PKMM Urges Govt To Expedite Rollout Of Construction Projects For 2026
By Siti Noor Afera Abu
KUALA LUMPUR, Aug 1 (Bernama) -- The Malay Contractors Association of Malaysia (PKMM) has urged the government to expedite the implementation of construction projects planned for 2026 to ensure the continued operation of local contractors and revitalise the country’s construction sector.
President Datuk Mohd Rosdi Ab Aziz said the current direction of the construction sector remains unclear, leaving many contractors waiting, especially due to the lack of new projects.
He said the government needs to take advantage of the second half of 2026 to expedite the implementation of the announced projects, so that the construction industry returns to vigour and provides economic spillover effects for industry players.
“We hope that in the second half of 2026, the government will be able to boost the construction sector, especially the projects that have been planned so that they can be implemented immediately.
“Most contractors are currently going through a 'long vacation' period due to a lack of projects, and this situation is feared to affect their ability to continue business operations,” he told Bernama.
Mohd Rosdi said the situation is more burdensome for contractors in higher grades, such as G6 and G7, who still have to bear fixed operating costs, including maintaining skilled labour and meeting licensing requirements, even with no projects being implemented.
He said the failure to maintain the momentum of project implementation not only puts pressure on the contractor's cash flow but may also affect the construction industry's capacity to support the country's economic growth in the future.
He said there are about 138,000 registered contractors nationwide, while bumiputera contractors are estimated at around 70,000.
Of that number, almost 60,000 bumiputera contractors were once registered as PKMM members, but only a small number remain active due to challenging market conditions, he said.
Meanwhile, Mohd Rosdi called on the government to reactivate the variation of price (VOP) for construction materials to help contractors facing rising costs due to the global energy crisis.
He said the association had submitted proposals to the Ministry of Public Works and the Malaysian Construction Industry Development Board (CIDB) for consideration.
“VOP gives advantages to both parties, the owner, the government and the contractor because when the price of (construction) materials hikes, the government will increase prices, whereas when prices fall, the government will cut the contract prices to the contractor and that is fair,” he added.
-- BERNAMA