MINISfRY OF EDUCATION I UNDPI UNESCO

EDUCATION SECTOR STUDY PROJECT

IMYA I 90 I 0041

No. 5.1

The Construction Sector

by

U Tet Tun.

U Nyi Hla Nge

and Daw Win Win Maw

Myanmar Education Research BureauYangon

February • 1992

I L-I If

The Construction Sector

by

U Tet Tun (Ministry of Construction),

U Nyi Hla Nge (Yangon Institute of Technology)

and Daw Win Win Maw (Institute of Medicine)

Acknowledgement: This paper is the outcome of the collaborative effort of ESS Working Group No. 5(Education Infrastructure). The working group, chaired by U Nyi Hla Nge (Yangon Institute of Technology)included the following members: U Sein Myint (OBE), U Nyunt Hlaing (Ministry of No. 1 Industry),U Tet Tun (Ministry of Construction), U Saw Wynn (OBE), Oaw Naw Joy Loo (Institute of Medicine 1) andOaw Win Win Maw (Institute of Medicine 1).

ABSTRACT

This paper reviews the capability of Myanmar construction sector operations, availability of theconstruction materials and plant industry and its implications on educational physical facilities. Thestudy shows that there is a lack of country wide building regulations, shortage of architects, awide variation in construction costs and lack of materials. There is a need to initiate trainingfacilities and it is urgent to consider an infrastructure unit which could promote appropriate designstandards and supervise the construction and maintaining of education buildings.

PREFACE

The Ministry of Education, UNDP and UNESCO are engaged in a joint effort to review the presentstate of education and manpower training in the Union of Myanmar. This review is being carriedout under the Education Sector Study project, which began in mid-1990. The objective of theproject is to help improving Myanmar's education system so it can make contribute moreeffectively to the country's social and economic development. The first phase of the EducationSector Study lESS), a detailed diagnosis and analysis of the needs of the education sector, is nowcompleted. A synthesis of the main findings has been issued in a separate report.

This paper is one of a series of working papers produced by Myanmar ESS participants. The seriescovers various important aspects of education, such as Quality and efficiency, linkages betweeneducation and employment, costs and financing, school facilities, and sector organization andmanagement. The ESS Working Papers series addresses itself to all professional staff in theeducation sector, as well as to interested researchers. It is hoped that these papers will contributeto stimulate a national discussion on ways and means to improve Myanmar's education system.

Dr. Khin Maung KyweNational Project Director

Antoine SchwartzChief Technical Adviser

ADQESCCDBEDHEDTAVEESSMERBMOCMOEMOTPAEPWPWCSEESEOYIT

LIST OF ABBREVIATIONS

Department of Architecture, Quantity Surveying and DesignConstruction CorporationDepartment of Basic EducationDepartment of Higher EducationDepartment of Technical, Agricultural and Vocational EducationEducation Sector StudyMyanmar Education Research BureauMinistry of ConstructionMinistry of EducationMinistry of TradePlinth Area EstimatePublic WorksPublic Works CorporationState Economic EnterpriseState Economic OrganisationYangon Institute of Technology

TABLE OF CONTENTS

Page

I. INTRODUCTION .

11. BUILDING CONTRACTORS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 2

Ill. BUILDING MATERIALS AND PLANT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 9

IV. EDUCATIONAL BUILDINGS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 10

V. CONCLUSION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 11

BIBLIOGRAPHY 23

1234567a7b8a

8b9101112131415

LIST OF TABLES

Construction Sector Output Over the Last Five YearsConstruction Sector - Public Works Load within State SectorOrganisation Chart of Public Works1989 List of Construction Co-operativesPublic Works Manpower DevelopmentFiscal Year 1989/90 Manpower Skills and QualificationsTrained Construction Workers at the PW Central Training CentreList of Certificate Holders of Technical High Schools (2.5 Year Courses)16List of Yangon Institute of Technology Engineering Graduates over a Period of17 Years (1970171-1986/87)Government Technical Institutes Diploma Holders (Three Year Course)Building Costs (Plinth Area Estimates)Range of Locally Produced and Imported MaterialsLocally Produced Construction MaterialsSales of Construction MaterialsUnit Cost of MaterialsExpenditure on Education Building ConstructionExpenditure on Maintenance of Education Buildings

Page

12121314151516

171718192020212222

CHAPfER I

INTRODUCTION

The construction sector makes significant contributions to the socio-economicdevelopment process in most developing countries. The sector contributes to the development ofthe education sector, because the success and efficiency of an education system depends, to alarge extent, on physical facilities conducive to the system. The aim of this paper is to assess thecapability of Myanmar construction sector operations, availability of the construction materials andplant industry and its implications on educational physical facilities.

In the Myanmar construction sector, there are three types of contractors toconsider. The public and the private sector and the construction cooperatives. For the last two tothree decades, the period before the state economic policy was changed to the market orientedeconomy" the public or state sector was the only authorized sector to undertake the constructionand maintenance of state owned projects and buildings, resulting in the public or state sectortaking the principal share in the construction sector. Over the last five years, in financial terms, thestate sector has undertaken about 82 per cent of construction work, while the private sector hasbeen responsible for 16 per cent; with the remaining 2 per cent undertaken by constructiontooperatives (Tables 1, 2, and 4). Over the same period, construction work has increased fromKyat 3,330,5 million (1985/86) to Kyat 4,347 million (1989/90) an increase by 30 per cent.

Within the state sector, the Public Works, under the Ministry of Construction is themain dominant state construction agency that undertakes the major share of the constructionworks. The larger part of this paper deals with the study of the activities of the Public Works,under the Ministry of Construction; based on the official publication, listed in the bibliography.

CHAPTER 11

BUILDING CONTRACTORS..

The Public Sector

Over the last 25 years, the public sector has undergone a number of changes in thedevelopment of its construction capability. The Public Works Corporation (PWC) was establishedin October 1965, to undertake throughout the country, the construction and maintenance of allstate-owned infrastructure (including roads, bridges and airfields) and buildings such as factories,workshops, hospitals, government buildings and education buildings. The objectives of PWC wereto increase the capability of the construction sector and contribute to other state economicenterprises.

Since that time, considerable changes have been made to the public sectorstructure in undertaking construction. In 1972, the Construction Corporation (CC) replaced thePWC. In 1975, the CC was further reorganised into the State Economic Organization (SEa). On1st April 1989, the Public Works (PW) was established (Table 3) under the Ministry of Construction(MaC).

The PW operates as a State Economic Enterprise (SEE) on a commerCial basis,undertaking construction work for the various ministries. The PW incorporates 14 State/DivisionalEngineer Offices; 14 Construction Units (each under an Executive Engineer); and 39 RegionalSector Units (each under an Executive Engineer). There are a total of 307 Township EngineerOffices throughout the country. In addition, the PW includes four Highway Project Units, twoBridge Project Units and three Temporary Project Units.

MaC is directly responsible for civil works such as highways and bridges. Between1974 and 1988, the construction of miles of highways has increased by 6 per cent and is expectedto increase further by 14 per cent by 1993. As border trade develops in the frontier areas, moreroads, bridges and airfields are foreseen for construction, to be undertaken by the PW. Theconstruction, maintenance and administration of highways and bridges are under the directjurisdiction .of MaC, thus allowing appropriate planning and programming of the work accordingto the Ministry's budget allocations. However, other works and buildings, although invariablyundertaken by the PW are formulated by the various Ministries according to their respectivedepartmental needs. This makes it difficult for the PW and MaC to estimate accurately the scopeof construction work, either on a long or short term basis.

The Public Sector Workforce

The PW is responsible for construction and maintenance of projects. The labourforce used for construction work is employed mainly on a temporary basis for the duration of aproject. For maintenance work, a small permanent labour force is kept which is reinforced bytemporary workers, as and when necessary. The work force may be replenished by workers on thebasis of either a daily wage, or piecework, or a regular salary. Expenditure dealing with wages ofpermanent staff is covered by the organization's own budget; wages for construction workers andother temporary labourers are from individual project funds. Carpenters, brick-layers, steelfabricators and plumbers develop their skills through on-the-job training. Before becoming skilledworkers, employees have to work for at least five years on the job as helpers to a mastercraftsman.

3

Fluctuations of manpower, over the ten year period between 1979/80 and 1988/89according to project funds are shown in Table 5. It can be seen that while. the work load hasincreased dramatically, the number of regular employees has remained more or less constant. Incontrast temporary labour has increased by almost 90 per cent and construction trades by nearly80 per cent. Of a total labour force of 47.650 in the fiscal year 1989/90, some 53 per cent weretemporary employees (Table 6). Private contractors and the Construction Cooperatives employtechnicians and general workers either on a daily wages basis, or on piecework. Private contractorsare known to have few permanent staff members.

Manpower Needs

As a result of changes in the Government's economic policies, since 1989,construction works can be undertaken through joint ventures and private contractors. Thesechanges have resulted in an increasing proportion of construction works being undertaken byprivate contractors. In 1989, there were some 1,250 registered private contractors in the country.Construction work carried out by joint-ventures and private contractors is likely to increase in thefuture. As more and more "satellite towns" and housing projects are being developed, the PW, theConstruction Cooperatives and private contractors are expected to share the expandingconstruction market. PW estimates that over the next 10 years, a total of 90,000 constructionworkers will be required (50,000 in the private sector; 10,000 in co-operatives and 30,000 in theprivate sector).

Climatic conditions and building methods affect the employment patterns in theconstruction sector. Climatic conditions permit construction works to take place in the summer andcold seasons. During the rainy season, construction workers are laid off and seek otheremployment. Local workmen are employed on such projects as roads, bridges, airfields andfactories. When projects are completed, workmen seek other employment within the same area.Similarly, the number of workers on a project fluctuates according to the stage of construction.During the preliminary works stage (before construction work begins fully), only a small labourforce is required. As the project progresses the number of workers increases according to theprogramme and the budget. Near the completion of the project, a small skilled workforce is neededfor finishing.

Manpower Training

Since 1989, construction workers in PW are trained in more than one skill so thatthey can be transferred to the various components of the same project as part of a permanentlabour force. MaC has three training centres which give in-service training to governmentconstruction workers. Every year more than 170 engineers and nearly 1,000 technicians of variousgrades are given training. According to the PW, there are 142 categories of skilled labourers,divided into three grades. Those with the highest skills are in the first grade. Certificates awardedby the PW are automatically recognised by government departments, co-operatives and privatecontractors. To take advantage of opportunities in working abroad for foreign construction firms,the labour force needs also to be trained in international standards at the country's training schoolsand centres.

Government training schools are limited to public sector employees (Table 7).Private contractors, without an adequate training programme are faced with a scarcity of skilled

labour. Consequently, they pay high daily rates to attract skilled workers from the public sector.With the rapid expansion of the private sector, there is an urgent need to expand training facilitiesto the benefit of all in the construction industry.

Public Works Project Administration

In contrast to the private sector which is growing rapidly with few rules andregulations, the public sector follows established financial procedures and a management structurewhich covers the whole country. This is expressed in the hierarchical administrative structure andin the systematic technical standards adopted for implementing construction projects. The PWalsohas research facilities and laboratories for testing materials, soils and undertaking quality controlrequirements. There are also facilities for testing ways of producing appropriate building materialsand undertaking training programmes for employees. Since the beginning of November 1988,government departments and corporations are permitted to carry out construction and maintenancecontracts.

At the PW Head Office, preliminary civil engineering works and project supportingworks are carried out by professional staff under the Department of Architecture, QuantitySurveying and Design (known as ADQES). The department contains five architect groups, sixstructural design groups and six quantity surveyor groups. These groups are responsible forpreliminary engineering works in construction for various ministries, corporations and departments.The procedure is for work carried out by each group to reach an agreement with the appropriateministry client, depending on the service required (site inspection, design proposals, quantities andsupervision of construction). Each group consists of members from various disciplines: the architectprepares plans; the structural engineer makes calculations and prepares drawings; electrical andwater sanitation engineers make the appropriate inputs; quantity surveyors prepare cost estimatesand bills of quantities. The studies are forwarded to the appropriate engineers in the field forimplementation.

A list of works to be carried out by field engineers is compiled by the head officeand sent Ol,.lt to the divisions at the beginning of each fiscal year. The head office in conjunctionwith field engineers prepares cost estimates. Annual reports are prepared by division engineersbased on the prevailing prices of construction materials and labour charges in the correspondingStates. Various levels of authority may give approval of estimates as follows:

Level of Authority

Executive EngineerSuperintending EngineerChief Engineer (Roads)Chief Engineer (Planning)General ManagerManaging Director

(Source: PW)

Kyat (millions)

Up to 0.5Up to 1.0Up to 1.5Up to 2.0Up to 2.02.0 and above

Remarks

For road construction onlyFor road construction onlyFor building construction only

5

Buildings are designed in accordance with the "Construction Corporation's StandardSpecifications". This document (which was based on the previous "Burma Public WorksDepartment's Specification for General Works") now contains norms, standards and specificationsand is used by the PW. Building design also takes account of natural phenomena such asearthquakes.

Site visits are made by ADQES group members, by members of the independentinspectorate department of MOC each fiscal year and by the auditor general's office. If necessary,appropriate modifications are made in conjunction with site engineers. Quality control is undertakenby engineers at various levels of responsibility. When the work is finished, the site engineer handsover the buildings to the client Ministry with a completion certificate.

The PW as an SEE borrows its working capital interest free from the Government.If additional capital is required, the PW has access to loans from the State run Myanmar EconomicBank with current loans at 5 per cent interest rate, financial loan at 8 per cent and capital loansat 5 per cent. All SEEs are required by the Government to operate according to their work plansand meet the operating ratio, currently fixed for the fiscal year 1990/91 at 92.2 per cent.

Private Contractors

The PW operates under the constraints of government procedures and controls.Construction materials, for example, car, only be procured from government sources at officiallyfixed prices, often limiting adequate quantity. Other factors that can have an adverse effect on thework programme are lack of transport fuel, regulated payment for technical staff and employees.

Compared to the public sector, private contractors lack experience and technicalknowledge about the building industry. There are instances where government authorities haveofficially assigned engineers seconded from the public sector to supervise construction. Similarly,plant and equipment have been assigned from State enterprises and departments to privatecontractors to undertake specific projects. Where private contractors undertake contracts forgovernment departments, they are often provided with building materials by the appropriate clientMinistry. Public sector engineers are also hired privately by contractors to prepare plans afterGovernment office hours.

Construction work in the private sector lacks quality control. Standards andspecifications are not under the same systematic scrutiny as those undertaken by the public sector.There is no authoritative body or ~entral organisation to examine and approve the quality of workcarried out by private contractors. Compared to the public sector, private contractors are able to

. complete contracts within a short time because they are not bound by stringent building rules andregulations; they are free of bureaucratic pressures and can purchase materials in the open market.They can also compete for the services of technical experts.

Registration of private contractors takes place with the Township and DivisionalEngineers' Departments of the PW under three categories. First class contractors are with acapability of undertaking projects of Kyat 1.0 million and above; second class contractors with acapability of undertaking projects of Kyat 0.2 to 1.0 million; and third class contractors with acapability of less than Kyat 0.2 million. Registered contractors (recognised and hired by Ministriesand Enterprises) in Yangon, Mandalay and Bago Divisions for 1990/91 fiscal year are as follows:

6

Contractor Class Division

Yangon Mandalay Bago Total

First (Kyat 1.Om and above) 59 51 25 135

Second (Kyat 0.2 to 1.0m) 93 89 46 228

Third (up to Kyat 0.2m) 138 176 109 423

Total: 290 316 180 786

(Source: PW)

In accordance with recent government directives, the PW propose to concentrateon contracts for government departments requiring special skills. Some construction works maybe carried out jointly by both the PW and private contractors.

Consultants

Between 1970/71 and 1986/87, only 256 architects graduated from the YangonInstitute of Technology (YITl, compared to 2,660 civil engineers and 3,109 mechanical engineers(Table 8). Architects constitute 3 per cent of all engineering graduates from YIT over the 17 yearsperiod. Architects play a minor role in building construction activity compared to engineers. Thisis also reflected in the poor Quality in new building design and in high construction costs. So far,the level of building activity in Myanmar has not necessitated large scale building complexes.Therefore, the role that architects play has remained small compared to engineers who are alsoinvolved in road and bridge projects. However, with increasing involvement of the private sector,it is likely that the role of the architects will be more appreciated than up to now. There is anurgent need to design buildings at appropriate design and technical standards, including educationbuildings as well as large commercial complexes.

In the private sector, consultants generally charge a design fee of 2 to 3 per centof projects costing Kyat 1.0 million; 1 per cent for works costing between Kyat 3.0 to 9.0 million;0.5 per cent for works costing Kyat 10.0 million and above. The design fee is divided between thearchitect (30 per cent); the structural engineer (30 per cent); the Quantity survey (20 per cent); theelectrical engineer (10 per cent); and the sanitary and water supply engineer (10 per cent).Supervision fees are calculated between 2 to 4 per cent of project costs.

Tender Procedures

Priorto 1965, the majority of Government Departments contracted out constructionworks to private contractors. Between 1965 aAd 1988, all construction works were carried outby the State. Since 1988, some Departments commission their own construction and maintenancework to private contractors. Few government departments have experience in the kind of privatecontracting system practised prior to 1965 (although there is experience in the procurement ofmaterials through competitive tendering). To overcome the lack of contractual procedures, the PWin 1989 compiled and issued instructions and directives to all engineers and accounts officersundertaking construction works throughout the country, followed by training of personnel.

7

The PW has introduced a contract system in order to reduce cost throughcompetitive tendering. The contract system by which the PW undertakes construction work is infour parts. The first part requires the preparation of a schedule of rates, the drawing up of a workauthority and a builder's estimate. The PW has issued a handbook under the title"Analysis ofRates" to assist in estimating materials and labour in the various regions, while taking account oftransportation costs in the different parts of the country.

Construction works costing more than Kyat 50,000 require tendering. Smallercontracts than this amount are awarded directly to contractors with the following considerations:

• There should be as little discrepancy as possibh~ in the value of the worksgiven to each contractor;

• Equal distribution of difficult and easy construction works.• Equal distribution of profitable works.

The second part of PW's contract system deals with the preparation of tenders andtender procedures. In addition to the lowest tender being a major factor in awarding contracts,criteria which are taken into consideration are the contractor's financial capability, experience andreliability. Once the contractor is chosen and having deposited the appropriate money securities,contracts are signed and a work order is issued. Depending on the type of construction work, thefollowing officials in the PW are authorised to sign contracts:

Authority Contract Size (Kyat Commentsmillions)

Executive Engineer 0.5State/Division Engineer 1.0Chief Engineer (Roads) 1.5 For roads and bridges onlyChief Engineer (Planning) 2.0 For roads and bridges onlyGeneral Manager 2.0 For building contracts onlyManaging Director 2.0 and over

(Source: PW)

The third part of PW's contract system deals with supervIsIon includingconstruction, issuing materials and checking measurements). The fourth part is concerned withinterim payment regulations.

The PW issues tender notices to the State Division Engineers, Executive Engineersand Township Engineers with the region where the construction work is to be carried out. Forcontracts over Kyat 1.0 million, tender notices are also advertised in English and Myanmarnewspapers.

Construction Costs

Government Departments generally use the rate per square foot as the "plinth areaestimate" for cost purposes. This rate (known as PAE) has been increasing by 15 to 20 per cent

•

•

8

every year due to rising costs in materials and labour (during the summer and cold seasons whenconstruction can take place). A scarcity of basic construction materials, particularly in recent yearsand high transportation charges contribute to an increase in construction costs. The PAE rates forbuilding construction over a period of three years is shown in Table 9.

The cost of materials rises with increasing transportation charges. These basiccosts require an additional valuation cost for remote and frontier areas and areas with particularsubsoil problems as shown below:

Area Addition %

(a) Putao, Kawthaung Area 120(b) Remote areas in Chin, Rakhine and Shan States; and for Taninthayi 60

Division(c) Black cotton soil conditions 36(d) Other remote areas 36

(Source: PW)

According to the PW, the cost of construction work is made up of 70 per cent formaterials and 30 per cent labour. Contingencies are calculated as 7.5 per cent of total cost ofmaterial and 5 per cent of labour costs. The PW charges 9.27 per cent of the total cost ofconstruction costs as fees. The· PW, as an SEE is permitted to put up service charges ordepartmental charges to pay their employees (PW does not receive salaries for employees directfrom the government).

CHAPTER III

BUILDING MATERIALS AND PLANT

Building Materials

Table 10 provides lists of locally produced and imported building materials. Table11 shows the annual amounts of locally produced materials (most construction materials are locallyproduced but not in enough quantities). Table 12 shows the amounts of locally produced andimported materials. The Ministry of Trade (MOT) distributes locally produced electrical goods andconstruction materials to private contractors. The PW purchases locally produced constructionmaterials from the Ministry of Industries (MOl). River shingles, and other basic materials arepurchased from private sources and co-operatives. Where materials are not available locally, andhave to be imported, a foreign exchange permit is required from the government. The MyanmarForeign Trade Bank pays the cost of the materials in foreign currency on behalf of the PW. Theequivalent in local currency is paid in the bank by the PW. The cost of materials is shown in Table13.

Availability of construction materials is a key factor in completing projects onschedule, building to acceptable standards and specifications. Expanding" construction activity inMyanmar demands increasing quantities of locally produced materials. Since 1988/89 fiscal yearthere has been a continuous activities of state enterprises, co-operatives and the private sector,demanding more building materials than in previous years. Consequently, there is a major shortageof materials compared to demand.

Private contractors purchase construction materials in the open market at theprevailing prices for medium size buildings. Normally private contractors are supplied with buildingmaterials for particular projects by client Ministries. The price of building materials purchased in theopen market is three times higher than prices shown in Table 9. The general rise in prices isestimated at 7.5 per cent by the State industries and 10 per cent by co-operatives.

Equipment and Plant

In Myanmar, labour intensive methods are used to reduce the need for heavy plantand machinery. The State sector makes use of intensive labour for small and medium constructionprojects. Large projects involving joint ventures with foreign companies, make use of modernequipment and machinery. The PW has some equipment and machinery for its projects whereasco-operatives and private sector firms have few, if any. It is usual for the State sector to loan plantand equipment to private contractors working on public sector projects.

The PW has a Mechanical Department which undertakes the repair and maintenanceof construction equipment, plant and machinery. Two basic workshops have been established: onein Mandalay for Upper Myanmar and the other in Yangon for Lower Myanmar. The sameworkshops are responsible not only for repair and maintenance of plant and equipmen~ but also forthe production of concrete mixers.

CHAPTER IV

EDUCATIONAL BUILDINGS

Basic Education

The Department of Basic Education's (DBE) target is to build annually 25 highschools, 70 middle schools and 2,000 primary schools. Table 14 shows the extent of educationbuildings constructed by the PW. The majority of primary. schools is undertaken by the individualcommunities, while the public sector builds many of the middle and high schools. Since 1973, theState sector has responsibility only for "carried over" construction work. New projects are nowturned over to co-operatives and private contractors.

The PW has produced standard designs, based on DBE standards of 18 sq-ft perpupil, allowing 40 pupils per classroom. The majority of schools under the DBE are either timberbuildings or "brick nogged" buildings. (Timber framed with brickwork infilll.

The school building output is aimed towards construction and not maintenance andrepairs. Funds allocated for maintenance are scarce and are divided among a large number ofschools. The amount for each school is small and ineffective. Parent Teacher Associations andindividual private donors provicie funds for the maintenance of specific items whenever possible.Maintenance budgets for educational buildings over a period of five years are shown in Table 15.

Higher Education

The Department of Hiqher Education (DHE) now engages contractors from- theprivate as well as the public sector for the construction of blJildings. Since 1975, there are estateengineers offices established for maintenance within individual campuses.

CHAPTER V

CONCLUSION

The construction sector in Myanmar consists of three types of contractors: thepublic sector (undertaking 82 per cent of the work load), the private sector (16 per cent) and thecooperatives (2 per cent). The fastest growing sector is the private sector. The increase of privatesector work load since 1986/87 fiscal year has been 1 to 3 per cent annually. The cooperativeshave remained static in output, mainly due to lack of investment for development.

The construction sector is in a transitional stage. The public sector is wellorganised, but limited by a wide range of procedures and regulations. The private sector is in itsinfancy and lacks expertise and infrastructure.

There is a lack of comprehensive country wide building regulations and codes, thuslimiting quality control in design and construction.

Whereas the public sector has adequate professionals and technicians, there is ashortage of architects with skills in the design of spaces and the detailing of buildings.

Both public and private sectors face difficulties in trained manpower andconstruction management. There is a vital need to initiate training facilities for private sectorpersonnel and increase opportunities for training the labourforce in the public sector.

The country does not have established and recognised tendering procedures to befollowed by all involved in the construction sector. Where tendering procedures do exist, they areapplied locally to individual government departments.

There are wide variations in construction costs, ranging from additions of 36 to120 per cent in remote areas.

There is an acute lack of materials (both in quality and quantity) due to a heavydemand by the construction sector. The amount of materials imported for use by the public sectoris decreasing due to a lack of foreign exchange. The private sector is not restricted by governmentprocedures and is able to purchase materials on the open market. The production of material locallyis limited by shortages of fuel, power energy and foreign exchange. Production by the privatesector should be encouraged and assisted by the Government.

The public sector has limited supply of plant and equipment. The private sector andcooperatives are virtually without plant and equipment and rely on the public sector to provide foruse on government contracts.

The lack of quantity and quality of building materials affect the construction andmaintenance of education facilities.

The private sector is undertaking an increasing proportion of school building,although the public sector and cooperatives continue to be active in this field.

Over the last three decades, little attention has been given to school infrastructure.It is now urgent to consider an infrastructure unit, possibly within the Ministry of Education (MOE)

12

to safeguard its interest in the provision of facilities by promoting appropriate design standards andsupervising the construction and maintaining of education buildings. This consideration isparticularly relevant during this transitional period in the construction sector.

Table 1Construction Sector Output Over the last Five Years

Sub-Sector Financial Years (Kyat Millions) Averageover 5

1985/86 1986/87 1987/88 1988/89 1989/90 years (%)

State Sector 1,956 2,169 1,965 1,796 3,522 82

Co-operative 30 38 39 43 26 2Sector

Private Sector 344 351 351 426 799 16

Total: 2,330 2,558 2,355 2,265 4,347 100

(Source: Report to Pyithu Hluttaw; Union of Myanmar Report)

Table 2Construction Sector - Public Works load within State Sector

Sub-Sector Financial Years (Kyat Millions) Total

1985/86 1986/87 1987/88 1988/89 1989/90

Public Works 1,370 1,379 1,444 1,386 1,290 6,869

(Source: Report to Pyithu Hluttaw; Union of Myanmar Report)

Table 3Organisation Chart of Public Works

•

> STATE/DIVISION ENGINEERSI I I r---->DIRECTORS >DIRECTORS DIRECTOR

-- MANPOWER DEPT. -- PLANNING DEPT. I ROAD/BRIDGES DEPT. If----- 1. Kachin Statef----- 2. Kayah State

- ADMIN: DEPT. !- -- ARCHITECT DEPT. f----- 3. Kayin Statef----- 4. Chin State

- ACCOUNT DEPT. -- DESIGN/Q.S DEPT. f----- 5. Sagaing DivisionI-- 6. Tnaninthayi Division

-- STORES DEPT. I-- 7. Bago DivisionI-- 8. Magway Division

- SANIT:W/SUPPLY DEPT. I-- 9. Mandalay Divisionf----- 10. Mon State

- MECHANICAL DEPT. f----- 11. Rakhine Statef----- 12. Yangon Division

- ELECTRICAL DEPT. f----- 13. Shan State'---- 14 Ayeyarwady Division

II I I I I

IHIGHWAY PROJECT UNITS(4)1 IBRIDGE PROJECT UNITS(2)1 ICONSTRUCTION UNITS (14) I I REGIONAL UNITS (39) I ITEMP: PROJECT UNITS(3)1

IITOWNSHIP OFFICES (307)

I

14

Table 41989 List of Construction Co-operatives

•

CO-OPERATIVES LOCATION

1.

2.

3.

4.

5.

6.

7.

8.

9.

Civil Engineers Construction Co­operative

AGTI Construction Co- operative

Architects Construction Co-operative

Construction Co-operative

Construction Co-operative

Construction Co-operative

Construction Co-operative

Saytanar Construction

Yedashe Construction Co- operative

Insein

Insein

Insein

Kamaryut

N. Okkalapa

S. Okkalapa

Hlaing

Hlegu

Yedashe

Iron Fitting Production

10. A-lin-Yaung Industrial Co-operative Pazundaung

Grille Works Production

11 . Zar-Ni-Lun Industrial Co-operative Kyimyindine

Construction Materials Production

12. Sein-Pan Industrial Co-operative Mandalay

(Source: MOC)

15

Table 5Public Works Manpower Development

Financial ManpowerYear

Workload Regular Construction Temporary Total(Kyat. billions) Employees Trades Labour

1979/80 60 8,025 11,445 5,328 24,7981980/81 85 7,933 16,100 9,219 33,2521981/82 98 7,818 14,211 14,189 36,2181982/83 122 7,940 16,613 18,987 43,5401983/84 144 8,013 15,833 24,892 48,7381984/85 148 7,966 14,804 31,985 54,7551985/86 138 8,264 14,690 24,890 47,8441986/87 137 8,448 15,172 23,730 47,3501987/88 144 8,573 14,775 25,366 48,7141988/89 138 8,668 14,510 23,650 46,828

(Source: PW)

Table 6Fiscal Year 1989/90 Manpower Skills and Qualifications

PW Employees Regular Trades Temporary Total

Engineer GraduatesCivil 629 - - 629Mechanical 54 - - 54Electrical 61 - ~ 61

Engineer Diplomas:Civil 1,7 i 1 - - 1,711Mechanical 113 - - 113Electrical 133 - - 133

Other Graduates: 89 - - 89

Skilled Workers: 3,178 1,216 - 4,394Semi-Skilled Workers: 2,006 6,931 - 8,937Ordinary Workers: 773 6,218 - 6,991Work Charge/Daily Wage Workers - - 24,335 24,335

Totals: 8,747 14,365 24,335 47,647

(Source: MOC)

16

Table 7aTrained Construction Workers at the PW Central Training Centre

Year Carpenters Masons Bar-Benders Plumbers Electricians Total

1972/73 212 130 69 30 30 4711973/74 116 105 44 39 45 3491974/75 141 141 47 33 84 4461975/76 31 16 10 53 91 2011976/77 42 26 9 66 93 2361977/78 78 49 41 109 86 3631978/79 187 163 65 93 91 5991979/80 79 48 34 25 75 2611980/81 135 85 29 59 69 3771981/82 74 48 43 - 27 1921982/83 57 48 26 - - 1311983/84 47 40 - - 19 1061984/85 64 43 - - 40 1471985/86 19 22 64 19 -18 1421986/87 64 53 128 51 55 3511987/88 68 49 73 56 71 3171988/89 51 27 42 15 20 1551989/90 48 38 36 61 17 200.Total: 1,513 1,131 760 709 931 5,044

(Source: Central Training Centre, PW.)

Annex 7blist of Certificate Holders of Technical High Schools (2.5 Year Courses)

Year 1981/2 1982/3 1983/4 1984/5 1985/6 1986/7 Total

Radio 17 80 53 48 72 72 396Electrical 148 135 109 121 107 130 750Welding 97 99 87 107 89 64 543Lathe 192 150 160 211 196 184 1,093Auto-Mechanic 281 286 230 301 311 362 1,771Construction 219 232 217 256 224 181 1,329Plumbing 42 39 28 29 17 14 169Fitter 26 19 40 91 86 68 330

Total: 1,076 1,040 924 1,164 1,102 1,075 6,381

(Source: DTA VEl

17

Table 8alist of Yangon Institute of Technology Engineering Graduates over a Period of 17 Years

(1970/71-1986/87)

1. Civil Engineers 2,6602. Mechanical Engineers 3,1093. Electrical Engineers (Power) 9874. Electrical Engineers (Communication) 9285. Architects 256

Total: 7,840

(Source:YIT)

Table 8bGovernment Technical Institutes Diploma Holders (Three Year Course)

Year Civil Elec. Elec. Mech. Mech. TotalPower Comm. Power Tools

1982/83 416 240 53 206 70 9851983/84 403 221 49 155 100 9281984/85 424 226 53 206 85 9941985/86 444 273 53 241 158 1,1691986/87 499 338 58 279 165 1,339

Total 2,186 1,298 266 1,087 578 5,415

(Source GTL)

18

Table 9Building Costs (Plinth Area Estimates)

Type of Building Kyat per sq-ft Remarks

1987/88 1988/89 1989/90

1. A) Timber building 85 100 120 A.C or C.I sheet. (Single storey) roofingB) Timber building 72 90 108 wagat roofing

(Single storey)2. A) Timber building 155 170 204 A.C or G.C.I sheet

(Double storey) roofingB) Timber building 150 160 192 wagat roofing(Double storey)

3. Brick nogging 105 120 144 A.C roofing(Single storey)

4. Brick nogging 195 210 252(Double storey)

5. 9" Brick building 130 145 174(Single storey)

6. 9" Brick building 220 235 282 with timber floor(Double storey)

7. R.C.C. building 230 245 294(Single storey)

8. R.C.C.Building 210 225 270 per storey(Triple storey and above)

9. R.C.C. building 460 480 576(Double storey)

Godown C.I 85 90 1081. Godown Brick Nogging 100 110 1322. Godown 9" Brick 120 130 1563. Godown R.C.C. 147 160 192

19

Table 10Range of Locally Produced and Imported Materials

A: Locally Produced Building Materials:

1.2.3.4.5.6.7.8.9.10.11 .12.13.14.15.16.17.18.19.20.

B:

1 .2.3.4.5.6.7.

(Source: MaC)

SandRiver ShinglesBricksCementGlass SheetsPaintsReinforcement Bars and CoilsWire NailsAsbestos Roofing SheetsAsbestos Ceiling SheetsClay Roofing TilesP.V.C. PipesCeramic Sanitary WaresPipe FittingsDoors and Window FittingsPlywood SheetsTeakPyingadoe and other kinds of hardwoodPetrolDiesel Oil

Imported Building Materials:

Galvanized C.1. Roofing Sheets (various sizes and gauges)Galvanized Iron Plain Sheets (various sizes and gauges)Galvanized Cast Iron Pipes (different diameters)Sanitary Wares and Pipe FittingsElectrical Wires and FittingsDoor and Window FittingsEnamel Paints

20

Table 11Locally Produced Construction Materials

No. Materials Unit 1985/86 1986/87 1987/88 1988/89

A: Production of Construction Materials (OOOs)

1 Brick No. 115,602.00 135,174.00 145,322.00 101,817.00

2 Cement M Ton 434.60 451.53 94.31 262.43

3 Glass M Ton 3.89 8.47 6.55 2.60

4 Wire Nails M Ton 2.50 0.60 1.30 '0.80

5 Petrol Gal 69,419.00 65,960.00 53,038.00 45,037.00

6 Diesel Oil Gal 101,277.00 80,568.00 74,460.00 72,732.00

7 Plywood CubiC Ft 30.40 15.44 19.07 23.34

8 Enamel Paints Gal 248.29 252.21 138.99 172.45

9 Bulb No 3,366.00 2,945.00 1,395.00 3,600.00

10 Fluorescent No 454.00 422.00 496.00 340.00Tubes

B: Production of Timber

1 Teak (scantling) Cubic Ton 96,067.00 101,831.00 70,720.00 66,680.00

2 Other Hardwoods CubiC Ton 236,058.00 214,640.00 138,572.00 118,540.00(scantling)

C: Other Building Materials

1 Roofing Sheets Ft 4,971,492.00 3382,143.00 1758,014.00 1377,933.00

2 Ceiling Sheets Sheet 326,748.00 351,135.00 182,458.00 101,365.00

3 Ridging Pairs 107,319.00 41,360.00 32,004.00 25,915.00

(Source: Report to Pyithu-Hluttaw; Union of Myanmar Report)

Table 12Sales of Construction Materials

Sales in Kyat, Million 1985/86 1986/87 1987/88 1988/89 Total

Locally Produced 567.4 547.2 442.5 339.2 1,896.3Construction Materia'ls

Imported Construction 505.1 583.5 691.1 Not (1,779.7)Materials available

Total: 1,072.5 1,130.7 1,133.6 (339.2) (3,676)

(Source: Ministry of Trade)

21

Table 13Unit Cost of Materials

Particular Unit Cost per Unit (Kyat)

1987/88 1988/89 1989/90

Cement Ton 545.00 1,098.00 2,150.00Brick Nos 420.00 637.00 1,055.00River Single Cft 485.00 995.00 1,200.00Sand Cft 50.00 195.00 280.00Teak Scantllng Ton 4,350.00 5,370.00 5,700.00Teak Plank Ton 4,576.00 5,570.00 6,000.00PYlnkadoe Scantllng Ton 2,800.00 3,290.00 4,720.00PYlnkadoe Plank Ton 3,020.00 3,490.00 5,020.00Jungle Wood Scantling Ton 2,000.00 2,294.00 2,970.00Jungle Wood Plank Ton 2,220.00 2,494.00 3,270.00

A.C. Corr "Big SIX"

7 foot Sheet 64.00 64.00 144.258 foot Sheet 73.00 73.00 170.55A.C "Trafford" Sheet7 foot Sheet 61.00 61.00 149.258 foot Sheet 69.00 69.00 170.55C.G.1. Sheet 28G Sheet7 foot Sheet 53.20 53.20 157.308 foot Sheet 65.00 65.10 179.00C.G.1. Sheet 32G Sheet7 foot Sheet 40.30 40.30 48.408 foot Sheet 45.95 45.95 55.25

G.1. Plan Sheets 28G 8' X 3' Sheet 76.20 76.20 52.25

Roofing Nails, 2 1/2" (Local) C.w.T 130.60 130.60 465.00

A.C. Plain Sheet 4' x 4' x 5/32 Sheet 22.00 22.00 53.65

M.S. Rods Bars 7/8" - 1" - 1 1/4" Ton 7,212.80 7,212.80 7,212.80

Diameter1/2" - 5/8" - 1/4" - 5/16" - 3/8" Ton 7,840.00 7,840.00 7,840.00

Wire Nail (All sizes) C.w.T 425.60 425.60 1085.00

Paint Oil "BURPOL" Gal. 127.90 127.90 215.90

Paint Oil"BURPAT" Gal. 133.25 133.25 184.45

Glass Sheets "Grade A"3mm thick 24" x 36" Sheet 39.80 39.80 41.504mm thick 24" x 36" Sheet 53.05 53.05 53.05

(Source: MOC)

22

Table 14Expenditure on Education Building Construction

Year OHE OBE OTAVE Total:(Kyat Millions)

1987/88 39.33 97.95 30.93 168.211988/89 32.34 63.52 23.86 119.721989/90 38.80 78.48 15.05 132.33

Total: 110.47 239.95 69.84 420.26

(Source: MOE)

Table 15Expenditure on l\IIaintenance of Education Buildings

Year OBE OHE OTAVE OHM TOTALKYAT (000)

1985/86 21,760 21,217 4,018 757 47,7 521986/87 29,977 29,423 4,479 806 64,6851987/88 38,695 27,778 3,360 1,106 70,9391988/89 40,510 26,717 2,351 2,325 71,9031989/90 187,696 40,137 1,647 5,816 235,296

Total 318,638 145,272 15,855 10,810 490,575

(Source: MOEj

BmLIOGRAPHY

Central Statistical Organisation. Selected Monthly. Economic Indicators Statistical Paper No. 3.Yangon, May/June 1989.

Construction Manpower Management, Manpower Department. Public Works. Yangon, 16thJanuary 1990.

Planning Department. 1989/90 Annual Report on the Planning Department. Public Works byDirector of Engineers (Planning), Yangon, 27 th June 1989.

Price List of Construction Materials. Yangon Division, Public Works, Yangon, 1987/88,1988/89, 1989/90.

Public Works Directives for Implementing Works with a Contract System. Public Works,Yangon, 26 th December 1988.

Pyithu Hluttaw. Reports to the Pyithu Hluttaw. Yangon, 1987/88-1988/89.

A Short Report of the Nature of Work of the Public Works and Existing Rules and Regulationsby Chief Engineer (Planning), Yangon, 29 th August 1990.

Short Report on the Public Works Operating on a State Economic Enterprise Basis. PublicWorks, Yangon, 24 th August 1990.

Union of Myanmar Report on Financial, Economical and Social Aspects. Ministry of Finance andPlanning, Yangon, 1989/90-1990/91.

Works of the Ministry of Construction, Manpower Department. Public Works. Yangon.

LIST OF WORKING PAPER SERIES

1. Education Data Review and Analysis

1.1

1.2

1.3

1.4

1.5

Performance Indicators in Basic Educationby U Saw Win (Institute of Economics).

Performance Indicators in Higher Educationby U Thein Htay (DHE).

Performance Indicators in Technical, Agricultural and Vocational Educationby U Myat Naing (MERB) and U Nyunt Maung (DTAVE).

Quantitative Review of Education Staffby U Tun Hla and U Myint Thein (DBE).

Population Projections (1983-2013) by U Nyan Myint (Institute of Economics).

2. The Quality of Education

2.1

2.2

2.3

2.4

2.5

Teacher Quality by Daw 00 Khin Hla (Institute of Education).

Pedagogy by [)aw Nu Nu Win (Institute of Education).

Curriculum by U Myint Han (MERB).

Student Evaluation by Dr. Khin Saw Naing (Institute of Medicine 2).

Student Characteristics by U Maung Maung Myint (DBE).

3. Education and Employment

3.1

3.2

3.3

3.4

3.5

3.6

Manpower Demand and Employment Patterns in a Changing Economyby Dr. Thet Lwin (Institute of Economics).

A Tracer Study of Recent Graduates: Implications for Education and ManpowerPlanning by U Kyaw Kyaw (Department of Labour).

Linkages between Training Institutions and Employersby U Tun Aye (Ministry of No.1 Industry)' Daw Myint Myint Yi (Institute ofEconomics) and U Van Naing (DBE).

Education and Work Performance (A Survey of Employers' Perceptions) by DawHla Myint (Institute of Economics).

Non-Formal Education in Myanmar by Daw Win Win Myint (Institute ofEconomics) and Daw Lai Lai Yu (MERB).

Labour Market Institutions in Myanmar by U Kyaw Kyaw (Department of Labour).

4. Costs and Financing of Education

4.1

4.2

4.3

Management and Administration of the Education Budget by Dr. Khin Ohn Thant(Ministry of Planning and Finance).

Government Expenditure on Education by Oaw Soe Soe Aung (Institute ofEconomics) .

Non-Government Expenditure on Education by U Saw Gibson (Yangon University).

5. Education Infrastructure

5.1

5.2

5.3

5.4

The Construction Sector by U Tet Tun (Ministry of Construction), U Nyi Hla Nge(Yangon Institute of Technology), Oaw Naw Joy Loo (Institute of Medicine 1) andOaw Win Win Maw (Institute of Medicine 1).

A Comprehensive Survey of Education Facilities by U Sein Myint (OBE), U NyiHla Nge (Yangon Institute of Technology), Oaw Win Win Myint (Institute ofEconomics), Oaw Naw Joy Loo (Institute of Medicine 1), U Saw Wynn (OBE) andOaw Win Win Maw (Institute of Medicine 1).

The Provision of Infrastructure by U Nyi Hla Nge (Yangon Institute ofTechnology), U Nyunt Hlaing (Ministry of No.1 Industry), U Tet Tun (Ministry ofConstruction) and U Sein Myint (OBE).

Norms and Standards for Education Facilities by U Nyi Hla Nge (Yangon Instituteof Technology), Oaw Win Win Maw (Institute of Medicine 1), and U Tet Tun(Ministry of Construction).

6. Organization and Management of the Education System

6.1

6.2

6.3

Organization and Management of Basic Education by Oaw Hla Kyu (OBE) and UMyint Thein (OBE).

The Cluster System for Primary Schools by U Myint Han (MERB).

Organization and Management of Universities and Colleges by U Saw Gibson(Yangon University) and U Thein Htay (OHE),

7. Special Studies

7.1

7.2

7.3

7.4

Economics and Business Education by Oaw Cho Cho Thein (OBE),

The Teaching of Science and Technology by U Khin Maung Kyi (OBE),

The Teaching of English by Dr. Myo Myint (Yangon University),

Higher Education by U Myo Nyunt (Institute of Education)