Myanmar Doing Business

Dealing with Construction Permits

At a glance – Dealing with Construction Permits

2019 Ranking: 81

2019 Distance to Frontier Score*: 70.35 (up from 70.33 in DB2018)

Regional Average (East Asia Pacific): 70.71

More information on Myanmar’s performance in Dealing with Construction Permits - Click Here

* The distance to frontier (DTF) measure shows the distance of each economy to the “frontier,” which represents the best performance observed on each of the indicators across all economies in the Doing Business sample since 2005. An economy’s distance to frontier is reflected on a scale from 0 to 100, where 0 represents the lowest performance and 100 represents the frontier. The ease of doing business ranking ranges from 1 to 190. (Source; World Bank)

What it measures

Procedures, time and cost to complete all formalities to build a warehouse and the quality control and safety mechanisms in the construction permitting system

Why does it matter?

No regulation
  • If procedures are too complicated or costly, builders tend to proceed without a permit.
  • An estimated 60-80% of building projects in developing economies are undertaken without proper permits and approvals.
Sound regulation of construction
  • Helps strengthen property rights.
  • Protects the public from faulty building practices.
  • Contributes to the process of capital formation.
For entrepreneurs
  • Construction regulation is an important consideration when deciding where to establish their business.

Measure of Quality

  Answer Score assigned to Myanmar in the Doing Business2019 report
Building Quality Control Index (0-15)   9.0
Quality of building regulations index (0-2)   1.0
How accessible are building laws and regulations in your economy? (0-1) Available online; Free of charge. 1.0
Which requirements for obtaining a building permit are clearly specified in the building regulations or on any accessible website, brochure or pamphlet? (0-1) [update required] 0.0
Quality control before construction index (0-1)   1.0
Which third-party entities are required by law to verify that the building plans are in compliance with existing building regulations? (0-1) Licensed architect; licensed engineer 1.0
Quality control during construction index (0-3)   2.0
What types of inspections (if any) are required by law to be carried out during construction? (0-2) Inspections at various phases 1.0
Do legally mandated inspections occur in practice during construction? (0-1) Mandatory inspections are always done in practice. 1.0
Quality control after construction index (0-3)   3.0
Is there a final inspection required by law to verify that the building was built in accordance with the approved plans and regulations? (0-2) Yes, final inspection is done by government agency. 2.0
Do legally mandated final inspections occur in practice? (0-1) Final inspection always occurs in practice. 1.0
Liability and insurance regimes index (0-2)   0.0
Which parties (if any) are held liable by law for structural flaws or problems in the building once it is in use (Latent Defect Liability or Decennial Liability)? (0-1) No party is held liable under the law 0.0
Which parties (if any) are required by law to obtain an insurance policy to cover possible structural flaws or problems in the building once it is in use (Latent Defect Liability Insurance or Decennial Insurance)? (0-1) No party is required by law to obtain insurance 0.0
Professional certifications index (0-4)   2.0
What are the qualification requirements for the professional responsible for verifying that the architectural plans or drawings are in compliance with existing building regulations? (0-2) responsible for verifying that the architectural plans or drawings are in compliance with existing building regulations? (0-2) Minimum number of years of experience; University degree in architecture or engineering 1.0
What are the qualification requirements for the professional who supervises the construction on the ground? (0-2) Minimum number of years of experience; University degree in engineering, construction or construction management 1.0

 

Procedures

Step Details Time Required/Charges
1. Apply and Obtain a Demarcation Map at the Yangon City Development Committee (YCDC) Department of City Planning and Land Administration

BuildCo visits the Yangon City Development Committee (YCDC) – City Planning and Land Department in order to request a land title certificate, which will prove ownership of the land that is to be developed, and a cadastral map, which will show the plot's dimensions. Land surveyors from YCDC will go on field to verify the measurement of the proposed land boundary.

Build Co visits the Yangon City Development Committee (YCDC) – Department of City Planning and Land Administration in order to request  a cadastral map (Demarcation map / D-map), which will show ownership of the land and  the plot's dimensions. Land surveyors from YCDC will go on field to verify the measurement of the proposed land boundary. Documents required: (a) Form prescribed by  the Department (YCDC) 
(b) Copy of  proof of  land possession (Need to check with the original.) 
(c) Copy of  National Registration Card (NRC) of applicant (GP/SP) – to copy them within one page of A4 size paper 
(d) No objection signed by the neighboring land owners on the form prescribed by the  Department (YCDC).

17 days
2. Apply and obtain a construction permit at the Engineering Department (Building), YCDC

BuildCo will submit following documents to the Permit Section of Engineering Department (Building) of YCDC.  
(a) Forms prescribed by the Department (YCDC) -Construction permit application form 
 
-Confirmation by the registered engineer/architect of undertaking supervision 
-Agreement of the land owner to follow the directives of YCDC if construction is undertaken prior to the approval and in case land disputes arise. 
-Confirmation by the registered engineer of  taking  responsibility for the structural integrity of the building. 
-If GP/SP is applying on behalf of the owner, proof that the owner is still alive and the owner’s delegation of power. 
 
(b) Copy of  National Registration Card (NRC) of applicant (GP/SP) – to copy them within one page of A4 size paper. 
 
(c) Copy of  proof of  land  possession . (Need to check with the original )  
 
(d) Copy of   cadastral map (Demarcation map /D-map) from City Planning and Land Administration Department of YCDC.  (If proof of land possession describes only the area without plot dimension.)                                                      (e) 3 sets of  proposed drawings (A3 size) signed by applicant and certified engineer/ architect. 
 
(f) Suggestion letter and approved drawing from Fire Service Department . 

11 days
 

3. Receive an inspection from a YCDC technician
(at the same time as 2 above)
After YCDC received the application for building permit, district inspection team is assigned to inspect on-ground situation of proposed plot of land to check that it cadastral map (Demarcation map /D-map) and designs provided and to check the conditions for water and electricity connections. While there, the technician also checks with neighbors to ensure there are no land disputes or other issues. The inspection report then is produced and forwarded to permit section of Engineering Department to proceed drawing check and permit process.

1 day

4. Request and receive foundation inspection BuildCo needs to inform certified engineer/ architect to start the construction before the construction starts. The record should be in official logbook issued by YCDC. Then the district inspection team is informed, inspected on field with approved drawing and recorded in logbook.

1 day

5. Request and receive flooring inspection BuildCo is supposed to inform YCDC’s district level inspection team to have inspection. Observation and comments are made in logbook.

1 day

6. Request and receive roofing inspection BuildCo is supposed to inform YCDC’s district level inspection team to have inspection. Observation and comments are made in logbook. 1 day
7. Request a building completion certificate from YCDC After the building is completed for finishing work (including painting, water pipe system, electrical wiring and fire safety equipment), district inspection team is informed to proceed the final inspection.  1 day
8. Receive final inspection to obtain a building completion certificate from YCDC Recommendation for building completion certificate (BCC) is made in the logbook. Later, the company can apply BCC with this logbook. 1 day
9. Obtain a building completion certificate from YCDC
BuildCo can apply Building Completion Certificate (BCC) at YCDC after preparing necessary documents including Fire Safety Certificate (FSC) from Myanmar Fire Service Department (HQ). 
Necessary documents to submit for obtaining BCC are: 

(a) Form prescribed by YCDC

- Application form for BCC

- Owner’s consent on authorization and he/she is alive if the applicant is GP/ SP of land owner

(b) A copy of construction permit

(c) A copy of approved drawings (1 set)

(d) A copy of the receipt of the payment made for construction permit

(e) Log Book containing comments on completion of building by the registered engineer / architect and inspection engineers 

(f) Applicant’s copy of NRC (Owner, GP/SP) (both sides of NRC to be copied on the same page of A4 size paper with back side below the front side)

(g) For commercial buildings, an original recommendation of Fire department and copy of Fire SafetyCertificate.

(h) Photos of the building (front, back, left and right sides)

(i) Recommendation from Assessor department that tax has been paid

(j) For Apartment and Commercial buildings, Relevant Consent required by the Pollution Control and Cleansing Department regardingsolid waste disposal system.

(k) For the buildings with lift, certificate of EI (Electrical Inspection)approval from the Department of Industrial Supervision and Inspection for the use of lift.

BCC can be received within 3 working days for 3 stories and below buildings including for warehouse if necessary documents are completed.

3 days
10. Apply and Obtain water supply connection permit

Documents required: 
(a) Documents prescribed by the Department (YCDC) 
(b) Copy of  National Registration Card (NRC) of applicant (GP/SP) – to copy them within one page of A4 size paper) 
(c) 2 Sets of the Proposed drawings for water supply signed by licensed plumber (LPM/RSE/PE) ( A3 size) 
(d) Copy of  the applicant’s proof for ownership of  Land, Building 

5 days
11. Water supply connection 

Documents Required (a) Water supply connection permit issued by the department

1 day

 

What has improved

The following procedures are no longer required with effect from March 2018:

  • Obtain debt clearance letter from YCDC Township Executive Officer 
  • Obtain Soil Investigation Report
  • Obtain consent from the neighbours
  • Obtain a recommendation letter or certificate from the ward

Note: There has never been a requirement to obtain an excavation permit for digging a well.

 

Action Plan

Action Item Timeline Status
Start collecting statistics on the numbers of permit applications and inspections pending the roll-out of the online system. Short Term Completed. Statistics are here, and will be published every quarter
Publish on the YCDC website relevant brochures or pamphlets user-friendly guidelines for construction permit applications including all pre-approvals, procedures, document requirements, fees and timelines. Short Term Completed. Procedures are listed above, and in more detail here
Issue clear qualification requirements for architects and engineers involved in construction permits in relevant regulations, on the YCDC website and in relevant printed literature. Medium Term In progress
Review Building Code and consider introducing a risk-based approach to construction permitting. Long Term In progress. Risk based system under development
Eliminate procedures that have no legal basis such as consent from neighbors and recommendation letter from the ward and put in place instead proper regulations on environmental control and urban planning. Communicate widely all procedures no longer required, including on the DB website. Long Term In progress. Procedures under review
Streamline the process related to fire safety recommendation from the Fire Services Department without compromising safety. Long Term In progress. System for low risk cases will be introduced in January 2019.
Streamline the number of inspections and conduct joint inspections wherever possible. Long Term Under discussion

 

Lead Person

Daw Hlaing Maw Oo

The Dealing with Construction Permits Indicator Support Group is headed by the Secretary, YCDC

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