Class F contractors hit hard by policy allowing JKKK to implement projects
MIRI: Class F contractors face a bleak future due to the state’s policy to allow village security and development committees (JKKK) to implement projects worth up to RM200,000, said Limbang Bumiputera Contractors Association chairman Rosli Amat.
He said the new policy was a disappointment for the contractors as projects were already hard to come by and on top of that, they now had to deal with the hardship caused by the Covid-19 pandemic.
“There are already very limited projects for tender as economic activities slow down due to Covid-19 pandemic, and with this new policy, Class F contractors will surely face an uncertain future,” he said when contacted yesterday.
Echoing the call of the Sarawak Bumiputera Class F Contractors Association (Perkof), Rosli said the government should review the policy as it could lead to some of them being forced to close shop.
He said Class F contractors had to spend thousands of ringgit to get their licence and attend courses run by the Construction Industry Development Board (CIDB) and Unit Pendaftaran Kontraktor (UPK) but this now meant nothing because of the policy.
“It is better not to have a contractor licence. It is better to hold the JKKK chairman position just to get a project,” he said, frustrated.
“Therefore, we appeal to the government to reinstate the procedures where projects are awarded through the Public Works Department and Drainage and Irrigation Department, with the Resident offices monitoring their progress,” he said.
Rosli said there are 120 registered Class F contractors under the association. Class
F licence are awarded to Bumiputera contractors for projects valued below RM200,000.
Deputy Chief Minister Datuk Amar Douglas Uggah Embas announced the new policy last week following a state cabinet decision. He said the JKKK would be allowed to implement the Rural Transformation Project (RTP), worth up to RM200,000, themselves through the ‘gotongroyong’ basis or engage a registered contractor of their choice.
He added that this was one of the ways to empower the JKKK and to give them greater control and monitoring over RTP projects implementation, especially on the lesser technical projects.