Contractors urged to diversify into facility management sector, says Ahmad Maslan


BUTTERWORTH: Contractors have been urged to diversify into facility management (FM), a sector which recorded projects worth RM39.59bil over the three-year period from 2023 to 2025.

Deputy Works Minister Datuk Seri Ahmad Maslan said the sector represented a significant commercial opportunity for contractors, particularly those with relevant specialisations, as the industry shifted its focus from construction to long-term asset maintenance.

"Maintenance is a lucrative business opportunity that is far too often overlooked. We cannot focus exclusively on construction; we must actively engage in maintenance," he said after launching Contractors Convention 2026: NexGen Builders - Building the Next Generation and launch CIS 33:2026 (Facility Management Good Practice Guide) at the Penang International Convention Cultural & Arts Centre (PICCA) here on Tuesday (Aug 18).

Ahmad said the Construction Industry Development Board (CIDB) recorded 1,541 FM projects during the period, while only 468 FM contractors had been registered under the F01 and F02 specialisations.

He said the total project value of almost RM40bil showed that facility management was no longer merely a post-construction support function, but a high-growth subsector that could provide contractors with new revenue streams.

Ahmad said this was evident from the significant gap between the number of registered construction contractors and FM projects.

"Out of 136,824 registered construction contractors from grades G1 to G7, including 74,582 or 54.5% Bumiputera contractors, only 1,541 FM projects have been formally registered. This shows that the industry has barely scratched the surface of this market," he said.

Ahmad said the launch of the CIS 33:2026 Facility Management Good Practice Guide marked an important step in establishing a systematic and sustainable approach to facility management.

He said the document, developed by CIDB, was the first Construction Industry Standard specifically dedicated to facility management and was aligned with the aspirations of the National Construction Policy 2030.

"This is an enormous commercial opportunity that contractors holding relevant heads of specialisation must seize," he said.

Ahmad said the guide would serve as an industry reference for asset owners, facility managers, contractors and other stakeholders in ensuring built assets were properly maintained throughout their lifecycle.

He said the country had historically placed greater emphasis on constructing new infrastructure, often at the expense of maintenance.

"When infrastructure deteriorated due to neglect, it highlighted a fundamental issue, we lack a true maintenance mindset. As the Prime Minister previously pointed out, we often fall into a cycle of 'build and abandon'. But infrastructure, whether buildings, roads or bridges, demands continuous care," he said.

Ahmad said failure to maintain infrastructure would significantly shorten the lifespan of public assets, making it necessary to shift towards long-term asset preservation.

On road maintenance, he said the Works Ministry required about RM4bil a year to properly maintain damaged and narrow roads, particularly dedicated motorcycle lanes.

"However, our current allocation is about RM2bil. This afternoon, we will meet the Finance Minister II to officially request additional funding to bridge this critical gap," he said.

Ahmad said the Works Ministry was also leveraging technology to help motorists avoid traffic congestion, which contributes to billions of ringgit in economic losses each year.

He said the ministry, through the Highway Authority (LLM), had launched a locally developed navigation application called Tuju, which provides motorists with real-time information to help them choose less congested routes.

"Today, there are navigation applications such as Google Maps and Waze. The ministry, through LLM, has launched a new application called Tuju. Tuju includes MyJalan, which allows the public to lodge complaints about road damage. It also provides information on less congested routes, toll rates, rest and recreation areas, emergency contacts and the most efficient navigation routes to reach a destination," he said.

Ahmad said Tuju also provided users with real-time access to thousands of closed-circuit television (CCTV) cameras operated by LLM, allowing motorists to monitor traffic conditions before embarking on their journeys.

"This is locally developed. It provides real-time access, so users can see which roads are congested. However, this primarily covers highways. Federal roads tend to experience seasonal congestion, particularly during weekends, festive periods and long weekends," he said.

 

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Next In Nation

Beefing up border security: Joint Home-Transport Ministry plan to be presented to Cabinet
More than 600 Border Control officers to be stationed at RTS' Bukit Chagar ICQ complex
TH probe not limited to 2014-2020 RCI period, says Anwar
Decision on extradition of pilot arrested in Indonesia pending probe, says Saifuddin
SST remains, but GST elements may be considered, says Anwar
RTS Link entering testing phase ahead of January launch, says Loke
Printing firm director remanded over alleged RM100,000 false claims
Sarawak to proceed with cloud seeding despite improved haze situation, says Uggah
Over 420,000 students to sit for SPM 2026 from Oct 26
Malaysia and Indonesia pledge closer cooperation to tackle transboundary haze

Others Also Read