Changes in the Building and Construction Industry - Essay Example

Building Surveying Introduction Throughout history, building and construction has been an issue of great concern. With the increase in the land cases, collapsing buildings, and the effects thereof, architecture and surveying need to act towards curbing the matter. Putting this into consideration, many people, organizations, groups, and governments have risen in an effort to reduce the effects of the matters that arise due to poor planning, architectural designs, and most importantly surveying. With the dire need to save her people from the effects that come with building and construction, and the need to offer chances to her citizenry ensuring that all benefit from building projects, the government of Western Australia has in the recent past done away with the existing building act and implemented and integrated a new building act. A better understanding of the act is crucial in the course of study of the subject, and while this is true, understanding the benefits of the act, the differences between it and the past act, and the judgment it has received from the industry is also vitally important. Differences Between the New and the Past Building Act The new building act was passed in parliament and implemented by the government of western Australia in order to cater for the residents and constructors concerns. The implementation of the building act came along with some benefits over the past building act. The act is cost effective since adjustments have been made concerning the building act fees which is inclusive of 0.32% GST unlike that of the past act which was 0.35% which is the estimated value of building work for uncertified class 1 & 10 buildings. If the building application is refused, the building levy fee of $5.00 must be refunded (unlike the past act where it was retained), since there is no provision under the the building service regulation 2011 permit to retain the fee. In accordance to the building act 2011, the permit authority is not in position to refer a certified application to a surveyor for a certificate, hence the application fee for a certified application is less than that of an uncertified application. Under the transitional regulation 30 of the building regulations 2012, a permit authority holds no ability to charge more the prescribed fee. If a license application wasn't decided prior to commencement day of building, then the application is considered an uncertified permit application hence the permit authority should provide a design certificate compliance at no extra cost (Bambagiotti, P. 2012). The new building act came along with a lot benefits which favors the owner/consumer, trades people, building professionals and the building concept authorities compared to the past building acts. This intends to create awareness to the con summer in order to recognize the risks associated to building work, so that they take responsibility to their decisions to contract for building work. The consumer is better supported and informed in making decisions on building work. Explicit warranties are provided in building contracts making the consumer aware more of their obligations and rights including the legal remedies. There is also provision of access to effective dispute resolution services which provides an efficient mechanism which will resolve disputes outside the scope of the warranty. In relation to the trade’s people and the building professionals, the new act has best placed them in a position to manage the greater risks they generally face that building work fail to perform. It also discourages insufficient skilled practitioners without adequate supervision from carrying out critical building work, due to greater uptake of licenses. There is better condition and improvement in building quality, as well as signaling of builder quality in the market. In addition, there is a flexible and modernized legislation necessary and important for the expanding industry. Under the new act, the issuing process of permits and approval certificates is easier, consistent and more efficient as a result of introduction of certified application processes. (Goldring, J. 1998) Since the adoption of the new building act in the industry, there have been some negative outcomes on various parties though it is considered beneficial overall. Some negative feedback have been received from the consumer and building owners concerning the enforced application and licensing of the building work. Although there is a reduction in the compliance cost, there is an additional cost as warranties, mechanism of dispute resolution which all involve cost. The trades people and the building professionals have negative effects since the new building act has advantaged only the licensed building practitioners where else it does not cover for all the risks they encounter in the construction work and this encourage the take-up of license. This leads to the poorly skilled practitioners to be out of market. There is also not reduction of fees in ares for smaller building consent which could lead to spread of overheads over smaller numbers of consents. (Sickles, B.L. 1999) Industrial Judgment of the New Act The new building act implemented in Western Australia had positive impact on the industry. The consumers/owner considered it to be cost effective due to the reduced fee and rates. They have build hopes on it to expand the important building industry since it also creates awareness to the consumer about the risks involved in order to make correct decisions building work. Contrarily, building practitioners consider the changes to favor only the licensed building practitioners in cases such as in streamlining consent process since this encourage take up of license. The flexible legislation contributes to a positive influence in the building industry, and as a result the number of building applications, registered builders and registered building surveyors has risen. The building industry contributes to 10% of gross state products and almost 10% of the employees in the total workforce since the implementation of the new building act, hence a high industrial growth. (Bambagiotti, P. 2012) A prior understanding of the difference between the new building act an the past is very important among the building and construction industry workforce. This will help in adaption of the new building law which benefits and protects its workforce. It has not come easy for the poor performers to get work and stay in the market. As for the building owners, they have adapted the new building rules positively because there are fewer disputes since both parties has same understanding and over the agreed solution of the arising disputes. As alluded to above, the key judgments and considered options are around the implicit balances, and such conditions considered were to increase the type of building activities and more building designs. The important judgment in this area was around the promulgation of the regulations which in return triggers the stepped consenting regime, which would not be appropriate to step on with until appropriate pre-requisites have been met. This may reduce some of efficiency possible benefits discussed above. For reduced building quantity risks going forward, this would be the most appropriate course of action. (Turner, A. 2012) Conclusion In conclusion, the Australian government has done a lot in the building and construction industry. The efforts made by the Western Australian government in the sector are evident and their effects on the citizenry of the country have been undeniably great. Most important is the creation, implementation and integration of the New Australian Building Act. However, it would be seemingly impossible to understand the importance, effects, and the role the New Building Act without a prior understanding of the differences between it and the past act, and the judgment made on the matter by the affected industry. Analyzing the existing differences and the judgment made on the act by the act would impart insurmountable knowledge of the matter in us, thus giving us an articulate understanding of the aforementioned. It is due to this therefore that the process is important to every individual regardless of their field of study. References 1. Latimer, s. p. (2012). Australian business law 2012. Australia: North Ryde, N.S.W. 2. Bambagiotti Philip. (2012). Building defects under the home Building Act 1989. Australia: Pyrmont, N.S.W. 3. Sickles, B.L. (1999). The use of and the need for preservation standards in architectural conservation. Australia: West Conshohocken 4. Goldring, J. (1998). Consumer protection law. Australia: Federation Press. 5. Turner A. (2012). Blue sky mining: building Australia's next billion dollar industries. Australia: San Francisco. Read More