Source: New Zealand Government
Significant reforms are underway in the building and construction portfolio to help enable more affordable homes and a stronger economy, Building and Construction Minister Chris Penk says.
“If we want to grow the economy, lift incomes, create jobs and build more affordable, quality homes we need a construction sector that is firing on all cylinders,” Mr Penk says.
“A recent report found that the sector supports 20 per cent of all jobs in New Zealand and contributes $99 billion dollars in sales. However, the report also found that productivity levels in the sector are the same as they were in 1985 and that the time taken to build a home has increased to a staggering 19 months on average.
“Much of this lost productivity is due to the building consent system which adds layers of regulations that can make even the simplest projects a nightmare.
“This red tape strangles productivity and makes building more expensive – with the flow on effect being that we are building fewer homes than we could be. This is why the Government has prioritised bold, structural reforms which are easily the largest since the Building Act was introduced in 2004.
“We know that there are enormous economic and social benefits for Kiwis if they have stable housing and that change is long overdue.
“The guiding principles for these reforms is that building needs to be easier and that regulations surrounding it should be streamlined, proportionate to the risk, consistent nationwide and place liability in the appropriate places.
“We are not lowering standards, instead we are removing unjustifiable regulations that are not adding value and enabling trusted qualified individuals with a proven track record of delivery to do the job.
“We will be announcing the next step in the Government’s plan to make building easier and more affordable in the coming weeks.
“In the last 10 months, the Government has announced a range of initiatives from small common sense changes to large structural reforms all with the goal of letting tradies get on with the job. So far these changes and proposed changes have included,
- Commencing a major reform of the structure of the Building Consent system to improve efficiency and consistency across New Zealand.
- Removing barriers to overseas building products to increase competition and drive down prices for building products.
- Increasing the use of remote inspections to reduce delays in the consenting process.
- Allowing Granny Flats and other structures up to 60sqm to be built without a building or resource consent.
- Extending deadlines for earthquake prone buildings to give building owners certainty.
- Reviewing the earthquake prone building legislation to ensure the settings effectively balance the risk of life safety with the real-world implications on building owners and communities.
- Holding careless builders accountable by looking to strengthen registration and licencing regimes, including penalties.
- Exempting small building projects like home renovations from paying the building levy.
- Streamlining building consent changes by defining minor variations – meaning builders don’t need to formally amend a building consent for small changes like swapping out comparable building products.
- Making it possible to customise multi-proof designs, which are pre-consented building consents with a fast-tracked approval process.
- Putting the spotlight on building consent delays by publishing building consent timeframes each quarter.
- Cutting dam red-tape meaning small dam owners don’t have to comply with burdensome regulations.
- Investigating the impacts of the recent H1 building code changes to ensure the settings are balancing the impact of upfront costs with energy efficiency.
- Removing compliance costs for councils by reducing the frequency of competence assessments for building control officers.
- Initiating a review into the fire safety provisions in the building code so we can better protect people and property.
“This is all part of the Government’s wider plan to rebuild the economy and end the housing crisis.”
