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Ethiopia - Obtain a Construction /Building Permit

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Contents

Introduction

To work as contractor and participate in Construction work in Ethiopia; any one needs to have construction license form Ethiopian Ministry of Urban Development and Construction (MUDC);

These are graded in different categories;

  • General Contractors (GC 1-10) to work any civil construction works except water works;
  • Building Contractor (BC 1-10) to work in construction of buildings;
  • Road Construction (RC 1-10) to participate in road construction; and
  • Special contractors (SC 1-4) specialized in single area of construction like foundation drilling.
  • For foreign investor only GC-1, BC-1, RC-1 or SC-1 registration allowed.

Eligibility

  • All companies and other stakeholders who wish to invest in Construction work in Ethiopia.
  • Any company qualified under terms and conditions prescribed from time to time by the Ethiopian Ministry of Construction is free to register for contraction, as the case may be, for general Construction,Building construction,Special Contractors or foreigners investing in Building/construction Business.

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Instructions

  • Applicants must appear in person.
  • Applicant subjected to future evaluation by relevant division/ department/Authority
  • Entities that fail to meet complete the stated requirements are not be able to conduct business of construction until they perform the necessary activity.
  • Foreigners investor are only allowed general Construction 1,Building construction 1,Road construction 1 and special construction 1.

Required Information

  • A copy of bank Draft
  • A Copy of Current Tax Clearance Certificate.
  • A VAT Certificate
  • A Company Profile
  • A comprehensive Staff List and Curriculum Vitea of the key Staff,
  • A List of Equipments facility to the company.
  • DRP Endorsed Request for Expatriate Quota
  • Training Program for Ethiopian Staff
  • Registration by relevant for professional body
  • A copy of technical agreement of MOU with Ethiopian company/Department in Construction Field.
  • Current Work mens compensation policy.

Procedure

Step 1.Visit the Ministry of Urban Development and Construction (MUDC), building department to access registration form

Step 2.Complete registration form with particular attention to your area of specialization(s)

Step 3. Attach statutory documents on the application as follows:

  • Certificate of incorporation (CAC)/Registered Business name
  • 3 years current tax clearance certificate
  • DPR certificate (where applicable)
  • VAT Certificate (where applicable)
  • Reference letter from your bank
  • PENCOM certificate (where applicable)
  • Current ITF Registration certificate (where applicable)

Step 4.Submit Registration Form after Obtain design approval from:

  • The applicant must submit the building plans and will receive a form to be filled out by the owners of the neighboring plots.
  • The Applicant must obtain the neighbors’ consent before obtaining the design approval this normally takes 60 days .
  • Obtain consent from neighbors and submit it to the Ministry of Urban Development and Construction (MUDC),
  • The Applicant must obtain a written statement from the neighbors, stating that there are no land disputes on the plot where the construction will take place

Step 5.Verification and confirmation of documents provided (by the applicant)

Step 6.Issuance of Registration Certificate to qualified contractors, Builder and suppliers. After the design is approved, Applicant must submit the bank statement described above and check the zoning requirements to obtain approval for the construction. After this approval is granted, construction can begin.


At the beginning of construction, the applicant must inform the Ministry of Urban Development and Construction (MUDC), (by phone or Physical visit) about the initial stages of construction. The Ministry of Urban Development and Construction (MUDC), checks whether the work has been performed according to plan. The wait period between requesting and receiving the inspection depends on the inspector's availability. Once the permit is obtained, inspections will occur occasionally without affecting the work. During construction, the Ministry of Urban Development and Construction (MUDC), may randomly inspect the building/construction.

Notes

a)There is Registration fees required which is determined by the Ministry of Urban Development and Construction (MUDC), .

d)For further clarifications contact the nearest Municipal office,Ministry of Urban Development and Construction (MUDC), construction Department.

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Required Documents

  • Certificate of incorporation (CAC)/Registered Business name
  • 3 years current tax clearance certificate
  • DPR certificate (where applicable)
  • VAT Certificate (where applicable)
  • Reference letter from your bank
  • PENCOM certificate (where applicable)
  • Current ITF Registration certificate (where applicable)

Fees

Registration fees required is ETB 4,000

Validity

The registration is valid for 1 year then a renewal is required

Documents to Use

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Sample Documents

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Processing Time

The process takes 7-14 working days

Office Locations & Contacts

Ministry of Urban Development,Housing and Construction

Minister of MUDHCo; Ato Mekuria Haile

P.O.Box:- 24134/1000

Address:- In front of National Bank of Ethiopia

Tel :- 0115-531688/ 0115-531672/ 0115-157952

Telephone:251-115-54 12 51

Fax:- 0115541268


Ext- 211

E-mail:-mekuria.2000@gmail.com

Website :http://www.mwud.gov.et

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Video

Videos explaining the procedure or to fill the applications. 
Attach videos using the following tag <&video type="website">video ID|width|height<&/video&> from external websites.
Please remove the "&" inside the tags during implementation.
Website = allocine, blip, dailymotion, facebook, gametrailers, googlevideo, html5, metacafe, myspace, revver, 
sevenload, viddler, vimeo, youku, youtube
width = 560, height = 340, Video ID = Can be obtained from the URL of webpage where the video is displayed.
e.g In the following url "http://www.youtube.com/watch?v=Y0US7oR_t3M" Video ID is "Y0US7oR_t3M". 
	

Information which might help

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Other uses of the Document/Certificate

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e.g. Birth Certificate can be used as proof of identity.

External Links

http://constructionproxy.com/ethiopian-construction-update-and-articles/67-construction-in-ethiopia

http://www.ihk-krefeld.de/de/media/pdf/international/doing-business/aethiopien-doing-business-in-ethiopia-2011.pdf

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