President Message July 2018

PRESIDENT MESSAGE – JULY

The 64th Annual General Meeting (AGM) was successfully organised on 23rd June 2018 at Sunway Resort Hotel & Spa. The AGM marks the end of term for the 2016-2018 council members. I have served MBAM for two years and it was definitely not an easy feat. However, with support and guidance of the past and present council members, together, I believe we have elevated the Association to a higher level. Therefore, in this opportunity, I wish to extend my appreciation to MBAM Council Members, members, affiliates, associates, secretariat and the Government agencies who had worked closely with me during my tenure as the MBAM President. Moving forward, I wish all the best for the Association’s future endeavour and I hope we are able to reach another milestone by successfully organising the 44th IFAWPCA Convention this upcoming November.

 

44TH IFAWPCA CONVENTION PROMOTIONAL VISIT TO THE HONG KONG CONSTRUCTION ASSOCIATION

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Exchange of souvenirs with President of HKCA, Mr Allan Chan

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During the discussion session

MBAM delegation led by IFAWPCA President, Datuk Matthew Tee paid a visit to the Hong Kong Construction Association (HKCA) on 6th June 2018. The visit was also joined by IFAWPCA Secretary-General and MBAM Vice President, Ir. Chuan Yeong Ming, MBAM Manager, Ms Chai Min Fung and I. The delegation was well received by HKCA President, Mr Allan Chan, Vice President, Mr Barry Sin and Chief Executive, Mr Thomas Tse.

The purpose of the visit was to promote the 44th IFAWPCA Convention which is scheduled for 12th-16th November 2018 at Kuala Lumpur Convention Centre (KLCC), Kuala Lumpur organized by Master Builders Association Malaysia (MBAM).

As the IFAWPCA President, Datuk Matthew briefed and updated HKCA on the detailed Programme of the Convention. It was highlighted that this will be a first ever IFAWPCA Convention with a full day Conference and a 320 booths Exhibition to be held during the 4 days Convention. The Conference with the theme Strategic Alliance with Innovation & Human Capital will address the growing challenges faced by the Construction Industry in dealing with unexpected external factors. The Conference will feature a panel of renowned international speakers. HKCA has expressed their interest and support for the 44th IFAWPCA Convention in Kuala Lumpur and pledged to send a big delegation to participate in this Convention.

Both MBAM and HKCA exchanged information on issues facing of their respective Construction Industry such as construction growth, development projects, labour demand and supply issues, etc. during the visit.  At the end of the visit, both Presidents exchanged token of appreciation.

 

DIALOGUE MEETING ON CHINESE AGGREGATE EQUIPMENT ENTERPRISES “ENTERING ASEAN”

The Dialogue Meeting on Chinese Aggregate Equipment Enterprises “Entering ASEAN” hosted by China-ASEAN Business Council (CABC) was held on 6th June 2018 at Beijing. It was attended by MBAM Deputy Secretary-General 1, Mr Ong Ka Thiam, MBAM Machinery Resources Committee, Mr Alec Chong and MBAM member, Mr Chong Kok Keong.

Mr Ong Ka Thiam was invited to present a speech where he shared a short synopsis on the history of MBAM and its vision as well as its international affiliation with International Federation of Asian Western Pacific Constructors’ Associations (IFAWPCA) and ASEAN Contractors Federation (ACF). It was highlighted that MBAM has participated in such sessions with CABC since 2013 and values the networking and knowledge gained. MBAM appreciates regular engagements via platforms such as this dialogue to capitalize on opportunities for enhancement of communication and to explore cooperation on construction projects. MBAM opined that through mutual bilateral negotiations and free trade agreements, it will provide a better avenue and platform for contractors to access to new markets.

Since the launch of Belt and Road Initiatives (BRI), Malaysia is tapping onto this Global Master Plan on the Maritime Silk Road focusing mainly on railways, highways and ports. Infrastructure projects are implemented to be in tandem with the Master Plan on ASEAN Connectivity (MPAC) 2025 to boost for ASEAN sustainable growth. Total investment value is more than USD135 billion (RM526.5) with projects in states such as Penang, Selangor, Malacca, Pahang and Johor. The promotional video on IFAWPCA was played after the presentation. Mr Ong Ka Thiam invited the delegates to either register as a delegates or take up booth space at the exhibition.  After the dialogue he presented memento to Mr Xu Ning Xing who is the President of CABC.

 

CHINA INTERNATIONAL CONTRACTORS ASSOCIATION (CHINCA) 9TH INTERNATIONAL INFRASTRUCTURE INVESTMENT AND CONSTRUCTION FORUM (IIICF), MACAU

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Presenting souvenir to Vice Chairman of CHINCA, Ms Yu Xiaohong

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Group photo of the key delegates at 9th IIICF Forum

The 9th IIICF Forum, an international forum with the theme Innovation, Collaboration and Connectivity Building Tomorrow was held from 7th – 8th June 2018. The forum was jointly organised by the China International Contractors Association (CHINCA) and the Macau Trade & Investment Promotion Institute at The Venetian Hotel, Macau. IFAWPCA President, Datuk Matthew Tee, IFAWPCA Secretary-General and MBAM Vice President, Ir. Chuan Yeong Ming, Manager, Ms Chai Min Fung and I represented MBAM for the forum.

The Forum which served as an important platform to exchange strategic thinking and insights, as well as to explore opportunities and seek cooperation, was attended by more than 2,000 delegates from over 60 countries and regions including 50 ministerial officials. The delegates come mainly from but no limited to related government authorities, financial institutions, engineering companies, survey & design firms, consultants, and equipment manufacturers.

During the International Association Chairman’s Forum session, the Presidents of international associations from more than 20 countries and regions were invited to present on the status of their infrastructure development and cooperation projects in their respective countries. They also gave updates on the development trends, issues and challenges facing, as well as to suggest on how to promote mutually beneficial cooperation for member companies through close ties between international associations. I was given the honour to speak in the International Association Chairman’s Forum on the topic “Under the Framework of the Joint Action Plan, How To Promote The Collaboration Among Our Member Companies and What Are The Challenges Faced To Promote Collaboration”. Through this Forum, MBAM was given the chance to build close rapport with CHINCA and other international organisations for further enhancement of international infrastructure cooperation among the construction fraternity.

 

GETTING STARTED FOR GST TO SST WORKSHOP FOR CONSTRUCTION INDUSTRY

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The Executive Director, Head of Tax Department in YYC KK Chow Tax Sdn Bhd, Mr Zen Chow was the special speaker for the workshop

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Mr Zen Chow sharing his valuable input with the participants

The MBAM Finance Committee organised a workshop on Getting Started for GST to SST on 21st June 2018. The workshop was attended by 45 member participants. MBAM Treasurer-General, Mr Kenneth Liew delivered the welcome remarks, introduced & thanked the Executive Director, Head of Tax Department in YYC KK Chow Tax Sdn Bhd, Mr Zen Chow. Mr Kenneth thanked him for spending some time to support this workshop and making it a success by sharing his GST & SST knowledge on the subject matter.

Mr Zen specialises in both direct and indirect Malaysian taxation. He is a qualified consultant and trainer on Goods and Services Tax (GST) by the Royal Malaysian Customs (RMC) and Ministry of Finance (MoF). He started his talk with the Frequently Asked Question (FAQ) for transitional of GST from 6% to 0%. He highlighted the changes in GST Orders, Tax invoice amendment, treatment in GST between the transitional period where payment & supply are concerned, Input tax credit, GST Return, Section 66 of GST Act on supplies spanning change in rate or description. Tax code & tax code mapping were also discussed. Last but not least, he elaborated on the current Sales and Services Tax and convey an important note on Price Control & Anti-Profiteering Regulations 2018 6th June 2018. His presentation was well received by the audience.          

 

MBAM FOCUS GROUP DIALOGUE 2018

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MBAM President, Mr Foo Chek Lee heading the focus group dialogue

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Sharing the issues and recommendations on managing the problems faced by the industry players

The annual MBAM Focus Group was held on 23rd June 2018 at Sunway Resort Hotel and Spa. The dialogue session was attended by 65 members. After a round of self-introduction, issues affecting the construction industry were discussed. A brief overview of the construction growth data in the first quarter 2018 was given where the industry recorded a moderate growth of 5.9%. On the 2% contributions for Employment Insurance Scheme (EIS), MBAM would request the government to review and proposed that the board must be represented by three parties; Employer, Employee and Government to make it more transparent.

The concern of the rising cost of doing business were deliberated, and the issue of levy payment when engaging foreign workers were highlighted. MBAM had held discussion with various ministries to resolve this peculiar issue plaguing the industry and had proposed a two tier levy system comprising skilled and unskilled as well as levy payment paid in instalments. MBAM’s stands is that the levy should not be a source of revenue to government and it is by right should be channelled to enhance the industry technology and practices such as IBS, BIM etc. MBAM proposed the existing levy fee to be maintained for at least another 3 years to stabilize the industry. MBAM also would like to propose to the government to allow another 3 years of transition period for Foreign Worker especially skilled workers who have reached the 10 years period in renewing the PLKS as well.

Before the dialogue ended, MBAM also announced the launch of the Mobile Elevating Working Platform (MEWP) guideline developed by MBAM which was the first of its kind in the country. Members can get the copy of the guideline by contacting the MBAM Secretariat.

 

64TH MBAM ANNUAL GENERAL MEETING

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The voting session

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The election of the new MBAM Council Member for the term 2018-2020

On 23rd June 2018, the 64th MBAM Annual General Meeting (AGM) was held at the Sunway Resort Hotel and Spa, Petaling Jaya, Selangor. There were a total of 157 members in attendance. The AGM approved the minutes of the 64th MBAM AGM held on 16th June 2017.  This was followed by the report on activities of MBAM for the year 2016 presented by myself. The Treasurer-General’s Report and Audited Accounts for the year ended 31st December 2017 was then tabled by the Treasurer-General, Mr Kenneth Liew.  Both reports and audited accounts were duly adopted by the AGM.  The AGM then re-appointed Chartered Accountant, Messrs Lau Choo Seng & Co. as the Auditor for the year 2018 and determined the auditor’s remuneration for year 2018. The presentation of membership certificates to new members who joined MBAM in the year 2018 were conducted after that. In this opportunity, I would also like to welcome aboard all new members to the MBAM fraternity and I hope to see more active participation from our new members in the Association’s activities.

With all matters at hand deliberated and nothing further offered for discussion, the meeting was then concluded after all the resolutions were passed and MBAM President, Mr Foo Chek Lee gave a token of appreciation to all Council Members who served under his term.

During the voting of new MBAM Council Members for the term June 2018- June 2020 the following  companies were  elected:

1. BINA PURI SDN BHD
2. GAMUDA BHD
3. IJM CORPORATION BERHAD
4. SUNWAY CONSTRUCTION SDN BHD
5. PEMBINAAN MITRAJAYA SDN BHD
6. LFE ENGINEERING SDN BHD
7. WCT BERHAD
8. MUDAJAYA CORPORATION BERHAD
9. AL-AMBIA SDN BHD
10. CREST BUILDER SDN BHD
11. TRANS RESOURCES CORPORATION SDN BHD
12. IREKA CORPORATION BERHAD
13. SYARIKAT PEMBENAAN YEOH TIONG LAY SDN BHD
14. IKHMAS JAYA SDN BHD
15. SATUJAYA SDN BHD
16. TRANS ELITE GROUP SDN BHD
17. SETIA PRECAST SDN BHD
18. ROOFRAMES RESOURCES SDN BHD
19. FAJARBARU BUILDER SDN BHD
20. NORWEST HOLDINGS SDN BHD
21. PASUKHAS CONSTRUCTION SDN BHD
22. MMC CORPORATION BERHAD
23. VSL ENGINEERS (M) SDN BHD
24. BAUER (MALAYSIA) SDN BHD
25. OCNED WATER TECHNOLOGY SDN BHD
26. PREMIER CONSTRUCTION SDN BHD

 

 

SESSION 2: INSTRUCTION AND VARIATIONS AND PRACTICAL COMPLETION AND ITS CERTIFICATION

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Mr HT Ong speaking at the 2nd session

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Mr HT Ong sharing his input during the 2nd session of seminar

On 27th June 2018, the MBAM Contracts and Practices Committee held its 2nd programme for the year 2018 at MBAM Training Centre. The 2nd programme was well received with a total of 46 participants registered. The programme was based on a series of articles by BK ENTRUSTY published in Master Builders Journals from 2002 to 2016. On 10th October 2017, MBAM and The Chartered Institution of Civil Engineering Surveyors (ICES) have signed a Memorandum of Understanding to identify ways that MBAM and ICES may co-operate on matters in common relating to building and civil engineering surveying. Participants who attend at least six of the nine sessions will be eligible for advice from BK SURCO on to their potential for ICES membership and guidance with their applications for membership, subject to meeting the requirements for particular membership grades.

In view of the needs for players and personnel in the construction industry to continually acquire relevant knowledge and experience, this training programme has been designed by combining construction contract and technical knowledge with practical experience and skills through training/lectures with practical and work-related discussions.

There are nine comprehensive training sessions in this programme, covering a wide spectrum of construction contract administration and management topics, including updates related to construction case law, which affect and are of interest to the various industry players. In addition, at the end of each session, there will be a Workshop/Q&A discussion relating each topic presented.

Overall, it was an interesting programme for participants.

 

Foo Chek Lee JMW

MBAM President