Legal

Keeping Up to Date with Regulatory Change

By Andrew Skinner, commercial lawyer and director at Ulrich Milne Lawyers

1 May 2023

5 minutes to read

The pace of regulatory change in the building industry continues to move quickly. This article summarises some of the key changes which builders, fabricators and suppliers need to be aware of, to consider the implications for their business. Significantly, given recent events, at the end of 2022, the Government also announced proposed changes as part of the Building for Climate Change programme, which may become an election topic later this year.

 

BuiltReady and Building Product Information

The BuiltReady Voluntary Certification Scheme for modular component manufacturers has now started. As previously noted in this column, this scheme certifies the components built by certified off site manufacturers as being compliant with the Building Code. BuiltReady was open for applications from certification bodies in late 2022 and opens for applications by manufacturers in 2023.

From 11 December 2023, manufacturers, importers, retailers and distributors of building products must either prepare or ensure that information is available about the products supplied. This will be a significant exercise for large suppliers and distributors with a number of product lines who will need to develop systems and processes to ensure compliance with this new framework. Again, further information can be found at the link below.

Building Code Updates

Various changes have been made to the Building Code, including for B1 Structure, E2 External Moisture and H1 Energy Efficiency. The H1 changes have caused considerable discussion in the industry, which led to extensions for the old R-values for floor, wall and roof insulation in houses until 30 April 2023 across all six climate zones. Windows and doors have a stepped introduction depending on climate zone. 

Builders and fabricators will need to keep a close eye on design changes and modify their building and fabricating practices accordingly, which may include the procurement of different building materials. We expect builders and fabricators to be in close contact with designers and architects to fully understand the implications of the H1 changes. A failure to pick up on these when quoting for a job may result in unexpected costs, delays on procuring materials and failed inspections.


Building for Climate Change

Launched in 2020, the Building for Climate Change Programme was established with the aim of guiding the building and construction sector to achieve its contribution to reducing emissions, targets and make sure our buildings are prepared for changing climate conditions. The programme is working on a range of initiatives, including reducing wholeof life embodied carbon emissions, transforming operation or efficiency, supporting adaptation and building climate resilience.
Proposed amendments to the Building Act were announced in December 2022, which will:

  1. Make it mandatory for new and existing public, industrial and large-scale residential buildings to hold energy performance ratings.
  2. Require those intending to undertake certain building or demolition work to have a waste minimisation plan.
  3. Change the principles and purposes of the Building Act to clarify that climate change is a key consideration.

Some councils already require waste minimisation plans to be provided during building consent applications, but the approach is ad hoc. The proposed amendments will introduce a consistent nationwide requirement that a waste minimisation plan must be provided to the relevant territorial authority when a building consent is sought for new building work. To manage potential costs, it is intended that regulations allow flexibility for waste minimisation plans to reflect individual local circumstances, particularly around the different resource recovery and waste management facilities available in the area where the building work is occurring.

As the climate changes, and we see an increase in extreme weather events, the proposed amendments to Building Act are designed to make it clear that it is a core responsibility of the building construction sector to consider the impact of climate change and the resilience of buildings. It is expected that a Bill for these changes will be introduced to Parliament in 2023.

This article is of a general nature and is not intended to be relied upon as legal advice.

For more information visit www.building.govt.nz

Andrew Skinner, Partner - Commercial Law - andrew.skinner@uml.co.nz

Andrew Skinner has over 20 years of experience as a commercial lawyer. He is a director at the Auckland firm Urlich Milne and vice chair of the Frame and Truss Manufacturers Association.

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