VCEC logo
  Home> Completed Inquiries> Inquiry into regulation of the housing construction sector & related issues> Building Advisory Council
Home
About the VCEC
VCEC Inquiries
Regulation Review
Competitive Neutrality
Publications
Media Releases
Employment
Related Sites
Search
Contact Us
Accessibility
Frequently Asked Questions

Building Advisory Council


 Record of the meeting with the Building Advisory Council

The VCEC met with the Building Advisory Council (BAC) on 2 February 2005. (Click here to view PDF document ROA BAC meeting 2 Feb 2005 (pdf 17.7 KB) attendees). The Chairman of the VCEC, Graham Evans provided a brief overview of the functions of VCEC, and whilst the Commissioner, Robert Kerr presented information on the scope and timeline of the Inquiry.

The chair of the BAC, Genevieve Overell, provided a presentation of the role and operation of the BAC, and issues it considers relevant to the VCEC inquiry. Below is a summary of the key points and issues that were raised by the BAC in its presentation.

Roles of the BAC

The BAC is a senior industry-based group that advises the Minister for Planning on the administration of the Building Act 1993 and Building Regulations 1994. The BAC also advises the Minister on the impact of the building regulatory system, and on issues relating to the building permit levy and any other matter referred by the Minister.

The Minister for Planning appoints the members of the BAC. The members comprise:

· An independent Chairperson;
· The Building Commissioner;
· A nominee of the Australian Institute of Building Surveyors;
· A nominee of the Property Council of Australia;
· A nominee of the Housing Industry Association;
· The Plumbing Industry Commissioner;
· A nominee of the Royal Australian Institute of Architects;
· A nominee of the Masters Builders Association of Victoria;
· A representative from Engineers Australia (VIC); and
· The Director of Consumer Affairs Victoria.

The BAC noted that it has a standing responsibility to advise on policy, and that 70 per cent of its meeting time is devoted to such matters.

The BAC identified how the Building Act 1993 provides a framework to:

· establish, maintain and improve standards for the construction and maintenance of buildings;
· enhance the amenity of buildings;
· protect the health and safety of people who use buildings; and
· provide an efficient and effective system of issuing building and occupancy permits.

The BAC noted that the Building Act 1993 is based on a national model known as the Model Building Act, which has been recognised as best practice. It has also been identified has having made a significant contribution to micro-economic reform in Australia.

The BAC has oversight for administering three levies:

Building levy — 0.064 cents in every dollar. This levy funds the general operation of the Building Commission.

HIH levy — 0.032 cents in the dollar. This levy is to finance claims made on the Housing Guarantee Fund which arose from the collapse of HIH..

BACV levy — 0.064 cents in the dollar. This levy is to finance the operation of Building Arbitration and Conciliation Victoria.

Recent achievements of the BAC

Recent achievements of the BAC include:

Influencing legislative changes pertaining to owner builders and security of payments.
· Providing advice on levies, including the BACV levy.
· Over-viewing the development of the 5-star energy rating standard.
· Undertaking the registration category Review.

Key issues of concern for the BAC.

The BAC drew attention to a range of policy issues that they would like to see addressed in the VCEC inquiry. Of particular importance are:

· Whether the voluntary Continuing Professional Development Program, implemented in 2004 for registered professional builders, should be made compulsory.

· Whether the BACV process should be equally accessible to builders.

· How local laws across municipalities might be standardised in order to improve compliance and to lower costs to consumers and the building industry.

· A potential shortage of building surveyors and building inspectors and how this will affect the industry.


Alison Graham
VCEC Secretariat – Economist
9 February 2005


State Government of Victoria logo - link to Victorian Government home Site map Copyright Privacy Disclaimer Page updated: 11 December, 2008