Brand new Ministry of Construction in Uzbekistan – Do you need to renew your license now?

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The decree of the President regarding the new Ministry of Construction has made fundamental changes for creating a modern system to manage the country’s architecture and construction sectors.

First, by creating a new Ministry of Construction — an authorized governmental body for the architecture and construction sectors. Now functions of several other inspections and centers in the following fields are transferred to the new ministry:

  1. Licensing in the sphere of construction
  2. Monitoring reforms in the licensing of construction
  3. Providing information support for urban construction
  4. Overseeing economic reforms in capital construction

Second, it reformed the Inspection on architectural-construction supervision to the Inspection in the sector of construction within the Ministry.

Third, it canceled the requirement to maintain the Registry of construction and installation organizations, in other words enabling all business entities to participate in tenders for construction of State funded projects.

Fourth, it was instructed to simply the licensing procedures in the sphere of construction. Further, licenses for the following activities should be pre- approved by NAPM:

  1. Execution of repair, construction and installation works at altitudes by the methods of industrial alpinism
  2. Design, construction, operation and repair of bridges and tunnels
  3. Design, construction, operation and repair of defense facilities
  4. Design, construction and operation of high-risk and potentially hazardous facilities

With the adoption of a new procedure, licensees executing the abovementioned activities must renew their licenses by the end of 2018.
NAPM is required to make an offer on a transfer of certain state functions of technical supervision in the construction sector to the private sector through introduction of accreditation mechanisms by July 1, 2018.

Another decree of the President dated May 22, 2018 assigned to NAPM additional rights in construction supervision. In particular, NAPM will have the right to allow contractors to participate simultaneously in the EPC (Engineering Procurement and Construction) contracts that are enlisted in the governmental program of development of Uzbekistan, without licensing (“fast track procedure”). EPC contractors must have though practical experience of participation in analogous projects and must meet the agency’s criteria.

NAPM will have the right to determine and agree with the EPC contractors the use of international and/or national normative documents in the field of technical regulation. This would allow international contractors to follow international regulations.

 

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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