CIDB Explained

What is the CIDB?

The South African Construction Industry Development Board was established by an Act of Parliament, Act 38 of 2000. By going through the CIDB registration process, contractors’ capacity development, empowerment, industry performance and best practice are enhanced.

All contractors working in the public sector must register with the CIDB except subcontractors and joint ventures, however all JV partners must be individually registered. Home builders are regulated by the National Home Building Council (NHBRC), so they do not have to register with the CIDB board.

How is a CIDB grading determined?

It’s all about the amount of money the contractor has in his financial books, but includes their work experience. As the contractor’s bank account improves he can apply for a higher grading of CIDB with the CIDB Board. The grading helps to determine the maximum value a contractor can comfortably fulfill. CIDB registered companies are assigned a unique identify known as a CRS number. A CIDB grade is represented by one digit and two letters. A higher grading number means an increased tender value. Grade 9, for example, means the contractor does not have a limit to the amount and value of work they can do and is the highest grade available. There are no qualifying criteria for grade 1. When grading between levels 2 and 9, the board looks at the projects a contractor has completed in the last 5 years and their available capital. Contractors can be graded as sole proprietors, partnerships, companies, or corporations. Each CIDB grade is valid for 3 years from date of registration. After 3 years, a contractor needs to renew their application and this can be done online. Every 6 years, a contractor must prove that they still meet the relevant criteria to remain in a particular grade by submitting the necessary supporting documentation for evaluation by the CIDB Board. During the 3 year validity period, a grade must be updated annually, and the contractor must pay the applicable annual fee (The admin fee is payable every 3 years). A CIDB grade that has not been updated for two consecutive years is suspended on the CIDB register. Annual updates do not apply to Grade 1 contractors. The subscription amount varies depending on the grade and whether it is a new application or renewal. A company can apply for multiple CIDB gradings e.g. CIDB 9GB and CIDB 6EP. In the case of multiple gradings, they will pay the admin fee for each grade and the annual fee for the highest grade only. A contractor must have a valid CIDB rating in order to bid on a contract that has a CIDB rating specified. It takes 21 working days to be registered on the CIDB website. The board does not print registration certificates and the name of the contractor is published on the website once grading is awarded. Clients can verify grading as well as the status of a contractor’s registration on the website.

CIDB costs (as at February 2024)

CIDB

Admin Fee

Annual Fee

1

R450

R0

2

R450

R250

3

R750

R350

4

R750

R900

5

R750

R1750

6

R750

R3500

7

R750

R9000

8

R750

R29000

9

R750

R55000

Work permits from the Labour Department

Public projects – any project exceeding the value of R13 million must have a work permit

Private projects – any project exceeding the value of R65 million must have a work permit

The work permit is applied for from the Labour Department by the Health and Safety company/officer appointed on the contract.

What are the different CIDB classes?

GB – General Building

CE – Civil Engineering

ME – Mechanical Engineering

SB – Asphalt Works (supply and lay)

SC – Building Excavations, shaft sinking, lateral earth support

SD – Corrosion protection (cathodic, anodic and electrolytic)

SE – Demolition and blasting

SF – Fire prevention and protection systems

SG – Glazing, curtain walls and shop fronts

SH – Landscaping, irrigation and horticulture works

SI – Lifts, escalators and travellators (installation, commissioning and maintenance)

SJ – Piling and specialised foundations for building and structures

SK – Road markings and signage

SL – Structural steelwork fabrication and erection

SM – Timber buildings and structures

SN – Waterproofing of basements, roofs and walls using specialist systems

SO – Water supply and drainage for buildings (wet services, plumbing)

SQ – Steel security fencing or precast concrete


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About Debbie Wessels

I started at Leads 2 Business in April 2008 in the tenders Department and transferred to the Projects Department during the same year. I was appointed Head of Department for Projects from February 2011 to March 2022. April 2022 I started a new adventure as Content Regulator.

Featured Tender: Construction of New Additional Practical and Lab Building

Gauteng – DTA 965961

Contract Number:

NWUTR051/2023VC – NWU

Description:

The North-West University invites all specialist contractors with the relevant skills, experience, and resources to submit tenders for the following project on the Vanderbijlpark Campus: Construction of New Additional Practical and Lab Building for School of Maths Sciences and Technology, Building 17,Vanderbijlpark Campus. Work entails: the construction of a new building to create additional practical and lab spaces, including civil, electrical and mechanical works.

Category Industry
Plant & Machinery, Infrastructure, Mechanical, Building Institutional, Renovations
Region Site Inspection
Vanderbijlpark No Details
Closing Date Contract Period
29 May 2023 at 12:00 No Details

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Featured Tender: Construction of a Rescue Technology Station and Research Centre

posted in: Featured Tender 0

Western Cape – DTA 954066

Contract Number:

CPUT03/23 – Cape Peninsula University of Technology

Description:

The Cape Peninsula University of Technology (CPUT) invites suitably qualified bidders/ service providers to submit bids for the Appointment of a suitably qualified service providers contractor with CIDB grading of 6GB PE for the construction of a Rescue Technology Station and Research Centre on CPUT Bellville Campus.

Category Industry
Trades, Building Institutional
Region Site Inspection
Western Cape 2023-02-06 11:00 AM
Closing Date Contract Period
22 February 2023 at 11:00 No details

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Featured Company: Nyondo Holdings (Pty) Ltd

 

Read about who’s who in the Industry:

This week we are featuring Nyondo Holdings (Pty) Ltd, based in Bryanston, Gauteng with accreditations from the NHBRC and CIDB. They specialise in building new residential homes and also offer project management services on residential property projects. Nyondo Holdings (Pty) Ltd take great pride in the provision of unrivalled services at reasonable rates charged based on value creation whilst paying attention to detail on projects to meet clients’ expectations on every project.

Nyondo Holdings

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About Christine Brooks

My journey started in 2015 with Leads 2 Business, as an Account Executive, and gradually grown to take the role of being the Client Liaison Officer (CLO) since 2018. Assisting in the delivery of our services and insuring our clients expectations and requirements are exceeded.

Featured Tender: Fire safety training and Fire equipment

North West – DTA 913338

Contract Number:

NWUTR038/2022NW – NWU

Description:

The North-West University invites all specialist contractors with the relevant skills, experience and resources to submit tenders for the following maintenance on the North-West University: Fire safety training and the supply, delivery, installation and maintenance of fire equipment at the North West University.

Category Industry
Security & Fire Institutional
Region Site Inspection
North West No details
Closing Date Contract Period
27 May 2022 at 12:00. No details

Please visit Leads 2 Business for more information on this Tender Notice.
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To view more Featured Tenders, please visit our Leads 2 Business Blog.

About Sasha Anderson

Millennial Mom + wife living the hash-tag life. Remember: If You Fail - Fail Forward

The Role of the CIDB in the Construction Industry

Whether you work within the construction industry or not, at some point in time you may have heard of the term CIDB.

If you are an existing subscriber of Leads 2 Business you may have also seen the CIDB tab on our website. The function of this tab is to enable our subscribers to find the perfect leads, relevant to their business quickly and efficiently. This functionality also allows our subscribers to cut their lead time when sourcing new opportunities.

However that still does not answer, what CIDB is and its role, and this is what I aim to do in this blog,

The Construction Industry Development Board is a national regulating framework database, where contractors and construction projects are graded according to financial capacity, for there to be a systematic way to regulate and monitor performance in the industry. The intention of the establishment of the CIDB was to create a fair and enabling environment for growth and development in the Construction Industry of the country. 

How does the grading actually work?

There are various grading levels between two to nine and different classes of work, so for someone to qualify for grade 2, it means that their company needs to have completed at least one single large construction project between the values of R 150 000 to R650 000 within the immediate past 5 years. Projects completed more than 5 years ago do not qualify and as such, are not considered by the CIDB. In order to qualify for a higher grading, it means the project values a company deals with should also increase to meet the next value criteria.

The Impact of the Register of Contractors on its stakeholders:

• Helps contractors to make better decisions when tendering, and clients to make informed decisions when awarding contracts;

• Increases the rate of project success and thereby helps contractors to build their own track record;

• Creates a sustainable tendering and business environment for contractors; and

• Helps to level the playing field for contractors.

Where to register?

For grade 1 register online via the CIDB website portal www.cidb.org.za. It takes 48 working hours to process an application and activate a Grade 1 on the system.

For Grade 2 to 9 you can visit your nearest CIDB provincial Office to apply for registration. Grade 2 to 9 applications must be accompanied by the relevant supporting documents. The maximum period for processing Grade 2 – 9 applications is 21 working days.


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About Sonet van Wygaard

I started working at Leads 2 Business in 2014. I was part of the Tenders Africa team and have now recently moved to Private Projects. I love every second of it!

Featured Tender: Architectural Service Providers

KZN – DTA 908553

Contract Number:

Architectural Services – Empangeni Preparatory School

Description:

Empangeni Preparatory school invites Architectural Service Providers with valid documentation to a compulsory site meeting.

Category Industry
Consultants Institutional
Region Site Inspection
Empangeni – KZN 2022-03-23 10:30 AM
Closing Date Contract Period
24 March 2022 No Details

Please visit Leads 2 Business for more information on this Tender Notice.
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About Sasha Anderson

Millennial Mom + wife living the hash-tag life. Remember: If You Fail - Fail Forward

Featured Tender: Hot Isostatic Press (HIP) Machine at the CSIR Scientia Campus

Gauteng – DTA 908096

Contract Number:

CSIRRFP3507/18/03/2022 – CSIR – Readvertisement

Description:

Council for Scientific and Industrial Research CSIR invites Tenders for Engineering and Construction of Facilities to House a Hot Isostatic Press (HIP) Machine at the CSIR Scientia Campus, Pretoria.

Category Industry
Plant & Machinery, Building Institutional, Industrial, Renovations
Region Site Inspection
Gauteng 2022-03-04 11:00 AM
Closing Date Contract Period
18 March 2022 at 16:30 No Details

Please visit Leads 2 Business for more information on this Tender Notice.
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Featured Tender: Provision of Aerial Inspection Services of the Petroleum and Gas Pipeline Servitudes

KwaZulu-Natal

Contract Number:

PYP/W1/6/21/1889 – Transnet

Description:

TTenders are invited for the: RFP for the Provision of Aerial Inspection Services of the Petroleum and Gas Pipeline Servitudes for Transnet Pipelines’ Southern Pipeline Route Inlcuding NMPP PL1 for a period of Three Years.

Category Industry
Consultants Institutional
Region Site Inspection
KwaZulu-Natal No details
Closing Date Contract Period
27 July 2021 at 10:00 3 Years

Please visit Leads 2 Business for more information on this Tender Notice.
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About Antonette Claassens

I am a fanatical researcher who takes immense pride in the information I publish and those all-important finer details. When I'm not "researching up a storm", I love the ocean, fab music, and fine dining.

Featured Tender: Supply, Delivery, installation, testing and commissioning of power transformers From 5 MVA up to 315 MV

Gauteng

Contract Number:

USDEE11-2020.21 – City of Tshwane

Description:

Tenders are invited to bid on the Supply, Delivery, installation, testing and commissioning of power transformers From 5 MVA up to 315 MVA: Thee- Year period as and when required.

Category Industry
Electrical & Instrument, Plant & Machinery Institutional
Region Site Inspection
Gauteng Not applicable
Closing Date Contract Period
29 June 2021 at 10:00 3 Years

Please visit Leads 2 Business for more information on this Tender Notice.
If you are interested in becoming one of our subscribers, please visit Leads 2 Business.
For assistance on how to use our website, please visit Leads 2 Business Wiki.
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