Williams PotoBUILDING (BUILDING PRODUCTS AND METHODS MODULAR COMPONENTS AND OTHER MATTERS) AMENDMENT BILLThird ReadingHon POTO WILLIAMS (Minister for Building and Construction): I present a legislative statement on the Building (Building Products and Methods Modular Components and Other Matters) Amendment Bill. ASSISTANT SPEAKER (Hon Jenny Salesa): That legislative statement is published under the authority of the House and can be found on the Parliament website. Hon POTO WILLIAMS: I move That the Building (Building Products and Methods Modular Components and Other Matters) Amendment Bill be now read a third time. Firstly can I pass on to you Madam Speaker my gratitude for the work that you have done in this space and for laying a very strong foundation for the continuation of this work. I mihi to you and I acknowledge your work in this space. This bill was introduced to the House on 8 May 2020 and it's with a great deal of satisfaction that I now bring it to its remaining stage in the House. The building sector is as we know under significant pressure to deliver durable and affordable buildings to meet a growing pipeline of construction projects. We need a building system that inspires trust and confidence that lifts building quality and productivity and that supports innovation. This bill seeks to address longstanding challenges in the building and construction sector. It's the first stage of a set of reforms that will promote a more efficient building system lift the quality of building work and provide fairer outcomes for those involved in building and construction. The reforms also support the Government's broader housing priorities to speed up the supply of housing and to create an economy that grows and works for all New Zealanders. The bill amends the Building Act 2004 in a number of ways. First the bill introduces a mandatory building product information requirement to support better and more informed decision-making. Currently the Building Act doesn't require basic information to be provided for building products. The importance of basic building product information cannot be underestimated. Poor information can lead to delays in consenting and increased cost and it can lead to poor building outcomes if products are chosen that are not fit for purpose. The new product information requirements in the bill will help builders designers consumers and others choose the right products for the right job in the right place and they will help building consent authorities to make faster decisions on building consents and will reduce the number of requests for further information—and I know that's a particular issue in my area. Second the bill introduces a new voluntary scheme for modular component manufacturers. New Zealand's been relatively slow on the uptake to adopt innovative off-site manufacturing processes. Some manufacturers are experiencing difficulties in gaining consents for buildings that involve the use of innovative manufacturing approaches. This Government is doing more to support innovation in building and construction because modular component manufacturing has the potential to lift productivity reduce building costs and reduce building waste. The new modular component manufacturing scheme will provide faster more consistent building consent approaches for manufacturers who are able to meet quality and performance standards. In some cases a building consent involving modular components will only need to be processed in around 10 working days. These changes will allow New Zealanders to make the most of the new methods of construction and will help building owners and building consent authorities to save time and money. Third the bill introduces a new registration requirement for product certification bodies so that the Ministry of Business Innovation and Employment (MBIE) can have greater oversight over the CodeMark product certification scheme. Product certification bodies will need to be registered as well as being accredited before they may issue product certificates. The product certificates will also need to be registered with MBIE. These amendments address concerns about the level of confidence with the CodeMark scheme and provide greater assurance that certified products comply with the building code and will result in safe and durable building work. The bill introduces new offences and penalties to support the new building information requirements and the new modular component manufacturer scheme. It also introduces higher maximum penalties for other offences under the Act because many of these have not been adjusted since 2004. The bill also extends the time frame to file a charge so that enforcement agencies have more time to investigate complex cases. Collectively the changes to the enforcement provisions will promote compliance and deter bad behaviour. Other amendments widen the scope of the building levy and how the building levy may be used to support a more effective building regulatory system. Phase two of the Government's reform programme will progress reforms to occupational regulation focused on ensuring people have confidence in the engineers and regulated building practitioners and their work. I look forward to presenting these reforms to the House in due course. I'd like to thank the many people from across the building and construction sector who gave their time and made submissions and shared their experiences and expertise with the Environment Committee. I would particularly like to thank the Environment Committee for their efforts to improve this bill. Finally I'd like to thank the select committee staff MBIE officials and Parliamentary Counsel officers and drafters who worked on this bill. I commend the bill to the House.