PETALING  JAYA: Ten percent of the value of all Public Works Department (PWD) contracts worth more than RM10 will from now on be set aside for Class F contractors.

In a statement yesterday, Works Minister Datuk Mohd Zin Mohamed said Class F contractors will be able to take on such jobs as sub-contractors to the main contractors.

Previously, the 17,000-odd Class F contractors throughout the country could only take on projects valued below RM200,000.

"The move to create more job opportunities for this group of contractors is in line with a comprehensive policy to give them a share of jobs in mega projects commissioned under the ninth Malaysia Plan," Mohd Zin said.

He said the initiative is part of the government's efforts to assist in capacity building of Class F contractors through the development of moe specialized contractors in the field of construction.

"Currently the PWD is processing 24 contracts worth RM2.2 billion, of which RM220 million will be allocated fo 1,000 Class F contractors," he said.

Of these, 12 contracts worth RM1.3billion, Which have been approved, would see 572 Class F contractors being allocated RM131 million in sub-contracts.

Mohd Zin saidof the RM131 million worth of sub-contracts for Class F contractors, RM70.6 million worth of projects is in Terengganu, RM37 million in Sabah, RM12.3 in Selangor, RM5.23 million in Negeri Sembilan, RM4.02 million in Kuala Lumpur, RM2.04 million in Kelantan, and RM1.9 million in Perak.

He said the PWD would monitor the involvement of these sub-contractors through a mechanism to be set up.