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hcpost.news | Thursday, August 21, 2025

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Building Consent Reforms a Win for Ratepayers and Builders

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consenting system is delaying projects and driving up costs,” he said. “We must eliminate system blockages to speed up the delivery of new homes and infrastructure.” For too long, councils and ultimately ratepayers have carried the can when building projects go wrong. The current “joint and several liability” framework has left local authorities exposed to massive bills, even when they were only partly responsible. In one Queenstown case, ratepayers could have faced a $160 million claim — the equivalent of $300 a year for 30 years — if the dispute hadn’t been settled privately. Replacing that system with a “proportionate liability” model is common sense. Each party will now be held responsible only for the share of work they carried out. As Penk noted, “It’s time to put the responsibility where it belongs.” Equally important is the move to allow councils to consolidate their Building Consent Authority functions. Right now, there are 66 different BCAs across the country, each with its own interpretation of the Building Code. Builders can be approved in one district and rejected in another, wasting time and money. Consolidation means councils will be able to share inspectors and systems, ensuring greater consistency and efficiency.

by J im B irchall  A

Advertising/Classifieds sales@hcpost.news Newsroom Jim Birchall - editor editor@hcpost.news

t long last, the Government is taking bold action on one of the most frustrating

Jim Birchall.

bottlenecks in our economy — the building consent system. Building and Construction Minister Chris Penk describes the reforms as “the most significant change for the building industry in a generation” and it is hard to disagree. “New Zealand’s sluggish

Coromandel MP Scott Simpson has rightly called the reforms “great news for Coromandel builders and homeowners.” In his words, “This is going to make building faster, cheaper, and easier. The changes scrap unfair liability rules that make ratepayers pay for other people’s mistakes, allow councils to work together, and create consistency across the country. It also means faster consents, lower costs, and fairer accountability where everyone pays their share.” Of course, questions remain about how protections like indemnity insurance and warranty schemes will be implemented, and how smaller councils will adapt. But industry groups are already welcoming the move, with New Zealand Certified Builders calling it “the most significant change for the building industry in a generation.” The Government plans to introduce legislation in 2026, but for now, these reforms are a clear step in the right direction. Ratepayers, builders, and homeowners alike deserve a system that works — not one that stifles progress and drives up costs.

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Building and Construction Minister Chris Penk.

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