On 7 April 2026, the Building and Construction Authority issued a circular setting out an ex-gratia cost sharing framework for diesel and bitumen used in ongoing critical public sector construction contracts. The measure responds to sharp price increases arising from the Middle East conflict and is intended to mitigate the impact on contractors involved in diesel-intensive works.

This update outlines the scope of the ex-gratia scheme, the key eligibility and cost-sharing parameters, and the procedural requirements for claims and downstream payment.

If you would like information and/or assistance on the above or any other area of law, you may wish to contact the Partner at WongPartnership whom you normally work with or any of the following Partners:

TAY Peng Cheng
Head – Energy, Projects & Construction
d +65 6416 8121
e pengcheng.tay@wongpartnership.com
Click here to view Peng Cheng’s CV.

Lesley TAN
Partner – Energy, Projects & Construction
d +65 6416 8111
e lesley.tan@wongpartnership.com
Click here to view Lesley’s CV.