Changes to the issuing of building permits
The Victorian Government is committed to improving rules and regulations in the building and construction industry. To support this, new rules in relation to partnerships will need to be satisfied prior to issuing a permit.
Where the cost of building work being carried out under a major domestic building contract by a member of a partnership is over $16,000, the name of the builder and the partnership on the contract must match the name of the builder and the partnership on the certificate of insurance.
These changes will help clarify the requirement when the builder is a member of a partnership for major domestic building contracts.
Where the builder is not a member of a partnership, the building surveyor must be satisfied that the name of the builder in the major domestic building contract is identical to the name of the builder in the certificate of insurance.
If this does not occur, building surveyors cannot issue a building permit to that builder.
The VBA is calling on building surveyors and builders to familiarise themselves with the new rules and ensure they comply.
These new rules come into play from 1 December 2020 and will help maintain a strong and resilient construction industry and maintain Victoria’s trust in builders and building surveyors.
The changes to Section 24A of the Building Act are as follows:
- if the cost of the building work exceeds the prescribed amount—
- if the builder is not a member of a partnership, the name of the person who is named as the builder in the contract is identical to the name of the person specified as the builder in a certificate of insurance; or
- if the builder is a member of a partnership, the name of the builder and the name of the partnership specified in the contract is identical to the name of the builder and the name of the partnership specified in a certificate of insurance...
A certificate of insurance means a certificate of insurance from the insurer providing the required insurance in relation to the building work.