WORKS MINISTRY CLOSELY MONITORING CONSTRUCTION MATERIALS PRICES - NANTA

KUALA LUMPUR, July 4 (Bernama) -- The Works Ministry is closely monitoring developments in the construction industry, particularly concerning the rising prices of construction materials and raw materials, following the removal of diesel subsidy in June.

Works Minister Datuk Seri Alexander Nanta Linggi said that while there is a potential impact on the construction industry, it is still too early to estimate the extent of cost increases.

“The government is currently studying this issue. Before considering or implementing any policies, comprehensive research is necessary, including analysing the material cost index provided by the Department of Statistics Malaysia, which tracks fluctuations in construction costs,” he said during the Ministers’ Question Time session in the Dewan Rakyat today.

He said this in response to a supplementary question from Roslan Hashim (PN-Kulim Bandar Baharu) regarding government initiatives to assist contractors affected by rising machinery and material costs, particularly those who were given job offers before the removal of diesel subsidy.

Addressing Roslan's original question about plans to raise the G1 contractor's work value limit from RM200,000 to RM250,000 or RM300,000, given the escalating cost of goods, Nanta explained that any adjustment to the work value limit falls within the jurisdiction of the Ministry of Finance.

-- BERNAMA