Building a strong foundation for construction sector

19 December


ASpart  of  legislative  efforts  in  the  construction  sector, the parliamentary committee on transport, communications,  and  construction  is  discussing  several bills, including the real estate services bill and housing apartments bill, and is also planning to meet with the governmental departments in this regard.


At present, the Ministry of Construction and the legislative committee are working together to enact Standard Operating Procedures (SOP) in the construction sector.SOPs would play an important role in removing current obstacles in the construction sector in regions and states, aid the tender process, and ensure timely completion of construction projects funded by the State-budget which meet the set target.


For this, SOPs must be adaptable to the on-ground situation and must benefit all stake-holders — the contractors, the State, and the people.


Meanwhile,  the  Build,  Operate   and   Transfer   (BOT)  system,  which  is  also  connected  with  the  construction sector, is facing challenges that need to be tackled. 


When  we  look  at  the  contracts  signed  between  the Ministry of Construction and  private  construction  companies under the BOT system  to  build  roads,  we  find  that  weaknesses  and  problems in past contracts have not benefited the people or the contractors. 


This reflects the need for binding BOT contracts, which  offer  a  win-win  sit-uation  to  businesses,  the  State,  and  the  people.  To  achieve this, the legislative committee  has  suggested  possible  solutions  to  the  Ministry of Construction to ensure that BOT contracts do  not  burden  the  people  and the investors. We have realized that this cannot be achieved within a day, but we hope a pragmatic approach to problems related with BOT projects would be more successful than the earlier idealistic one.


We have made achievements in the legislative sphere. For example, in the 2018-2019 fiscal year, the Myanmar Engineering Council Law submitted by the Ministry of Construction was amended.  The  Pyidaungsu  Hluttaw  approved  the  Bridges  Law in June this year. The Ministry of Construction and the legislative  committee  are  currently  working  on  drafting  the  Building Control Act and plan to enact it within six months.


While we work on legislation, we also need to look at ten-der directives as there is much to be amended when it comes to  them.  Once  tender  directives  become  accurate,  precise,  and clear, and the Building Control Act and the Procurement Law, which are being drafted, come into effect, we would feel confident  that  we  have  laid  a  strong  foundation  for  the  con-struction sector. We believe this can be achieved within a short time frame.   


GLNM