APPLYING LICENSE WITH PKK?

CLASS & PAYMENT

Classification, Dan Finance's Limit Registration Fee

Class And Fee Of Civil Work Contractor

Class	Process Fee (RM)	Registration Fee (RM)	Renewal Fees Every 2 Years (RM)
A	100	5000	2500
B	100	3000	1500
C	100	500	250
D	50	250	125
E	50	150	75
F	50	75	38 (3 Tahun

Finance Limit (Working Cost) Of Civil Work Contractor
(Amendment follow Pekeliling Perbendaharaan Bilangan 14 Tahun 2002)

Class	Finance Limit (RM)
A	Over RM 10,000,000
B	RM 5,000,001 Until RM 10,000,000
C	RM 2,000,001 Until RM 5,000,000
D	RM 500,001 Until RM 2,000,000
E	RM 200,001 Until RM 500,000
F	Until RM 200,000

Class and fee for Electrical contractors

Class	Process Fee (RM)	Registration Fee (RM)	Renewal Fees Every 2 Years (RM)
I	100	1500	750
II	100	500	250
III	50	250	125
IV	50	150	75

Finance Limit (Working Cost) Of Electrical Contractor

Class	Finance Limit (RM)
I	Over RM200,000
II	Until RM1,000,000
III	Until RM500,000
IV	Until RM200,000

Other Fees
Payment others imposed is to subsequent work :-

Head Added and Sub Head.

A- RM 30.00 every added Head without any class.

Registration Class Rise
B- Difference between new class and class registration fee first

* All payments should made on PKK Director's name with barred through either from four way under :-

• Bank Draft
• Postal Money Order
• Cashier's Order
• Postal Money

* A official receipt will be issued to the company once payment received

Scope of Work

Head and Sub Head For registration Civil Work Contractor

Head
Head I	Civil Engineering Works
Head II	Building Works
Head III	Mechanical, Sanitary and Water Engineering Works
Head IV	Other Specialist Civil Engineering Works
Head V	Quarrying Metal and Earth Supply, Cartage and Transport
Head VI	Forest and Land Development
Head VIII	Telecommunication Works

Head And Sub-Kepala To Electric Contractor Registration

Head	Sub-Head
Head VII	1	General wiring works
	2	Control system wiring
	3	Overhead line installation low voltage and underground cable
	4	Underground cable installation exceeding 1 KV up to and including 11 KV
	5	Installation logi generation up to and including 1 KV
	6	Installation logi high voltage generation
	7	Underground cable installation which exceeded 11 KV
	8	Overhead line installation including delivery tower 6.6 KV on
	9	Cleaning cross to 6.6 KV and on
	10	High voltage equipment installation : (a) to and including 11 KV (b) Over11 KV
	11	Public street lighting installation
	12	Airport rigging
	13	Specific light installation such as stadium light and lamp area overflow, stage light and etc
	14	Power supply system installation without interruption
	15	Electrical engineering system installation / low voltage electronics addition such as attachment system and mover, security system etc
	16	Sound System

COMPANY REGISTRATION

A company, business, co-operative society or organization which is interested to be registered as a work contractor or electric contractor is required to be incorporated or registered in this country with one of the following departments:-

• Business Registration
• Company Registration
• Cooperative Development Department.
• Farmers’ Association Board.
  

Company Financial Position

In order to be eligible for consideration for the requested class, a company should own a minimum capital as follows:-

Civil Work Contractor Registration

Class	Paid-up Capital /Minimum Accumulated Capital (RM)
A	600,001
B	400,001
C	100,001
D	35,001
E	17,501
F	10,000

Electric Works Contractor Registration

Class	Paid-up Capital /Minimum Accumulated Capital (RM)
I	100,001
II	50,001
III	25,001
IV	7,501

Equity

Only companies, businesses, co-operatives or organizations which own 100% additional equity (equity held by Malaysian citizens) may be considered for registration for all class, heads and sub-heads.

Companies, businesses, cooperatives or organizations which own foreign equity (non Malaysian citizen) may still be considered for registered subject to the following conditions :-

• Maximum Foreign Equity limited to 30% of the company's paid up capital.
• When Foreign Equity is present, Bumiputra equity should not be less than 30% of the company's paid up capital.
• Grants for Head and sub head I, II, IV are subject to the Treasury Circular No.15 year 1986 dated 25 July 1986 and amendments dated 6 January 1987. It needs to be included as a specific term at the company’s registration certificate.
• Foreign citizens working with a company are required to obtain a work permit from the Malaysia Labour Department or the Malaysia Immigration department.

Involvement of More Than One Company

An application could not be given consideration or for a registered company, the registration will be cancelled if :-

• Members of the Board Of Directors or share owners own shares exceeding 5% or RM50, 000 (whichever is less) in any company registered with PKK in the same work area or work head .
• Members of the management or technical qualified staff are actively involved in any company registered with PKK in the same work area or work head.
• Individual businesses enrolled in low registration class which set up partnership business or Private Limited Company / Berhad and subsequently registered with a higher class would have its lower class individual business registration for the same work head that has been approved for partnership business or Private Limited Company / Berhad cancelled.

General Terms of Registration

• Registration approval is given based on information that has been presented by the company.
• Any appeals on the application results (approved/ rejected) need to be presented to the PKK Director within 3 months from the date of the offer letter for registration or rejection of application. Appeals received after this period will not be considered.
• Any changes on the information should be submitted to PKK within 21 days from the day of change.
• PKK entitled to cancel or suspend a company registration without any notice if the company fails to submit the required information.
• The original copy of registration certificate should be presented with tender or quotation documents.
• Registration is only approved for the period 2 years
• A company should submit an application for registration renewal three (3) months prior to the expiry date.
• A renewal application which is received after the registration expiry date will be considered as a fresh application and will be subjected to the processing fee and full registration fee.
• For the registration of Class B work contractors, the company should have a technical officer except for general head and sub-head only.
• For the registration of Class I electrical contractor, the company should have an Electrical engineer and Class A Wiring Contractor Certificate with the Electrical Inspection Board Department.
• Registration for class F contractors is specifically for company / business 100% Bumiputra

Areas Of Operation

Throughout the Country

• Class A, B and C
• Class D and E Bumiputra status
• Class F
• Class I, II, III and IV

In the state of registration Only

• Class D and E

In the registered district administration or Federal Territory area.

• Only class F for voting of quotations and requisitions.

Company Officials

Company officials stated in the registration certificate are representatives authorized to sign all the company's contract documents and to take or authorize in writing to company employees to take a tender form.

TERMS & CONDITIONS FOR COMPANY REGISTRATION

A company, business, co-operative society or organization which is interested to register as a work contractor or electric contractor is required to be incorporated or registered in this country with one of the following departments

• Company Registration
• Business Registration
• Cooperative Development Department
• Farmers' Association Board

Company Financial Position

In order to be qualified to be considered for the applied class, a company should own a minimum capital as follows:

Civil Work Contractor Registration

Class	Paid-up Capital /Minimum Accumulated Capital(RM)
A	600,001
B	400,001
C	100,001
D	35,001
E	17,501
F	10,000

Electric Works Contractor Registration

Class	Paid-up Capital /Minimum Accumulated Capital(RM)
I	75,001
II	50,001
III	25,001
IV	7,501

RELATED INFORMATION & DOCUMENTS

A company, business, cooperative or organization when applying for a new application, class upgrade, additional head/ sub-head, special authorization change in company name or renewal of registration should also present information and documents related to the establishment and its activities along with the relevant application form.

Important information and documents

Important information and documents that must be enclosed with the application form are:-

For companies registered with the company registration (Sdn Bhd Or Berhad)

• Copy of form 9 Perakuan Perbadanan and 'Memorandum and Articles of Association'.
• Copy of form 13, 'Certificate of Incorporation on Change of Name Of Company' if there is a change in the company name.
• Copy of form 49, 'Return Giving Particular in Registration of Particulars WHICH HAS BEEN CERTIFIED BY THE COMPANY REGISTRAR.
• Copy of form 24, 'Return of Allotment of Shares WHICH HAS BEEN CERTIFIED BY THE COMPANY REGISTRAR.
• If company shares are also owned by the company / other companies, FORM 24 AND 49 THAT HAVE BEEN CERTIFIED BY THE COMPANY REGISTRAR and THE IDENTITY CARD NUMBER OF THE NOMINEE IN THE FORM 24 OF THE COMPANY/ COMPANIES must be presented.
• Share transfer certificate that has been stamped by the stamping office, if involves transfer of share ownership.
• Name list of all KWSP form employees (Employees Provident Fund).
• List of names and identity card number, name of all shareholders, members of the Board of Directors and key personnel of the company.
• Copy of certificate or letter of approval owned by members of the Board of Directors, shareholders, company management members that have been certified by Oath Commissioner/ Penghulu/ Group A government officers.
• Copy of Certificate of Loyalty issued by the Electrical Inspection Board Department and certified by the Oath Commissioner, Penghulu or Group A government officers.
• Copy of Certificate of Registration as the wiring contractor issued by the Electrical Inspection Board Department and certified by the Oath Commissioner, Penghulu or Group a government officers.
• Letter of ‘Agency Right’ or support letters from manufacturer/ Distributor/ supplier of mechanical equipment under Head III.

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For businesses registered with the Business (Individual Or Partnership)

• Form 'A' registration of business certified by the registrar.
• Form 'B' Registration of Changes in Business certified by the registrar.
• The latest Form 'D' 'Certificate Of Registry' certified by the registrar.
• Registered Partnership agreement letter certified by Oath Commissioner or Group 'A' government officers/ Penghulu.
• Bank statement under the business name for the last three (3) months.
• Confirmation letter of financial facilities under the business name issued by the banks or other financial institutions.
• Copy of certificate of savings or shares under the business name.
• Letter of permanent property assessment under the business name that is made by an accredited valuer (for individual businesses, it can be done under the owner’s name)
• Lists of all management team, employees and business KWSP form.
• Identity card number of all Shareholders, Management Members and key personnel of the company.
• Copy of certificate or letter of approval owned by the owner, shareholders, management members and company employees certified by the Oath Commissioner, Penghulu or Group A Government Officers.
• Copy of Certificate of Loyalty issued by the Electrical Inspection Board Department to the business competent employee, certified by the Oath Commissioner, Penghulu or group A government officers.
• Copy of Certificate of Registration as the wiring contractor certified by the Oath Commissioner, Penghulu or group A government officers.
• Letter of ‘Agency Right’ or support letters from supplier/ distributor of mechanical equipment under head III.
• Letter from the relevant government departments related to the sub-head under head III.

For cooperatives or organizations registered with the Cooperatives Development Department or the Farmers’ Association Board

• Form of acknowledgement or Certificate of registration of cooperative/ organization with the Cooperatives Development Department/ Farmers’ Association Board
• A copy of cooperative/ organization establishment legislation.
• Letter of support for application by the Cooperatives Development Department/Farmers’ Association Board
• A copy of the minute for the latest meeting showing the appointment of members of the Board of Directors or committee members of Cooperative/ organization.
• A copy of the cooperative/ organization latest annual report that has been audited.

• Bank statement under the name of the cooperative/ organization for the last 3 months.
• Letter of confirmation of financial facilities under the name of the cooperative/ organization issued by the bank or other financial institutions.
• Copy of Certificate of savings or shares under the name of the cooperative/ organization.
• Letter of assessment of fixed price under the name of the cooperative/ organization which was made by an accredited valuer
• A name list of shareholders who own more than 5% of the accumulated capital.
• Copy of certificate or letter of approval owned by the members of the Board of Directors, Shareholders, company management members certified by the oath Commissioner, Penghulu or Group A government officers
• Copy of Certificate of Loyalty issued by the Electrical Inspection Board Department to the company’s competent employee, certified by the oath Commissioner, Penghulu or Group A government officers.
• Copy of Certificate of Registration as the wiring contractor issued by the Electrical Inspection Board Department to the company’s competent employee, certified by the oath Commissioner, Penghulu or Group A government officers.
• Letter of ‘Agency Right’ or letter of support from the manufacturer/ distributor of mechanical equipment under head III.

Additional information and Document

Additional information and documents that may help an application for all types of companies, business, co-operative society or association are as follows :-

• Letters of confirmation regarding financial facilities.
• The company’s latest financial statement (Balance Sheet and Profit And Loss Account).
• Letters of confirmation from the relevant parties regarding the experience of management staff related to the application.
• Receipts of purchases of equipment/ plants and letters of vehicle registration (Registration Card) owned by the company.
• Letters of confirmation on equipment/ vehicles rental facilities.
• Letter of confirmation on credit facilities of building material.
• Letter of Acceptance of tender for the accepted project.
• Certificate of completion of work for completed works.
• Letter of subcontract agreement for projects obtained through sub-contract between a main contractor and a sub-contractor and the letter of acceptance by the project main contractor must be presented.

BUMIPUTERA STATUS

Definition of Bumiputra Company

Currently the definitions of Bumiputera company by the National Financial council according to the Treasury Circular no 7/74 are as follows:

• A Company which the majority of the share (at least 51%) is owned by Bumiputra.
• and majority (at least 51%) of the company workforce constitute of Bumiputra.

Or corporations or companies established by the federal or state governments and the subsidiaries of those agencies and companies meant for increasing the number of Bumiputera in trade and industry such as PERNAS, State Economic Development Corporations and their subsidiaries, subsidiaries of MARA etc.

Bumiputra Recognition

Companies which would like to apply for the Bumiputera status recognition should fulfill the conditions recorded in the Treasury Circular no. 7 year 1974, which are:-

• Majority or at least 51% of members of the Board Of Directors are Bumiputra.
• Majority or at least 51% of members of the management are Bumiputra .
• Majority or at least 51% of shares are owned by Bumiputra.
• Majority or at least 51% of workers (clerical and building site) are Bumiputra.

Class 'F' Contractors

All class F contractors are Bumiputra. This mean class F contractors are Bumiputra contractors and not need to apply for the recognition of their Bumiputra status.

Bidang Kerja (kepala / SubKepala)

Kepala dan Sub-Kepala Untuk Pendaftaran Kontraktor Kerja Awam

Kepala
Kepala I	Kerja Kejuruteraan Awam (Civil Engineering Works)
Kepala II	Kerja Bangunan (Building Works)
Kepala III	Kerja Kejuruteraan Mekanikal, Kejuruteraan Pembersihan dan Kejuruteraan Air (Mechanical, Sanitary and Water Engineering Works)
Kepala IV	Lain-lain Kerja Kejuruteraan Awam Spesialis (Other Specialist Civil Engineering Works)
Kepala V	Kerja Pecah Batu, Pembekalan Tanah dan Pengangkutan (Quarrying Metal and Earth Supply, Cartage and Transport)
Kepala VI	Kerja Perhutanan dan Pembangunan Tanah (Forest and Land Development)
Kepala VIII	Kerja Telekomunikasi (Telecommunication Works)

Kepala dan Sub-Kepala Untuk Pendaftaran Kontraktor Elektrik

Kepala	Sub-Kepala
Kepala VII	1	Kerja-kerja pendawaian am
	2	Pendawaian sistem kawalan
	3	Pemasangan talian atas voltan rendah dan kabel bawah tanah
	4	Pemasangan kabel bawah tanah melebihi 1 KV sehingga dan termasuk 11 KV
	5	Pemasangan logi penjanaan sehingga dan termasuk 1 KV
	6	Pemasangan logi penjanaan voltan tinggi
	7	Pemasangan kabel bawah tanah yang melebihi 11 KV
	8	Pemasangan talian atas termasuk menara penghantaran 6.6 KV ke atas
	9	Pembersihan rentas untuk 6.6 KV dan ke atas
	10	Pemasangan kelengkapan voltan tinggi :(a) hingga dan termasuk 11 KV (b) melebihi 11 KV
	11	Pemasangan lampu jalan awam
	12	Pemasangan lampu lapangan terbang
	13	Pemasangan lampu khas seperti lampu stadium dan kawasan lampu limpah, lampu pentas dan sebagainya
	14	Pemasangan sistem bekalan kuasa tanpa gangguan
	15	Pemasangan sistem kejuruteraan elektrik/elektronik voltan rendah tambahan seperti sistem pemasangan dan penggerak, sistem keselamatan dan sebagainya
	16	Sistem bunyi

ADVISORY SERVICE

Purpose

The purpose of PKK in advisory services is to help bumiputera contractors in several aspects which they face problems when carrying out government projects. Generally the problems involve experience, management, financial position, technical knowledge as well as external problems. Advisory services are only given to Bumiputera contractors who are carrying out projects with government agencies/ departments that do not have a special unit to look after the interests of Bumiputera contractors.

Contractor Problems

Problems often faced by contractors include :-

• Problems originating from management weaknesses
• Technical weakness
• Financial management problem
• Building material problem

• External Problems
• Building material supply problem
• Problem With Government Agency/ department
• Problem in getting employee
• Problem with local people

Consultation Service

Advisory service offered by PKK covers the following areas :-

• Engineering Field
• Advise on carrying out work properly.
• Help contractors to understand plans and specifications.
• Resolve on-site technical problems.
• Help to plan project implementation.
• Help in use of suitable materials.
  

• Contractual field
• Help in procedural matters for Government contractors.
• Help contractors to understand the terms and conditions.
• Help contractor in matters related to financial claims and additional time.
• Help contractor in matters related to price of goods and work.

• Non-Technical field
• Provide information list on government and private finance institutions and for contractor use.
• Help to accelerate the financial application process for contractors by providing information on the applying contractors.
• Provide supplier and building materials manufacturer list for contractor use.
• Act as the middleman between contractor and government agency if the contractor is facing a problem but the agency is not taking relevant steps to solve it or if there is injustice practiced by the government agency in matters related to work.
• Help contractors to find experienced workers if requested by them
• Help to solve problems related to the local authorities.
• Help appointed small contractors to secure progress fees from the main contractor.
• For contractors without much technical knowledge, PKK provides a list of courses and trainings organized by government agencies to be participated by contractors. PKK may help contractors to secure places to participate in those courses/ trainings.

ONLINE PAYMENT

Payment services available through internet Banking's Internet are as follows :-

• New Registration Fee
• Registration Renewal Fee
• Additional head count Fee
• Class upgrade Fee
• Additional head count and class upgrade Fee
  

Payment through online banking through internet banking ( IB ) is only allowed for contractors that have RHD Bank account and registered as Internet Banking user.

Payments may only be made after the issuance of offer letter by PKK Headquarters and the amount payable is as stated in the Offer Letter.

Please make sure you PRINT the receipt as evidence of payment and should be kept for reference.

For more information, please visit the following website:

http://www.rhbbank.com.my/personal/internet_banking/index.shtm

http://www.rhbislamicbank.com.my

Visit your nearest RHB Bank or directly contact PKK Headquarters representative, Tuan Haji Rusly bin Nordin at 03-8880 5433

Click here to download Internet Banking user manual.