Frequently Asked Questions
Frequently Asked Questions
cidb FAQs
Welcome to our frequently asked questions section. Here you will find information pertinent to contractors, procurement and contractor development.
Contractor FAQs
Yes. Grade 1 registration is possible via our website.
The cidb and the Department of Public Works are working closely together to review options on how the industry can resolve the problem of delayed payments. One of the options under consideration is to put regulations in place that can help alleviate the problem. Draft regulations in this regard were published for public comment and these comments are currently under consideration.
It shows whether companies owned by target groups such as blacks, women and youth are growing in terms of grading and are sustainable. It shows where Government spends the bulk of infrastructure investment in terms of packaging of projects and which grade contractors and classes of works are most benefiting. It helps agents of contractor development to make informed decision about where development initiatives are most needed and to measure whether such interventions are effective. It enables contractor development agents to set clear and measurable targets for growth and development of contractors.
It takes 21 working days to register. The 21 day turnaround time applies to applications that are complete and compliant with the requirements of the grade the contractor is applying for. Grade 1 applications only take 48 hours to be processed and for registration to reflect on the cidb website. Incomplete and non-compliant applications can cause unnecessary delays. Please visit the cidb Provincial Office near you for help, to ensure that your application is right, is complete and is compliant – the first time!
No. The cidb no longer prints registration certificates. Once a grading is awarded the name of the contractor gets published on the cidb website. This is where clients can verify grading as well as the status of a contractor’s registration.
No. The contractor’s listing is effectively removed from the cidb website once the registration expires after 3 years. Contractors are strongly advised to apply for renewal 3 months before the date of expiry.
A contractor that has a Potentially Emerging status may be awarded a state tender one level above their registered cidb grade. A client who so awards a tender to a PE contractor must undertake to provide development support to the contractor during execution of the project. The PE status thus provides opportunities for emerging contractors to develop and to grow capability to carry out projects and to move up the cidb grades.
Procurement FAQs
The Construction Industry Development Regulations and practice guides stipulate the strict conditions under which a contractor may be awarded a contract above their grading tender value limit. These conditions apply where:
- The client applies the contractor’s Potentially Emerging status to pursue clear development goals and has put in place contractor development support to ensure success of the project.
- The client invokes Regulation 25(7a). The clause allows the client to award a contractor a tender above their tender value limit, provided that the margin by which the tender exceeds the contractor’s value limit is reasonable; the award does not pose undue risk to the state; and the tender offer complies with all regulations
No. The client must indicate the intention to award a project to a PE contractor in the tender advert in order to invoke the rules of the PE status on tender award.
Currently the role of the Register of Contractors is to provide macro-risk assessment to support clients’ procurement. It does not remove the client’s responsibility to conduct due diligence to ensure suitability of a contractor for the project that needs to be delivered. To determine grading the cidb considers the contractor’s verifiable track record of a project(s) completed in the relevant class of works and to the requisite value. It also considers the contractor’s demonstrable financial capability to operate in the relevant grade. In Phase 2, emphasis will also be on the contractor’s actual performance on individual projects. Phase 2 of the Register will be undertaken under the cidb Contractor Recognition Scheme.
This is the role of the Register of Projects. Clients must register project cancellation on the Register of Projects. This is the only way that industry can reliably keep track of poor performers. Clients must also register project completion on the Register of Projects.
Clause 4.4.2.2 of the Standard for Uniformity (SFU) in Construction Works states that the tender validity period is active for 90-days commencing from the day after tender closing.
This is a breach of the cidb standard conditions of tender and the client must disqualify both bids. The possible breach of trust between the joint venture partners has the potential to put the client at risk. The misrepresentation is also a breach of the cidb Code of Conduct for all parties engaged in construction procurement.
The client may not cancel a tender, abandon the tender process or reject responsive tender offers, only to re-advertise the same scope of work within 6 months. The cidb Standard for Uniformity requires the client to wait at least 6 months before re-advertising. The exception to this rule is if the client only received one response and the tender was returned to the tenderer unopened. Or if the tender was cancelled before the closing date. For more information, please refer to cidb Practice Note 18.
13. Is it possible for the cidb to factor contractor skills and competencies into the Register of Contractors?
The skills of a contractor are not yet considered when assessing a grade. But it is envisioned that this will form part of the future Contractor Assessment Scheme in Phase 2 of the Register. This could include skills accredited through recognition of prior learning.
The client must:
Consider the signed Form of Offer and Acceptance
- Analyze the tender price according to the bill of quantities (BoQ) or activity schedule
- Identify any gross misplacement of decimal point in any unit rate
- Identify omissions in the BoQ
- Identify arithmetic errors in the calculation of line items – item totals, page totals or section totals
- Inform the bidder of the errors and ask the bidder to confirm the price stated in the Form of Offer and Acceptance
- Adjust the price to the correct figure
- Evaluate the tender based on the confirmed price
The contractor may only communicate disagreement with the corrected price in writing.
Contractor Development FAQs
A contractor development programme should have clear and specific goals and outcomes. Participants must exit the programme at the end of its duration. The only benefit to be derived from an open ended contractor development programme is job creation. The downside is creation of a dependency syndrome where contractors do not learn the skills to survive in the open competitive market space.
The cidb Standard for Indirect Targeting enables clients to stipulate minimum requirements for training and development of subcontractors on specified projects. This is only one of the ways in which clients can ensure that development of small and emerging contractors by the established sector becomes a condition of contract on Government projects. It is additional to the requirements of the BBBEE Act which sets targets for empowerment and the Construction Industry Charter.
It shows whether companies owned by target groups such as blacks, women and youth are growing in terms of grading and are sustainable.
It shows where Government spends the bulk of infrastructure investment in terms of packaging of projects and which grade contractors and classes of works are most benefiting.
It helps agents of contractor development to make informed decision about where development initiatives are most needed and to measure whether such interventions are effective.
It enables contractor development agents to set clear and measurable targets for growth and development of contractors.
