KUALA LUMPUR, April 11— The construction sector is expected to grow between 8-10% this year from 8.2% in 2015, driven by the government-related projects, says Works Minister Datuk Seri Fadillah Yusof.
He said projects such as Greater KL, light rail transit, mass rapid transit as well as new highways, including Pan Borneo, were providing tremendous growth potentials for the industry and the country’s economy.
“With (projects) which have been planned under the public sector and numerous housing projects, we should be able to achieve this year’s growth target,” he told reporters after launching the 7th Malaysian Construction Summit here Monday.
Earlier, Fadillah said, the Malaysian construction industry needed to address sustainability and green construction issues in order to balance the economic growth and social expansion while ensuring environmental protection.
“Given the rising concerns over the deterioration of the environment, industry players should act cohesively and revisit the development approaches that they have been so used to in their projects,” Fadillah said.
He urged the industry players to move towards greater mechanisation and automation driven by the information technology including alternative production method, the Industrialised Building System (IBS).
“As we transform Malaysia into a high-income developed nation, competitiveness achieved by employing low-cost labour and resources will no longer be sustainable.
“We can no longer continue to compete on costs alone but must also achieve productivity growth and work to secure market share based on quality products and services, innovativeness, creativity and entrepreneurship,” Fadillah said.
Unfortunately, he said, despite its advantages, the adoption of IBS was not widespread due to, among others, the negative perception and lack of awareness and readiness among the industry players.
The IBS is a construction technique where components are manufactured in a controlled environment before they are assembled into a structure with minimal additional site works.
The technique will, among others, allow the industry players to rely more on construction machinery and reduce their dependency on labour while increasing the productivity and quality as well as more environmental friendly.
The government has made it mandatory for all government projects costing RM10 million and above to contain at least 70 IBS score, while the private sector must adopt the technique in projects worth RM50 million and above.