CIC lifts ECA suspension
MBABANE – The temporary suspension of Eswatini Contractors Association (ECA) has been lifted.
The announcement was made by the Construction Industry Council (CIC) Acting Chief Executive Officer (CEO) Maqhawe Mnisi in a statement.
Mnisi further advised contractors to ensure that their membership status with ECA was up to date before they renew or register with CIC. He said they would continue to actively engage with ECA to ensure that all issues of concern were addressed.
One of the members who preferred to comment anonymously said the lifting of the suspension would help address the challenges faced by the contractors. He said the biggest challenge was with sub-contractors who were of the view that they could not voice out their concern due to the fact that their employers were members of the Board they were expected to submit their concerns.
“Sub-contractors do not have a home, they need one,” he alluded.
Noting
Worth noting, CIC suspended the requirement of a registration certificate from ECA of contractors in April 2021. Prior to the granting of a certificate to undertake construction works in the kingdom by the CIC of Eswatini, all contractors were, among other documents, expected to provide proof of affiliation with ECA. This was before they could be considered for full registration with CIC in line with the Construction Industry Act of 2013. However, the CIC announced that this arrangement had been temporarily been put on hold. “Members of ECA and contractors at large are hereby notified that with effect from April 20, contractors who ought to have been registered with the ECA shall be allowed to register directly with CIC pending full compliance by the association,” said CIC.
CIC explained that the decision had been reached in order to allow ECA to comply with the Construction Industry Associations Regulatory Policy of 2016.They clarified that the policy mandated a industry associations to submit their membership list, annual programme of action, audited financial statements, code of conduct and constitution. When probed as to what would be the period in which the ECA certificate would not be required when registering or renewing the CIC certificate, the CEO briefly said they would advise industry players on a way forward in due course. This was also communicated by CIC who mentioned that there had been a serious reduction in the number of effective businesses operations within the construction industry at the height of the COVID-19 pandemic.
Mentioned
They mentioned that even if they would have hiked the registration and renewal fees, it would have not been to exorbitant levels, but could have matched inflation, which currently averages at 4.5 per cent. However, given the nature of very slow activity in the construction space, the increment was halted in its entirety. “The ultimate intention of not increasing all registration and renewal fees is to ensure that the cost of doing business remains affordable against all odds despite the tough trading conditions emanating from the COVID-19 pandemic,” said CIC. In terms of Construction Industry Council Act of 2013, Section 27 (10), CIC told stakeholders that renewal was opened for the 2021/2022 financial year. It was stated that renewal would commence on May 3 to 31, 2021. It was clarified that the renewal period has no bearing on the validity of the CIC certificates which still expire on March 31, 2021. “Late renewal (renewal after May 31, 2021) of certificates will attract a penalty of 10 per cent of the annual renewal,” said CIC. For renewal, CIC said all contractors were expected to have registered and paid levy for all their ongoing and completed projects according to Section 6 (3) of the CIC Levy Regulations of 2016.
Furthermore, contractors that have not remitted the project levy to the council will not be issued with certificate for renewal per the CIC levy regulations,” added the CIC.