Government agencies will place greater emphasis on safety in the evaluation of construction tenders called from April 1, raising the minimum weighting given to safety-related criteria.
Beyond past performance, contractors who demonstrate plans to adopt safer construction methods or deploy technology to improve risk monitoring and safety could also be assessed more favourably, the Building and Construction Authority (BCA) and the Ministry of Manpower (MOM) said on Feb 2.
The Government is Singapore’s largest developer, with the public sector expected to contribute about 55 per cent of construction demand in 2024. Some $18 billion to $21 billion worth of public-sector construction contracts are likely to be awarded in 2024.
For government construction projects valued at $50 million or more, agencies will give bonuses to main contractors with a good safety record. A portion of this money must be set aside to reward workers who uphold safety standards.
BCA and MOM said this is to incentivise a strong safety culture throughout the construction phase.
In a circular to the built-environment industry, the authorities said the total bonus will be pegged at 0.5 per cent of the awarded contract sum, subject to a cap of $1 million.
Agencies will have the flexibility to give a higher bonus, and they should establish the basis for the bonus payout primarily through an assessment of a worksite’s safety performance. This can be done monthly or quarterly.
The circular did not specify what percentage of the bonus must be set aside for workers.
With the new procurement requirements, MOM’s safety disqualification framework will cover smaller projects from April.
Right now, the framework applies only to projects valued at $3 million or more, and only to main contractors and their first-level subcontractors.
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