12 June 2012
| last updated at 02:55PM
Parliament to hear proposed amendments governing construction sector
BUTTERWORTH: Three proposed amendments governing the Malaysian construction industry is likely to be tabled in Parliament for first reading, the Board of Quantity Surveyors Malaysia said today.
Its President Datuk Abdull Manaf Hashim said the board was trying to get the amendments for first reading in the current Parliament session. The session started yesterday and will end on June 28.
The amendments are Registration of Engineers Act 1967, Architects Act 1967 and Quantity Surveyors Act 1967, he told reporters after opening a seminar on Legal Reforms in the Malaysian Construction Industry.
Abdull Manaf said the amendments are the result of the emerging challenges due to globalisation and trade liberalisation within the Malaysian construction industry.
"The globalisation and liberalisation have opened up phenomenal opportunities for Malaysian players to explore previously unchartered waters in international construction contracts and in joint venture participation," he said.
Abdull Manaf said the industry needed legal reforms to deal with increasingly complex and wider coverage of liabilities and obligations as well as growing concerns and commitment for projects to be completed and delivered in a lawful manner.
He said two amendments were approved recently, namely Construction Industry Development Board Malaysia (CIDB) Act 502 and the Construction Industry Payment and Adjudication Act (CIPAA) will be implemented next year.
CIPPA's main objectives are to manage persistent cashflow problems arising from frequent miscommunications of contractual obligations and ensure all payment terms are easily understood and accepted by all parties involved in a contract.
"This will minimise unwarranted disputes that can adversely affect ongoing projects with delays due to supply shortage, operational slowdown and escalating costs.
On the Malaysian construction industry, Abdull Manaf said the industry was growing positively and the momentum would sustain for the next five years, driven by the Budget 2012, especially the mega mass rapid transit (MRT) project.
Jointly organised by CIDB, BQSM, Board of Engineers Malaysia and Board of Architects Malaysia, the seminar serves as a platform to update contractors on the latest developments in laws governing the construction industry.
The seminar, attended by 200 participants, also provides an opportunity for industry players to understand the roles and functions of regulators in the construction industry.
Present were Penang Director of Construction Industry Development Board Malaysia Raslim Salleh and CIDB General Manager (enforcement division) Abdul Razak Husin. -- BERNAMA