Works Ministry to Consider Proposal for More Physical Draw Sessions for Government Tender Projects

The Works Ministry (KKR) has announced that it will consider a proposal from the Malaysian Bumiputera Class F Contractors Association (PERKOBF) to increase the number of physical draw sessions for government tender projects valued below RM200,000.

Proposal to be Discussed at KKR Post-Cabinet Meeting

Deputy Minister Datuk Ahmad Maslan stated that the proposal will be brought up at the KKR post-Cabinet meeting this Friday, along with three other issues affecting G1 contractors (previously known as Class F). He added that the proposal will also be discussed at the Construction Industry Development Board (CIDB) meeting, the body responsible for overseeing and issuing licences to contractors in Malaysia.

Benefits of Physical Draw Sessions

Ahmad explained that the implementation of physical draws could help avoid allegations of opacity often linked to computer-based systems. He suggested that physical methods such as using numbered table tennis balls could be used, which may enhance trust and satisfaction among contractors.

PERKOBF President Highlights Other Key Issues

Meanwhile, PERKOBF president Tukiman Radion highlighted three other key issues in his speech: rejecting the proposal for G1 licence holders to be automatically upgraded to G2 after 12 years of operation, raising the project value limit for G1 contractors from RM200,000 to RM300,000, and addressing the oversupply of G1 contractors in Malaysia.

Impact of Rising Costs on Small and Medium Contractors

Tukiman emphasized that PERKOBF, which has over 15,000 members, hopes the government will look at these issues holistically, especially in light of the rising costs of building materials, which are increasingly burdening small and medium contractors.

Conclusion

The proposal to increase the number of physical draw sessions for government tender projects valued below RM200,000 is a positive step towards enhancing transparency and trust among contractors. The Works Ministry’s consideration of this proposal, along with the other issues raised by PERKOBF, demonstrates its commitment to addressing the concerns of G1 contractors and promoting the growth of the construction industry in Malaysia.

FAQs

Q: What is the purpose of the proposal to increase the number of physical draw sessions for government tender projects valued below RM200,000?
A: The proposal aims to enhance transparency and trust among contractors by reducing the reliance on computer-based systems and increasing the use of physical methods.

Q: What are the other key issues raised by PERKOBF?
A: PERKOBF has raised concerns about rejecting the proposal for G1 licence holders to be automatically upgraded to G2 after 12 years of operation, raising the project value limit for G1 contractors from RM200,000 to RM300,000, and addressing the oversupply of G1 contractors in Malaysia.

Q: Why is PERKOBF concerned about the rising costs of building materials?
A: PERKOBF is concerned that the rising costs of building materials are increasingly burdening small and medium contractors, which could have a negative impact on their ability to operate and grow their businesses.