New Legislation to Shake Up New Zealand’s Building Industry.
In a significant move to make building in New Zealand more affordable and efficient, Building and Construction Minister Chris Penk has introduced new legislation aimed at improving access to quality building products from overseas. This initiative is set to inject much-needed competition into the market, offering Kiwis more choices and potentially driving down construction costs.
Addressing the Lack of Competition
New Zealand’s building supply chain has long been dominated by a few major companies, leading to high prices and limited innovation. The recent GIB crisis in 2022 highlighted the vulnerabilities in the system, with supply chain disruptions causing significant delays and cost increases. Penk’s new legislation aims to tackle these issues head-on by reducing barriers for importing high-quality building products.
Key Changes in the Legislation
The Building (Overseas Building Products, Standards, and Certification Schemes) Amendment Bill introduces several key changes:
- Easier Importation: The bill will make it simpler to import quality building products, giving builders and consumers more options.
- Streamlined Consent Processes: Minor variations and customizations will no longer require a new consent, speeding up the building process.
- Levy Exemptions: Projects under $65,000 will be exempt from paying the building levy, reducing costs for smaller projects.
Ensuring Quality and Safety
Despite the increased access to overseas products, Building Consent Authorities will still ensure that all building work complies with New Zealand’s Building Code. This ensures that homes and buildings remain healthy, safe, and durable.
Looking Ahead
The first reading of the bill is scheduled for later this month, after which it will be referred to the select committee . Once implemented, these changes are expected to make building in New Zealand more affordable and efficient, benefitting both builders and consumers.
