The Construction Sector Transparency Initiative (CoST) is a multi-stakeholder initiative bringing government, the private sector and civil society together with the aim of promoting transparency and accountability in the construction sector.
It achieves this by creating a framework for the disclosure of information from publicly funded construction projects in a format that is relevant, understandable and accessible to stakeholders. These ‘disclosures’ take the form of a simple data-sheet which details the project information – costs, timescales, contracts, suppliers etc. in a form is freely available, and understandable, to the directors, parliamentarians and the general public.
Global construction output expected to grow to $12.7 trillion a year by 2020 and yet through inefficiency and corruption, it is likely that close to $3 trillion of investment will be lost each year by the end of the decade. The recent G20 call for more transparency along the infrastructure value chain validates the importance of CoST as a multi-stakeholder based country-led initiative.
Current Work
The ICE is currently ‘hosting’ the UK CoST MSG, utilising our strong connections to the engineering community and government we are helping to promote awareness of the benefits in actively disclosing project information.
The UK Government has committed to considering the options for embedding the use of CoST or similar means of reporting on outturn performance by autumn 2013 as part of its first Infrastructure Cost Review. The ICE will continue to work with HMT-Infrastructure UK and the Cabinet Office to develop these options.
CoST Factsheet
The CoST MSG is also developing close ties with local housing authorities to promote the use of CoST disclosure frameworks throughout their housing programmes.
The Multi-stakeholder Group members:
- Bob McKittrick – MSG Chair
- Noel Foley – (ACE)
- Alasdair Reisner – (CECA)
- Andrew Savage – (Broadland Housing)
- Doug Sinclair - (HA)
- John Tracy-White - (RICS)
- Peter Eisenegger - (National Consumer Federation)
- Matthew Parker – MSG Co-ordinator/Secretariat (ICE)
- John Hawkins – International Secretariat/Programme Manager
For further information please visit: www.constructiontransparency.org
The Pilot
This DFID funded and World Bank supported initiative was successfully piloted in eight countries: Ethiopia, Guatemala Malawi, the Philippines, Tanzania, the UK, Vietnam and Zambia. The ICE has been at the heart of this initiative as a partner in the International Secretariat and in managing the UK pilot.
Further reading
CoST International Advisory Group Report
CoST Results
UK Pilot Disclosure
The UK has taken a lead by disclosing information from eight public sector construction projects. The information supplied by the four procuring entities was scrutinised by an independent Assurance Team appointed by the UK MSG. The Assurance Team produced reports and report card summaries on each of the eight projects highlighting any emerging issues.