commenced their studies in 2015. Number of teachers 14,500
• Of these: Full-time basis 50%
ITEM 2015 Teachers with Bachelor’s Degree or Higher 90%

Singapore Citizens and Non-teaching staff 7,223
50%
Permanent Residents
Part-time Students 35%
Studying in EduTrust-certified PEIs 62%
E. ENROLMENT BY TYPE OF COURSE
3% Postgraduate
References:
4% Certificate
30% 1. A course is defined as “active” if one or
8% Preparatory Foreign System more students had enrolled in it in the year
Schools (FSS) of reporting.
2. “Others” under course types include English
proficiency, Special Education and WSQ
21% Others5 courses.
3. “Others” under fields of study include those
in Mass Communication & Information
Science; Health Sciences; Architecture,
Building & Real Estate; Law; Engineering,
Manufacturing & Related Trades; Natural,
Physical, Chemical & Mathematical Sciences.
4. The commencement data counts a new
17% Bachelor 17% Diploma student enrolment in a particular course
at a particular PEI. A student enrolled in
two different courses is counted as two
enrolments. Commencement figures will
show the flow of students in the PE sector
in any given year. Students who left before
completing their courses were excluded.
5. “Others” under type of course include
English proficiency, PRS, Special Education
and WSQ courses.
13
Key
MILESTONES
Official Opening of CPE and
the CPE Student CPE launches New Zealand
Services Centre the Advertising Qualifications
Gazetting of by Dr Ng Eng Hen, Code for private Authority sign
the Private then Minister for education Memorandum of
Education Act Education and sector to ensure Cooperation to
and its subsidiary Second Minister better consumer raise standards in
legislations for Defence protection private education
16 OCT 2009 -
12 MAR 2013 22 APR 2010 10 APR 2012 5 FEB 2013
JAN 2009 21 DEC 2009 20 JUN 2011 13 APR 2012
Appointment Commencement End of 18-month CPE and Quality

of the Pro-tem of the new period for PEIs Assurance
Council regulatory regime to transit to new Agency for Higher
for Private for the private requirements Education UK
Education education sector under the Private sign MOU to
Education Act raise standards in
private education
14
CPE and Quality
Assurance
CPE’s inaugural Agency for Higher
Private Education Education UK
Conference - renew MOU to Appointment of
“Raising the Bar raise standards in Mr Khoo Chin Hean
on Quality” private education as Chairman of CPE
9 APR 2013 25MAR 2015 1 DEC 2015

28 FEB 2013 18 JUN 2014 22 SEP 2015
12 JAN 2016
CPE and Tertiary CPE and the Hong CPE and Australian The Ministry of Education
Education Quality Kong Council for Skills Quality (MOE) and Ministry of
and Standards Accreditation Authority sign Manpower (MOM) jointly
Agency Australia of Academic MOU to raise announced the formation
sign Memorandum and Vocational standards in of a new statutory
of Cooperation to Qualifications private education board, SkillsFuture
raise standards in sign MOU to Singapore (SSG) that
private education raise standards in will drive and coordinate
private education the implementation of
SkillsFuture. The new
statutory board will
take over some of the
functions performed by
the Singapore Workforce
Development Agency
(WDA) and absorb CPE.
15
Regulation and
QUALITY ASSURANCE
CPE maintains strict regulations for Private Education
Institutions, and develops policies and initiatives that ensure
For Financial Year PEIs meet minimum standards for consumer protection.
2015/16, 302 PEIs
ENHANCED REGISTRATION registration or regulatory cancellation
were registered FRAMEWORK of registration. CPE also received
The Enhanced Registration Framework 4,182 applications from registered PEIs
under the mandatory (ERF) establishes the baseline standards seeking approval for new courses and
in corporate governance and information
ERF. Of these, 219 transparency that a Private Education
premises, as well as notifications about
the deployment of teachers.
or 73 per cent Institution (PEI) must adhere to in order
to operate. The validity of the registration As part of CPE’s continued efforts to
attained four-year periods ranges from one to six years, reduce the administrative burden on
depending primarily on the PEI’s ability PEIs, CPE streamlined the teacher
registration periods to meet the registration requirements. deployment notification process in
or better – a drop of The Council for Private Education (CPE)
ensures that PEIs meet the necessary
April 2015 and introduced the new
LicenceOne system in November
8 per cent from 254 regulatory requirements before they can 2015 to replace the Online Business
be registered or renewed as a registered Licensing Service (OBLS) system. The
PEIs last year. PEI. CPE also monitors PEIs regularly to new LicenceOne system is a Whole-
ensure that they comply with the Private of-Government initiative that aims to
Education Act. deliver a more user-friendly and efficient
licensing experience for businesses.
For Financial Year 2015/16, 302 PEIs CPE engaged the PEIs in user training
were registered under the mandatory sessions and developed customised
ERF. Of these, 219 or 73 per cent user guides to help PEIs become familiar
attained four-year registration periods with the new system.
or better – a drop of 8 per cent from 254
PEIs last year. During this period, a total EDUTRUST CERTIFICATION
of 135 applications to renew registration SCHEME
or register new PEIs were received. At In Financial Year 2015/16, CPE conducted
the same time, a total of 20 PEIs were 95 assessments. Two PEIs achieved
deregistered due to voluntary closure, the EduTrust Star Award, 14 PEIs
cessation to offer or provide private progressed from the one-year EduTrust
education, unsuccessful renewal of Provisional Award status to the four-year
16
EduTrust Award status, while two PEIs CPE continued to review its EduTrust that the revamped Annual Returns
were assessed to not have maintained assessment process to ensure relevance Exercise had helped their institutions
the required standards upon renewal and effectiveness. This included the reduce administrative workload.
and had their status changed from the introduction of new activities such The majority also agreed that the
four-year EduTrust Award status to the as classroom observations, which instruction manual, list of frequently
one-year EduTrust Provisional Award allowed PEIs to present their academic asked questions, briefing sessions
status. Another eight PEIs allowed their systems and processes more clearly. and communications from the Annual
certification to lapse due to changes in The assessment process was also Returns team had been useful.
business plans and/or their inability to streamlined with the removal of some
meet all the EduTrust prerequisites to interviews and closing meetings. In the forthcoming exercises, CPE will
apply for renewals. continue to seek the feedback and
FURTHER REFINEMENTS TO THE support of PEIs to ensure a seamless
ANNUAL RETURNS EXERCISE
reporting exercise and improve the
CPE did a major revamp of the Annual
process.
Returns Exercise in 2014 and continued
to make further refinements to the ENFORCEMENT ACTION
CPE did a major process in 2015, after taking into In 2015, CPE cancelled the registration
consideration feedback from PEIs.
revamp of the Sub-sector consultations were also
of two PEIs. Kings International Business
School had its registration cancelled
Annual Returns conducted with Foreign System
Schools and Preparatory Schools to
as its continued registration was not in
the interests of the public or students.
Exercise in 2014 and better understand their enrolment The registration for Stamford Raffles
practices. Following the feedback College was similarly cancelled as the PEI
continued to make received, refinements were made to did not have premises that conformed
the submission form in terms of format
further refinements and nomenclatures. Sector-wide
to requirements, as stated in the Private
Education Regulations. In addition,
to the process in briefings were subsequently conducted managers of both Kings International
to familiarise PEIs with the enhanced Business School and Stamford Raffles
2015, after taking forms and submission process. College had contravened the Private
Education Act. Separately, a financial
into consideration The sector’s response to the penalty was imposed on New Cambridge
streamlining of the CPE Annual Returns
feedback from PEIs. Exercise was positive. Nearly half
Education Centre for failing to ensure
that all student contracts contained the
the sector responded to our survey required information, as stated in the
conducted in January 2016. More than Private Education Regulations.
nine in 10 of the respondents agreed
17
INTERNATIONAL ENGAGEMENTS as well as to facilitate the professional in Higher Education (INQAAHE)
As part of CPE’s continuous efforts to development of CPE officers. survey led by QAA, has helped CPE
build strategic partnerships with gain insight into the experience and
regulatory counterparts in the Besides forging new overseas perceptions of the agencies overseeing
international landscape, CPE entered into collaborations, CPE continued to maintain global transnational education (TNE).
a new Memorandum of Understanding and deepen working relationships with CPE is also collaborating with QAA on
(MOU) with the Australian Skills Quality our existing international partners. the UK top-up/articulation programme
Authority (ASQA) on 22 September CPE has a longstanding collaboration arrangements with Singapore’s private
2015. With the aim of enhancing the with the Quality Assurance Agency for education providers.
quality of vocational education and Higher Education (QAA) of the United
training in the private education sector Kingdom (UK), an independent body CPE also continued to maintain close
in Singapore and Australia, the MOU that monitors and advises on standards ties with the Tertiary Education Quality
paved the way for a closer working and quality of higher education in the UK. and Standards Agency (TEQSA),
relationship between the two agencies CPE and QAA exchange regular updates Australia’s independent national
to facilitate future collaborations and on significant developments in quality regulator of the higher education
sharing of best practices in regulatory assurance of education providers within sector. Besides holding regular strategic
practices. Following this, CPE sent two our respective jurisdictions, through and operational video conferences
officers to ASQA for a week-long staff regular video conferences. In addition, with TEQSA, both agencies had the
exchange in February 2016, in order to CPE’s participation in the International opportunity to conduct week-long
better understand ASQA’s operations, Network for Quality Assurance Agencies staff exchanges with each other to
better facilitate information sharing.
Following a CPE staff attachment with
TEQSA in 2014, CPE hosted two
TEQSA officers on 24 June 2015 to
conduct site inspections on Australian
education providers in Singapore. Both
TEQSA and CPE shared snapshots of
our respective regulatory and quality
assurance frameworks, and exchanged
views on the current regulatory and
assessment environment in both
countries. Pertinent issues discussed
included regulatory challenges that
both TEQSA and CPE faced in managing
PEIs. CPE subsequently hosted two
more TEQSA officers from 19 to 23
October 2015.
CPE has a longstanding collaboration with the Quality Assurance Agency for Higher Education (QAA) of the
United Kingdom (UK).
18
Additionally, CPE actively participated
in regional conferences to network and
establish working relationships with the
relevant authorities of other countries.
At the invitation of the European
Association for Quality Assurance in
Higher Education (ENQA), CPE’s Chief
Executive, Mr Brandon Lee, participated
as a panellist at the ENQA coordinated
“Quality Assurance of Cross-border
Higher Education” (QACHE) conference
in November 2015. The Arab Network for
Quality Assurance in Higher Education
(ANQAHE) and the Council for Higher
Education Accreditation, US (CHEA)
International Quality Group (CIQG)
CPE, together with CPE’s Chief Executive, Mr Brandon Lee (2nd from left), hosted officers from Australia’s participated in the conference as well.
Tertiary Education Quality and Standards Agency (TEQSA) (3rd and 4th from left) on 24 June 2015.
Mr Lee also participated in the “Quality

Beyond Boundaries Group” meeting
organised by the Knowledge and Human
Development Authority (KHDA) in Dubai
in December 2015. The meeting focused
on exchanging views and discussing
issues related to the provision and
quality assurance of transnational
education. The meeting was also
attended by representatives from QAA,
TEQSA, the Hong Kong Council for
Accreditation of Academic and
Vocational Qualifications (HKCAAVQ)
and the Malaysian Qualifications Agency
(MQA).
Two officers from Australia’s Tertiary Education Quality and Standards Agency (TEQSA) (1st and 2nd from left)
attended a five-day attachment programme at CPE in October 2015.
19
Consumer Education and
STUDENT SERVICES
Through effective consumer education and student support
initiatives, CPE continued to help students and parents make
A new “Student informed decisions on private education, and assist students
Resources” page in private education matters.
was also launched DEVELOPMENT OF NEW In addition, CPE redesigned its student
INFORMATION
to provide more In 2015, the Council for Private
brochure for prospective students. The
new brochure titled ‘Your Insider’s Guide
information on Education (CPE) website was re- to Choosing a Private School’ included
organised to give more prominence to the 3Rs message and a checklist of
Private Education content on consumer education. The things for prospective students to
homepage was redesigned to make
Institutions it more visually appealing and easier
consider before they enrol in a PEI. The
new brochures were distributed to all
(PEIs) and enable for prospective students to search for
consumer education material. A new
Post-Secondary Education Institutions
(PSEIs), several self-help groups and
students to share “Student Resources” page was also relevant partners. They were also
launched to provide more information on distributed to prospective students at
the consumer Private Education Institutions (PEIs) and education and career fairs and talks.
enable students to share the consumer
education articles education articles with their peers OUTREACH EFFORTS
with their peers through social media. In Financial Year 2015/16, CPE
participated in a total of 22 education
through social To help students in their decision- and career fairs and talks to reach out
making processes, a 3Rs framework to prospective students from PSEIs,
media. was developed to guide prospective such as polytechnics and the Institute
students to consider the 3Rs – their of Technical Education, as well as
“Reasons” for furthering their studies,
how “Ready” they are to do so, and
the possible “Risks” involved if they
decide to pursue further education.
Additionally, seven new consumer
education advisories and commentaries
were published on CPE’s website to
help prospective students deliberate
CPE participated in a total of 22 education and
their options before they commit to career fairs and talks to reach out to prospective
20 private education. students.

national servicemen from the Singapore
Armed Forces and the Home Team,
including the Singapore Police Force
and Singapore Civil Defence Force.
CPE also participated in the Singapore
Workforce Development Agency’s
inaugural Lifelong Learning Festival
to share information on private
education with the participants. CPE
continued to partner the Guidance
Branch of the Ministry of Education’s
Student Development Curriculum
Division to reach out to over 60 new
Education and Career Guidance (ECG) Reaching out to the Education and Career Guidance (ECG) counsellors from Ministry of Education.
counsellors. The 3Rs framework was
shared with the ECG Counsellors so CPE also briefed over 400 school leaders and the common misconceptions that
that they could better guide students from MOE secondary schools and prospective students hold about PEIs
who approach them for advice on PSEIs on the private education sector, and publicly-funded institutions. Besides
tertiary education pathways. CPE’s regulatory role and schemes giving talks, CPE also developed its first
electronic direct mailer for the ECG
counsellors, which included information
such as CPE’s latest consumer education
materials and updates on the private
education sector.
Furthermore, CPE partnered with

organisations, such as the Infocomm
Development Authority of Singapore,
National Library Board and Temasek
Polytechnic, to increase greater
awareness of consumer education
messages through their websites
and social media platforms such as
Facebook and Twitter.
CPE engaged national servicemen and the Home Team at career fairs.
21
STUDENT SERVICES CPE MEDIATION-ARBITRATION SCHEME
In Financial Year 2015/16, CPE handled 3,108 cases, which was Since the launch of the CPE Mediation-Arbitration Scheme in
similar to the number of cases received in the previous year. The May 2010, a total of 101 cases have been referred to our partner,
majority of cases for Financial Year 2015/16 were brought to Singapore Mediation Centre (SMC). Approximately 68 percent
CPE’s attention through parents, relatives, friends of students, of these cases were successfully mediated. Of the unsuccessful
as well as members of the public. 26% of these cases were cases, 38 per cent were further escalated to arbitration. About
complaints while the rest were enquiries. 40 per cent of these escalated cases were awarded in favour of
students at the arbitration phase.
Profile of Individuals Who Filed Cases In Financial Year 2015/16, CPE referred eight disputes to SMC,
a decrease of about 70 per cent from the previous year. Out of
5% these, 37.5 per cent were disputes over visas and 25 per cent
63% Parents, PEIs
over administrative issues. The rest were disputes over fees,
relatives, friends academic processes of PEIs, as well as quality of teachers (12.5
of students and
per cent each).
members of the
public 32%
Students
Nature of Cases
74% Enquiries 26% Complaints
22
Industry
DEVELOPMENT
To better support its regulatory work and facilitate the strategic development of the private
education sector, CPE continued to conduct industry studies and engage industry stakeholders.
ENGAGING STAKEHOLDERS
Council for Private Education (CPE)
regularly engages industry stakeholders
through dialogues and industry
communications platforms to build
ties, improve their understanding of
regulatory requirements, steer them
towards offering quality provisions
and share good practices on capability
development.
Apart from continuing its practice of

engaging Private Education Institutions
(PEIs) on a one-to-one basis, CPE
increased the frequency of small group
dialogues to reach out to more PEIs.
Over the past year, CPE made significant
engagements (at the Chief Executive
level and above) with 110 PEIs to discuss
the challenging operating environment
and gather feedback on industry needs
and challenges. CPE has reached out
to almost 75 per cent of the private
Speakers for the industry seminar held on 1 April 2015, together with CPE’s Chief Executive, Mr Brandon Lee
education sector through one-to-one (3rd from left).
visits and small group dialogue sessions
since CPE’s inception. Satisfaction” on 1 April 2015, which enhancing student satisfaction in the
was attended by 260 staff from over sector, as well as shared best practices
Industry communications platforms 100 PEIs. Speakers from the Institute in student support services and teacher
such as thematic industry seminars of Service Excellence at SMU, At- training. Participants were encouraged
enable PEIs to interact with and learn Sunrice GlobalChef Academy, Republic to put the knowledge gained during the
from each other. CPE held an industry Polytechnic and NTUC’s e2i initiated seminar into practice.
seminar “Students and Student discussions on measuring and
23
Through CPE’s facilitation, SAPE with
support from SPRING Singapore, hosted
a roundtable session in relation to the
Retail SMP in Feb 2016. The objective of
these roundtable sessions is to bring PEIs,
lead agencies and trade associations/
employers together, so as to encourage
industry-led initiatives that will be
mutually beneficial to PEIs and industry/
employers.
INDUSTRY STUDIES
CPE is studying how to improve
the transparency of PEI graduate
employment outcomes. Hence, a pilot
run of the Graduate Employment Survey
(GES) was launched in December 2015,
targeting graduates from nine PEIs with
among the largest bachelor degree
CPE’s industry seminar on 1 April 2015 was attended by 260 staff from over 100 private education institutions. enrolment. The pilot GES aims to trial
the methodological and operational
Through regular dialogue sessions, CPE development of the private education framework for conducting future surveys
continued to explore collaborations sector. Over the past year, CPE has and to gather information about the
with industry associations to improve engaged seven lead agencies on sectoral graduate employment outcomes of the
sector quality, namely Singapore manpower plans (SMP) under SkillsFuture PEIs involved. This information aims to
Association for Private Education – Economic Development Board (EDB), help guide future policy formulation for
(SAPE), Association for Private Schools Infocomm Development Authority (IDA), matters related to private education,
and Colleges Singapore, as well as International Enterprise (IE) Singapore, manpower, and graduate employment
the Singapore International Chamber Media Development Authority (MDA), outcomes.
of Commerce’s Education Services Singapore Accountancy Commission,
Committee. The dialogues, which were SPRING Singapore and Singapore Tourism
hosted by the senior management of Board (STB). To assist lead agencies in
CPE and the associations, provided a sectoral manpower planning efforts, CPE
useful platform to share future plans provided enrolment figures from relevant
and communicate challenges faced by PEI programmes, as well as explored how
industry players. PEIs and industry associations such as
SAPE, could potentially assist to meet
Apart from industry stakeholders, CPE industry manpower needs and play
also works closely with government a role in delivering industry-relevant
agencies to facilitate the strategic programmes.
24
Our
ORGANISATION
The work that we do would
be impossible without the
most important factor of
all - our people. At CPE, we
know that engaging and
developing our staff is the
key to a better CPE, and a
better sector regulator.
STAFF DEVELOPMENT AND

TRAINING
CPE values its staff and believes that
every officer has talent and ability that
should be developed to its fullest. Hence,
CPE aims to build a culture of continuous
learning that spurs our officers to improve
their skills, knowledge and capabilities,
assuring lifelong employability for every
individual. Ultimately, training nurtures a
commitment to excellence and improves
the quality of our service to the public. CPE staff on attachment at the Early Childhood Development Agency.
The Student Services Centre and CPE encourages staff to develop practices of the agencies, and were keen
the regulatory team have also put in themselves professionally and initiated to apply some of them at work.
place staff development frameworks a two-week attachment programme
to aid staff in identifying skill sets and on a cross-organisation staff exchange
capabilities necessary for their specific basis, to facilitate the exchange of skills
roles, so that they are able to draw up and knowledge with other regulatory
their learning roadmap based on their agencies, which included the Council
individual needs. Using this roadmap, for Estate Agencies (CEA) and Early
officers are able to identify relevant Childhood Development Agency (ECDA).
training to develop their foundational, Officers gained invaluable lessons about
functional and technical competencies. the similarities, differences and best
25
STAFF ENGAGEMENT
CPE introduced two new staff awards to recognise
contributions by officers. The CPE Milestones Award celebrates
the key milestones in an officer’s career with CPE and is given
to staff who have completed their fifth year of service. The
other new award is the Best Frontline Service Quality Award to
recognise Student Service Officers’ efforts and encourage them
to provide consistent quality service to customers.
STAFF WELFARE
In Financial Year 2015/16, the CPE Staff Welfare Committee
(SWC) organised several events for group cohesiveness and
interaction, including celebrations for major festivals, such as
Lunar New Year, Hari Raya Puasa and Deepavali. In conjunction
with the nationwide SG50 celebration, the committee organised CPE’s Chief Executive, Mr Brandon Lee (left), presents the CPE Milestones
Award to a staff member.
CPE staff members had fun at the Chinese New Year Celebration.
26
a National Day Celebration for staff,
which included the Public Service
Observance Ceremony and activities
that took staff through a heritage trail
around the Fort Canning area, as well as
traditional games played in Singapore in
the 1980s.
A learning journey to the Singapore

Discovery Centre was organised in
November 2015. The visit included
a guided and interactive tour of the
Permanent Exhibits Gallery, which
showcased Singapore’s history, present
and future, as well as a tour of the SG50
“So Singaporean” Special Exhibition.
Staff also had fun and bonded at the
computerised simulated shooting gallery.
Staff members went on a heritage trail and played traditional games during the National Day Celebration.
Staff members bonded through the learning journey at the Singapore Discovery Centre.
27
Staff members with the packed hampers for needy families at the Chinese New Year charity event.
As part of CPE’s corporate social food items to pack into festive food
responsibility efforts, a Lunar New Year hampers for the beneficiaries. Staff
charity event was organised in February personally packed the hampers as
2016, in collaboration with Beyond part of a hamper competition within
Social Services, a charity organisation CPE. While staff had fun preparing the
that helps families from less privileged hampers for the competition, there was
backgrounds. The SWC managed to greater satisfaction from presenting
raise a total of S$2,000 from staff’s the hampers and supermarket shopping
generous donations, for 20 needy vouchers personally to the beneficiaries.
families in the Lengkok Bahru estate. It was indeed a heartwarming event.
The donations were used to purchase
supermarket shopping vouchers and
28
FINANCIAL
STATEMENTS
for the year ended 31 March 2016
30 Council Information
31 Statement by Board Members
32 Independent Auditor’s Report
34 Statement of Financial Position
35 Statement of Comprehensive
Income and Expenditure
36 Statement of Changes in Equity
37 Statement of Cash Flows
39 Notes to the Financial Statements
29

COUNCIL
INFORMATION
COUNCIL REGISTRATION NUMBER UEN: T09GB0001A
REGISTERED OFFICE 2 Bukit Merah Central #05-00

Singapore 159835
BOARD MEMBERS Khoo Chin Hean (appointed Chairman on 1 December 2015)

Brandon Lee
Andrew Lim
Choe Peng Sum
John Lim
Leong Keng Thai
Ted Tan
Wan Aik Chye
Wong Kim Yin (appointed on 1 December 2015)
Lin Cheng Ton (retired on 1 December 2015)
Teo Eng Cheong (retired on 1 December 2015)
Alvin Tan (retired on 1 December 2015)
Prof Rajendra K. Srivastava (retired on 1 December 2015)
Senior Assistant Commissioner Anwar Abdullah (retired
on 1 December 2015)
Melissa Ow (retired on 1 December 2015)
Edmond Khoo (retired on 1 December 2015)
Jacinta Lim (retired on 1 December 2015)
PRINCIPAL BANKER DBS Bank Limited

2 Changi Business Park Crescent
Singapore 486029
INDEPENDENT AUDITOR Foo Kon Tan LLP

Public Accountants and
Chartered Accountants
47 Hill Street #05-01
Singapore Chinese Chamber of Commerce & Industry Building
Singapore 179365
30

STATEMENT BY BOARD MEMBERS
for the financial year ended 31 March 2016
In our opinion,
i. the accompanying financial statements of the Council for Private Education (the “Council”) as set out on pages 34 to 59 are
properly drawn up in accordance with the provisions of the Private Education Act (Chapter 247A) and Statutory Board Financial
Reporting Standards so as to give a true and fair view of the financial position of the Council as at 31 March 2016 and of the
financial performance, changes in equity and cash flows of the Council for the year ended on that date;
ii. at the date of this statement, there are reasonable grounds to believe that the Council will be able to pay its debts as and when
they fall due; and
iii. the receipts, expenditure, and investment of moneys and acquisition and disposal of assets by the Council during the financial
year have been in accordance with the provisions of the Act.
The Board has, on the date of this statement, authorised these financial statements for issue.
On behalf of the Board
.................................................
KHOO CHIN HEAN
Chairman
.................................................
BRANDON LEE
Chief Executive
20 June 2016
31

INDEPENDENT AUDITOR’S REPORT
to the members of Council for Private Education
REPORT ON THE FINANCIAL STATEMENTS
We have audited the accompanying financial statements of Council for Private Education (the “Council”) set out on pages 34 to 59,
which comprise the statement of financial position as at 31 March 2016, statement of comprehensive income and expenditure,
statement of changes in equity and statement of cash flows of the Council for the financial year then ended, and a summary of
significant accounting policies and other explanatory information.
Management’s Responsibility for the Financial Statements

The Council’s management is responsible for the preparation and fair presentation of these financial statements in accordance with
the provisions of the Private Education Act (Chapter 247A) (the “Act”) and Statutory Board Financial Reporting Standards, and for such
internal control as management determines is necessary to enable the preparation of financial statements that are free from material
misstatement, whether due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance
with Singapore Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the
audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements.
The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the
financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant
to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate
in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Council’s internal control. An audit
also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by
management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Opinion
In our opinion, the financial statements are properly drawn up in accordance with the provisions of the Act and Statutory Board
Financial Reporting Standards so as to present fairly, in all material respects, the state of affairs of the Council as at 31 March 2016 and
the results, changes in equity and cash flows of the Council for the year then ended on that date.
Emphasis of matter
We draw attention to Notes 1 and 2(A) to the financial statements which describe the change to the realisation basis of accounting
as a result of the re-constitution of the Council and certain functions of the Singapore Workforce Development Agency into a new
statutory board, SkillsFuture Singapore (“SSG”, tentatively named), as announced by the Government on 12 January 2016. SSG will
be formed to move the national focus on skills and employment. Accordingly, the financial statements have not been prepared on a
going concern basis. No adjustments were necessary to the amounts at which the remaining assets and liabilities are included in the
financial statements. Our opinion is not qualified in respect of this matter.
32

REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
Management’s Responsibility for Compliance with Legal and Regulatory Requirements

The Council’s management is responsible for ensuring that the receipts, expenditure, investment of moneys and the acquisition and
disposal of assets, are in accordance with the provisions of the Act. This responsibility includes implementing accounting and internal
controls as management determines are necessary to enable compliance with the provisions of the Act.
Auditor’s Responsibility
Our responsibility is to express an opinion on management’s compliance based on our audit of the financial statements. We
conducted our audit in accordance with Singapore Standards on Auditing. We planned and performed the compliance audit to obtain
reasonable assurance about whether the receipts, expenditure, investment of moneys and the acquisition and disposal of assets, are
in accordance with the provisions of the Act.
Our compliance audit includes obtaining an understanding of the internal control relevant to the receipts, expenditure, investment
of moneys and the acquisition and disposal of assets; and assessing the risks of material misstatement of the financial statements
from non-compliance, if any, but not for the purpose of expressing an opinion on the effectiveness of the Council’s internal control.
Because of the inherent limitations in any accounting and internal control system, non-compliances may nevertheless occur and
not be detected.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion on
management’s compliance.
Opinion
In our opinion:
a. the receipts, expenditure, investment of moneys and the acquisition and disposal of assets by the Council during the year are, in
all material respects, in accordance with the provisions of the Act; and
b. proper accounting and other records have been kept, including records of all assets of the Council whether purchased, donated
or otherwise.
FOO KON TAN LLP

Public Accountants and
Chartered Accountants
Singapore, 20 June 2016
33

STATEMENT OF FINANCIAL POSITION
as at 31 March 2016
31 March 2016 31 March 2015
Note $ $
ASSETS
Non-Current
Plant and equipment 3 - 363,923
Intangible assets 4 - 1,749
- 365,672
Current
Plant and equipment 3 413,266 -
Trade and other receivables 5 57,659 21,609
Deposits 62,427 55,248
Prepayments 156,995 72,441
Cash and cash equivalents 6 8,130,703 7,002,293
8,821,050 7,151,591
Total assets 8,821,050 7,517,263
EQUITY AND LIABILITIES

Capital and Reserves
Capital account 7 4,145,119 4,145,119
Accumulated surplus 3,009,878 2,318,171
Total equity 7,154,997 6,463,290
Liabilities
Current
Trade and other payables 8 1,144,591 769,672
Deferred income 9 126,783 83,550
Deferred capital grant 10 182,688 5,916
Provision for reinstatement cost 70,316 -
Provision for contribution to consolidated fund 141,675 101,229
1,666,053 960,367
Non-Current
Deferred income 9 - 14,416
Deferred capital grant 10 - 8,874
Provision for reinstatement cost - 70,316
- 93,606
Total equity and liabilities 8,821,050 7,517,263
The annexed notes form an integral part of and should be read in conjunction with these financial statements.
34

STATEMENT OF COMPREHENSIVE
INCOME AND EXPENDITURE
Year ended Year ended
31 March 2016 31 March 2015
Note $ $
Income
Application fees 355,753 448,020
Certification fees 137,530 168,323
Annual fees 134,982 128,884
Fines and penalties 3,500 2,000
Others 52,751 80,280
684,516 827,507
Operating expenditure
Expenditure on manpower 11 (8,144,233) (7,153,420)
Depreciation of plant and equipment 3 (147,031) (161,557)
Amortisation of intangible assets 4 (1,749) (83,211)
Rental of premises and others (694,583) (1,078,673)
Utilities (26,555) (29,187)
Repairs and maintenance (922,756) (278,989)
Publications and advertising expenses (14,459) (37,130)
Staff welfare and development (106,594) (87,511)
Transport, postage and communications (56,617) (65,900)
Contract services (901,315) (744,632)
Legal and other professional fees (333,927) (495,737)
Other operating expenses (499,626) (579,845)
(11,849,445) (10,795,792)
Deficit before grants (11,164,929) (9,968,285)
Grants
Operating grants received from Government 11,986,402 10,556,426
Amortisation of deferred capital grants 10 11,909 7,322
11,998,311 10,563,748
Surplus for the year before

statutory contribution to consolidated fund 11 833,382 595,463
Statutory contribution to consolidated fund 12 (141,675) (101,229)

Net surplus for the year, representing
Total comprehensive income for the year 691,707 494,234
35

STATEMENT OF CHANGES IN EQUITY
Share Accumulated
capital surplus Total
Note $ $ $
As at 1 April 2014 3,745,119 1,823,937 5,569,056
Capital injection 7 400,000 - 400,000
Total comprehensive income for the year - 494,234 494,234
Balance at 31 March 2015 4,145,119 2,318,171 6,463,290
Total comprehensive income for the year - 691,707 691,707
Balance at 31 March 2016 4,145,119 3,009,878 7,154,997
36

STATEMENT OF CASH FLOWS
Year ended Year ended
31 March 2016 31 March 2015
Note $ $
Cash Flows from Operating Activities
Deficit before grants and statutory contribution to consolidated fund (11,164,929) (9,968,285)
Adjustments for:
Depreciation of plant and equipment 3 147,031 161,557
Amortisation of intangible assets 4 1,749 83,211
Income received from assets transferred (a) - (46,908)
Interest income (39,875) (32,104)
Plant and equipment 11
- expensed off 12,935 8,642
- written off, net 1,508 2,013
Operating deficit before working capital changes (11,041,581) (9,791,874)
(Increase)/Decrease in trade and other receivables,
deposits and prepayments (108,571) 168,249
Increase/(Decrease) in trade and other payables 374,919 (196,509)
(Decrease)/Increase in deferred income 28,817 (6,367)
Cash used in operations (10,746,416) (9,826,501)
Contribution paid to consolidated fund 12 (101,229) (171,127)
Government grant received 11,983,544 10,556,426
Interest received 29,359 18,750
Net cash used in operating activities 1,165,258 577,548
Cash Flows from Investing Activities

Purchase of plant and equipment (b) (23,913) (20,312)
Plant and equipment expensed off 11 (12,935) (8,642)
Purchase of intangible assets 4 - (3,500)
Net cash used in investing activities (36,848) (32,454)
Cash Flows from Financing Activities

Issuance of shares 7 - 400,000
Net cash generated from financing activities - 400,000
Net increase in cash and cash equivalents 1,128,410 945,094

Cash and cash equivalents at beginning of year 7,002,293 6,057,199
Cash and cash equivalents at end of year 6 8,130,703 7,002,293
37

Statement of cash flows (Cont’d)
Notes to the statement of cash flows:

Plant and equipment and non-cash transaction:
a. In the previous financial year, the Council acquired office equipment at a cost of $46,908 which was paid by the Government
and transferred to the Council under the “Whole-of-Government Information and Communications Technology Infrastructure”
arrangement. These additions were borne by the Government as part of the transition out of the Standard Operating Environment
program and the amount had been recognised as “other income” in the statement of comprehensive income and expenditure.
b. During the current financial year, the Council acquired office equipment at a cost of $197,882 to enhance the network security
system as disclosed in Note 3 to the financial statement. For this purchase, the Government funded an amount of $179,807, of
which $5,838 is receivable from the Government as at the end of the financial year, and the remaining balance of $18,075 was paid
by the Council. Accordingly, the Council recognised an aggregated amount of $179,807 as “deferred capital grant” as disclosed in
Note 10 to the financial statements. The deferred capital grant is amortised over the useful life of the office equipment acquired
and recognised as “amortisation of deferred capital grant” in the statement of comprehensive income and expenditure for the
financial year.
38

NOTES TO THE FINANCIAL STATEMENTS
1 GENERAL INFORMATION
The Council for Private Education (the “Council”) was established on 1 December 2009 under the Private Education Act
(Chapter 247A). Its registered office is at 2 Bukit Merah Central, #05-00, Singapore 159835 and its principal place of
business is in Singapore.
The Council is subjected to the control of its supervisory ministry, Ministry of Education (“MOE”) and is required to follow
the policies and instructions issued from time to time by MOE and other government ministries and departments such
as the Ministry of Finance (“MOF”).
The principal activities of the Council are:
a. to assess private education institutions for registration and EduTrust certification; and
b. to promote the development of the private education industry.
On 12 January 2016, the Government announced the re-constitution of the Council. Together with parts of Singapore
Workforce Development Agency, SkillsFuture Singapore (“SSG”, tentatively named) would be formed. On this basis,
the Board does not believe the going concern basis is appropriate for the preparation of the financial statements of
the Council and accordingly, the financial statements have been prepared on a realisation basis, which is based on the
carrying amounts of the assets and liabilities at the date of the transfer to SSG. No adjustments were necessary to the
amounts at which the remaining assets and liabilities are included in the financial statements
2(A) BASIS OF PREPARATION

The financial statements have been prepared in accordance with the provisions of the Private Education Act (Chapter 247A)
(the “Act”) and Statutory Board Financial Reporting Standards (“SB-FRS”). As explained in Note 1, the financial statements
have not been prepared on a going concern basis under the historical cost convention except when an SB-FRS requires an
alternative treatment (such as fair values) as disclosed where appropriate in these financial statements.
Significant accounting estimates and judgements

The preparation of financial statements in conformity with SB-FRS requires management to exercise its judgement
in the process of applying the Council’s accounting policies. It also requires the use of certain accounting estimates
and assumptions.
39

Notes to the Financial Statements
2(A) BASIS OF PREPARATION (CONT’D)

Significant accounting estimates and judgements (Cont’d)
The critical accounting estimates and assumptions used and area involving a high degree of judgement are described below:
Depreciation of plant and equipment

Plant and equipment are depreciated on a straight-line basis over their estimated useful lives. The Council estimate the
useful lives of plant and equipment to be within 5 to 10 years. The carrying amount of the Council’s plant and equipment as
at 31 March 2016 is $413,266 (2015 - $363,923). Changes in the expected level of usage and technological developments
could impact the economic useful lives and the residual values of these assets, therefore future depreciation charges could
be revised.
Provision for site restoration

A provision is made for the present value of anticipated costs for future restoration of leased office premises. The provision
includes future cost estimates associated with closure of the leased premises. The calculation of this provision requires
assumptions such as application of closure dates and cost estimates.
The provision recognised is periodically reviewed and updated based on the facts and circumstances available at the time.
Changes to the estimated future costs are recognised in the statement of financial position by adjusting the expenses or
asset, if applicable, and provision. As at 31 March 2016, management recognised a provision for site restoration amounting
to $70,316 (2015 – $70,316).
2(B) INTERPRETATIONS AND AMENDMENTS TO PUBLISHED STANDARDS EFFECTIVE IN 2015

On 1 April 2015, the Council adopted the new or amended SB-FRS and Interpretations to SB-FRS (“INT SB-FRS”) that are
mandatory for application from that date. Changes to the Council’s accounting policies have been made as required in
accordance with the relevant transitional provisions in the respective SB-FRS and SB-INT FRS.
The adoption of these new or amended SB-FRS and INT SB-FRS did not result in substantial changes to the Council’s
accounting policies and had no material effect on the amounts reported for the current or prior financial years.
40

2(C) SB-FRS NOT YET EFFECTIVE

The following are the new or amended SB-FRS and INT-FRS issued in 2016 that are not effective but may be early adopted
for the current financial year:
Effective date
Reference Description (Annual periods beginning on or after)
Amendments to SB-FRS 1 Presentation of Financial Statements 1 January 2016
SB-FRS 115 Revenue from Contracts with Customers 1 January 2017
SB-FRS 109 Financial Instruments 1 January 2018
Amendments to SB-FRS 1 Presentation of Financial Statements

The amendments to SB-FRS 1 Presentation of Financial Statements clarify that materiality applies to the whole of
financial statements and that the inclusion of immaterial information can inhibit the usefulness of financial disclosures.
Furthermore, the amendments clarify that entities should use professional judgement in determining where and in what
order information is presented in the financial disclosures. As this is a disclosure standard, it will not have any impact on the
financial performance or the financial position of the Council when implemented.
SB-FRS 115 Revenue from Contracts with Customers

SB-FRS 115 Revenue from Contracts with Customers establishes a new five-step model that will apply to revenue arising
from contracts with customers. Under SB-FRS 115, it requires the entity to recognise revenue which depict transfer
of promised goods or services to customers in an amount that reflects the consideration (payment) to which the entity
expects to be entitled in exchange for those goods or services. SB-FRS 115 is effective for annual periods beginning on or
after 1 January 2017. The new standard will not be applicable as the Council will be re-constituted into the new statutory
board as at the effective date of adoption of SB-FRS 115.
SB-FRS 109 Financial Instruments

SB-FRS 109 Financial Instruments replaces SB-FRS 39 and it is a package of improvements introduced by SB-FRS
109 includes a logical model for:
- classification and measurement of financial assets, impairment of financial assets and hedge accounting,
- a single, forward-looking “expected loss” impairment model and
- a substantially reformed approach to hedge accounting
41

2(C) SB-FRS NOT YET EFFECTIVE (CONT’D)

SB-FRS 109 Financial Instruments (cont’d)
SB-FRS 109 is effective for annual periods beginning on or after 1 January 2018. The adoption of SB-FRS 109 will
have an impact on the classification and measurement of financial assets, but no impact on the classification and
measurement of financial liabilities. The new standard will not be applicable as the Council will be re-constituted
into the new statutory board as at the effective date of adoption of SB-FRS 109.
Other than the above, the Council does not anticipate that the adoption of the above SB-FRS in future periods will
have a material impact on the financial statements of the Council in the period of their initial adoption.
2(D) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Plant and equipment and depreciation
Plant and equipment are initially recorded at cost. Subsequent to initial recognition, plant and equipment are measured at
cost less accumulated depreciation and accumulated impairment losses, if any. Depreciation of an asset begins when it is
available for use and is computed using the straight-line method to allocate their depreciable amount over their estimated
useful lives as follows.
Renovation Shorter of remaining lease term or 3 years

Furniture and fittings 8 to 10 years
Office equipment and computers 5 years
The cost of plant and equipment includes expenditure that is directly attributable to the acquisition of the items. The cost
of dismantling and removing the items and restoring the site are included as part of the cost of plant and equipment if the
obligation for dismantlement, removal or restoration is incurred as a consequence of acquiring or using the asset.
Subsequent expenditure relating to plant and equipment that has already been recognised is added to the carrying amount
of the asset only when it is probable that future economic benefits associated with the item will flow to the Council and
the cost of the item can be measured reliably. All other repair and maintenance expenses are included in statement of
comprehensive income and expenditure in the year the expenses are incurred.
For acquisitions and disposals during the financial year, depreciation is provided from the month of acquisition and to the
month before disposal respectively. Plant and equipment costing less than $2,000 each, are charged to the statement of
comprehensive income and expenditure in the year of purchase as “plant and equipment written off”, which is included as
part of other operating expenses.
42

2(D) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D)

Plant and equipment and depreciation (Cont’d)
An item of plant and equipment is derecognised upon disposal or when no future economic benefits are expected from its
use or disposal. Any gain or loss arising on derecognition of the asset is included in the statement of comprehensive income
and expenditure in the year the asset is derecognised.
Fully depreciated plant and equipment are retained in the books of accounts until they are no longer in use.
Depreciation methods, useful lives and residual values are reviewed, and adjusted as appropriate, at each reporting date as
a change in estimates.
Intangible assets
Intangible assets acquired, which comprise system and application development costs, are measured on initial
recognition at cost. Following initial recognition, intangible assets are carried at cost less any accumulated
amortisation and accumulated impairment losses, if any.
Amortisation of intangibles is calculated on the straight-line method to write-off the costs over their estimated
useful life of 5 years. The amortisation expense on intangible assets is recognised in the statement of
comprehensive income and expenditure as ‘Amortisation of intangible assets’.
The carrying value of intangibles is reviewed for impairment when events or changes in circumstances indicate that
the carrying value may be impaired.
Intangible assets are written off where, in the opinion of the Council, no further future economic benefits are
expected to arise.
Financial assets
Financial assets, other than hedging instruments, can be divided into the following categories: financial assets at fair
value through profit or loss, held-to-maturity investments, loans and receivables and available-for-sale financial
assets. Financial assets are assigned to the different categories by management on initial recognition, depending
on the purpose for which the investments were acquired. The designation of financial assets is re-evaluated and
classification may be changed at the reporting date with the exception that the designation of financial assets at
fair value through profit or loss is not revocable.
43


Financial assets (Cont’d)
All financial assets are recognised on their trade date - the date on which the Council commits to purchase or sell
the asset. Financial assets are initially recognised at fair value, plus directly attributable transaction costs except
for financial assets at fair value through profit or loss, which are recognised at fair value.
Derecognition of financial instruments occurs when the rights to receive cash flows from the investments expire or
are transferred and substantially all of the risks and rewards of ownership have been transferred. An assessment for
impairment is undertaken at least at the end of the reporting year whether or not there is objective evidence that a
financial asset or a group of financial assets is impaired.
Non-compounding interest and other cash flows resulting from holding financial assets are recognised in the
statement of comprehensive income and expenditure when received, regardless of how the related carrying
amount of financial assets is measured.
The Council does not have any investments and accordingly, there are no investments to be designated as financial
assets at fair value through profit or loss, held-to-maturity investments or available-for-sales financial assets.
Loans and receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted
in an active market. They arise when the Council provides money, goods or services directly to a debtor with no
intention of trading the receivables. They are included in current assets, except for maturities greater than 12
months after the end of the reporting year. These are classified as non-current assets, if any.
Loans and receivables are subsequently measured at amortised cost using the effective interest method, less
provision for impairment, if any. Any change in their value is recognised in the statement of comprehensive income
and expenditure. Any reversal shall not result in a carrying amount that exceeds what the amortised cost would
have been had any impairment loss not been recognised at the date the impairment is reversed. Any reversal is
recognised in the statement of comprehensive income and expenditure.
44


Financial assets (Cont’d)
Loans and receivables (cont’d)
Loans and receivables include trade and other receivables, deposits and cash and cash equivalents. They are
subsequently measured at amortised cost using the effective interest method, less provision for impairment. If
there is objective evidence that the asset has been impaired, the financial asset is measured at the present value
of the estimated cash flows discounted at the original effective interest rate. Impairment losses are reversed
in subsequent years when an increase in the asset’s recoverable amount can be related objectively to an event
occurring after the impairment was recognised, subject to a restriction that the carrying amount of the asset at
the date the impairment is reversed does not exceed what the amortised cost would have been had the impairment
not been recognised. The impairment or reversal is recognised in the statement of comprehensive income and
expenditure.
Cash and cash equivalents

Cash and cash equivalents include cash on hand and deposits held at call with financial institutions. For purpose
of presentation in the cash flow statement, cash and cash equivalents include cash at bank and deposits held with
Accountant-General’s Department.
Financial liabilities
The Council’s financial liabilities include trade and other payables. They are included in statement of financial
position item “current financial liabilities”.
Financial liabilities are recognised when the Council becomes a party to the contractual agreements of the
instrument. All interest related charges is recognised as an expense in “finance cost” in the statement of
comprehensive income and expenditure. Financial liabilities are derecognised if the Council’s obligations specified
in the contract expire or are discharged or cancelled.
Trade and other payables

Trade payables are initially measured at fair value, and subsequently measured at amortised cost, using the
effective interest method.
45


Provisions
Provisions are recognised when the Council have a present obligation (legal or constructive) as a result of a past
event, it is probable that an outflow of resources embodying economic benefits will be required to settle the
obligation and a reliable estimate can be made of the amount of the obligation. Present obligations arising from
onerous contracts are recognised as provisions.
The Council review the provisions annually and where in their opinion, the provision is inadequate or excessive, due
adjustment is made.
If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that
reflects, where appropriate, the risks specific to the liability. Where discounting is used, the increase in the
provision due to the passage of the time is recognised as finance costs in the statement of comprehensive income
and expenditure.
Leases
Operating leases
Leases of assets in which a significant portion of the risks and rewards of ownership are retained by the lessor are
classified as operating leases.
Rentals on operating leases are charged to the statement of comprehensive income and expenditure on a straight-
line basis over the lease term. Lease incentives, if any, are recognised as an integral part of the net consideration
agreed for the use of the leased asset. Penalty payments on early termination, if any, are recognised in the statement
of comprehensive income and expenditure when incurred.
Employee benefits
Pension obligations
The Council contribute to the Central Provident Fund (“CPF”), a defined contribution plan regulated and managed by
the Government of Singapore, which applies to the majority of the employees. The Council’s contributions to CPF are
charged to statement of comprehensive income and expenditure in the year to which the contributions relate.
Key management personnel

Key management personnel are those persons having the authority and responsibility for planning, directing and
controlling the activities of the entity. Chief Executive, Deputy Chief Executive, Directors and Deputy Directors are
considered key management personnel of the Council.
46


Goods and services tax
Revenues, expenses and assets are recognised net of the amount of goods and services tax except:
a. where the goods and services tax incurred on a purchase of assets or services is not recoverable from the taxation
authority, in which case the goods and services tax is recognised as part of the cost of acquisition of the asset or as part
of the expenses item as applicable; and
b. receivables and payables that are stated with the amount of goods and services tax included.
The net amount of goods and services tax recoverable from, or payable to, the taxation authority is included as part
of receivables or payables in the statement of financial position.
Related parties
The Council is established as a statutory board and is an entity related to the Government of Singapore. The
Council’s related parties refer to Government-related entities including Ministries, Organs of State and other
Statutory Boards. The Council applies the exemption in Paragraph 25 of SB-FRS 24 Related Party Disclosures, and
required disclosures are limited to the following information to enable users of the Council’s financial statements
to understand the effect of related party transactions on the financial statements:
a. the nature and amount of each individually significant transaction with Ministries, Organs of State and other Statutory
Boards; and
b. for other transactions with Ministries, Organs of State and other Statutory Boards that are collectively but not
individually significant, a qualitative or quantitative indication of their extent.
Impairment of non-financial assets

The carrying amounts of the Council’s non-financial assets subject to impairment are reviewed at the end of the
reporting year to determine whether there is any indication of impairment. If any such indication exists, the assets’
recoverable amount is estimated.
If it is not possible to estimate the recoverable amount of the individual asset, then the recoverable amount of the
cash-generating unit to which the assets belong will be identified.
47


Impairment of non-financial assets (Cont’d)
For the purpose of assessing impairment, assets are grouped at the lowest levels for which there are separately
identifiable cash flows (cash-generating units). As a result, some assets are tested individually for impairment and
some are tested at cash-generating unit level. Individual assets or cash-generating units are tested for impairment
whenever events or changes in circumstances indicate that the carrying amount may not be recoverable.
An impairment loss is recognised for the amount by which the asset’s or cash-generating unit’s carrying amount
exceeds its recoverable amount. The recoverable amount is the higher of the fair value, reflecting market conditions
less costs to sell and value in use, based on an internal discounted cash flow evaluation. All assets are subsequently
reassessed for the indication that an impairment loss previously recognised may no longer exist.
Any impairment loss is charged to the statement of comprehensive income and expenditure.
Revenue recognition
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Council and the
revenue can be reliably measured.
Application fees
Application fees are recognised upon the receipt of the applications and fees.
Income from rendering of services (including certification fees)

Income from rendering of services is recognised when the services have been rendered.
Annual fees
Annual fees are recognised over the period which the certificate is granted.
Fines and penalties

Fines imposed on the violation of the Private Education Act (Chapter 247A) is recognised on an accrual basis.
Interest income
Interest income is recognised on an accrual basis.
48


Government grants
Government grants are recognised at fair value where there is reasonable assurance that the grant will be received
and all required conditions will be complied with.
Government grants received by the Council to meet the current year’s operating expenses are recognised by the
Council as income in the statement of comprehensive income in the year these operating expenses were incurred.
Grants received in advance are recorded in the statement of financial position of the Council.
Grants received from the Ministry for capital expenditure are taken to the deferred capital grants account upon the
utilisation of the grants for purchase of plant and equipment and intangible assets which are written off in the year
of purchase.
Deferred capital grants are recognised as income over the periods necessary to match the depreciation,
amortisation, write-off and/or impairment loss of the plant and equipment and intangible assets, the balance of
the related deferred capital grants is recognised as income to match the carrying amount of plant and equipment
and intangible assets disposed.
Functional currencies
Functional and presentation currency
Items included in the financial statements of the Council are measured using the currency of the primary economic
environment in which the entity operates (“functional currency”). The financial statements are presented in
Singapore Dollar, which is the functional currency of the Council.
Conversion of foreign currencies

Transactions and balances
Transactions in a currency other than the functional currency (“foreign currency”) are translated into the functional
currency using the exchange rates at the dates of the transactions. Currency translation differences from the settlement
of such transactions and from the translation of monetary assets and liabilities denominated in foreign currencies at the
closing rates at the balance date are recognised in the statement of comprehensive income or expenditure.
Non-monetary items measured at fair values in foreign currencies are translated using the exchange rates at the
date when the fair values are determined.
49


Financial instruments
Financial instruments carried on the statements of financial position include financial assets and financial liabilities.
The particular recognition methods adopted are disclosed in the individual policy statements associated with each
item. These are recognised on the Council’s balance sheet when the Council becomes a party to the contractual
provisions of the instrument.
Disclosures of the Council’s financial risk management objectives and policies are provided in Note 14.
3 PLANT AND EQUIPMENT

Furniture and Office equipment
Renovation fittings and computers Total
Cost $ $ $ $
At 1 April 2014 - 610,958 238,041 848,999
Additions 70,316* - 67,220# 137,536
Disposals - - (37,279) (37,279)
At 31 March 2015 and 1 April 2015 70,316 610,958 267,982 949,256
Additions - - 197,882@ 197,882
Disposals - (3,680) (11,537) (15,217)
At 31 March 2016 70,316 607,278 454,327 1,131,921
Accumulated depreciation
At 1 April 2014 - 286,155 172,887 459,042

Depreciation for the year 28,726 75,727 57,104 161,557
Disposals - - (35,266) (35,266)
At 31 March 2015 and 1 April 2015 28,726 361,882 194,725 585,333
Depreciation for the year 22,381 74,802 49,848 147,031
Disposals - (2,250) (11,459) (13,709)
At 31 March 2016 51,107 434,434 233,114 718,655
Net book value
At 31 March 2016 19,209 172,844 221,213 413,266
At 31 March 2015 41,590 249,076 73,257 363,923
*- related to reinstatement costs of the Council’s premises
#- included $46,908 of assets transferred from the Government [See Note (a) in the statement of cash flows]
@- included $179,807 of assets funded by the Government [See Note (b) in the statement of cash flows]
50

4 INTANGIBLE ASSETS
System and application
development costs
Cost $
At 1 April 2014 442,600
Additions 3,500
At 31 March 2015, 1 April 2015 and 31 March 2016 446,100
Accumulated amortisation
At 1 April 2014 361,140

Amortisation for the year 83,211
At 31 March 2015 and 1 April 2015 444,351
Amortisation for the year 1,749
At 31 March 2016 446,100
Net book value

At 31 March 2016 -
At 31 March 2015 1,749
5 TRADE AND OTHER RECEIVABLES

Trade and other receivables relate mainly to interest receivable of $29,975 (2015 - $19,459) and reimbursement
receivables from various Ministries of $18,579 (2015 - $Nil).
6 CASH AND CASH EQUIVALENTS

For the purpose of the cash flow statement, cash and cash equivalents comprise the following:
2016 2015
$ $
Cash maintained with Accountant-General’s Department (“AGD”) 8,130,703 7,002,293
Included in the cash and cash equivalents are:
a. an amount of $4,944,338 (2015 - $3,263,003) which does not earn any interest; and
b. the balance of $3,186,365 (2015 - $3,739,290) is managed under the Centralised Liquidity Management (“CLM”) scheme
as set out in the Accountant-General’s Circular’s No. 4/2009 which the Council partake in the scheme from November
2013. These are short-term deposits earning interest ranging from 1.06% to 1.46% (2015 - 0.74% to 0.99%).
51

7 CAPITAL ACCOUNT
2016 2015
Number of shares $ Number of shares $
Issued and paid up
Balance at beginning of year 4,145,119 4,145,119 3,745,119 3,745,119
Capital injection - - 400,000 400,000
Balance at end of year 4,145,119 4,145,119 4,145,119 4,145,119
The capital account represents equity injections by the Minster for Finance, a body corporate incorporated by the Minister
for Finance (Incorporation) Act (Cap. 183), in its capacity as shareholder under the debt-equity framework for statutory
boards, implemented with effect from 1 September 2004. Under this framework, capital projects will be partially funded by
the Minister for Finance as equity injection, and the remaining through loans or general funds of the Council.
Capital management
The Council’s objectives when managing capital is to maintain a strong capital base so as to sustain its operations and the
future development of the Council. The capital structure of the Council mainly consists of capital received from its equity
holder and grants from the government.
There were no changes in the Board’s approach to capital management during the year. The Council is not subject to any
externally imposed capital requirements.
8 TRADE AND OTHER PAYABLES

2016 2015
$ $
Trade and other payables 109,858 51,684
Accrued expenses 1,034,733 717,988
1,144,591 769,672
52

9 DEFERRED INCOME
Deferred income relates to certification fees and annual fees received in advance from private education institutions and
the revenue is recognised in accordance with the revenue recognition policy of the Council.
2016 2015
$ $
Current 126,783 83,550
Non-current - 14,416
126,783 97,966
10 DEFERRED CAPITAL GRANT

2016 2015
$ $
Balance at beginning of year 14,790 22,112
Capital grants received 179,807 -
Less: grants taken to statement of comprehensive income and expenditure:
- Amortisation of deferred capital grant (11,909) (7,322)
Balance at end of year 182,688 14,790
Current portion 182,688 5,916

Non-current portion - 8,874
Capital grant received relates to the amount of reimbursement received by the Council to enhance the network security
system as disclosed in Note(b) in the statement of cash flows.
53

11 SURPLUS BEFORE STATUTORY CONTRIBUTION TO CONSOLIDATED FUND

The following items have been included in arriving at surplus for the year before statutory contribution to consolidated fund:
2016 2015
$ $
Board members allowances 121,313 157,500
Goods and Service Tax expensed off 171,798 162,870
Interest income (39,875) (32,104)
Plant and equipment:
- Expensed off 12,935 8,642
- Written off, net 1,508 2,013
Expenditure on manpower:
- Salaries and related costs 5,854,841 5,311,693
- Employer’s contribution to defined contribution plan 991,869 801,336
Compensation of key management personnel:
- Salaries and related costs 1,211,269 957,930
- Employer’s contribution to defined contribution plan 86,254 82,461
8,144,233 7,153,420
12 STATUTORY CONTRIBUTION TO CONSOLIDATED FUND

Under Section 13(1)(e) and the First Schedule of the Singapore Income Tax Act, Chapter 134, the income of the Council is
exempt from income tax.
In lieu of income tax, the Council is required to make contribution to the Consolidated Fund of the Government in accordance
with the Statutory Corporations (Contributions to Consolidated Fund) Act (Chapter 319A) and in accordance with the
Financial Circular Minute No M5/2005. Contribution for the financial year is determined based on 17% of net surplus for the
financial year.
During the financial year, management paid statutory contribution of $101,229 (2015 - $171,127) to the Consolidated Fund.
54

13 COMMITMENTS
a. Operating lease commitments – as lessee
The Council has entered into operating leases for rental of premises and computing equipment. The non-cancellable
leases have tenure ranging from less than 1 year to 2 years. Operating lease payments recognised in the statement of
comprehensive income and expenditure during the year amounted to $694,583 (2015 - $1,078,673).
At the reporting date, the commitments in respect of such operating leases were as follows:
2016 2015
$ $
Not later than one year 773,132 641,982
Later than one year and not later than five years - 481,648
773,132 1,123,630
b. Other commitments
In addition to the above, the Council has procured Infocomm Technology infrastructural support services under an
agreement for Agency Facility Management (“AFM”) Services, which was entered into between the Council and a third
party vendor. For the financial year ended 31 March 2016, the Council made service payments amounting to $309,463
(2015 - $151,063).
As at the reporting date, the commitments in respect of the above arrangement was as follows:
2016 2015
$ $
Agency facility management services 319,428 142,829
The management represented that the existing contracts relating to the Council shall continue to be in force on or
after the transfer date and shall be enforceable by the new Statutory Board (SSG).
55

14 FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

The Council have documented financial risk management policies. These policies set out the Council’s overall business
strategies and its risk management philosophy. The Council is exposed to financial risks arising from its operations and
the use of financial instruments. The key financial risks included foreign currency risk, interest rate risk, credit risk and
liquidity risk. The Council’s overall risk management programme focuses on the unpredictability of financial markets and
seeks to minimise adverse effects from the unpredictability of financial markets on the Council’s financial performance.
There has been no change to the Council’s exposure to these financial risks or the manner in which it manages and
measures the risk.
The Council does not hold or issue derivative financial instruments for trading purposes or to hedge against fluctuations,
if any, in interest rates and foreign exchange.
14.1 Foreign currency risk

Currency risk is the risk that the value of a financial instrument will fluctuate due to changes in foreign exchange
rates. Currency risk arises when transactions are denominated in foreign currencies.
The Council does not hold cash and cash equivalents denominated in foreign currencies, hence are not exposed
to any fluctuations in foreign exchange rates.
14.2 Interest rate risk

Interest rate risk refers to the risk experienced by the Council as a result of the fluctuation in interest rates.
The Council’s deposits are placed with AGD, where a portion earns floating rates. At the reporting date, the
Council has limited exposure to interest rate risk.
14.3 Cash flow and fair value interest rate risk

Cash flow interest rate risk is the risk that future cash flows of a financial instrument will fluctuate because of
changes in the market interest rate. Fair value interest rate risk is the risk that the value of a financial instrument
will fluctuate due to changes in market interest rates.
The Council does not hold any quoted or marketable financial instrument, hence are not exposed to any
movements in market prices.
56

14 FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONT’D)

14.4 Credit risk
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial
loss to the Council. The major classes of financial assets of the Council are bank deposits and trade and other
receivables.
As the Council does not hold any collateral, the maximum exposure to credit risk for each class of financial
instruments is the carrying amount of that class of financial instruments presented on the balance sheet.
14.5 Liquidity risk

Liquidity or funding risk is the risk that an enterprise will encounter difficulty in raising funds to meet
commitments associated with financial instruments. Liquidity risk may result from an inability to sell a financial
asset quickly at close to its fair value.
The Council manage the liquidity risk by maintaining sufficient cash and marketable securities to enable them to
meet their normal operating commitments, having an adequate amount of committed credit facilities granted
by credit worthy financial institutions.
The table below analyses non-derivative financial liabilities of the Council into relevant maturity groupings
based on the remaining period from the balance sheet date to the contractual maturity date. The amounts
disclosed in the table are the contractual undiscounted cash flows. Balance due within 12 months equal their
carrying amounts as the impact of discounting is not significant.
2016 2015
1 year or less 1 to 5 years 1 year or less 1 to 5 years
$ $ $ $
Trade and other payables 1,144,591 - 769,672 -
57

15 CAPITAL MANAGEMENT
The Council’s objectives when managing capital are:
a. To safeguard the Council’s ability to continue as a going concern; and
b. To provide capacity to support the Council’s investments in public sector human capital, intellectual capital and
technical capability development.
The Council actively and regularly reviews and manages its capital structure to ensure optimal capital structure, taking
into consideration the future capital requirements, prevailing and projected profitability, projected operating cash
flows, projected capital expenditures and projected investments in public sector capability development. The Council
defines “capital” to include share capital and accumulated surplus.
The Council is required to comply with the Capital Management Framework for Statutory Boards detailed in Finance
Circular Minute M26/2008, including the need to declare annual dividends to the Minister for Finance in return for the
equity injection.
16 FINANCIAL INSTRUMENTS
a. Fair values
The carrying amount of the financial assets and financial liabilities with a maturity of less than one year is assumed
to approximate their respective fair values.
b. Financial instruments by category

The carrying amount of financial assets and financial liabilities by categories at the reporting date are as follows:
2016 2015
Note Loans and receivables Loans and receivables
$ $
Financial assets
Trade and other receivables 5 57,659 21,609
Deposits 62,427 55,248
Cash and bank balances 6 8,130,703 7,002,293
Other liabilities Other liabilities

(carried at amortised cost) (carried at amortised cost)
Financial liabilities
Trade and other payables 8 1,144,591 769,672
58

17 RECLASSIFICATION
During the current financial year, management reclassified government grants received from parent ministry from
“Cash Flows from Financing Activities” to “Cash Flows from Operating Activities” to better reflect the underlying
economic substance of the grants received from the parent ministry to fund the Council’s daily operations.
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Council for Private Education (CPE)
2 Bukit Merah Central #01-05 Singapore 159835
Tel: (65) 6592 2108 Fax: (65) 6275 1396
Email: CPE_Contact@cpe.gov.sg
www.cpe.gov.sg

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The Council for Private Education was THRUST 3

To help prospective students make more informed decisions

CPE will be a part of the SSG, under which it will continue to

Khoo Chin Hean

CPE also continued to seek views from the sector in a pro-

Finally, I would like to extend my sincere gratitude to the members

4. MR WAN AIK CHYE 5. MR CHOE PENG SUM 6. MR ANDREW LIM

7. MR TED TAN 8. MR JOHN LIM 9. MR WONG KIM YIN

In appreciation of their contributions to the CPE Board:

1. MR LIN CHENG TON 2. MR ALVIN TAN 3. MR EDMOND KHOO

4. MS MELISSA OW 5. MR TEO ENG CHEONG 6. SAC ANWAR ABDULLAH

7. PROFESSOR RAJENDRA 8. MS JACINTA LIM

4. MR LAWRENCE TAN 5. MR KEVIN LEE 6. MR PANG TONG WEE

7. MS MICHELLE YAM 8. MR TONG KOK YIN 9. MS KOH SU CHING

In appreciation of their contributions to the CPE management team:

1. MR RICK ONG 2. MR RENNY LEE

DEPUTY CHIEF EXECUTIVE

INDUSTRY DEVELOPMENT COMMITTEE CONSUMER EDUCATION AND STUDENT SUPPORT

5% Engineering Sciences 4% Education

7% Fine & Applied Arts

ITEM 2015 Teachers with Bachelor’s Degree or Higher 90%

E. ENROLMENT BY TYPE OF COURSE

Appointment Commencement End of 18-month CPE and Quality

9 APR 2013 25MAR 2015 1 DEC 2015

Mr Lee also participated in the “Quality

CPE Annual Report 2015/16

Furthermore, CPE partnered with

74% Enquiries 26% Complaints

Apart from continuing its practice of

STAFF DEVELOPMENT AND

A learning journey to the Singapore

31 Statement by Board Members

32 Independent Auditor’s Report

34 Statement of Financial Position

36 Statement of Changes in Equity

37 Statement of Cash Flows

39 Notes to the Financial Statements

CPE Annual Report 2015/16

REGISTERED OFFICE 2 Bukit Merah Central #05-00

BOARD MEMBERS Khoo Chin Hean (appointed Chairman on 1 December 2015)

PRINCIPAL BANKER DBS Bank Limited

INDEPENDENT AUDITOR Foo Kon Tan LLP

CPE Annual Report 2015/16

On behalf of the Board

CPE Annual Report 2015/16

Management’s Responsibility for the Financial Statements

CPE Annual Report 2015/16

Management’s Responsibility for Compliance with Legal and Regulatory Requirements

FOO KON TAN LLP

Singapore, 20 June 2016

CPE Annual Report 2015/16

EQUITY AND LIABILITIES

CPE Annual Report 2015/16

Deficit before grants (11,164,929) (9,968,285)

Surplus for the year before

Statutory contribution to consolidated fund 12 (141,675) (101,229)

CPE Annual Report 2015/16

CPE Annual Report 2015/16

Cash Flows from Investing Activities