KULAI — Expect further delays in road construction and maintenance projects across the country, Deputy Works Minister Ahmad Maslan has warned.
This is due to the rising cost of construction materials and operational expenses, particularly diesel, caused by the ongoing conflict between US-Israel forces and Iran.
The ministry is anticipating an increase in the number of delayed projects among its 855 ongoing projects under the Public Works Department (JKR), which involve 28 ministries.
Ahmad said road construction and maintenance projects would likely be the hardest hit due to their heavy reliance on diesel-powered machinery such as lorries and road rollers.
“Virtually all vehicles used in road construction run on diesel, which is priced at market rates. This remains a major concern for contractors,” Bernama reported him saying at during an official working visit to the Kulai District Public Works Department here today.
Building construction projects, however, will be somewhat cushioned by existing material stockpiles.
“However, given the current situation, we are concerned that the number of delayed projects will rise,” Ahmad added.
Of JKR’s total projects, one-third are currently behind schedule, another third is on track, and the rest are ahead of schedule.
Despite the current challenges, Ahmad said contractors are not permitted to halt work. While some have applied to scale down operations as a cost-control measure, such requests have yet to receive formal approval from the ministry.
He said the ministry is also working to obtain official data from the Department of Statistics Malaysia to determine the extent of price increases in construction materials.
While industry estimates suggest price hikes of between 30 and 40 per cent, Ahmad said the government is cautious about relying on preliminary figures without verified data.
He added that the ministry has engaged with several contractor associations, including the Malaysian Bumiputera Contractors Association (PKBM), Malaysian Malay Contractors Association (PKMM) and Bumiputera Class F Contractors Association (PERKOBF), to gather industry feedback.
Among the key requests raised by contractors are the implementation of Variation of Price (VOP), Extension of Time (EOT), and price controls on essential construction materials such as cement, sand, stone and steel. – April 16, 2026