CCC vs CFO

Certificate of Completion and Compliance (CCC) vs Certificate of Fitness for Occupation (CFO)

What is Certificate of Fitness for Occupation (CFO)?

Certificate of Fitness for Occupation (CFO) is a certificate issued by the local authorities (PBT) under the Uniform Building By-Laws of the Street, Drainage and Building Act 1974 (Act 133) [1]. A developer is usually allowed to hand over the vacant possession of a building to the buyer upon receiving the confirmation letter from relevant authority verifying Form E (a statutory form used for CFO application) has been duly submitted and approved by the appropriate authority.

What is Certificate of Completion and Compliance (CCC)?

Certificate of Completion and Compliance (CCC) introduced by the Street, Drainage and Building (Amendment) Act 2007, enforced on 12th April 2007 to replace the previous system of CFO to smoothen and accelerate the whole building process [1]. Under this new system, the CCC is issued by the Principal Submitting Person (PSP) who can be a Professional Architect, Professional Engineer or Registered Building Draughtsman who submits building plans.

Why government replaces CFO with CCC?

The implementation of CCC by government comes along with various benefits that encounter the issues previously arise in CFO system. The old system is less effective, more cumbersome and time consuming. Examples of problems arise are delay in certification by technical agencies, non-compliance of developer for Form E submission to PBT, additional conditions imposed by PBT during CFO application and insufficient technical officers to process the CFO application. In addition, the properties buyers cannot move in and occupy their properties upon submission of Form E and receiving of vacant possessions from developers because the CFO has not yet been issued.

What advantages does CCC bring?

With the execution of newly CCC system all the issues arise in former system can be resolved via self-certification, self-regulation as well as cutting down red-tapism and corruption. CCC only deals with technical aspects and it ensures the owners to occupy the buildings as soon as possible without compromising their safety. Vacant possession is usually transferred together with the issuance of CCC. Besides, under the new act, the responsibility matrix method has been introduced that each construction phase has to be endorsed by the professionals or contractors. 21 stage certification forms (Form Gs) need to be verified along the entire construction process. With this method applied, the quality of construction work can be significantly improved since action can be taken on the parties which are responsible when there are failures emerge in building works.

The stage certification forms for various work components under CCC are as below: [2]

  • Form G1 – Earthworks
  • Form G2 – Setting Out
  • Form G3 – Foundations
  • Form G4 – Structural
  • Form G5 – Internal Water Plumbing
  • Form G6 – Internal Sanitary Plumbing
  • Form G7 – Internal Electrical
  • Form G8 – Fire-fighting (Passive)
  • Form G9 – Fire-fighting (Active)
  • Form G10 – Mechanical Ventilation
  • Form G11 – Lift/Escalator Installation
  • Form G12 – Building
  • Form G13 – External Water Supply System
  • Form G14 – Sewerage Reticulation
  • Form G15 – Sewerage Treatment Plant
  • Form G16 – External Electrical Supply System
  • Form G17 – Road and Drain
  • Form G18 – Street Lighting
  • Form G19 – External Main Drain
  • Form G20 – Telecommunication
  • Form G21 – Landscape

When CCC can be issued? What clearances/conditions/requirements needed for CCC issuance?

CCC can only be issued when the completion of project is in accordance with the approved building plans or as-built drawing plans and supervision of all works has been conducted by PSP accordingly. The PBT has the authority to carry out site inspection on their initiative and scrutinize work progress to issue written notice for PSP not to release CCC if divergences are not corrected. Before the issuance of CCC, the PSP must also ensure all the Form Gs are duly filled and certified as well as all the clearances in place. Within 14 days of CCC issuance, PSP has to deposit a copy of the CCC (together with all Form Gs) to the PBT and the Professional Board (BAM/BEM).

Following are the essential services must be provided:

  • Confirmation of electricity supply (TNB)
  • Confirmation of water supply (water authorities)
  • Confirmation of connection to sewage treatment plant or septic tanks (IWK)
  • Clearance from factories and machinery department for lifts – if applicable (JKKP)
  • Clearance for active firefighting systems – except for residential buildings not more than 18 m height (Bomba)
  • Clearance for roads and drainage (Engineering Department)

Summary on difference between CCC and CFO:

CFO

  • Issued by Local Authorities (PBT).
  • Deals with both technical and non-technical issues.
  • Form E submission.
  • Vacant possession not transferred together with issuance of CFO.
  • No 21 Form Gs need to be verified.

CCC

  • Issued by Principal Submitting Person (PSP) who can be a Professional Architect, Professional Engineer or Registered Building Draughstman who submit building plans.
  • Only deals with technical issues.
  • Form F submission.
  • Vacant possessions transferred together with issuance of CCC.
  • Responsibility matrix method introduced that 21 Form Gs need to be verified.

Conclusion

In a nutshell, the execution of CCC system has significantly expedite the whole building process since the professionals are the one who issue CCC instead of local authorities upon completion of work. The PSP/SP/contractors hold a prevalent number of responsibilities and liabilities in inspecting the work progress; hence the work quality can be greatly enhanced with all these parties involved being responsible. The CCC system is still improving that the KPKT is always working on to surpass the submission process via OSC 3.0.

Ir. Dr. Justin LAI Woon Fatt
CEO/ Founder
IPM Group

References:
[1] Y.P.Cheong (September 2007) LAW & REALTY: Understanding the new CCC. Retrieved on 22nd June 2019 from http://www.malaysianbar.org.my/conveyancing_practice/law_realty_understanding_the_new_ccc.html
[2] Ir Chien Tien Long (August 2007) Certificate of Completion and Compliance (CCC): FAQ. Retrieved on 22nd June 2019 from http://www.acem.com.my/index.php?option=com_content&task=view&id=50&Itemid=64

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