Minister for Planning Sonya Kilkenny today announced an overhaul of the building regulator, replacing the Victorian Building Authority with a new more powerful watchdog – Building & Plumbing Commission – to oversee building and plumbing industries across the state. The watchdog will also be given tough new powers. 

This is just one of a series of announcements the Government has made this week about more homes, more support for industry, infrastructure and parks, and more opportunity for renters, owners and buyers. 

Under new rules the Building & Plumbing Commission will be able to direct builders to fix work not just before move-in day – but beyond. The Government will work with industry to define the eligible time period. New powers will also enable the watchdog to stop apartments with serious defects from being sold, as well as increased reporting requirements before occupancy certificates are signed off on new builds.  

The watchdog will also be tasked with leading an inspection blitz, including a crackdown on unregistered building and plumbing work. 

Apartment developers will be required to provide a bond to cover the cost of rectifying defects for buildings over three storeys. The new bond will be the first step towards introducing a new 10-year insurance product for apartment buildings, with next steps to be developed in consultation with an industry working group.  

Further changes will be made to the dispute resolution processes as part of the transition to the Building & Plumbing Commission, creating more certainty for Victorians and industry, and more streamlined pathways to resolve disputes. 

The Government is also working with industry and consumer groups on reforms to ensure the rules around domestic building contracts are clear and fair, with legislative change expected in 2025.  

The Victorian Building Authority’s CEO Anna Cronin has been leading a major transformation of the Victorian Building Authority’s performance and culture since her appointment in July 2023. Earlier this year, Ms Cronin commissioned an independent review into concerns raised by consumers about historical practices by the VBA, which has been released today. That report confirms what many already knew, that significant changes to the VBA are needed. 

MBV responded with a media release saying that MBV respects the Victorian Government’s efforts to better protect consumers with the building reforms announced today but noted that the new ‘one stop shop’ to deal with complaint resolutions ‘after’ a build, isn’t the complete answer to delivering better buildings.  

MBV will continue advocating that the government needs to focus on additional ways to support the industry to ensure better building standards and practices, to restore consumer confidence rather than simply focusing on poor outcomes after the fact. 

MBV is advocating for the importance of getting the basics right.

We need to have better trained trades and sub-contractors on sites who are appropriately qualified and registered to deliver the high-quality work that consumers and building companies rightly expect. Part of getting the basics right should also be about targeting and removing unregistered people who call themselves ‘builders’. MBV welcomes the blitz on unregistered builders so that consumers can be confident that they are engaging a qualified, insured builder for their project. 

We have also advocated for changes to the insurance system to make it easier and quicker for a builder to obtain at the start of a project.

MBV will continue working with the government in relation to these reforms and advise members as these reforms progress. 

More Information at: https://www.premier.vic.gov.au/new-building-watchdog-teeth-protect-victorians  

See MBV’s Media Release at: https://www.mbav.com.au/news-information/media-release/mbv-respects-vic-gov-new-moves-protect-consumers-says-it-is-not-the-complete-answer-to-delivering-better-buildings

See VBA’s statement at: https://www.vba.vic.gov.au/news/news/2024/statement-from-vba-ceo-and-commissioner-anna-cronin