OCTOBER OCTOBER OCTOBER OCTOBER 2018 2018 2018 2018 NCP NCP NCP NCP MONTHLY MONTHLY MONTHLY MONTHLY UPDATE UPDATE UPDATE UPDATE
NCP NCPMonthly MonthlyUpdate Update Why Why Why Whythe the the theneed need need needto to to torespond respond respond respondto to to toissues issues issues issuesregarding regarding regarding regardingnon-conforming non-conforming non-conforming non-conforming and and and andnon-compliant non-compliant non-compliant non-compliantbuilding building building buildingproducts products products products(NCPs)? (NCPs)? (NCPs)? (NCPs)?
The The The The Building Building Building Building and and and and construction construction construction construction industry industry industry industry losses losses losses losses an an anan estimated estimated estimated estimated $4.9 $4.9 $4.9 $4.9 Billion Billion Billion Billion per per per per annum annum annum annum from from from from the the the the importation importation importation importation and and and and application application application application ofof ofsubstandard ofsubstandard substandard substandard products products products products and and and and services. services. services. services. Building Building Building Building and and and and construction construction construction construction companies companies companies companies are are are are required required required required toto torepair torepair repair repair and and and and replace replace replace replace goods goods goods goods and and and and oror oror redo redo redo redo services services services services which which which which erodes erodes erodes erodes profit profit profit profit margin margin margin margin and and and and inin insome insome some some cases cases cases cases results results results results inin inliquidation. inliquidation. liquidation. liquidation. The The The The federal federal federal federal parliamentary parliamentary parliamentary parliamentary inquiry inquiry inquiry inquiry that that that that commenced commenced commenced commenced inin in2015 in2015 2015 2015 highlighted highlighted highlighted highlighted the the the the risks risks risks risks and and and and losses losses losses losses which which which which occur occur occur occur from from from from importing importing importing importing substandard, substandard, substandard, substandard, non-conforming non-conforming non-conforming non-conforming and and and and nonnonnonnoncompliant compliant compliant compliant building building building building products. products. products. products. Repairing Repairing Repairing Repairing the the the the 5,000 5,000 5,000 5,000 buildings buildings buildings buildings that that that that have have have have applied applied applied applied the the the the nonnonnonnonconforming conforming conforming conforming and and and and non-compliant non-compliant non-compliant non-compliant flammable flammable flammable flammable aluminium aluminium aluminium aluminium composite composite composite composite panels panels panels panels isisisestimated isestimated estimated estimated toto toto be be bebe $3 $3 $3 $3 toto to$5 to$5 $5 $5 billion billion billion billion alone. alone. alone. alone. Testing Testing Testing Testing laboratories laboratories laboratories laboratories and and and and conformity conformity conformity conformity assessment assessment assessment assessment bodies bodies bodies bodies (CABs) (CABs) (CABs) (CABs) have have have have also also also also advised advised advised advised that that that that they they they they have have have have witnessed witnessed witnessed witnessed many many many many false false false false and and and and doctored doctored doctored doctored certifications certifications certifications certifications inin inthe inthe the the marketplace. marketplace. marketplace. marketplace. Builders Builders Builders Builders now now now now have have have have toto totake totake take take appropriate appropriate appropriate appropriate preliminary preliminary preliminary preliminary steps steps steps steps toto toshow toshow show show that that that that they they they they have have have have checked checked checked checked the the the the certificates certificates certificates certificates they they they they have have have have received received received received for for for for authenticity authenticity authenticity authenticity and and and and exclusion exclusion exclusion exclusion clauses. clauses. clauses. clauses. The The The The insurance insurance insurance insurance market market market market isisisincreasing isincreasing increasing increasing premiums premiums premiums premiums by by byby up up up up toto to80% to80% 80% 80% per per per per year year year year inin insome insome some some cases cases cases cases toto torespond torespond respond respond toto torisk torisk risk risk perceived perceived perceived perceived with with with with the the the the use use use use ofof ofhigh ofhigh high high risk risk risk risk non-conforming non-conforming non-conforming non-conforming products products products products and and and and non-compliant non-compliant non-compliant non-compliant building building building building activity activity activity activity inin inthe inthe the the construction construction construction construction sector. sector. sector. sector. One One One One building building building building company company company company has has has has become become become become insolvent insolvent insolvent insolvent and and and and another another another another the the the the subject subject subject subject ofof ofof legal legal legal legal proceedings. proceedings. proceedings. proceedings. Both Both Both Both companies companies companies companies have have have have been been been been subject subject subject subject toto toto aluminium aluminium aluminium aluminium cladding cladding cladding cladding building building building building rectification rectification rectification rectification orders. orders. orders. orders. The The The The outcomes outcomes outcomes outcomes ofof ofof legal legal legal legal proceedings proceedings proceedings proceedings will will will will establish establish establish establish the the the the benchmark benchmark benchmark benchmark on on on on who’s who’s who’s who’s liable liable liable liable for for for for the the the the cost cost cost cost ofof ofof cladding cladding cladding cladding rectification. rectification. rectification. rectification. Governments Governments Governments Governments around around around around the the the the country country country country are are are are responding responding responding responding through through through through audits, audits, audits, audits, rectification rectification rectification rectification ororororders ders ders ders and and and and regulatory regulatory regulatory regulatory reform. reform. reform. reform. Master Master Master Master Builders Builders Builders Builders has has has has established established established established aaanational national anational national committee committee committee committee toto toto coordinate coordinate coordinate coordinate advocacy advocacy advocacy advocacy across across across across the the the the member member member member network network network network on on on on NCPs NCPs NCPs NCPs and and and and building building building building regulation. regulation. regulation. regulation.
What’s What’s What’shappened? happened? happened? Master Master Master Master Builders Builders Builders Builders established established established established the the the the national national national national Non-Conforming Non-Conforming Non-Conforming Non-Conforming and and and and Non-Compliant Non-Compliant Non-Compliant Non-Compliant Building Building Building Building Products Products Products Products (NCP) (NCP) (NCP) (NCP) Committee Committee Committee Committee inin inin August August August August 2017. 2017. 2017. 2017. The The The The Committee Committee Committee Committee has has has has been been been been contributing contributing contributing contributing toto topolicy topolicy policy policy advocacy advocacy advocacy advocacy and and and and coordinating coordinating coordinating coordinating action action action action across across across across the the the the Master Master Master Master Builders Builders Builders Builders network. network. network. network. During During During During this this this this period period period period the the the the Committee Committee Committee Committee has has has has led led led led the the the the development development development development ofof ofpolicy ofpolicy policy policy principles principles principles principles around around around around NCPs; NCPs; NCPs; NCPs; and and and and the the the the Master Master Master Master Builders Builders Builders Builders response response response response toto tothe tothe the the Building Building Building Building Ministers Ministers Ministers Ministers Building Building Building Building Confidence Confidence Confidence Confidence report report report report into into into into compliance compliance compliance compliance and and and and enforcement enforcement enforcement enforcement inin inin the the the the building building building building regime. regime. regime. regime.
national national national national register register register register and and and and product product product product auditing; auditing; auditing; auditing; national national national national licensing, licensing, licensing, licensing, greater greater greater greater coordination coordination coordination coordination and and and and aaa a national national national national approach; approach; approach; approach; greater greater greater greater accountability accountability accountability accountability across across across across the the the the supply supply supply supply chain; chain; chain; chain; better better better better availability availability availability availability ofof ofstandards; ofstandards; standards; standards; director director director director identification identification identification identification numbers numbers numbers numbers for for for for illegal illegal illegal illegal phoenixing, phoenixing, phoenixing, phoenixing, increasing increasing increasing increasing protection protection protection protection for for for for end-users; end-users; end-users; end-users; and and and and aaagreater greater agreater greater role role role role for for for for the the the the Federal Federal Federal Federal Safety Safety Safety Safety Commissioner. Commissioner. Commissioner. Commissioner.
Both Both Both Both the the the the Coalition Coalition Coalition Coalition Government Government Government Government and and and and Labor Labor Labor Labor Opposition Opposition Opposition Opposition broadly broadly broadly broadly support support support support the the the the recommendations recommendations recommendations recommendations from from from from the the the the parliamentary parliamentary parliamentary parliamentary inquiry. inquiry. inquiry. inquiry. Most Most Most Most ofof ofthe ofthe the the recommendations recommendations recommendations recommendations Since Since Since Since the the the the Master Master Master Master Builders Builders Builders Builders NCP NCP NCP NCP have have have have been been been been picked picked picked picked up up up up inin inthe inthe the the Committee Committee Committee Committee was was was was established, established, established, established, the the the the Building Building Building Building Minsters Minsters Minsters Minsters report, report, report, report, Building Building Building Building Confidence: Confidence: Confidence: Confidence: Improving Improving Improving Improving federal federal federal federal parliamentary parliamentary parliamentary parliamentary inquiry inquiry inquiry inquiry the the the the effectiveness effectiveness effectiveness effectiveness ofof ofcompliance ofcompliance compliance compliance handed handed handed handed down down down down its its itsits response response response response and and and and enforcement enforcement enforcement enforcement systems systems systems systems for for for for toto toconcerns toconcerns concerns concerns around around around around NCPs. NCPs. NCPs. NCPs. ItItItIt the the the the building building building building and and and and construction construction construction construction recommended recommended recommended recommended aaanumber number anumber number ofof ofof industry industry industry industry across across across across Australian, Australian, Australian, Australian, measures, measures, measures, measures, including: including: including: including: banning banning banning banning released released released released inin inFebruary inFebruary February February 2018. 2018. 2018. 2018. polyethylene polyethylene polyethylene polyethylene core core core core aluminium aluminium aluminium aluminium Master Master Master Master Builders Builders Builders Builders made made made made cladding cladding cladding cladding products; products; products; products; mandatory mandatory mandatory mandatory submissions submissions submissions submissions toto toboth toboth both both processes. processes. processes. processes. third third third third party party party party certification; certification; certification; certification; aaa a MASTER BUILDERS ASSOCIATION NEWS EDITION 4 2018
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