Hong Kong has entered a peak period for the construction industry. Many major infrastructural projects, including the well publicised Hong Kong-Zhuhai-Macao Bridge and the Guangzhou-Shenzhen-Hong Kong Express Rail Link, have already commenced construction. In addition, many small and medium-scale projects, such as greening works and the construction of cycle tracks, are underway. The estimated annual capital works expenditure is expected to exceed $70 billion in the next few years. At the same time, expenditure on the construction of railway and private projects is expected to remain at a relatively high level. These investments not only boost economic development and create jobs, but also enhance Hong Kong’s competitiveness and promote its sustainable development in the long term.
Faced with this huge volume of construction works, we have to raise the competitiveness of the construction industry, encourage continuous innovation and promote the healthy development of the market. In this connection, we have embarked on a comprehensive strategic review and adopted a multi-pronged approach to enhance the productivity of the industry.
(A) Methods of design and construction
Following the rising demand for manpower in the construction industry, we are adopting various measures to address the challenge of tight manpower supply. One of the measures focuses on methods of design and construction. In this regard, we have applied the concept of “3S”, which stands for “Standardisation”, “Simplification” and “Single integrated element”, during the planning, design and construction of public works with a view to increasing productivity and rationalising the manpower demand of trades with expected manpower shortage.
Let me explain this with some simple examples. “Standardisation” refers to the preference for standardised designs, such as the repetitive use of identical grids to enhance construction efficiency. “Simplification” denotes the use of uncomplicated construction systems and installation details and the avoidance of special designs involving advanced skill levels. As for “Single integrated element”, it refers to the use of prefabricated manholes, building walls or structural components manufactured in factories to minimise the need for such work in the field, uplift work efficiency and cope with the limited space on sites.
The use of prefabricated components is one of the key construction methods we promote. Firstly, the working environment of a prefabrication yard which is operated under factory-like setting is safer than that of construction sites. Second, the use of prefabricated components produced by mechanised or automated facilities can effectively reduce the wastage of materials and enhance product quality. Third, mass production can reduce costs and ensure a stable supply. Taking into account cutting and bending of steel reinforcement bar is one of the trades suffering shortage of manpower, we are actively considering measures to assist the construction industry in establishing a steel reinforcement bar prefabrication yard of considerable scale in Hong Kong. This would relieve the pressure on the demand for workforce arising from construction works and increase the productivity of the construction industry. In addition, establishment of the prefabrication yard could safeguard the employment opportunities of local workers and reduce the costs of transporting prefabricated components from overseas yards.
(B) Application of technology
Technological advancement can help enhance the productivity of the construction industry. In particular, Building Information Modelling (BIM) technology embraces numerous advantages. BIM can provide multi-dimensional images and real-time information for works projects, so that better decisions can be made after taking into account the time, costs, work process and risks, and financial losses from alteration and delay of works can be minimised. BIM can also provide structural details of construction components and directly link with the prefabricated components manufacturing system, which can facilitate the production of high-precision prefabricated components and greatly improve the construction process.
(C) Encouraging innovation
We encourage tenderers to submit innovative and creative proposals through the proposed innovation and creativity screening approach in the enhanced procurement system with a view to increasing the competitiveness of the construction industry. In this respect, the Kwun Tong Promenade Stage 2 has been completed successfully as our first pilot works project. With the amendment of the existing technical assessment system, tenderers will also be required to submit specific proposals for enhancing productivity, such as the use of mechanised work process and prefabricated components for trades of construction works with manpower shortage.
(D) Assisting small and medium contractors
To promote the healthy development of the construction industry, several new measures have been implemented to enhance the listing of contractors since late last year. These measures include lifting the tender limits of contract and adjusting the financial requirements for different groups of contractors on the list, accepting relevant experience in non-government local works contracts for contractors to acquire confirmed status and assessing the contractors’ capability based on relevant experience without the 24-month minimum probationary period. These measures will help smaller contractors take on more suitable public works projects, so that they can gain more experience and have more room for development.
Given the limited space here, we will talk about the manpower training and communication platform of the construction industry next week.
5 January, 2014
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