Construction - September 2006

In September, seasonally adjusted total construction output at constant prices was up by 0.6% month-on-month. In terms of year-on-year comparison, total construction output at constant prices grew by 4.1%. The planning and building control authorities granted 13 327 building permits, which was by 6.8% less year-on-year. The approximate value of permitted constructions reached CZK 31.9 billion and was up by 10.9% year-on-year.
Seasonally adjusted total construction output at constant prices increased by 0.6% month-on-month in September. The trend rose by 0.7% month-on-month (see Table 3).

Year-on-year, total construction output grew by 4.1% (constant prices) and by 5.8% working days adjusted (September 2006 was 1 working day shorter). Volumes of construction work on building, especially on new construction, reconstruction and modernisation, increased year-on-year.

Construction work of contractors and subcontractors to enterprises with 20+ employees grew by 4.0% year-on-year at constant prices. New construction, reconstruction and modernisation recorded an increase of 4.1% (contribution 3.4 percentage points), of which building was up by 12.6% (contribution 5.9 p.p.) and civil engineering down by 6.5% (contribution -2.5 p.p.). Construction work on repair and maintenance rose by 6.4% (contribution 0.8 p.p.). Work done abroad increased by 17.5% (contribution 0.4 p.p.). Other work fell by 48.9% (contribution -0.6 p.p.).

Employment in construction enterprises with 20+ employees dropped by 0.5% against August 2005. The average monthly nominal wage of employees increased by 6.9% year-on-year and reached CZK 20 765 (real wage was up by 4.1%). The average hourly wage increased by 11.1% year-on-year and stood at CZK 139. Labour productivity per employee rose by 4.5% and labour productivity per hour worked grew by 8.7%. Unit wage costs were up by 2.3%.

The planning and building control authorities granted 13 327 building permits in September 2006 (of which 7 173 for new constructions and 6 154 for renewals and enhancements). The number of building permits granted decreased by 6.8% year-on-year.

The approximate value of constructions permitted in September 2006 reached CZK 31.9 billion and was up by 10.9% on September 2005. New constructions should reach the value of CZK 23.0 billion (up by 14.6%, contribution 10.2 percentage points) and renewals and enhancements CZK 8.9 billion (up by 2.4%, contribution 0.2 p.p.). By types of construction, approximate value of building permits for non-residential buildings grew most (up by 26.0%, contribution 6.8 p.p.), followed by residential buildings (up by 8.0%, contribution 3.1 p.p.) and other constructions (up by 5.0%, contribution 1.2 p.p.). The only decrease was observed for environmental constructions (down by 2.0%, contribution -0.2 p.p.).
The increase in the approximate value of building permits was mainly affected by new construction of non-residential buildings (up by 69.6%, contribution 9.2 p.p.), where the planning and building control authorities permitted construction of larger and more expensive office buildings, warehouses and industrial buildings than a year earlier.

The planning and building control authorities permitted 4 308 dwellings to be constructed, which was by 411 dwellings fewer (down by 8.7%) than in September 2005. Out of that, 3 760 dwellings will be built as new constructions (-331 permitted dwellings year-on-year) and 548 dwellings will be obtained by renewals and enhancements (-80 permitted dwellings year-on-year). The approximate value of newly permitted dwellings in multi-dwelling buildings reached CZK 10.0 billion.

The planning and building control authorities permitted, further, the construction of buildings with a floor space of 1 092.7 thousand m2 (+47.5% on September 2005). The floor space of new buildings was 1 043.5 thousand m2 and of renewals and enhancements 49.2 thousand m2. Construction of dwellings with an average floor space of 126.4 m2 per dwelling and approximate value CZK 19.8 thousand per m2 was permitted for new residential buildings.

Analysis - Construction in the third quarter of 2006

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Note
Contact: Vladimír Zikmund, phone (+420) 274054252, e-mail: vladimir.zikmund@csu.gov.cz
Data source: CZSO direct survey in enterprises and planning and building control authorities
End of data collection: 2 November 2006
End of data processing: 3 November 2006
Related publications: /1-ep-8
8201-06 Construction
8202-06 Building Permits Granted