Dealing with Construction Permits in
Lesotho
Listed below is detailed summary of the procedures, time and costs to build a warehouse —including obtaining necessary licenses and permits, completing required notifications and inspections and obtaining utility connections.
The information appearing on this page was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 183 economies. The most recent round of data collection for the project was completed in June 2011.
-
Building a warehouse
-
Estimated Warehouse Value:
LSL 4,049,436
- City: Maseru
| No. |
Procedure |
Time to Complete |
Associated Costs |
| 1 |
Hire environmental specialist to prepare environmental impact study
Agency: Environmental Specialist
|
1 day
|
LSL 77,190
|
| 2 |
Obtain environmental impact assessment from the National Environment Secretariat
Agency: National Environment Secretariat
|
25 days
|
no charge
|
| 3 |
Request and obtain land lease from Ministry of Home Affairs
Agency: Ministry of Home Affairs
|
180 days
|
LSL 1,200
|
| 4 |
Request and obtain construction guarantee from bank
The company must go to a bank with a signed contract in order for the bank to issue a performance bond (or guarantee). The refundable cost is 10% of the project value, and it is deposited at the bank.
Agency: Commercial Bank
|
14 days
|
no charge
|
| 5 |
Submit building plans and diagrams and obtain approval
Agency: Maseru City Council
|
30 days
|
LSL 7,000
|
| 6 |
Request and obtain building permit from the Maseru City Council
The building permit is issued after inspection and approval of the building plans and diagrams. The following documents are necessary: lease (if applicable), building plans, and drawings along with a duly completed application form. The mandated time limit is 30 days, but it often takes much longer. It takes only 65 days with constant follow-up.
Agency: Maseru City Council
|
65 days
|
LSL 3,250
|
| 7 |
Receive on-site pre-approval inspection
A lack of resources and capacity constrains the municipality’s ability to carry out inspections during the construction phase.
Agency: Municipality
|
1 day
|
no charge
|
| * 8 |
Request water connection services
BuildCo should contact the water and sewerage authority to connect to the water and sewerage network. In practice, connection can take up to 6 months, and constant follow-up with the water authority is required.
Agency: Water and Sewage Authority
|
1 day
|
LSL 4,000
|
| * 9 |
Receive on-site inspection by water company
After the inspection is completed, BuildCo is given estimates used to pay the connection fee.
Agency: Water and Sewage Authority
|
1 day
|
no charge
|
| * 10 |
Connect to water services
During construction the company usually already has a temporary connection. The entrepreneur would then request a final one and all you need is the meter at the end. Temporary and final connection would take around a month. Compared to other service providers water connection is fairly quick.
Agency: Water and Sewage Authority
|
30 days
|
no charge
|
| * 11 |
Request and obtain telecommunications connection
The cost of connection depends on whether the business on the premises belongs to a citizen or a foreigner. The cost is LSL 500 for local businesses and LSL 5,000 for foreign ones. With constant follow-up, it takes 30 days. Otherwise, it usually takes 180 days.
Agency: Telecom Lesotho
|
180 days
|
LSL 500
|
| 12 |
Request and receive final inspection from Maseru City Council and obtain certificate to use warehouse
There are several inspections that take place during construction and that are carried out by in-house project architects or engineers (BuildCo). Those inspections include excavation work, foundation work, concrete work, steel work for slabs, frame, damp-proof course, drainage, timber scaffolding, electrical. After completing the final inspection, the Maseru City Council issues a certificate authorizing the use of the warehouse. By law, obtaining the occupancy permit can take up to 4 weeks (excluding inspection time). However, the occupancy permit is practically never or rarely issued, which breeds safety concerns.
Agency: Maseru City Council
|
11 days
|
no charge
|
* Takes place simultaneously with another procedure.