LICENSING SCHEME FOR CONTRACTORS (Update)

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LICENSING SCHEME FOR CONTRACTORS:

(Update): 11.

Dr Amy Khor Lean Suan asked the Minister for National Development (a) if he will provide an update on the proposed

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mandatory licensing scheme for contractors and specialist contractors announced by his Ministry; (b) what are the likely criteria for the licensing of these firms; and (c) when will this scheme be implemented.

Mr Heng Chee How (for the Minister for National Development): Mr Speaker, Sir, my Ministry announced the proposed contractors licensing scheme two months ago. The objective of the scheme was to raise the level of professionalism of builders in Singapore.

The intent is to require those contractors who undertake works that needed building control approval, and specialist contractors who undertake works that have a significant impact on construction safety, to be licensed.

Details of the licensing framework are still being worked out. BCA has been consulting with and gathering feedback from the industry, and will consider views and suggestions from the industry.

The licensing criteria for the builders are likely to include such requirements as the adequacy of management structure, safety record and financial strength. For example, firms will need to appoint qualified and experienced persons in two key management positions, namely, an Approved Person (AP) who will be responsible for the management of the firm, and a Technical Controller (TC) who will be responsible for

the supervision of construction works. Both the AP and TC will need to have some formal educational qualifications, and at least 3-5 years working experience in construction projects. The AP may also need to be a director of the firm. The detailed qualifications for the AP and TC are still being finalised.

In the case of specialist contractors, due to the specialised nature of their

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works, the qualifying criteria for a licence are likely to be higher. For example, the key personnel may need to have at least a university degree that is recognised by the Professional Engineers Board, and at least five years of relevant working experience.

At the same time, we recognise that that there are existing contractors who may not meet fully these qualifying criteria, but have adequate experience in the industry. For such contractors, we can consider transitional provisions, such as mandatory training in lieu of formal qualifications, to enable them to be licensed within a grace period.

The Building Control Act will have to be amended to implement the contractors licensing scheme and the additional proposals that came out of the construction safety review following the Nicoll Highway incident, eg, the recommendations pertaining to deep excavations. The Bill to make the necessary amendments to the Building Control Act is likely to be ready by the end of the year. It will be introduced early next year.

Dr Amy Khor Lean Suan (Hong Kah): Mr Speaker, Sir, I would like to ask the Minister of State if there will be a period for consultation as regards the draft criteria in the Bill. Who is the Ministry consulting at this point in time? Would all relevant stakeholders, not just the contractors, be consulted as regards the criteria as well as the training that may be required for the people who are checking on the specialist contractors? For those who may not qualify under the criteria, are there transitionary provisions provided for them to get the required training?

Mr Heng Chee How: Mr Speaker, Sir, because this concerns the licensing of contractors, certainly the Singapore Contractors Association (SCAL) has been consulted and they are still being consulted on this. At the same time, other associations related to the construction

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industry, I would imagine that BCA would also be in touch with them, if not already so, and would also value their inputs and suggestions.

In this regard, relevant associations are certainly welcome to provide their inputs. As I mentioned, this is still in the discussion stage and the Bill will only be ready at the end of the year and will only be tabled in this House early next year. So during this period, BCA will undertake these consultations.