http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 14.22Change: -0.23
R/$ = 11.16Change: -0.09
Au 1240.10 $/ozChange: -4.17
Pt 1243.50 $/ozChange: -18.70
 
 
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 Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Mar 21, 2008

Competition body to apply its mind to new fee schedules for professionals operating within the built environment

Back
Construction|Engineering|Africa|Environment|Measurement|PROJECT|Project Management|Africa|South Africa|Professional Services|Services|Competition Commission|Council For The Architectural Profession|Council For The Built Environment|Council For The Landscape Architectural Profession|Council For The Property Valuers Profession|Council For The Quantity Surveying Profession|Engineering Council|Bheki Zulu|Thoko Didiza|CBE|Measurement
Construction|Engineering|Africa|Environment|Measurement|PROJECT|Project Management|Africa||Services||||
construction|engineering|africa-company|environment|measurement-company|project|project-management|africa|south-africa|professional-services|services|competition-commission|council-for-the-architectural-profession|council-for-the-built-environment|council-for-the-landscape-architectural-profession-organization|council-for-the-property-valuers-profession|council-for-the-quantity-surveying-profession|engineering-council|bheki-zulu|thoko-didiza|cbe|measurement
© Reuse this



Fee guidelines for professionals working within South Africa’s built environment are set to come under scrutiny over the next few months, when fee and work-reservation proposals for professionals operating in the sector will be presented to the Competition Commission.

It will be the first time that the commission applies its mind to the issue, and it also arises at a time when the body is conducting a larger investigation into alleged anticompetitive behaviour by construction-materials and -services companies operating in the built-environment setting.

Council for the Built Environment (CBE) CEO Bheki Zulu tells Engineering News that the proposals could be submitted within the next two months, following an agreement between the professions and the National Treasury that fee recommendations be retained. At one point, the Treasury felt these fee schedules to be redundant, given prevailing government policy to procure professional services on the basis of competitive bidding.

“There is consensus that there should be fee recommendations, because it helps both the clients and the professionals in providing some basis for measurement. But the agreement with the Treasury is that these cannot be legally enforced,” Zulu explains, adding that the CBE is assisting with the harmonisation across the professions.

In fact, the CBE, which is a statutory body, is the coordinating body of six professional councils, including the Council for the Architectural Profession, the Engineering Council, the Council for the Landscape Architectural Profession, the Council for the Project and Construction Management Profession, the Council for the Property Valuers Profession, and the Council for the Quantity Surveying Profession.

Zulu reports that, hitherto, the various professions have had differing approaches to fee setting, but that there will now also be an attempt to standardise these at the level of principle.

He argues that the professions have sought to adopt international best practices in the creation of the new fee arrangements as a way of safeguarding against cartel-like behaviour, and that the review by the commission would act as an additional safeguard.

“Given the Competition Com-mission’s current focus on construction, it will be interesting to see what impact that focus will have on the discussions around the fees developed by the councils,” Zulu muses, arguing that it will be important that a balance be struck between the interests of the professions and those of clients and the public at large.

He notes, though, that the demand for the services of built-environment professionals is growing strongly, which could very well lead to fee premiums in future as opposed to the historical tendency of discounting against fee structures.

This fee-schedule review comes amidst a larger review of the various pieces of legislation governing professionals in the sector, which is being led by Public Works Minister Thoko Didiza.

Part of the review will be a refining on the so-called “identification of work” that would seek to reserve certain kinds of work exclusively for those professionals registered with the six councils. This, too, will have to come under the scrutiny of the Competition Com- mission before it can be gazetted.

A major thrust is for compulsory registration of professionals, both to increase visibility of the actual numbers, as well as to ensure that those acting irresponsibly can be properly disciplined.

Currently, it is a voluntary pro-cess, which is why it is estimated that only 45% to 50% of those who studied for a built-environment degree are actually registered professionals.

“We are saying that we should require registration to be compulsory,” Zulu asserts, adding this would probably involve various formal registration levels, starting at graduation and moving through candidacy, certification and possibly even exams.

In the context of specific identification of work, there would be an incentive to move through the levels, as long as areas of overlap, for instance, between engineering and project management, are properly defined.

“We hope the outcomes of the review will be released soon, which should then allow for a process of discussion, as well as a determination as to whether it is in compliance with the Competition Act,” Zulu says, revealing that a draft Bill could emerge before the end of March.

Edited by: Martin Zhuwakinyu
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other News This Week News
The broad-based black economic-empowerment (BBBEE) alignment process in the con-struction sector has begun, dur-ing which the sector codes of the Construction Sector Charter Council (CSCC) will be aligned with the revised Codes of Good Practice (CoGP), which come...
It is second time lucky for Toby Venter. Ten years ago he negotiated to buy the Kyalami racetrack, but “the deal did not materialise”.
Environmental solutions company I-Cat started construction work on its R22-million, 1 949 m2 environmentally sustainable office and warehouse facility, commissioned by I-CAT Environmental Solutions, at a launch event in October. The new sustainable I-CAT campus,...
More
 
 
Latest News
Updated 29 minutes ago Finance Minister Nhlanhla Nene confirmed a further direct allocation to power utility Eskom of at least R20-billion. But he also stressed on Wednesday that the injection would have no impact on the Budget deficit as the capital would be raised through the sale of...
Updated 29 minutes ago Government’s plans for reining in the country’s public procurement would be outlined in the Public Procurement Review, which will be published next month. Finance Minister Nhlanhla Nene told Parliament on Wednesday that the document would “clearly” outline the...
Updated 29 minutes ago National Treasury this week froze the public personnel headcount and embarked on a review of funded vacancies in an effort to curb State spending and re-establish a sustainable foundation for the public purse. In his inaugural Medium-Term Budget Policy Statement...
More
 
 
Recent Research Reports
Defence 2014: A review of South Africa's defence industry (PDF Report)
Creamer Media’s Defence 2014 report examines South Africa’s defence industry, with particular focus on the key participants in the sector, the innovations that have come out of the sector, local and export demand, South Africa’s controversial multibillion-rand...
Road and Rail 2014: A review of South Africa's road and rail infrastructure (PDF report)
Creamer Media’s Road and Rail 2014 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail network, the funding and maintenance of these respective networks, and the push to move road...
Real Economy Year Book 2014 (PDF Report)
This edition drills down into the performance and outlook for a variety of sectors, including automotive, construction, electricity, transport, steel, water, coal, gold, iron-ore and platinum.
Real Economy Insight: Automotive 2014 (PDF Report)
This four-page brief covers key developments in the automotive industry over the past 12 months, including an overview of South Africa’s automotive market, trade figures, production and the policies influencing the sector.
Real Economy Insight: Construction 2014 (PDF Report)
This five-page brief covers key developments in the construction industry over the past 12 months. It provides an overview of the sector and includes details of employment in the sector, infrastructure and municipal spending, as well as insight into companies’...
Real Economy Insight: Electricity 2014 (PDF Report)
This five-page brief covers key developments in the electricity industry over the past 12 months, including details of State-owned power utility Eskom’s generation activities, funding and tariffs, independent power producers and prospects for the sector.
 
 
 
 
 
This Week's Magazine
The broad-based black economic-empowerment (BBBEE) alignment process in the con-struction sector has begun, dur-ing which the sector codes of the Construction Sector Charter Council (CSCC) will be aligned with the revised Codes of Good Practice (CoGP), which come...
It is second time lucky for Toby Venter. Ten years ago he negotiated to buy the Kyalami racetrack, but “the deal did not materialise”.
Environmental solutions company I-Cat started construction work on its R22-million, 1 949 m2 environmentally sustainable office and warehouse facility, commissioned by I-CAT Environmental Solutions, at a launch event in October. The new sustainable I-CAT campus,...
IAN EVANS AirWatch file synchronisation and sharing system was initially designed for a large airline company
Effective file synchronisation and sharing across an organisation’s structures can provide the basis for robust mobile-device and document management while maintaining proper backup, version control and content distribution. These are the lessons learned by complex...
Hotel group Carlson Rezidor currently holds the largest hotel pipeline in Africa with 30 hotels and 6 300 rooms under development. The hotel group develops and operates Radisson Blu in the upper upscale segment and Park Inn by Radisson in the mid-market segment. With...
 
 
 
 
 
 
 
 
 
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