CERTIFICATE OF COMPLETION &

COMPLIANCE (CCC)
 INTRODUCTION
 Any constructed building needs to have the certification that affirms it is
safe and fit for occupation.
 This certification is only issued once its construction complies with legal
provisions, the approved building plan and also conditions stipulated by
the Local Authority at plan approval stage.
 It is an offence for someone to occupy a building, whether a
commercial building or residential building without certification.
 CCC stands for the certificate of completion and compliance and
came into force on April 12, 2007.
 The CCC is meant to replace the certificate of fitness for occupation
(CFO).
 Under the former system, the CFO was issued by the local authority (LA)
under the Uniform By-Laws of the Street, Drainage and Building Act 1974
(Act 133).
DIFFERENCE BETWEEN CFO AND CCC
 The former system was time-consuming and subject to abuse.
 It was not unusual for inordinate delays to occur due to many factors
including: noncompliance by the developer for the submission of Form E
and its enclosures to the LA, additional conditions imposed by the LA at
the time of application of CFO, the involvement of many technical
agencies and the lack of technical officers to process the CFO.
 Purchasers of properties encounter numerous problems whenever vacant
possession is delivered to them by developers and the purchasers could
not occupy or renovate their properties because the CFO was not issued.
 The new CCC, based on self-regulation, is issued by the private sector.
 The responsibility is transferred from the LAs to professionals (architects,
engineers and building draftsman) of the project.
 It seeks to provide better protection for house buyers, cut red tape or
bureaucracy in local government and create a more efficient public
delivery system.
 The CCC applies to new projects while those currently under construction
will still be issued with CFOs.
 CERTIFICATION OF COMPLETION AND
COMPLIANCE (CCC)
 Certificate of Completion and Compliance (CCC) is the building
certification that is extended from the existing CCC certificate onto
separately constructed bungalow to other more complex category of
buildings.
 This certificate is issued by professionals comprising of Professional
Architects registered with the Board of Architects Malaysia, Professional
Engineers registered with the Board of Engineers Malaysia or Building
Draughtsmen registered with the Board of Architects Malaysia.
 These professionals and Draughtsmen are appointed by the developers
as project consultants to supervise the buildings constructed from the
plan preparation stage until the building construction is completed.
 CCC replaced the Certificate of Fitness for Occupation (CFO) issued by
the LAs.
 Why is CCC Introduced?
 CCC is introduced consistent with the government's aim to
implement the self-certification and self-regulation approach in
the construction industry.
 Through the implementation of the CCC system, the normal time
taken in building development projects could be reduced.
 The time saving could help to reduce the cost to conduct
businesses by investors and developers.
 The professionals are the ones who most versed in building
development projects as they are directly involved with the
projects in all stages of development.
 Before the CCC was introduced and under the CFO issuance
system by the LAs, the professionals were indeed legally obliged
to certify the fitness of buildings.
 For these reasons, it is appropriate that these professionals are
given the trust and responsibility to issue the Certificate of
Completion and Compliance for buildings constructed.
 The Advantages of CCC to the
Building Owner
 The introduction of CCC system does not only give
advantages to investors and developers but also to the
buyers and building owners.
 With the implementation of this new certification system,
CCC certification can be issued simultaneously or together
with the issuance of Notice of Vacant Possession.
 This can shorten the waiting time to enter the building as
well as overcoming the problems that are often
associated with CFO whereby the house owners obtain
the house key but cannot occupy it because CFO is not
yet issued.
ROLES OF THE LOCAL AUTHORITIES
 With the implementation of the CCC System, this means that the responsibility to issue building certification
which was previously done by the public sector is now transferred to the private sector.

 Even though the power to issuance of CCC is taken over by the professionals, LA is given the role and
responsibility to ensure that check and balance factor is established in this new certification system.

 Apart from retaining the power to approve the Planning Permission and Building Plan applications, LA also
can conduct inspection at project sites at anytime and at any stage of the building construction, including
after the building is completed.

 LAs also have the authority to instruct PSP or the LA itself to take action in correcting any non-compliance
to legal provisions or stipulated conditions in the building approval process. However, the authority to set
the level of non-compliance and correction methods cannot be carried out in an arbitrary manner and
only held by the OSC Committee Meeting. As long as the non-compliance is not corrected as ordered or
in instances where fraud occurs in the construction or documentation related to the project, the LA,s upon
certification by the OSC Committee Meeting can issue an order to stop work or order to hold the issuance
of CCC.

 In addition, LA can prosecute the professionals and report their offences for disciplinary action by the
relevant Board of Professional. Under Architects Act 1967 (Act 117) and Registration of Engineers Act 1967
(Act 138), disciplinary action includes registration cancellation as professional can be imposed on
offences that involve negligence of responsibility or violation of ethic. LA is also responsible to ensure that
buildings with more than 5 storeys and is more than 10 years from the date CCC is issued, the safety level is
inspected every 10 years.

 Apart from the roles played by LA, the CCC system implementation is also made more stringent through
the introduction of a new control system. Under this system, each party, either contractors or trade
contractors and professionals is responsible for each component.
CONTINUE…
 It is compulsory to certify the completion and compliance of the relevant
construction components. For example, the contractor who is responsible for the
installation of the building internal piping system is also responsible to certify that
the piping system has complied with the legal provision, conditions and
approved plan. Through this method, action can be taken against the person
responsible in the event that any failure or defect occurs on the building
component. Thus, the construction components completion quality will also be
guaranteed.

 To further complement the steps as stated above, all penalties and fines in
relation to the offences committed under this new certification are upgraded
under Act A1286. This includes the introduction of imprisonment term of up to less
than 10 years for offences related to the issuance of CCC. Apart from that, the
house buyers' interests are also taken into account under Housing Developers
(Control and Licensing) (Amendment) Act 2007 (Act A1289) through stipulating
the period of damage liability on developers which is increased from 18 months
to 24 months and remedy through the Tribunal for Homebuyer Claims.
Do Building Owners or Buyers Play
Any Role In the CCC System?
 Building buyers or owners indeed play an important role to
ensure that this new certification system runs smoothly. In this
case, buyers or owners can practice their rights to lodge
complaints and reports to LA regarding any non-compliance in
building construction. This step will help LA to take action in
conducting inspection as well as issuing order so that the non-
compliance is corrected before CCC is issued.
PRINCIPAL SUBMITTING PERSON

 The CCC will be issued by a principal submitting person (PSP), which is a

radical change indeed. The PSP is a professional architect, engineer or
building draftsman who submits building plans to the LA for approval.

 He must be registered under the relevant law relating to registration

thereof, e.g. Architects Act 1967 or Registration of Engineers Act
1967(Revised 1974).

 The PSP’s responsibilities include submitting building plans for approval by

the LA, supervising the erection and completion of the building in
conformity with the approved plans and the requirements of the
provisions of Acts or by-laws, ensuring all technical conditions imposed
by the LA have been duly complied with and ensuring that the building
is safe and fit for occupation.
 6 Essential Services For Issuance of
CCC
There are six essential services for the issuance of CCC:

1. Confirmation of electrical supply (TNB)

2. Confirmation of water supply (water authorities)

3. Confirmation of connection to sewerage treatment plant or mains (JPP)

4. Clearance from lifts and machinery department, if applicable (JKKP)

5. Clearances for active fire fighting systems except for residential buildings
not more than 18m high) (Bomba)

6. Roads & Drainage

Rectification by Local Authority
The LA may inspect the building site at any time on its own initiative or due to
complaints. In the event of failure to comply with the approved plans, the Act or
by-laws in the erection and construction of the building, the LA may issue to the
PSP:

(a) a written notice requiring compliance within a period specified in the notice,
as the Local Authority thinks fit, in order that the non-compliance be rectified;
and

(b) a directive in writing to withhold the issuance of CCC until such non-
compliance has been rectified.

The LA may itself cause any work to be executed or any measure to be taken if it
considers such work or measure is necessary to rectify the non-compliance of its
directive and the costs shall be borne by the owner of the building. The costs shall
not be subject to any appeal or review in any court.

The LA is also responsible for approving permission of planning application and

building plans; pressing charges against the PSP and professionals and reporting
to the relevant professional board; inspection of old buildings and continuing to
issue CFOs for projects approved before the CCC’s date of enforcement.
Offences Under The New System
The Amendment Act has introduced the following new offences and penalties:
• Not a PSP but issues a CCC;
• Issues CCC without forms (relevant forms under by-laws);
• Issues CCC despite direction to withhold -- in contravention to direction of LA to
withhold issuance;
• False/fraudulent declaration: Knowingly makes/produces/causes to be made any
false or fraudulent declaration, certificate, application or any form under by-laws
knowing it/they have been forged, altered or counterfeited;
• Use knowingly: Uses the above form knowing it/they have been forged, altered or
counterfeited;
• Occupation without CCC: Occupies or permits to be occupied any building or part
thereof without a CCC (This has a wide-ranging effect as it can cover purchasers,
tenants, occupiers, owners, trustees, etc);
• Liable on conviction to fine not more than RM250,000 or imprisonment not more than
10 years or both; and
• Increased general penalty: The penalty for the offence of not abiding by the orders
of the LA is increased and includes imprisonment for term not exceeding three years
and a fine of up to RM10,000.
Offences by Architects
 False and negligent certification of the CCC by an
architect is an offence under the Architects
(Amendment) Act 2007 and is grounds for
disciplinary action.
 An enhanced penalty may be imposed by the
Disciplinary Committee.
 The fine is increased from RM10,000 to RM50,000
and the period of suspension of registration is
increased from one, to two years.
Offences by Engineers

The Registration of Engineers (Amendment) Act 2007

established a disciplinary committee that is empowered to
conduct a hearing of any misconduct or complaint made
against any registered Engineer referred to it by an
Investigating Committee.

In the case of false or negligent certification of the CCC,

the fine is increased to RM50,000 and the period of
suspension is increased to two years.
Offences Under the Housing
Development (Control and Licensing)
Act 1966
In a related matter, section 22F(1) of the 1966 Act provides that any architect
or engineer, as the case may be, who issues a progress certification knowing
that the works therein referred to have not been completed in accordance
with the provisions of the sale and purchase agreement shall be guilty of an
offence and shall, on conviction, be liable to a fine which shall not be less than
RM10,000 but which shall not exceed RM100,000 or to imprisonment for a term
not exceeding five years or to both.

Sub-section 22F(2) also provides that any person who knowingly and willfully
aids, abets, counsels, procures or commands the commission of an offence
under subsection 22F(1) shall be liable to the punishment provided for the
offence.
Saving Provisions
The former system of issuance of CFO continues to apply where:

• work of erection has not commenced within 12 months from date on which
plans and specifications of building were approved; if work commenced on or
after April 12, 2007 (Commencement Date), (without prejudice to any penalty);

• work of erection commenced immediately before commencement date;

• work suspended immediately before coming into operation of Act and is to

resume on or after Commencement Date; and

• erection of building without approval of plans and specifications by the LA

under the Act immediately before Commencement Date provided that an
application for approval is made to the LA on or after Commencement Date
and the application is approved.
CCC: Act Provision
 (18) If the local authority does not, within three calendar months from the date of the submission of
any plans under subsection (2) or from the date of the resubmission of such plans amended pursuant
to subsection (5), as the case may be, approve, disapprove or make written requisition with regard
thereto, the principal submitting person or submitting person may apply to the State Authority, and the
powers vested in the local authority under this section shall then vest in the State Authority.

 (19) Any plans, specifications, calculations, particulars, documents or reports required to be submitted
under this section shall be prepared and certified by a principal submitting person or submitting person
and signed by the owner or his authorized agent and the principal submitting person or submitting
person.

 (20) No certificate of completion and compliance shall be issued except by a principal submitting
person in accordance with the time, manner and procedure for the issuance thereof as prescribed by
this Act or any by-laws made thereunder.

 (21) Before the issuance of a certificate of completion and compliance, it shall be the duties and
responsibilities of the principal submitting person to-

(a) supervise the erection of the building to ensure that the erection is in conformity with the approved plans and the
requirements of the provisions of this Act or any by-laws made thereunder;

(b) ensure that the building has been duly constructed and completed in conformity with the approved plans and the
requirements of this Act or any by-laws made thereunder and that all technical conditions imposed by the local
authority has been duly complied with;

and

(c) ensure that the building is safe and fit for occupation
CCC: Act Provision (cont’d)
 (22) Nothing contained in this Act shall affect the powers conferred on the local
authority by this Act or any by-laws made thereunder pertaining to the erection
and construction of a building for the purpose of ensuring that the erection and
construction of such building are in conformity with the approved plans and the
provisions of this Act or any by-law made thereunder.
 (23) If it appears to the local authority that a noncompliance with the approved
plans and provisions of this Act or any by-laws made thereunder by the principal
submitting person has occurred in the erection and construction of the building,
the local authority may issue to the principal submitting person-
 (a) a notice in writing, requiring compliance within the period specified in the
notice, as the local authority thinks fit, in order that the noncompliance be
rectified; and
(b) a directive in writing to withhold the issuance of the certificate of completion
and compliance until such non-compliance has been rectified.
 (24) If the direction referred to in paragraph (23)(b) is not complied with by the
principal submitting person, the local authority may itself cause any work to be
executed or any measure to be taken if it considers such work or measure is
necessary to rectify the noncompliance.
CCC: Act Provision (cont’d)

 (25) The cost for executing such work or taking such

measure as referred to in subsection (24) shall be borne
by the owner of the building.
 (26) The amount of the costs to be so recovered by the
local authority shall be certified by the local authority
and the certificate of the local authority in this regard
shall be conclusive proof of the matters stated therein
and shall not be subject to any appeal or review in any
court.
CCC: Act Provision (cont’d)
(27) Any person who-

(a) is not the principal submitting person but issues a certificate of completion and
compliance;
(b) issues a certificate of completion and compliance without the relevant forms as
prescribed in any by-laws made under this Act;
(c) issues a certificate of completion and compliance in contravention of a direction given
by the local authority to withhold such issuance pending rectification of any
noncompliance;
(d) knowingly makes or produces or causes to be made any false or fraudulent
declaration, certificate, application or representation of any form prescribed in any by-
laws made under this Act;
(e) uses any forged, altered or counterfeit declaration, certificate, application or
representation of any form prescribed in any by-laws made under this Act knowing the
declaration, certificate, application or representation have been forged, altered or
counterfeited; or
(f) occupies or permits to be occupied any building or any part thereof without a
certificate of completion and compliance,
shall be liable on conviction to a fine not exceeding two hundred and fifty thousand ringgit
(RM 250,000) or to imprisonment for a term not exceeding ten years or to both.
 Comparison Certificate of Completion and
compliance (C.C.C) and Certificate
of Fitness (C.F.O).
No Certificate of Fitness Certificate of Completion and
Compliance
1 Implemented before 2007 Implemented after 2007
2 Site visit to the construction site Site visit to the construction site is a must
could be varies for every stage. (G1-G21)

3 the process of issuance of CFO, it The new CCC is issued by the private
has imposed institutional rigidity sector based on self-regulation
and created procedural formality
and red-tape
4 the roles and responsible of the Implementation of CCC has introduced
various party is not clearly identify a matrix of responsibility to make all
parties involved in the construction
process accountable and responsible for
their respective works.
5 Using form E Using Form G for every stage
The Process of Obtaining CCC

Submitting person is the professional engineer, professional architect

and registered drafter.
While the principle submitting person is the head of consultant.
21 G Forms
Forms Used
THE END