Introduction

Following the prime minister's announcement on 11 January 2021 in relation to the imposition of the Movement Control Order (MCO 2.0) in the states of Johor, Malacca, Kuala Lumpur, Putrajaya and Labuan, Selangor, Penang and Sabah, the Ministry of International Trade and Industry (MITI) issued the list of economic sectors that are permitted to operate during MCO 2.0. This includes, among others, the construction sector. The Ministry of Works subsequently issued a press statement on 12 January 2021 clarifying that critical construction works can be carried out during MCO 2.0, a summary of which is set out below.

Types of critical construction work allowed

Critical maintenance and repair works

'Critical maintenance and repair works' refer to works that will endanger or harm workers, members of the public or the environment if left unattended or unfinished. Such works include:

  • repair of slopes and traffic lights;
  • repair and maintenance of roads;
  • repair of buildings, offices and personal residences;
  • traffic management control;
  • periodic inspection and repair of lifts, travelators, escalators and other critical mechanical and electrical equipment;
  • repair, maintenance and upgrading works of premises of essential services;
  • construction of Bailey bridges at locations with collapsed bridges;
  • construction of tunnels;
  • emergency works as stipulated in a contract;
  • maintenance and cleaning works for the disposal of stagnant water or pest control fogging at construction sites; and
  • works which, if left unfinished, will cause danger or harm.

Construction works for key public infrastructure

'Construction works for key public infrastructure' means:

  • works that mainly utilise machinery;
  • works that do not involve workers gathering together in one place;
  • works that are carried out far away from members of the public; and
  • works where the construction site is at a remote area.

Such works include those involving:

  • highways and roads;
  • bridges and viaducts;
  • light rail transit or mass rapid transit;
  • infrastructure relating to electricity, telecoms or oil and gas; and
  • infrastructure relating to dams, drainage and sewerage.

Building construction works

Building construction works will be allowed for:

  • projects that provide workers with accommodation at the construction site; and
  • projects where construction workers are placed at centralised labour quarters and are transported to and from the construction site.

Contractors should note that the aforementioned workers' accommodation must comply with the Workers Minimum Standard and Amenities Act 1990.

Consultancy and professional services

Consultancy and professional services may be carried out only for the critical construction works listed in the preceding sections. Consultants must fully comply with the applicable standard operating procedure and ensure that they utilise a minimum workforce and only carry out critical tasks while at the construction site.

Other services in supply chain

Other services in the supply chain, such as the supply and delivery of construction materials, are allowed but will be limited to construction sites that have been granted permission to operate on the basis that they involve critical construction works, as listed under "Critical maintenance and repair works", "Construction works for key public infrastructure" and "Building construction works" above. All parties in the supply chain must fully comply with the applicable standard operating procedure, including sanitising the vehicle and items to be delivered and recording their temperatures when entering the construction site.

Applications for permission to operate

Construction companies must apply to MITI for permission to operate in order to carry out any critical construction works during MCO 2.0. Applications can be made online via MITI's online portal.

Control of movement of construction workers

The movement of construction workers to and from a construction site and the workers' accommodation must be strictly monitored. Contractors must provide limited transport for construction workers to travel from their accommodation to the construction site and back. Further, contractors must ensure that workers' daily needs, including food and personal hygiene items, are available at the construction site to prevent them from leaving the construction site unnecessarily.

Contractors should also note that during MCO 2.0, construction workers are not permitted to travel between construction sites.

Comment

The range of construction work which can be carried out during MCO 2.0 is broader than that which was allowed during the first MCO. This will hopefully lessen the impact of MCO 2.0 on both large and small contractors. However, contractors should be aware that, in addition to their own compliance with standard operating procedures, they are also responsible for ensuring their workers' compliance. In practice, this will not be an easy task.

The press statement issued by the Ministry of Works can be accessed here.