The Hon. Anura Karunathilaka - Minister of Urban Development, Construction and Housing

¶ 01 Hon. Deputy Speaker, under the Construction Industry Development Act, criteria for registering adjudicators and contractors must be periodically published by Gazette. Under Section 52, fees for registering adjudicators must also be gazetted from time to time. By Gazette Extraordinary No. 2430/15 of 2025.04.01, we have set out updated criteria and fees, which we now place before Parliament.

¶ 02 Previously, the registration and renewal fee for adjudicators was both LKR 20,000 under a 2019 Gazette. Professionals raised concerns; the new Order reduces the renewal fee to LKR 5,000.

¶ 03 Under Section 35, criteria for contractor registration and grading must be set. Main contractor grades (11 grades from C9 to C1) and special categories, including geotechnical piling (four grades) and precast piling, are updated. We revise the maximum ongoing project value thresholds to reflect inflation and project cost increases. For example: - C1 contractors: prior limit LKR 3,000 million; now increased to LKR 6,000 million. - C2 contractors: prior LKR 1,500–3,000 million; now LKR 3,000–6,000 million.

¶ 04 We also update criteria for electrical and mechanical services contractors to include renewable systems — solar and wind — within “electrical installations,” expanding beyond the previous generic category.

¶ 05 Further, we detail financial capacity, technical capacity, plant and equipment, quality systems (e.g., ISO 9000), construction safety and OHS, continuous professional development, awards, external training, CSR, and institutional memberships (e.g., Sri Lanka Institute of Construction) within a clearer scoring framework.

¶ 06 Fees are revised, last adjusted in 2018; with the recent Social Security Contribution Levy impacting the sector, the fee schedule is rationalized accordingly.

¶ 07 A strong construction sector indicates economic health. While the sector has shown some recovery in H1 this year, we aim to accelerate through water, education, health, roads and highways programs. We are preparing policy reforms, including amendments to the CIDA Act to strengthen implementation, monitoring, and certification powers, and to bring a National Construction Policy. A Green Paper will be introduced by end-October for consultation with associations and professionals.

¶ 08 We are also reviewing procurement guidelines and manuals to enable efficient, confident decision-making by officials while safeguarding integrity.

¶ 09 We will continue steps for macro-stability and deliver benefits to the public through a strengthened construction sector.

¶ 10 Thank you.