Overview of

Construction Sector

In Malaysia

Outline

MALAYSIA:

1. Construction Steel Consumption

2. Construction Industry regulations:

• Regulators & Associations

• Law & Legislation

• Application for Building/Development Plan Approval

3. Steel Product Standard

4. Overview of some Mega Projects

5. Future Direction

1. Malaysia’s Steel Consumption

- year 2016 (Million Tons)• Total steel consumption:

12.9 Million Tons.

• Construction steel consumption: 4.17 Million Tonnes or 33%

Steel plates0.534%

Wire rods1.6413%

HR Sheets & Strips2.0616%

CR Sheets & Strips1.8714%

Coated Sheets1.5812%

Pipes & Tubes1.109%

Long Bar (Bars & Mesh)3.4827%

Structural steel0.695%

Construction Steel4.1732%

2. Construction Industry regulation

Post

ConstructionConstructionPre-Construction

Construction Project Implementation

- 3 main stages

Initiative/ Inception

Development order

Building planConstruction

phaseCompletion

Pri

mary

Su

pp

ort

Owner (land/ property)

Owner (land/ property)

Owner

Consultants

Project Manager

Authorities

ConsultantsConsultants

AuthoritiesAuthorities

*With Certificate of Compliance and

Completion.ContractorContractor

Sub-Contractors

Suppliers

Manufacturers

DOSH

CIDB

Human Resource

Immigration

Regulators & Associations

Government

Authorities

Ministry of Works Malaysia

Statutory

Organization

Construction Industry Development Board of Malaysia – CIDB

Building Control Department – DBKL

The Board of Architects The Board of Quantity

Surveyors Malaysia (LJBM) The Institution of

Engineers Malaysia (IEM) The Malaysian Institute of

Architects (PAM) The Institution of

Surveyors Malaysia (ISM) The Master Builders

Association Malaysia (MBAM)

The Association of Consulting Engineers Malaysia (ACEM)

Local State Government Authorities

Board of Engineer Malaysia – BEM

Other

Associations

Local Government /Planning ControlLocal Government Act 1976 (Act171)

Federal Territory (Planning) Act 1982 (Act 267)

Langkawi Development Authority Act 1990 (Act 432

Perbadanan Labuan Act 2001 (Act 609) Town Boards Enactment (CAP 137)

Town and Country Planning Act 1976 (Act 172

BuildingsStreet Drainage and Building Act 1974 (Act 133) Uniform Building By-Laws 1984

EnvironmentEnvironmental Quality Act 1974 (Act 127)

HousingHousing Developers (Control and Licensing) Act 1966 (Act118)

LandNational Land Code 1965 (Act 56) Land Acquisition Act 1960 (Act 486)

Strata Title Act 1985 (Act 318) Land Conservation Act 1960 (Act 385)

Infrastructures and Utilities Electricity Supply Act 1990 (Act 447) Sewerage Services Act 1993 (Act508)

Services

Fire Services Act 1988 (Act 341)

LAWS AND LEGISLATION IN DEVELOPMENT

Building Code

• Malaysia does not have building code system.

• The system relies on laws implemented by the government and the laws require relevant standards and codes of practice relevant pertaining to buildings.

• Malaysia Building regulations as below:

i. Uniform Building By-Laws (1984)

ii. Street, Drainage and Building Act (1974)

iii. Building (Federal Territory of Kuala Lumpur) By-Laws 1985

iv. Fire Services Act 1988

Building Legislations & Regulations1. Town & Country Planning Act 1976 (Act 172)- An act for the proper control and regulation of town and country planning in Semenanjung

Malaysia and for purpose connected therewith or ancillary thereto.

2. Street, Drainage & Building Act 1974 (Act 133)- An Act to amend and consolidate the laws relating to street, drainage and building in local

authority areas in West Malaysia, and for purposes connected therewith.

3. Uniform Building By-Laws 1984

Development/Building Plan Approval

AUTHORITY SUBMISSION AUTHORITY DEPARTMENT

(SUBMISSION/APPROVAL)

1 Application For Land Matter District Land Office /Department of

Land and Mine

2 Application For Planning Approval (Kebenaran

Merancang)

LOCAL AUTHORITY

(Planning Department)

3 Application for Building Plan Approval LOCAL AUTHORITY

(Building Department)

4 Application for Earthwork, Road & Drainage Approval LOCAL AUTHORITY

- Engineering Department

- Department of Irrigation &

Drainage (JPS)

- District Public Work Department

(JKR)

5 Application for Water Reticulation Approval Local Water Authority

6 Application for Sewerage Reticulation / Sewerage

Treatment Plan Approval

Indah Water Konsortium / SPAN

7 Application for Fire Requirement’s Approval FIRE DEPARTMENT /Bomba

8 Application for Certificate Of Completion & Compliance

for Completed Building

LOCAL AUTHORITY / Lembaga

Arkitet Malaysia

3. Steel Product Standard

Deformed steel bar for reinforcement of concrete (Deformed indented –Straight/Coil form)

MS146:2014

Plain round steel for reinforcement of concrete

MS144:2014

Steel Wire Mesh for reinforcement of concrete

MS145:2014

Steel wire rod

MS ISO 16120-2 :2008

Structural Steel Angles, Shapes and section

(U, I, L, T and H )

MS EN10025-2:2011

3. Steel Product Standard

Light Steel Truss

MS 1553: 2014

Steel Color Roofing

MS 2500: 2014

Design for Light Steel Structure with wind velocity

Design Standard

Green Building Code

• Malaysia does not have a mandatory standard or code for the assessment of Green Building

• The Green Building Index (GBI) is Malaysia’s rating system for buildings and towns.

Ca

tegory • Non-

residential

• Residential

• Industrial

• Township

Asse

ssm

en

t P

roce

ss • Application &

Registration

• Design

Assessment

• Completion and

Verification

Assessment

GB

I R

atin

g • Certified

• Silver

• Gold

• Platinum

Overview 2017-2018

4. Some Mega Projects

Project Title - 2

Master Developer:

Awarded Contractors:

MRT Corporation Sdn Bhd

GDV RM50 Bil(~12 Bil USD)

Total Length 52.2 km

Underground 13.5 km

Elevated 38.7 km

Number of stations 37

Underground stations

11

Elevated stations 26

Estimated end-to-end journey time

85 min

Estimated daily ridership

533,000

Sungai Buloh – Serdang – Putrajaya (SSP) Line

Project Title – TRX Exchange

Master Developer:

Partners:

TRX City Sdn Bhd

Lendlease Mulia Group

Area 70 Acres

GDV RM40 Bil(~10 Bil USD)

No of buildings 26

Residences 3800 units

Office 10 mil ft2

Retail Malls 2 mil ft2

Project under Ministry of Finance

incorporated.Fully integrated with

highways, major arterial roads and MRT.

Location: Kuala Lumpur

Project Title: Melaka Gateway

The Past presents The Future

Project Value RM43 Bil(~10 Bil USD)

Completion 2025

Continuation OBOR

Consortium KAJD,Power China,

Shenzhen Yantian, Rizhao

Target 2.5 Mil TouristsIsland 1

Tourism

Entertainment

Commercial

& Property Development

Gateway Marina

Island 2

Free Trade Economic Zone

Offshore Financial Hub

High-tech Park

Island 3

(Natural)

Melaka Gateway Port

Liquid Cargo Terminal

Oil Trading

Storage Facilities

Island 4

Maritime Industrial Park

Marine Engineering & Manufacturing

Container Terminal

Shipbuilding & Repair

Project: Gemas – JB Rail

Construction Cost RM8.9 Bil(~2 Bil USD)

Total Length 197 km

Continuation Singapore –Kunming Rail

Link

Duration 4 years (2020)

Journey 3.5 hours

Speed 160kph

Consortium CRCC (40%), CREC(30%), CCCC(30%)

Contractors 50% local (MMC Corp,

Gamuda Bhd, IJM Corp Bhd)

KL-SG High Speed Rail

Construction Cost RM43 Bil(~10 Bil USD)

Total Length 350 km

Travel Time 90 min

Speed 320km/h

Completion End 2026

Stations 8 (7 M’sia, 1 Sg)

Collaboration:Malaysia - Singapore

Initiated through Economic

Transformation Programme (ETP) :

develop intermediate cities along HSR

corridor.

East Coast Rail Line

Construction Cost

RM55 Bil(~17.5 Bil USD)

Total Length 688 km

Travel Time 4 hours (7-12 hours by road)

TransportRatio

Passengers (30%);Freight (70%)

Completion 2024

Stations 22 (Tumpat to Port Klang)

Contractor CCCC (30% local)

Funding Soft loan: Exim Bank of China (85%);

Islamic Bonds (15%)

Phase 1: Kota Bahru –ITT Gombak

Phase 2: Gombak North – Port Klang;

Kota Bahru – PengkalanKubor

GDP ↑ 1.5%

80,000 jobs

53 mil tons cargo

5.4 mil passengers

Backbone of East Coast Economic Region's (ECER) multimodal transport infrastructure

5. Future Direction

CONSTRUCTION INDUSTRY

TRANSFORMATION PROGRAMME

(CITP) 2016-2020.

Building Information

Modelling (BIM)

IndustrialisedBuilding System

(IBS)

Productivity Quality & Safety Cost efficiency Wastage

Reference:

• APEC Building Code, Regulations and Standards.

• Green Building Index. (2017). GBI Assessment Process. Retrieved from

http://new.greenbuildingindex.org/how/assessment

• MRT Corporation Sdn. Bhd. (2017). THE MRT SUNGAI BULOH-SERDANG-

PUTRAJAYA LINE. Retrieved from http://www.mymrt.com.my/en/ssp/project-

info/ssp-line

• TRX City Sdn. Bhd. (2017). TRX at a Glance. Retrieved from http://trx.my/trx-

at-a-glance

• Yeong, E. and Ragananthini, V. (2017). CIDB to launch myBIM Centre in May.

Retrieved from http://www.thesundaily.my/news/2187655

Thank You !