The Civil Engineering Contractor June 2018 | Page 7

ON PROJECT OWNERS’ DESKS some improvements in sentiment among the other three provinces, this was overshadowed by the outcome in the Western Cape.” Dar es Salaam bus terminal Project: Transport terminal Client: Dar es Salaam City Council Location: Dar es Salaam, Tanzania Conclusion The Dar es Salaam City Council has set aside funds during the financial year 2017/18 and it intends to apply part of the proceeds of this to payments under the contract for construction of the proposed Dar es Salaam City Regional Bus Terminal at Mbezi Luisi. The City Council intends to pre- qualify building contractors for this project. The first quarter of 2018 was yet another period where strain in both the building and civil engineering sectors was highlighted. The outcome in confidence levels in both sectors was below 40 index points, which was broadly in line with the poor levels of the underlying indicators. They persisted below their long-term averages. Discouragingly, future activity momentum is likely to remain under pressure in both sectors. This is partly reflected in the indicator rating insufficient demand for building and construction work as a constraint, which remains elevated in both cases. The latest GDP growth statistics from Stats SA showed a fourth-consecutive decline in output in the construction sector. Output fell by 1.4% quarter-on-quarter (SAAR) in 2017 Q4. Discouragingly, this quarter’s survey results suggest that the pressure in both building and civil construction activity could persist. The outlook for activity in both sectors is further clouded by the recent government budget for 2018, which reiterated the reduction in expenditure away from capital and towards consumption expenditure. Indeed, about 47% (or R39.7-billion) of the R85-billion in spending reductions consists of cuts to conditional infrastructure grants to provincial and local government. The Dar es Salaam City Council intends to build a bus terminal at Mbezi Luisi. (Image is illustrative.) Rehabilitation of Akosombo outfall drain Project: Infrastructure, building Client: Volta River Authority Location: Ghana About the survey Volta River Authority (VRA) of the Republic of Ghana intends to apply part of its budgetary allocation to fund eligible payments under the contract for the rehabilitation of the Akosombo outfall drain. The works comprise the supply and placement of boulders, earthworks, concrete works, pipework, and other associated ancillary works. The VRA invites sealed tenders from eligible contractors who have registered with the Ministry of Works and Housing, have a minimum financial classification certificate of K2, and can demonstrate experience in having executed similar projects. The total estimated period for the completion of the project is 10 calendar months. Enquiries: Rami Moorosi, project manager: Marketing T: [phone] E: [email protected] Website: www.cidb.org.za The cidb SME Business Conditions Survey is conducted quarterly among Grades 3–8 cidb- registered contractors (categorised into Grades 3 & 4, Grades 5 & 6, and Grades 7 & 8), both for general building and civil industries. The main indicator used for analysis purposes is business confidence, which indicates whether respondents find the current business conditions satisfactory. A business confidence index can vary between zero (indicating an extreme lack of confidence) and 100 (indicating extreme confidence). The 50 index point mark is interpreted as neutral. The fieldwork for the 2018 Q1 survey was conducted during the period 29 January to 6 March 2018. The works comprise the supply and placement of boulders, earthworks, concrete works, pipework, and other associated ancillary works. CEC June 2018 - 5