Cost savings for same-design homes

Buyers of new off-the-shelf-design homes across Otago could be thousands of dollars better off as a result of Government moves to streamline the building consent process.

It was announced yesterday a new pre-approval system for home and building designs would be introduced on February 1 next year.

The new system - called the national multiple-use approval service - would allow construction companies using one design for multiple homes to have such designs pre-approved for building compliance.

The change, announced by Building and Construction Minister Maurice Williamson, would save companies and customers the cost of applying for new consents for such designs each time they were used.

Otago builders spoken to yesterday welcomed the change, saying it would reduce paperwork, delays and compliance costs for companies and their customers wanting off-the-shelf-design homes and other non-domestic buildings.

Dunedin City Council chief building control officer Neil McLeod said it was also "inevitable" the change would lead to building consent fees being cut, although details were yet to be discussed.

"I think that will be inevitable . . . there should theoretically be less work to do," he said.

Mr McLeod said there were between 250 and 350 new homes built in Dunedin each year, and Versatile Buildings owner Peter Gouverneur, of Dunedin, estimated about 15% of them would be built using designs that could benefit from the new system.

He expected customers could achieve savings of up to $4000 on the average home.

"If it means we can build our standard buildings and speed up the building code application process, then that's great. It will save a lot of time and it will save customers ultimately some money," he said.

His company, like others, and the council had faced increasingly onerous compliance requirements since the introduction of the Building Act 2004, which aimed to address poor-quality building in response to the leaky homes scandal.

Even though Dunedin did not have a history of leaky homes, the company was now producing "piles and piles of paperwork" for the council - as the building consent authority in Dunedin - each time it used the same design for a new house.

"Our photocopier is just spitting out reams and reams of stuff."

The council was also sending out its staff to carry out the same checks on each house, even when designed the same way, he said.

"It's just gone far too far. There's just so much red tape. There's so many costs involved before you get a stick in the ground," he said.

Stewart Construction managing director Ross Middlemass - whose company owned Cavalier Homes Otago - agreed the system was "definitely not working at the moment" and many companies would benefit.

However, savings would depend on how much the council cut fees, he believed.

Mr McLeod said a decision on reducing consent fees would be made by early next year, in time for changes by February 1.

Companies wanting pre-approval would apply to the Department of Building and Housing, but would still need to gain consents for other site-specific aspects, such as foundations.

Consent authority staff would also still carry out inspections and other duties required as part of the building process, Mr McLeod said.

Mr Williamson said the change was part of a package of initiatives, also including a wider review of the Building Act 2004, which was continuing.

Councils would also have less time available to consents staff - 10 working days rather than 20 - to process consents involving a pre-approved design, he said.

chris.morris@odt.co.nz [2]