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CIDB sees lower construction costs if IBS use is made mandatory
THE Construction Industry Development Board Malaysia (CIDB) expects a five per cent reduction in construction costs once the use of Industrialised Building System (IBS) is made mandatory by 2020.
Chief executive Datuk Ir Ahmad Asri Abdul Hamid said IBS factories in Malaysia currently operated at between 50 and 60 per cent capacity.
“Demand for IBS components is still minimum. But if we make the use of such components mandatory, demand will spike and this will help lower construction costs (through economies of scale),” he said during a visit to Gamuda Bhd’s IBS site, here, yesterday.
Asri said cost-saving would come from reduced manpower use and shorter project duration.
“These would allow developers to save on financial costs, such as up to two per cent bank loans’ interest,” he said.
Malaysia has 237 IBS companies, but they only produce certain construction components.
“The Gamuda IBS plant produces complete housing components using an automated-robotic system,” he said.
CIDB focuses on initiatives to encourage use of IBS among construction players in the country.
“We encourage more companies to open more factories building IBS components,” said Asri.
Gamuda IBS products have scored 86 per cent in the Quality Assessment System in Construction (QLASSIC) rating.
“Gamuda IBS is Malaysia’s first fully robotic facility, an example of how technology can enhance productivity, quality and safety levels at construction sites,” he said.
The adoption of technology and rating tools such as IBS and QLASSIC would give property buyers assurance in terms of quality, added Asri.