MDA welcomes contractors' licensing, urges introduction of mandatory insurance

The MDA expressed concern over governments omission of contractors' prerequisite insurance coverage, insisting that it should be part of the licensing process

File photo
File photo

The Malta Development Association (MDA) has welcomed the obligatory licensing requirement for contractors, describing it as, " a positive step towards elevating industry standards and enhancing safety within Malta’s construction industry."

In a statement on Thursday, the MDA underlined the importance of a robust legal framework that allows only competent contractors to work in the Maltese construction industry. "Anything less poses a risk to public safety and the wellbeing of contractors' employees," the development lobby said.

Despite this, the MDA expressed concern over governments omission of contractors' prerequisite insurance coverage. " We
firmly believe that insurance should be an integral part of the licensing process, ensuring comprehensive protection for all stakeholders involved in construction projects within our country," MDA stated.

On Wednesday the Building and Construction Authority (BCA) said it received over 3,500 applications from contractors since July, when the government published a legal notice regulating licenses.

Starting from 1 November, any contractors that did not apply for a license in demolition, excavation or construction cannot operate legally. During this transition period, until licenses are issued, only those who applied for a license can continue to operate legally.

"We remain dedicated to working collaboratively with all stakeholders to ensure the highest standards of quality and safety within the sector," MDA concluded.