SIBU, Nov 16 (Bernama) -- There are no two ways about it. Contractors who fail to deliver will find their contracts terminated.

Since January this year, the public works department has terminated 80 contracts of errant contractors nationwide, while last year, 35 contracts bit the dust.

Work Minister Datuk Shaziman Abu Mansor said that unfinished contracts were given to new contractors or fresh tenders were called, adding that in doing so, the ministry incurred big expenses.

"However, before resorting to such an action, the ministry would allow for extension of time (EOT) to problem-ridden contractors to which caused the delay "The EOT will only be given if the reasons for the delay are fair and are within the terms and conditions of the contract," he said.

Shaziman was speaking to the media after visiting the site of the Sibu/Bawang Asan/Seredeng Road (inclusive of the Batang Lebaan bridge) Package 2 project in Bawang Asan near here today.

The minister said that for the record, the department had given time extension to 914 out of 1,174 projects implemented last year.

This year, about 1,060 projects were implemented, for which, until June 15, only 298 were given time extension.

Between June 16 and now, only 140 projects were given the EOT as from the date onwards, the department had centralised its EOT approval at its headquarters, with tightened conditions.

Under the 10th Malaysia Plan, the department would introduce the 'Value Gateway' (Gerbang Nilai) Concept at each planning, designing, construction and handing-over phases.

"Under this, a project will only be allowed to proceed to its next phase if the contractor concerned has completed the current phase very satisfactorily from all aspects," said Shaziman.

He said the department's engineers from the various disciplines would also carry out random audits from time to time, on all projects being undertaken to ensure they complied with all specifications.

Shaziman also said beginning with the 10th Malaysia Plan too, all Class A contractors might be required to have ISO certification if they wanted to bid for government jobs.

"We do not want to see the roof of government buildings collapsing, roads disintegrating over and over again...when such things happen, the people are the ones who suffer.

"We are very serious and are taking these measures for the good of the industry," he said.