http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 16.31Change: -0.01
R/$ = 14.22Change: 0.03
Au 1292.99 $/ozChange: 1.84
Pt 1079.50 $/ozChange: 3.50
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters About Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Jul 23, 2010

Call for legislation to protect contractors, association

Back
Construction|Africa|Building|Building Contractors|Business|SECURITY|Africa
Construction|Africa|Building|Building Contractors|Business|SECURITY|Africa
construction|africa-company|building|building-contractors|business|security|africa



The Gauteng Master Builders Association (GMBA) reports that it has started an initiative to introduce legislation that will protect South African building contractors against late payment and nonpayment.

A Master Builders South Africa (MBSA) task team, led by GMBA executive director Colin de Kock, is currently working 
towards the establishment of 
security-of-payment legislation in South Africa.

De Kock says that this follows the GMBA’s successful motion for the promulgation of security-of-payment legislation in South Africa, at the 2009 MBSA congress.

“For many years, the livelihood of main contractors and subcontractors has been threatened by erratic or poor payments for building contracts. Subcontractors are also often subjected to poor payment by main contractors,” he says.

He adds that contractors need to be protected and should have some recourse. “The introduction of such legislation is long overdue and is an unequivocal answer to this challenge,” he says.

Further, De Kock explains that the global economic crisis has had a negative impact on the 
industry and has led to contractors and subcontractors struggling to receive payments on time.

“In many cases, this has led to GMBA members countrywide, already hampered by the economic downturn, having to shut down their businesses, as smaller companies, such as tilers, plumbers and emerging contractors, cannot survive if they are not paid on time,” he explains.

The proposed legislation aims to provide a quick and inexpen-
sive way for contractors to 
obtain a court order to be paid or to recover money owed to them. It will also provide subcontractors with protection against contractors who fail to meet their commitments. The task team will report back to the MBSA on the progress made regarding the new legislation at the yearly congress, in Windhoek, in September, and hopes that the legislation will be in place in two to three years.

He notes that security-of-payment legislation operates successfully in many overseas countries, including Australia, New Zealand and the UK.

De Kock explains that the task team is currently in the process of developing a structured business case for the legislation, before it can be presented to government. 

“We are currently reviewing international legislation pro-
cesses and we will extract viable parts from these to assist in compiling a structured document that can be presented to government in the next four to five months,” he adds.

De Kock says that there has been positive response and strong support from members throughout the country.

Meanwhile, De Kock says that tenders for construction work need to be well specified and should clearly and unambiguously state what is included and excluded in the bid.

“A properly specified tender benefits all parties involved in a building contract. The tender is as important as, and forms part of, the building contract,” he says.

He suggests that a check list be used to assess if a tender is 
adequately specified.

“Any additions or omissions to the contract must be agreed on before execution of the particular work and this must be stipulated in the tender documents, as well as in the contract,” concludes De Kock.

 

Edited by: Brindaveni Naidoo

To subscribe email subscriptions@creamermedia.co.za or click here
To advertise email advertising@creamermedia.co.za or click here
 
Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Construction News
South Africa’s programme to acquire a number of new nuclear power plants (NPPs) seems to be suffering from yet another delay. The Requests for Proposals to the various groups interested in constructing these new NPPs that were apparently meant to have been issued on...
NO GROWING PAINS Chryso SA CEO Norman Seymore explains his company's continued growth despite depressed market conditions
Construction chemicals producer Chryso Southern Africa continues to innovate and expand, offsetting the decrease in major civil projects. Chryso Group VP and Chryso South Africa (SA) CEO Norman Seymore notes that, aside from a few high-profile building projects in...
South Africa lacks the skills necessary to implement the government’s plan to build 9.6 GWe of new nuclear energy capacity, warns nuclear-qualified Quality Strategies International CEO David Crawford. “Apart from the concern about the affordability of the programme,...
More
 
 
Latest News
Environmental Affairs Minister Edna Molewa
Cabinet has extended the contract of Department of Environmental Affairs (DEA) director-general Nosipho Ngcaba and approved the appointment of Limpho Makotoko as the new DEA COO.     “Under the leadership of Ngcaba, the DEA has consistently received clean and...
Mzwandile Masina
The Department of Trade and Industry (DTI) has invited companies to participate in a trade and investment mission to Ghana and Nigeria from August 8 to 12.   Companies in the agriculture and agroprocessing sectors, built environment professionals, automotive and...
Cabinet has approved the Industrial Policy Action Plan (Ipap) 2016/17 to 2018/19, which seeks to achieve a higher-impact industrial policy in difficult economic circumstances, including the difficulties faced by the domestic steel industry and the drought which has...
More
 
 
Recent Research Reports
Automotive 2016: A review of South Africa's automotive sector (PDF Report)
Creamer Media’s Automotive 2016 Report provides an overview of South Africa’s automotive industry over the past 12 months. The report provides insight into local demand and production, vehicle imports and exports, investment and competitiveness in the sector, as well...
Energy Roundup – April 2016 (PDF Report)
The April 2016 roundup covers activities across South Africa for March 2016 and includes details of a North Gauteng High Court Judge’s dismissal of a court application to postpone the 9.4% electricity tariff increase, which the National Energy Regulator of South...
Electricity 2016: A review of South Africa's electricity sector (PDF Report)
Creamer Media’s Electricity 2016 report provides an overview of South Africa’s electricity sector, focusing on State-owned power utility Eskom and independent power producers, electricity planning, transmission, distribution and the theft thereof, besides other issues.
Energy Roundup – March 2016 (PDF Report)
The March 2016 roundup covers activities across South Africa for February 2016 and includes details of the Department of Energy’s plans to announce the preferred bidders for the first tranche of the coal independent power producer procurement programme; the Council...
Steel 2016: A review of South Africa's steel sector (PDF Report)
Creamer Media’s Steel 2016 Report examines South Africa’s steel industry over the past 12 months. The report provides insight into the global steel market and and particularly into South South Africa’s steel sector, including production and consumption, main...
Construction 2016: A review of South Africa's construction industry (PDF Report)
Creamer Media’s Construction 2016 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; key participants; local demand; geographic diversification; corporate activity; black economic...
 
 
 
 
 
This Week's Magazine
The two spent-fuel pools at Eskom’s 1 800 MW Koeberg nuclear power station, in the Western Cape, will be full by 2018, increasing the urgency on the State-owned utility to begin pursuing alternative storage options. Koeberg has, over the past 32 years, accumulated a...
South Africa lacks the skills necessary to implement the government’s plan to build 9.6 GWe of new nuclear energy capacity, warns nuclear-qualified Quality Strategies International CEO David Crawford. “Apart from the concern about the affordability of the programme,...
DOROS HADJIZENONOS The 700-series devices provide network security monitoring, app control, URL filtering, VPN security, antivirus, antispam, antibot, and advanced intrusion prevention and detection functionality
Cybersecurity multinational Check Point has released its latest 700-series cybersecurity systems for small businesses, which draw on its international threat intelligence to provide up-to-date cybersecurity, says Check Point South Africa country manager Doros...
Daimler Trucks and Buses Southern Africa (DTBSA) saw a marked slip in new-vehicle sales in 2015 compared with 2014, with sales dropping from 5 897 units to 5 300 units. The decline came as the South African new truck and bus market declined from 31 558 units in 2014...
Group of 20 (G-20) economies threatened to penalise havens that don’t share information on their banking clients after the leak of the Panama Papers provoked a global uproar over tax evasion. The G-20 will consider “defensive measures” against financial centers and...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $149 Close
Subscribe Now for $149