Studies on the effect of COVID-19 on the construction industry in the Kuantan district
DOI:
https://doi.org/10.15282/cst.v5i1.12282Keywords:
COVID-19 , Extension of Time, Construction, Project delayAbstract
The whole world is plagued with infectious diseases that are more dangerous than the common fever that can cause death if not treated early. Therefore, many countries have implemented movement control orders that are just sitting at home. It indirectly has a devastating impact on employment sectors, especially construction companies around the world. Construction delays are one of the biggest problems faced by the construction industry; they will directly affect the parties involved in the contract, contribute to costs and overtime, litigation, and late transfer of projects to owners. Therefore, an online questionnaire survey was conducted to study the main cause of the project timeline disruption, which led to the Extension of Time (EOT) requirement in ongoing construction projects and the financial loss of the construction industry due to COVID-19 in Kuantan District. Survey questionnaires were distributed to Consultants, Contractors and Public Authorities in the Kuantan District. The main objectives of this research have been achieved. In this research, the data analysis shows the main cause of the project timeline is the Movement Control Order (MCO) and Standard Operating Procedures (SOPEOT) set by the government. The factor for the shortage of labour is the closure of the national border. The company manages the delayed project by complying with SOPs that have been set in the workplace. The cause of material shortage delays in terms of delivery of materials. Much of the financial loss is more than RM 100 001. Therefore, rising building material prices impact financial losses, and using credit loans is the best way to manage financial problems.
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