24 Planning, construction and development services Planning, planning approvals, and building and construction regulations and approvals can have a significant impact on building costs. Occupational licensing of building service providers has a number of benefits, but can also have an impact on building costs. Legislation in all of these areas can have anticompetitive effects. This chapter discusses planning and approval, building regulations and approval and building service providers (architects, engineers, surveyors, valuers and building and related trades). Planning and approval Planning legislation establishes planning schemes for regulating land use. The schemes typically divide land into zones and set out the uses and developments that do not require a planning permit, those that are allowed subject to permit approval with or without conditions, and those that are prohibited. The legislation generally requires planning approval before development or building commences, which is given at either local or State/Territory level. Approval involves considering various aspects of the specific proposal (including specific site characteristics, the proposed use, the impact on surrounding occupiers, traffic and design issues) in the context of the general zoning of the land and the applicable planning instruments, with a view to protecting community amenity. Legislative restrictions on competition Jurisdictions differ in the competition restrictions in their planning legislation. Planning legislation has the potential to restrict the entry of new competitors into a market. This may result from the content of the planning schemes — for example, where schemes contain restrictions that limit or prevent commercial development in an area. All jurisdictions’ planning schemes contain this type of restriction. Competition may also be inhibited by (avoidable) delays in obtaining planning approvals. Such delays may be a result of the regulatory system. The University of Tasmania estimated that delays in development approval may add 5–10 per cent to the cost of development projects and that around one third of these delays may be attributable to regulatory delays. The study estimated that eliminating regulatory delays would save $350–450 million Page 24.1 2001 NCP assessment annually (Department of Immigration, Local Government and Ethnic Affairs 1989, p. 22, quoted in Industry Commission 1995). Also, the planning process can restrict competition by allowing existing businesses to stop or at least delay the entry of new competitors to the market by objecting to the proposal because they are concerned about commercial competition. Most jurisdictions’ legislation has traditionally restricted competition by reserving planning approval to government. More recently, New South Wales and Queensland opened up parts of planning approval to private certifiers. In New South Wales, accredited private certifiers are able to issue development certificates for development that requires consent but can be certified as meeting predetermined development standards (referred to as ‘complying development’). An accreditation body accredits private certifiers, who must have relevant qualifications or experience and compulsory insurance. In Queensland, assessable development may require code and/or impact assessment. Private certifiers are able to conduct code assessments and to inspect and certify certain works. They require relevant qualifications, necessary experience or accreditation and compulsory insurance. Regulating in the public interest Planning legislation regulates the use and development of land to achieve broad social, economic and environmental objectives. Regulating development can maximise positive externalities (such as conserving historical buildings and applying urban design principles) and minimise negative externalities (such as avoiding effects on public health and safety by preventing housing that is too close to hazardous industry). Planning legislation can also increase the provision of desirable public goods, such as open spaces and protected floodways. Developing planning schemes involves governments balancing a number of objectives. Under NCP, governments are broadly responsible for balancing these objectives in developing appropriate planning schemes that are in the public interest. In its role of assessing compliance with NCP legislation review and reform obligations, the National Competition Council looks for appropriate regulatory outcomes. In particular, the Council looked at whether planning processes provided opportunities for existing businesses to inappropriately stop or at least delay participation by new competitors. Governments can prevent this, including by limiting the time available for appealing decisions and ensuring that appeal opportunities are open to only those with a legitimate and substantive interest in the potential development in question. Good regulation principles suggest planning schemes should also be developed with community involvement and be transparent and accessible. Planning schemes may unnecessarily add to business costs by involving unwarranted delays. The Council considers that planning approval processes should aim to minimise these delays. The Council’s assessment also looked for jurisdictions to have considered and, where appropriate, provided for competition between government and private providers in planning approval Page 24.2 Chapter 24 Planning, construction and development services processes. It may be inappropriate for private certifiers to be involved in all planning assessments, but a general model would involve differentiating development proposals by the level of assessment required and who undertakes that assessment. In this context, a general planning model may differentiate between: • • • development that does not require approval; development that can be certified as meeting predetermined development standards (and can be undertaken by private certifiers); and development that requires full assessment (and should be undertaken by government). Private certification generally involves a registration scheme, entry requirements and compulsory insurance. The Council accepts that these requirements are generally in the public interest but, as with other occupations with entry restrictions, looked for jurisdictions to have implemented the minimum entry restrictions necessary to achieve the objectives of the legislation. Other strategies for achieving effective planning approval legislation include simplifying the approval process and reducing duplication with other approval processes. Statutory time limits are one way to reduce unnecessary delays. The Council used these broad principles to assess jurisdictions’ review and reform activity against Competition Principles Agreement (CPA) obligations. Where restrictions in legislation generally reflect these broad principles, the Council assessed the jurisdiction as having met its CPA obligations. Where legislation contains restrictions on competition in addition to those consistent with the above principles of effective regulation, the Council assessed the NCP compliance on the basis of the relevant government’s public benefit arguments for the additional restrictions. Review and reform activity Table 24.1 lists each jurisdiction’s review and reform of planning and approval legislation, as reported in the most recent NCP annual reports. Page 24.3 2001 NCP assessment Table 24.1: Review and reform activity of legislation regulating planning and approval Jurisdiction New South Wales Legislation Key restrictions Review activity Legislation is being reviewed in stages. Review of part IV of the Act (integrated development assessment) completed. Review of plan making underway, with White Paper released in February 2001. Review completed. Recommendations aimed at improving the manner in which the Act is administered to enhance planning effectiveness and efficiency. Review completed in October 1997. Review found the Integrated Planning Act to be far less prescriptive than the Act it replaced and merely sets up a planning framework. Review reported that the Act does not restrict competition. Legislation consolidated into the Urban and Regional Planning Bill 2000. A review of the Bill has been drafted for consideration by the Minister for Planning. Reform activity Assessment Environmental Controls land use. Sets Planning and procedures for the issue Assessment Act 1979 of planning permits and approval. Amended in 1997 and Council to assess 1999 to streamline its progress in 2002. approval system and allow accredited certifiers to compete with councils for part of planning approval. The Government is considering the review recommendations. Council to assess progress in 2002. Victoria Planning and Environment Act 1987 Integrated Planning Act 1997 (replaces Local Government (Planning and Environment) Act 1990) Town Planning and Development Act 1928 Western Australian Planning Commission Act 1985 Metropolitan Region Town Planning Scheme Act 1959 Controls land use. Sets procedures for the issue of planning permits and approval. Controls land use. Sets procedures for the issue of planning permits and approval. Queensland Council to assess progress in 2002. Western Australia Controls land use via town planning schemes and for regional areas. Council to assess progress in 2002. (continued) Page 24.4 Chapter 24 Planning, construction and development services Table 24.1 continued Jurisdiction South Australia Legislation Development Act 1993 and Development Regulations 1993 Key restrictions Controls land use. Sets procedures for the issue of planning permits and approval. Review activity Reform activity Assessment Council to assess progress in 2002. Review completed in July 1999. Implementation of reform Recommendations included: requiring is scheduled for 2001. Crown developments to be subject to building rules and fire safety requirements consistent with those for private buildings; allowing private certification of private development; and removing the obligation for planning authorities to obtain independent advice for noncomplying developments. Review completed. Government is preparing legislation to implement the recommendations of the review. Government issued a formal response to the review, agreeing in principle to most recommendations. Tasmania Land Use Planning and Approvals Act 1993 Land (Planning and Environment) Act 1991 — parts V and VI (grants of land and development approval processes) Controls land use. Sets procedures for the issue of planning permits and approval. Controls concessional grants of land and development approval processes Council to assess progress in 2002. ACT Review issued its final report in May 2000. Recommendations include improving transparency in the provision of direct grants and considering to introducing a notification scheme for developments that are relatively minor and unlikely to be opposed by the government agency or to require conditions. Council to assess progress in 2002. Northern Territory Planning Act (1999 Act replaced 1993 Act) Controls land use. Sets procedures for the issue of planning permits and approval. Review of 1999 Act completed in Government endorsed September 2000. Review concluded that outcome of review. the anticompetitive provisions deliver a net benefit to the community and recommended no amendments to the Act. Council to assess progress in 2002. Page 24.5 2001 NCP assessment Building regulations and approval State and Territory building regulations cover a wide range of technical provisions governing the way in which builders and developers operate. The regulations are aimed at ensuring that buildings meet certain health, safety and amenity objectives. Each State and Territory has enacted building legislation, with associated regulations containing the administrative provisions to give effect to the legislation. Building approvals involve inspection and approval at specific stages of the construction process in accordance with the relevant State or Territory building legislation. Building certifiers generally undertake the inspection and approval. They may be building surveyors employed by government authorities, privately employed building surveyors, engineers or architects (ABCB 1999). Across governments there has been a high level of coordination in this area. The Australian Building Codes Board and its predecessor, the Australian Uniform Building Regulations Co-ordinating Council, developed a model Building Act and the Building Code of Australia (BCA). Consequently, there is a high degree of commonality in the legislation to be assessed. The Australian Building Codes Board sets national standards (such as the BCA), so it has national standards-setting obligations under the CPA (see chapter 26). These obligations require standards-setting bodies to show that an appropriate regulatory impact statement has been conducted for the national standards it sets. Legislative restrictions on competition Building regulations may restrict competition by specifying a standard of product that suits a particular raw material, production method, or production plant (ABCB 1997). Imposing a particular standard can increase costs and reduce the scope for innovation. More broadly, building regulations affect business costs. The former Industry Commission estimated in 1995 that reform of government building regulations could lead to an annual saving of around $350 million, equivalent to some 1.5 per cent of total building activity (then valued at around $25 billion) each year (Industry Commission 1995, p. 134). This estimate was based on lowering stringent standards without reducing safety or amenity. A significant change since the Industry Commission’s 1995 report is that all jurisdictions’ legislation now provides for (but does not necessarily mandate) the incorporation of the BCA. The BCA contains technical provisions for the design and construction of buildings and other structures, covering matters Page 24.6 Chapter 24 Planning, construction and development services such as structure, fire resistance, access, fire-fighting equipment, mechanical ventilation, lift installations and certain aspects of health and safety. A new performance-based BCA was released in 1996. The code was designed to achieve cost savings in building and construction by allowing flexibility and innovation in the use of materials, forms of construction and design. Building regulations continue to vary across jurisdictions for a number of reasons. • Although the BCA is the main incorporated document in the State and Territory building regulations, there may be other documents such as planning codes. Jurisdictions have the opportunity to introduce some regional variations to take account of climate and the building environment. Local governments may also make laws that have the same power as a building regulation but apply only within the local government area. • • Building approvals also affect business costs. The University of Tasmania estimated that reducing delays in building approvals could save $300–400 million annually (Department of Immigration, Local Government and Ethnic Affairs 1989, p. 21–2, quoted in Industry Commission 1995). Introducing competition in building approvals pre-dates the NCP. One of the recommendations of the Building Regulation Review Taskforce (1991, quoted in Department of Infrastructure, Energy and Resources 1999) was that State and Territory governments make legislative and administrative provisions for private certification. As well, the model building Act developed by the Australian Uniform Building Regulations Co-ordinating Council, includes provisions for removing the local government monopoly in the technical assessment and administration of building regulations (AUBRCC 1991). Private certification was introduced first by Victoria in 1994 and more recently by other States and Territories. Suitably qualified and appropriately insured private certifiers are now able to provide building approvals in all jurisdictions except Tasmania and Western Australia. Tasmania passed new building legislation in 2000, which includes provisions for private certification. This legislation has not yet commenced. Private certification has led to the establishment of competitive markets for these services, with the private sector now accounting for a large proportion of total inspection/approval activity. Regulating in the public interest Building regulations have benefits in terms of public health, safety and amenity. The Industry Commission found that most aspects of building regulations meet the public interest test, although some regulations and the way in which they are applied are unnecessarily stringent, reduce the Page 24.7 2001 NCP assessment competitiveness of the industry and serve no safety or other public interest objective (Industry Commission 1995, p. 134). The new performance-based building code, introduced in 1996, appears to have reduced building sector costs compared with those under the previous code. One recent review, while noting that it is difficult to quantify the benefits from the new code, estimated savings of 0.5–3 per cent of capital costs through adoption of the performance-based code (ABCB 2000). This review supported simplifying State-based exceptions in the performancebased BCA and ultimately replacing State-based Acts and regulations with a truly national system. The Council believes that many aspects of building regulations and approvals are, in principle, justified in the public interest. In assessing NCP compliance, the Council looks for jurisdictions to adopt the performance-based BCA and minimise variations from that code. While the code has been developed to permit State-based variations, excessive regulation can increase costs. Where significant State-based variations exist, the Council looks for jurisdictions to have provided a public benefit case for these variations. Building approval processes should aim to minimise unwarranted delays. The Council’s assessment looks for jurisdictions to have considered introducing competition in the building approval and certification processes, given the likely public benefits of reducing approvals times. Private building certification typically involves a registration scheme, entry requirements and compulsory insurance. The Council accepts that these requirements are generally in the public interest but, as with other occupations with entry restrictions, looks for jurisdictions to have implemented the minimum necessary entry restrictions to achieve the objectives of the legislation. The Council used these broad principles to assess jurisdictions’ review and reform activity against CPA obligations (table 24.2). Where restrictions in legislation reflect this broad framework, the Council assessed the jurisdiction as meeting its CPA obligations in relation to building. Where legislation contains restrictions on competition in addition to those consistent with the above principles of effective regulation, the Council assessed the NCP compliance on the basis of the relevant government’s public benefit arguments. Review and reform activity Table 24.1 lists each jurisdiction’s review and reform of its building regulations and approval legislation. Page 24.8 Chapter 24 Planning, construction and development services Table 24.2: Review and reform activity of legislation regulating building regulations and approval Jurisdiction New South Wales Legislation Key restrictions Review activity Reform activity Amended in 1997 and 1999 to simplify development procedures and allow for certification of development by accredited certifiers. Adopts 1996 BCA. Assessment Meets CPA obligations (June 2001). Environmental Sets building regulations Review of assessment procedures in both Planning and and specifies building Acts completed. Assessment Act 1979 approval procedures and accreditation of building Local Government certifiers. Act 1993 Building Act 1993 Sets building regulations and specifies building approval procedures and accreditation of building surveyors. Victoria Review completed in 1998. Review focused Government considering on occupational regulation aspects of review report. building practitioners, including building surveyors. Building regulations — meets CPA obligations (June 2001). Building approvals — Council to assess progress in 2002. Queensland Building Act 1975 and Standard Building Law and Building Regulation 1991 Local Government (Miscellaneous Provisions) Act 1960 and Building Regulations 1989 Sets building regulations and specifies building approval procedures and accreditation of building certifiers. Department review underway. Department is preparing draft framework for scoping and conducting the review. Review to be finalised during 2001. Council to assess progress in 2002. Western Australia Sets building regulations Not for review. The Government is and specifies building currently developing a Bill to replace the approval procedures. Act. Bill to be examined under gatekeeper provisions. Council to assess progress in 2002. (continued) Page 24.9 2001 NCP assessment Table 24.2 continued Jurisdiction South Australia Legislation Development Act 1993 and Development Regulations 1993 Key restrictions Sets building regulations and specifies building approval procedures and accreditation of building certifiers. Review activity Reform activity Assessment Council to assess progress in 2002. Review completed in July 1999. Implementation of reform Recommendations included: requiring is scheduled for 2001. Crown developments to be subject to building rules and fire safety requirements consistent with those for private buildings; allowing private certification of private development; and removing the obligation for planning authorities to obtain independent advice for noncomplying developments. Tasmania Local Government (Building and Miscellaneous Provisions) Act 1993 (Part III subdivisions) Local Government (Building and Miscellaneous Provisions) Act 1993 (health issues) Local Government (Building and Miscellaneous Provisions) Act 1993 (except health issues & pt III) Building Act 2000 Sets building regulations and specifies building approval procedures. Legislation replaced by the Meets CPA Building Act 2000 obligations (June assessed under the 2001). gatekeeper requirements. Relevant provisions transferred to the Public Heath Act 1997, assessed under regulatory gatekeeping arrangements. Meets CPA obligations (June 2001). The building provisions Meets CPA have been replaced by the obligations (June Building Act 2000 2001). assessed under the gatekeeper requirements. New legislation. Regulatory impact statement on Building Bill 1999 released in August 1999. Act received Royal Assent on 20 December 2000. The Act is expected to commence in 2001. Meets CPA obligations for building regulations and approval (June 2001). (continued) Sets building regulations and specifies building approval procedures and accreditation of building certifiers. Page 24.10 Chapter 24 Planning, construction and development services Table 24.2 continued Jurisdiction ACT Legislation Building Act 1972 Key restrictions Sets building regulations and specifies building approval procedures. Also sets building practitioners licensing. Review activity Targeted public review completed in August 2000. Review focused on regulation of building occupations and did not review building regulations. Public benefits for building regulations are amenity, safety and health of people who use buildings and community expectations. Reform activity Assessment Building regulations — meets CPA obligations (June 2001). Construction Registration, entry New legislation to introduce private Practitioners requirements, certification of building work. Review Registration Act 1998 disciplinary processes, completed in November 2000. business conduct (professional indemnity insurance with approved insurer, no conflict of interest) Northern Territory Building Act Sets building regulations and specifies building approval procedures. Also building practitioners licensing. A review was undertaken in 1999, the results of which will be incorporated into a general review of the Act, which is underway. Building approvals — Council to assess progress in 2002. Council to assess progress in 2002. Page 24.11 2001 NCP assessment Service providers The construction and planning industry is serviced by a number of professions, occupations and trades. Architects, engineers, surveyors, builders and valuers are just some of the elements of the building industry workforce. Key restrictions to be considered in NCP reviews of these vocations include licensing requirements, entry requirements (rules or standards governing who may provide services), the reservation of practice (where only certified practitioners are allowed to perform certain areas of practice), ownership and other commercial restrictions. A National Competition Council staff paper sets out how these measures restrict competition and explores many of the issues raised by professional regulation (Deighton-Smith, Harris and Pearson 2001). It also highlights principles for regulating professions and occupations, including the desirability of: • • • • • • • regulatory objectives being clearly identified; links between specific restrictions and the reduction of harms being identifiable; regulations and other rules of conduct being transparent and public; restrictions being consistently ‘grandfather clauses’; applied, with a presumption against enforcement actions being open, accountable and consistent; regulatory bodies having broad representation, with strong community involvement; and regulation being the minimum necessary to achieve the government’s objectives. Architects Individual States and Territories are responsible for the various legislative instruments regulating architects. The Productivity Commission recently completed a national review of architecture legislation on behalf of all States and Territories, except Victoria (PC 2000a). It identified a number of restrictive aspects of architects’ regulation, including entry standards, registration requirements, the reservation of title and disciplinary processes. It also found significant commercial restrictions in many jurisdictions, including advertising and ownership restrictions. Table 24.3 lists each jurisdiction’s review and reform of legislation regulating architecture. Page 24.12 Chapter 24 Planning, construction and development services Engineers Queensland is the only State that legislates for the registration of all professional engineers. Queensland’s Professional Engineers Act 1988 includes restrictions on entry, a requirement to register, the reservation of title and practice, a disciplinary process, commercial restrictions and business licensing. Several jurisdictions require professional engineers to be registered for specific areas of work, such as building work (Victoria and South Australia) and certification (New South Wales and the Northern Territory). Generally, jurisdictions use the National Professional Engineers Register (managed by the Institution of Engineers, Australia) as the benchmark criteria for qualifications and experience required to practice as a professional engineer. Jurisdictions also rely on quality standards (such as building codes) to achieve the objective of protecting the public from harm. Queensland’s review of the Professional Engineers Act is underway. A review report was completed in February 2000 and publicly released in October 2000, seeking submissions by late January 2001. An independent consultant conducted the review, under the auspices of a steering committee of department officers, a consumer representative and a professional engineer. The review recommended a co-regulatory approach, whereby the ‘regulatory environment and market outcomes would be largely unchanged’ (Department of Public Works 2000, p. 19). Under the proposed approach, the profession would take responsibility for assessing applicants for registration and the Government would be responsible for administration of the legislation, including accreditation of professional bodies and disciplinary action where misconduct is identified. The current business licensing of units and associated professional indemnity insurance requirements would remain. The Government is considering the review report and submissions. The review is anticipated to be finalised in 2001 (Queensland Government 2001). Surveyors Cadastral (land and property) surveyors have an important role in affirming property rights. Each State and Territory requires surveyors to be licensed and registered with the jurisdiction’s surveyors’ board. Legislation regulating surveyors includes entry standards, the reservation of title and a requirement to register. There are also disciplinary processes, reserved areas of practice and business conduct restrictions in all jurisdictions. In New South Wales, surveyors cannot advertise in a way that is false, misleading or deceptive, claims or suggests superiority to other surveyors, or is likely to bring the surveying profession into disrepute. In addition to restrictions imposed on surveyors, some legislation grants the right to surveyors to access property in any manner necessary to conduct a survey. Page 24.13 2001 NCP assessment Regulation of surveyors aims to maintain the integrity of the land tenure system supporting the land and property markets. Accordingly, the Council considers there are public benefit arguments to support, in principle, licensing and registration of cadastral surveyors. Table 24.4 lists each jurisdiction’s review and reform of legislation regulating surveying. Valuers Valuers assess the value of properties, especially in the case of real property transactions where a purchase is being made with a loan from a financial institution (Department of Fair Trading 2000c). Five jurisdictions license land valuers — New South Wales, Queensland, Western Australia, South Australia and Tasmania. Occupational licensing for valuers includes entry requirements, registration requirements, the reservation of title, reserved areas of practice, disciplinary processes and business conduct regulations. Queensland also has restrictions on advertising (which must not be false or misleading or, directly or indirectly, injure the professional reputation of another valuer or damages the profession). All governments have recognised the questions that arise where professions and occupations are licensed in some but not all jurisdictions, along with the implications for mutual recognition. Governments established a working party — the Vocational Education, Employment and Training Committee (VEETAC) Working Party on Mutual Recognition — in the early 1990s to determine whether occupations that were registered in some but not all jurisdictions should be deregistered or fully registered in all jurisdictions. This working party examined valuers’ legislation. It noted that the objective of the legislation is consumer protection, but that the majority of valuers’ clients are banks, legal practitioners, finance companies and other financial intermediaries (who seek a valuation as part of the loan assessment process). These consumers employ their own staff for valuations or have a panel of valuers on whom to call. In addition, members of the public who use valuation services tend to carry out these transactions through other professionals, institutions or the courts, who are well-informed consumers. The public interest evidence supporting the registration of valuers did not persuade the working party, which recommended abolishing registration (VEETAC 1993). At the time, valuers were registered in all jurisdictions except the ACT and the Northern Territory. Table 24.4 lists each jurisdiction’s review and reform of legislation regulating land valuation. Building and related trades Service providers of building and related trades’ include builders, plumbers, electricians and tradespeople such as painters. Occupational licensing in the Page 24.14 Chapter 24 Planning, construction and development services building trades can involve entry standards, registration requirements, the reservation of title, reserved areas of practice and disciplinary processes. All jurisdictions legislate to ensure those who undertake electrical, plumbing, draining and gasfitting work have a minimum level of training and experience to undertake that work. All jurisdictions also license or register builders (or building practitioners). Some jurisdictions provide specific licences for other trades too. Table 24.6 summarises each jurisdiction’s review and reform of legislation regulating building and related trades. Given the wide scope of regulation, the Council’s assessment covers only those regulations where review and reform activity was complete at June 2001. Electrical workers All jurisdictions require electrical workers to be licensed. All jurisdictions also distinguish between the types of electrical work and levels of competency. Generally, jurisdictions aim to maintain a degree of commonality in basic requirements and qualifications to improve mobility across jurisdiction boundaries. Differences across States and Territories include licence renewal periods, the length of additional experience required for contractors, and the definition of electrical work (CIE 2000b). The regulation of electrical workers (such as electricians) is aimed at protecting public safety. It is designed to address information asymmetry (where consumers tend to lack the information to be able to assess independently whether a tradesperson has the skills to perform the task safely) and negative externalities (where the electrical work may cause harm to third parties). Plumbers, drainers and gasfitters Regulation of workers in the plumbing and gasfitting trades is designed to protect public health and safety and the integrity of the water, sewerage and drainage infrastructure (Plumbers and Gasfitters Registration Review Group 1998). In 1994 the Labour Ministers’ Council agreed to reforms to plumbing and gasfitting occupational licensing arrangements. These reforms were consistent with decisions of heads of government on mutual recognition and partially licensed occupations, and with the public and occupational health and safety rationale for licensing (Plumbers and Gasfitters Registration Review Group 1998, pp. 49–51). Ministers agreed that licensing of plumbers and gasfitters should be nationally consistent, based on the core areas of sanitary plumbing, water plumbing, draining (drainage from a building, essentially below-ground drains beyond the building line) and gasfitting. To meet these core areas, Ministers agreed to change licensing including: • in New South Wales, to discontinue licensing workers for metal roofing, mechanical services, duct fitting and sprinkler fitting; Page 24.15 2001 NCP assessment • • • • • in Victoria, to discontinue licensing workers for metal roofing, mechanical services, duct fitting and sprinkler fitting; in Tasmania, to discontinue licensing workers for metal roofing and mechanical services; in the ACT, to discontinue licensing workers for sprinkler fitting; in South Australia and the Northern Territory, to amend licensing arrangements to allow separate licensing of water plumbers; and in Victoria and Tasmania, to change the licensing of mechanical services plumbers to cover unrestricted water plumbing. Ministers also agreed that all licensing should be based on national core curriculums and any future competency standards, that licensing authorities should discontinue assessment or examination that duplicates training authorities’ assessment or examination, that formal demonstration of competence be the only criterion for licensing, and that all reference to time serving (except completion of contracts of training) should be removed from legislation. Reforms were also agreed for levels of licensing and contractor licensing. Builders or building practitioners The regulation of builders (or building practitioners), as with other related trades, is designed to protect public safety by overcoming information asymmetries and negative externalities. Builders’ mistakes can have significant effects, including loss of life where a building collapses (Allen Consulting Group 2000b). Page 24.16 Chapter 24 Planning, construction and development services Table 24.3: Review and reform activity of legislation regulating architecture Jurisdiction New South Wales Legislation Architects Act 1921 Key restrictions Registration, entry requirements, the reservation of title, disciplinary processes, business restrictions Review activity Reform activity Assessment Council to assess progress in 2002. Productivity Commission A States and Territories working review completed in August group is developing a national 2000. Review recommended response to the review. repeal of Act. Previous State review commenced but not completed. Review completed February 1999. Review recommended retention of title restriction and registration requirements, and reduced business restrictions (including reducing ownership provisions to at least one director or partner is a registered architect). Government is developing its response to the review and is also considering the Productivity Commission review report. Victoria Architects Act 1991 Registration, entry requirements, the reservation of title, disciplinary processes, business restrictions (ownership provisions that at least two thirds of directors of the company must be registered architects) Council to assess progress in 2002. Queensland Architects Act 1985 Registration, entry requirements reservation of title, disciplinary processes, business restrictions, business licensing Registration, entry requirements, the reservation of title, disciplinary processes, business conduct (including require Architects Board approval for advertising), business licensing Productivity Commission A States and Territories working review completed in August group is developing a national 2000. Review recommended response to the review. repeal of Act. Productivity Commission A States and Territories working review completed in August group is developing a national 2000. Review recommended response to the review. repeal of Act. State review being completed to address recommendations. Council to assess progress in 2002. Western Australia Architects Act 1921 Council to assess progress in 2002. (continued) Page 24.17 2001 NCP assessment Table 24.3 continued Jurisdiction South Australia Legislation Architects Act 1939 Key restrictions Registration, entry requirements, the reservation of title, disciplinary processes, business conduct (including advertising - accuracy, ownership), business licensing, advertising restrictions Registration, entry requirements, the reservation of title, disciplinary processes, business restrictions, business licensing Registration, entry requirements, the reservation of title, disciplinary processes Registration, entry requirements, the reservation of title, disciplinary processes Review activity Reform activity Assessment Council to assess progress in 2002. Productivity Commission Outcomes of State review to be review completed in August reconsidered following outcomes of 2000. Review recommended Productivity Commission review. repeal of Act. Previous State review completed. Tasmania Architects Act 1929 Productivity Commission A States and Territories working review completed in August group is developing a national 2000. Review recommended response to the review. repeal of Act. Productivity Commission A States and Territories working review completed in August group is developing a national 2000. Review recommended response to the review. repeal of Act. Productivity Commission A States and Territories working review completed in August group is developing a national 2000. Review recommended response to the review. repeal of Act. Previously completed NT review put on hold. Council to assess progress in 2002. ACT Architects Act 1959 Council to assess progress in 2002. Northern Territory Architects Act Council to assess progress in 2002. Page 24.18 Chapter 24 Planning, construction and development services Table 24.4: Review and reform activity of legislation regulating surveying Jurisdiction New South Wales Legislation Surveyors Act 1929 Key restrictions Review activity Reform activity Assessment Council to assess progress in 2002. Licensing, registration, entry Review underway. Issues paper requirements (qualification, released in December 2000. exam, two years experience, aged at least 21 years, good fame and character), the reservation of title and practice, disciplinary processes, business conduct (regulating the making of surveys and advertising) Licensing, registration, entry requirements (education, experience, integrity criteria), the reservation of title and practice, disciplinary processes, business conduct (ownership restrictions, fees) Review completed. Recommendations included: retaining restrictions on entry; making integrity criteria specific; reducing some commercial restrictions, such as the requirement for surveyors or related professions to form a majority of members/directors of a firm engaging in cadastral survey work and removing the power of the regulatory body to set fees for surveying services; and reducing barriers to the interstate mobility of surveyors. Government accepted most of the review recommendations and is introduced amending legislation during the autumn 2001 sitting of Parliament. The Government has put in place a transitional surveyors board with a greater proportion of nonsurveyors as members in response to the recommendation that nonsurveyors should form a greater proportion of members of the regulatory body. Victoria Surveyors Act 1978 Council to assess progress in 2002. (continued) Page 24.19 2001 NCP assessment Table 24.4 continued Jurisdiction Queensland Legislation Surveyors Act 1977 Key restrictions Licensing, registration, entry requirements (education, experience, good fame and character), the reservation of title and practice, disciplinary processes, business conduct (including business name approval, fee setting, professional indemnity insurance, ownership restrictions) Review activity Review completed in November 1997, but report not yet released (brief summary included in 2001 NCP annual report). Recommendations included retaining registration, removing business name approval and fee setting by the Surveyors Board of Queensland, and removing requirement that directors of bodies corporate have qualifications. Reform activity Assessment Government endorsed review Council to assess recommendations to retain progress in 2002. registration for non-exempt surveyors (including mining and engineering surveyors) and remove anticompetitive provisions of business name approval and fee setting by the Surveyors Board of Queensland, and qualifications of directors of bodies corporate. Also endorsed scope to move to a co-regulatory model in the future. Government endorsed review Council to assess recommendations. Government progress in 2002. is drafting amendments to legislation. Western Australia Licensed Surveyors Act 1909 Licensing, entry requirements (competency — education and experience, age, good fame and character, continuing professional development), the reservation of title and practice, disciplinary processes, business conduct (including professional indemnity insurance) Review, in conjunction with review of Strata Titles Act 1985, completed in 1998. Recommendations included re-composing the board, clarifying entry standards, and retaining restrictions on professional indemnity insurance. Strata Titles Act 1985 Only licensed surveyors can ‘certify’ a strata plan, surveystrata plan, or notice of resolution where a strata company is requesting a conversion from a strata scheme to a survey-strata scheme Review, in conjunction with review of Licensed Surveyors Act 1909, completed in 1998. Review concluded restrictions are in the public interest and should be retained. Government endorsed review recommendation. Meets CPA obligations (June 2001). (continued) Page 24.20 Chapter 24 Planning, construction and development services Table 24.4 continued Jurisdiction South Australia Legislation Survey Act 1992 Key restrictions Review activity Reform activity Report with Government for consideration. Assessment Council to assess progress in 2002. Licensing, registration, entry Review completed in 1999, but requirements (education, report not yet released. Review experience, fit and proper), the involved public consultation. reservation of title (and derivatives), the reservation of practice, disciplinary processes, business conduct (including ownership restrictions), business licensing Licensing, registration, entry requirements (age, good fame and character, competency (education, experience and exam)), the reservation of practice, disciplinary processes, business conduct (number of supervised graduates, discretionary power for Surveyors Board to publish and enforce a scale of fees, survey practice standards) Review completed in July 1999 and report released in December 2000. Review recommended retaining the following restrictions: registration, annual licensing, disciplinary processes, experience (but replacing two years of supervised training with appropriate course of postgraduate training) and minimum standards (but less prescriptive and more output focused). Review recommended removing the following restrictions: the number of graduates under supervision and power for the board to set fees. Tasmania Land Surveyors Act 1909 Government released a draft response for comment, proposing an alternative, lessrestrictive, competency-based co-regulation model. The model would establish a single public register of all surveyors, with mandatory registration of land surveyors, voluntary registration of surveyors in non-cadastral disciplines and voluntary registration of multidisciplinary competency certification for all registered surveyors. The Government would not be directly involved in the assessment of competency. Rather, an accredited professional organisation would assess professional competency. Government sought comments on model by April 2001. Council to assess progress in 2002. (continued) Page 24.21 2001 NCP assessment Table 24.4 continued Jurisdiction ACT Legislation Surveyors Act 1967 Surveyors Act 2001 Key restrictions Licensing, entry restrictions (educational prerequisites), the reservation of title and practice, ability of board (made up of mostly surveyors) to make regulations and undertake disciplinary processes Review activity Review report released in December 1998. Recommendations included retaining registration, having less rigorous entry standards and abolishing the board in favour of powers of a Chief Surveyor. Reform activity Assessment The Government accepted all Meets CPA recommendations but deferred obligations (June considering removing 2001). compulsory postgraduate entry requirements until all jurisdictions have completed their reviews of surveyors legislation. The new Act gives powers to a Commissioner for Surveys, (not a Chief Surveyor). A new Surveyors Act 2001 was passed in February 2001. The Act is expected to commence on 26 July 2001. Government endorsed review outcomes in February 2000. Council to assess progress in 2002. Northern Territory Licensed Surveyors Act Licensing, registration, entry requirements (education, experience, possibly exams, fit and proper), the reservation of title and practice, disciplinary processes, business conduct (including practice standards), business licensing Review completed in October 1999 but report not yet released. Review concluded that potentially anticompetitive provisions could be justified under the CPA. Page 24.22 Chapter 24 Planning, construction and development services Table 24.5: Review and reform activity of legislation regulating land valuation Jurisdiction New South Wales Legislation Valuers Registration Act 1975 Key restrictions For real estate valuers: licensing, registration, entry requirements (education, supervised training, good character), disciplinary processes, the reservation of practice. It also confers functions on the Property Services Council. Licensing, registration, entry requirements (education, five years practical experience and exam or certificate of competence, good fame and character, fit and proper), the reservation of title and practice, disciplinary processes, business conduct (including advertising) Review activity Department review completed in 2000, recommending a ‘negative licensing’ scheme to replace the current system. The scheme would involve core legislation with entry requirements (qualifications, practice requirements and good character). Continuing professional development and professional indemnity insurance would not be a compulsory pre-condition to carry on business as a valuer. Department review completed in October 1999. Review found deregulation in medium to long term is likely to deliver net public benefit, but in short term is a risk to infrequent users of valuers. Review recommended retaining registration (with further review in three years) and removing other geographic and price control restrictions. Reform activity Assessment Government accepted all Council to review recommendations. assess progress Legislation is being in 2002. prepared to repeal the Act and modify the system for the regulation of valuers. Queensland Valuers Registration Act 1992 and Regulations Government endorsed Council to review recommendations assess progress in February 2000. in 2002. Amending legislation was introduced to Parliament in March 2001. Amendments included recomposition of the board, reduction in practical experience requirements from five to three years, and a new requirement for continuing professional development for renewal of registration. (continued) Page 24.23 2001 NCP assessment Table 24.5 continued Jurisdiction Western Australia Legislation Land Valuers Licensing Act 1978 and Regulations Key restrictions Review activity Reform activity Assessment Licensing, entry requirements Review completed. (member of Institute of Valuers or education and four years experience, and possibly exams), the reservation of title and practice, business conduct (including board setting maximum fees, code of conduct) Government is examining Council to review recommendations assess progress in light of the Gunning in 2002. Inquiry. (Gunning Inquiry recommended replacing seven licensing boards including the Land Valuers Licensing Board, with a single authority to license finance brokers, builders, car dealers, land valuers, and real estate and settlement agents.) Council to assess progress in 2002. Valuation of Land Act 1987 Valuer-General powers and activities Review completed. Review undertaken by Government endorsed intra-agency committee. Public consultation review recommendations. involved submissions following release of an information paper. Recommended less narrowly define the eligibility for the position of Valuer General (dropping requirement to be a member of the Australian Property Institute), remove restriction that any person making valuation for rating and taxing purposes must be licensed under Land Valuers Licensing Act, and encourage greater flow of information for the purposes of making valuations. Review completed. Review concluded that the current qualification requirements are too onerous in relation to the postgraduate qualifications and that the Government should consider re-examining the current requirements and broadening the number and type of acceptable qualifications. South Australia Land Valuers Act 1994 Negative licensing, entry requirements (qualifications or membership of various professional associations), the reservation of practice, disciplinary processes Council to assess progress in 2002. (continued) Page 24.24 Chapter 24 Planning, construction and development services Table 24.5 continued Jurisdiction Tasmania Legislation Land Valuation Act 1971 Key restrictions Gives the Valuer-General a monopoly on the provision of valuation services to local government for the setting of valuations for the purpose of determining local rates. Review activity Major review completed in conjunction with review of Valuers Registration Act. Review recommended tendering for all statutory mass valuation work and retaining the role of the Valuer-General. The Valuer-General would be responsible for developing and monitoring valuation standards and information requirements, determining the length of the revaluation cycle, administering valuation lists and coordinating the collection of information, and being the avenue of appeal. Also recommended greater administrative separation of the Valuer-General and Government Valuation Services, and the abolition of the Valuers Registration Board. Reform activity Government plans to introduce legislative changes to Parliament during the Spring 2001 session. Assessment Council to assess progress in 2002. Valuers Registration Act 1974 Licensing, registration, entry Major review completed. in conjunction with requirements (education and review of Land Valuation Act. experience or 10 years experience, good fame and character), the reservation of title and practice, disciplinary processes, business conduct (Conduct that may result in deregistration includes professional misconduct, taking excessive amounts of alcohol and drugs, suffering from a mental disorder or committing an offence.) Government plans to introduce new legislation to Parliament during the Spring 2001 session, to abolish the Valuers Registration Board, introduce negative licensing, and repeal and replace the current legislation. Council to assess progress in 2002. Page 24.25 2001 NCP assessment Table 24.6: Review and reform activity of legislation regulating building trades Jurisdiction Legislation Commonwealth Key restrictions Occupations Review activity Review completed. Recommendations included repealing the Act. Also recommended that the Commonwealth Government vacate the domestic skills recognition field (and that Registered Training Organisations established under the Australian Recognition Framework undertake skill recognition on a free competition basis) and that detailed consideration be given to the implementation arrangements. Reform activity Assessment Tradesmen’s National recognition of metal and Metal and Rights electrical trade skills developed electrical trade Regulation Act informally work 1946 Government accepted Meets CPA the review obligations recommendations. Bill to (June 2001). repeal legislation introduced into Parliament. Government is continuing consultations with industry about the new arrangements for domestic skills recognition and migration skills assessment. Changed name to Home Building Act 1989, privatised compulsory insurance and abolished business licensing. Government released a White Paper in February 2001 proposing: a tighter licensing system; faster disciplinary process; increased penalties for noncompliance; changes to insurance scheme; an early intervention dispute resolution system; and strategies to raise consumer awareness of available remedies when things go wrong. Government is considering comments. Council to assess progress in 2002. New South Wales Building Services Corporation Act 1989 Home Building Act 1989 Licensing, registration, entry requirements (qualifications or pass exams, experience, age, character), the reservation of practice (building work, electrical wiring work, plumbing and drainage work, roof plumbing work, refrigeration work, airconditioning work), business conduct (including insurance for building work over $5000 from approved private insurer), business licensing Residential building work, ‘specialist work’ (plumbing, gasfitting, electrical, refrigeration and airconditioning work) and supply of kit homes Review completed in March 1998, recommending reforms to remove unnecessary components of the licensing system, subject to an assessment of the expected impact on the home warranty insurance scheme. Consultations concluded that some licensing requirements were needed to underpin the insurance system. (continued) Page 24.26 Chapter 24 Planning, construction and development services Table 24.6 continued Jurisdiction Legislation Victoria Building Act 1993 Key restrictions Licensing, the reservation of title and practice (plumbing: mechanical services, residential and domestic fire sprinklers, roofing (stormwater), sanitary, water supply, draining, gasfitting), registration requirements, permit requirements, business conduct (insurance) Occupations Engineers, quantity surveyors, building surveyors, building practitioners, plumbers, drainers, gasfitters Review activity Reform activity Assessment Council to assess progress in 2002. Review completed in 1998. Government is Recommendations included: integrating Act considering review with Architects Act; making companies and report. partnerships subject to registration requirements; retaining Minister’s power to issue compulsory insurance orders; increasing the use of audits of building surveyors to ensure standards are maintained; repealing exemptions to public sector employees, public authorities and the Crown retain those that exempt certain high security Crown buildings from requirement to lodge permit documents with relevant council; and basing the building permit levy should on a formula that is cost-reflective and includes incentives for cost-effective administration of legislation. Electricity Safety (Installations) Regulations 1999 Licensing (workers and Electrical trade New legislation assessed under Victoria’s inspectors), registration work legislation gatekeeping arrangements. (electrical contractors), entry requirements (qualifications, also training course for person responsible for business management and administration), business conduct (insurance), prescribed methods for carrying out installation work, standards for the quality of materials, fittings and apparatus Licensing, registration Refrigeration mechanics New legislation assessed under Victoria’s legislation gatekeeping arrangements. Act is designed to Meets CPA address information obligations asymmetries. (June 2001). Government notes regulations are justified because unskilled workers or inspectors or the use of inappropriate methods or substandard materials can result in loss of life, injury, industry downtime and property damage. Act removes exemption Meets CPA from licensing for obligations registration applying to (June 2001). refrigeration mechanics. (continued) Building (Plumbing) Act 1998 Page 24.27 2001 NCP assessment Table 24.6 continued Jurisdiction Legislation Victoria Building (continued) Control (Plumbers Gasfitters & Drainers) Act 1981 Electric Light and Power Act 1958 Queensland Queensland Building Services Authority Act 1991 Licensing, registration, entry requirements (qualifications and experience, fit and proper, financial requirements), the reservation of practice, disciplinary processes, business conduct (ownership; advertising and sign at building site — whereby workers must state whether licensed, name licensed under and identifying numbers; written contract; compulsory insurance administered by the QBSA; warranty) Key restrictions Occupations Plumbers, gasfitters and drainers Review activity Reform activity Act repealed and replaced by Building Act 1993. Assessment Meets CPA obligations (June 2001). Electrical trade work Building work: Department review yet to begin. Draft 90 licence framework for scoping and conducting the categories in review completed in March 2001. the areas of plumbing, draining, gasfitting, pest control, demolition and residential building and design (such as painting, insulating, swimming pool construction) Act repealed and replaced by Electricity Safety Act 1998. Meets CPA obligations (June 2001). Council to assess progress in 2002. (continued) Page 24.28 Chapter 24 Planning, construction and development services Table 24.6 continued Jurisdiction Legislation Queensland Electricity Act (continued) 1994 and Electricity Regulation 1994 Key restrictions Licensing, registration, entry requirements (qualifications and experience, also suitable person financial requirements for electrical contractor), disciplinary processes, business conduct (advertising whereby workers must state whether licensed, name licensed under and identifying number; public liability insurance for electrical contractor) Occupations Electrical workers, electrical contractors Review activity Review underway, to be completed by late 2001. Reform activity Assessment Council to assess progress in 2002. Sewerage and Water Supply Act 1949 and Regulations Licensing, registration, entry Plumbers and requirements (qualifications and drainers prescribed practical experience), the reservation of practice, disciplinary processes., provision for head of power for the making of plumbing and drainage standards NCP matters related to that part of the Act administered by the Department of Local Government and Planning are being reviewed as part of proposal to integrate plumbing approvals and appeal processes in the Integrated Planning Act. Expected to be completed by the end of 2001. Review completed. Council to assess progress in 2002. Western Australia Country Licensing, registration, entry Plumbers Towns requirements (certificate of Sewerage Act knowledge and competence, five 1948 and years experience, fit and proper, bylaws aged over 21), the reservation of practice (either licensed or under Metropolitan licensed supervision), disciplinary Water Supply, processes, business conduct Sewerage and Drainage Bylaws 1981 Plumbers licensing Meets CPA provisions transferred to obligations the Water Services (June 2001). Coordination (Plumbers Licensing) Regulations 2000 in 2000. Transfer also shifted responsibility for plumbers licensing from Water Corporation to new Plumbers Licensing Board. (continued) Page 24.29 2001 NCP assessment Table 24.6 continued Jurisdiction Legislation Western Water Australia Services (continued) Coordination Act 1995 and Water Services Coordination (Plumbers Licensing) Regulations 2000 Painters Registration Act 1961 Key restrictions Licensing, registration, entry requirements (competency or six years experience and qualification, fit and proper), the reservation of practice (either licensed or under licensed supervision), disciplinary processes Occupations Plumbers, tradepersons (under general direction of plumber) Review activity Reform activity Assessment Review of Water Services Coordination Government endorsed Meets CPA Amendment Act 1999 completed, review recommendation. obligations recommending retaining restrictions to (June 2001). prevent unlicensed persons from performing plumbing work and maintaining the power of the Board to set licence conditions. Licensing and registration (for Painters persons carrying on a painting business in their own right and not as employees and for painting valued greater than $200), entry requirements (degree/apprenticeship/ experience and exams, age, good character), the reservation of title and practice, disciplinary processes, business licensing Review completed in 1998, concluding that Government endorsed the current system of mandatory licensing the review is too restrictive and should be removed. recommendations. The review recommended a certification scheme be developed to allow consumers to readily identify painters who possess particular skills. It also recommended negative licensing to support a certification system, allowing for the removal from the industry of persons who do not adhere to basic standards of commercial conduct. These changes will reduce business costs but will still enable some control of the industry and certainty for consumers. Review underway. Council to assess progress in 2002. Gas Standards Act 1972 and Gas Standards (Gasfitting and Consumer Gas Installations) Regulations 1999 Licensing, registration, entry requirements (knowledge and skills, fit and proper), the reservation of practice Gasfitters Council to assess progress in 2002. (continued) Page 24.30 Chapter 24 Planning, construction and development services Table 24.6 continued Jurisdiction Legislation Western Electricity Act Australia 1945 and (continued) Electricity (Licensing) Regulations 1991 Builders Registration Act 1939 and Regulations Key restrictions Occupations Review activity Review underway. Reform activity Assessment Council to assess progress in 2002. Licensing, entry requirements Electricians (apprenticeship/training and experience/exam, fit and proper), the reservation of practice, disciplinary processes Licensing, registration, entry Builders requirements (training and seven years practical experience, age, good character, ‘sufficient material and financial resources’), the reservation of practice, business licensing Review, in conjunction with review of the Home Building Contracts Act 1991, underway. Discussion paper completed in June 2000. Proposed recommendations included reducing restrictions on owner builders, expanding the scope of conditional licences, and expanding the coverage of the Act to the whole State. Government sought comments by November 2000. Review, in conjunction with review of the Builders Registration Act 1939, underway. Discussion paper completed in June 2000. Proposed recommendations included retaining requirements for written contracts and maximum amount for deposit, the ‘warranty’ period and home indemnity insurance (but with further examination of the differences in requirements in Western Australia and the rest of Australia). Also recommendation that insurance authorisation be modified so Minister approves policies, rather than insurers. Government sought comments by November 2000. Council to assess progress in 2002. Home Building Requirement of written contracts, – Contracts conditions (including mandatory 1996 insurance) Council to assess progress in 2002. (continued) Page 24.31 2001 NCP assessment Table 24.6 continued Jurisdiction Legislation South Australia Key restrictions Occupations Builders and building industry tradespeople Review activity Review underway. Reform activity Assessment Council to assess progress in 2002. Building Work Licensing (building work Contractors contractors), registration Act 1995 (building work supervisors), entry requirements (for contractors: qualifications, experience, sufficient business knowledge and experience and financial resources, fit and proper, not bankrupt within last ten years; for supervisor: qualifications and experience), the reservation of practice, disciplinary processes, business conduct (written contracts, product or service standards, statutory warranty) Plumbers, Gas Fitters and Electricians Act 1995 Licensing (contractors), registration (workers), entry requirements (for contractor: qualifications, experience, not undischarged bankrupt, fit and proper, sufficient business knowledge and experience and financial resources; for worker: qualifications and experience), the reservation of practice (for plumbing: water, sanitary or draining work or the installing or testing of backflow prevention devices), disciplinary processes Plumbers, gasfitters and electricians Review underway. Council to assess progress in 2002. (continued) Page 24.32 Chapter 24 Planning, construction and development services Table 24.6 continued Jurisdiction Legislation Tasmania Electricity Industry Safety and Administration Act 1997 Key restrictions Occupations Review activity Reform activity Assessment Council to assess progress in 2002. Licensing, registration, entry Electrical No review undertaken. Government requirements (qualification, contractors and assessed the restrictive provisions of this experience, suitable person, fit technicians Act as being in the public benefit. and proper person, nominated manager of electrical contracting business: electrical technician licence and either experience or completed course), reservation of practice, disciplinary processes, business conduct (electrical contractor to have insurance) Licensing, registration, entry requirements (qualification or experience, apprenticeship and exam), the reservation of practice (sanitary, mechanical services, water and backflow prevention plumbing, draining and roof plumbing, any other plumbing work, gasfitting), disciplinary processes Mandatory accreditation, entry requirements (including continuing professional development), the reservation of practice, disciplinary processes, business conduct (insurance) Plumbers and gasfitters Review completed. Recommendations Government is included reducing areas of reservation of considering the review practice; limiting qualifications and recommendations. experience required for registration to demonstrate competence; and implementing an appropriately constituted self-certification system; and amalgamating registration and plumbing inspection systems to reduce overlap and reduce the current regulatory burden on plumbers. New legislation. Regulation impact statement on the draft Building Bill 1999 released in August 1999. Act received Royal Assent on 20 December 2000. The Act is expected to commence in 2001. Plumbers and Gas-fitters Registration Act 1951 Council to assess progress in 2002. Building Act 2000 Building practitioners for building and plumbing work over $5000 Council to assess progress in 2002. (continued) Page 24.33 2001 NCP assessment Table 24.6 continued Jurisdiction Legislation ACT Building Act 1972 Key restrictions Occupations Review activity Targeted public review, in conjunction with review of the Electricity Act 1971 (electricians licensing) and the Plumbers, Drainers and Gasfitters Board Act 1982 completed in August 2000. Review recommended replacement of legislation by a single new Act for licensing of builders, electricians, plumbers, drainers and gasfitters; abolition of existing boards and replacement by a single registrar supported by separate advisory panels; various changes to remove duplication and streamline licensing arrangements; and changes to disciplinary system. Reform activity Government announced response to review. Agrees with most recommendations. Does not agree with recommendation for a peer group to have the power to overturn Registrar’s decisions in relation to strictly technical matters. Assessment Council to assess progress in 2002. Licensing, registration, entry Building requirements (training, course practitioners work, practical experience or qualifications and supervised building work, business capacity), the reservation of practice, disciplinary processes, business conduct (insurance) Electricity Act 1971 (electricians licensing) Electricity Safety Act 1971 Licensing, registration, entry Electricians and See discussion under Building Act 1972. requirements (skills, electrical qualifications, experience, workers business capacity), the reservation of practice (installing, altering or repairing an electrical installation, other than an electrical installation that operates at extra low voltage), disciplinary processes, business conduct (insurance) See discussion under Building Act 1972. Council to assess progress in 2002. (continued) Page 24.34 Chapter 24 Planning, construction and development services Table 24.6 continued Jurisdiction Legislation ACT Plumbers, (continued) Drainers and Gasfitters Board Act 1982 Key restrictions Occupations Review activity See discussion under Building Act 1972. Reform activity See discussion under Building Act 1972. Assessment Council to assess progress in 2002. Licensing, registration, entry Plumbers, requirements (skills, experience, drainers and qualifications, age 18 years or gasfitters over, fit and proper), the reservation of practice (installing/ fitting a fire-fighting sprinkler, sanitary plumbing, water supply plumbing, laying or repairing drains, installing/repairing/ inspecting/testing consumer natural gas piping and gas appliances), disciplinary processes Licensing and provision for Building establishment of building practitioners technical standards, registration of building practitioners and certifiers, regulation of building matters (including the registration of building products), the granting of permits, the establishment of appeals processes Northern Territory Building Act A review was undertaken in 1999, the results of which will be incorporated into a general review of the Act, which is underway. Council to assess progress in 2002. (continued) Page 24.35 2001 NCP assessment Table 24.6 continued Jurisdiction Legislation Northern Electrical Territory Workers and (continued) Contractors Act Key restrictions Occupations Review activity Review by Centre for International Economics completed in October 2000. Consultation involved public release of issues paper, consultation with stakeholders and submissions. Recommendations included that licensing should be maintained, but also that other means of signalling competence should be afforded comparable status, the board should consider removing additional experience requirements for contractors, the fit and proper person test should be amended to signal the criteria against which it is assessed, and exemptions to licensing requirements to the Power and Water Authority should be removed. Recommended more general review of Act. Reform activity Government approved review recommendations in November 2000. The necessary amendments are to be made following a review of the administrative structures supporting the Act. Assessment Council to assess progress in 2002. Licensing, registration, entry Electrical requirements (qualifications, workers experience, fit and proper), the reservation of practice (electrical work unless extra low voltage) Plumbers and Licensing, registration, entry Plumbers and Drainers requirements (qualifications or drainers Licensing Act experience, fitness of character), the reservation of practice (for plumbing: installing, altering, removing or repairing fixtures, fittings and pipes designed to receive and carry sewage or water, and the ventilation of those fixtures, fittings and pipes), business conduct (supervision) Review by Centre for International Government approved Economics completed in September 2000, review recommending that: the Act should give recommendations. explicit recognition of national competencies-based approach, the board’s range of options in dealing with complaints should be made widely known, ‘fit and proper person’ test power of the board should be maintained so long as appeal mechanisms are clear and accessible, and membership of the Board should be reviewed to establish whether the continued Power and Water Authority membership is desirable. Also recommended a more general review of the Act to in part examine the case for compliance certificates and the case for restricted plumbing licences to meet the needs of other trades. Council to assess progress in 2002. Page 24.36