Nearly 3000 buildings will be deemed no longer earthquake-prone after Parliament unanimously passed legislation yesterday reforming the building system.
"Today we are delivering significant reform that will save Kiwi building owners and the New Zealand economy a staggering $8.2 billion," Building and Construction Minister Simon Watts said.
"Expensive and often unrealistic remediation costs that are disproportionate to risk threaten buildings becoming derelict. Instead, we’re enabling that money to be invested elsewhere. To grow businesses, jobs and the economy."
Under the Earthquake-prone Building Amendment Bill, approximately 55% of quake-prone buildings — about 2900 buildings — would be removed from the register.
Watts said for buildings that would continue to be designated as earthquake-prone, remediation requirements would be more targeted to help "reduce costs and complexity while ensuring life-safety risks are addressed".
Under the reformed system, low-risk concrete and wooden buildings would no longer have earthquake-prone building status. High-risk unreinforced masonry buildings and vulnerable multi-storey concrete buildings in high and medium seismic zones would continue to be subject to earthquake-prone building (EPB) requirements, and councils would retain the ability to identify serious seismic risks that may have been missed.
Remaining earthquake-prone buildings would have more cost-effective remediation requirements.
Updated seismic zones, based on the latest seismic scientific knowledge, would take effect the day after the regime change is formally signed into law, the Government said.
Buildings in Auckland, the Chatham Islands and the upper North Island low seismic zone would be removed from the earthquake-prone building system entirely and all existing earthquake-prone building designations would be removed for those regions.
Parts of coastal Otago and Stewart Island that were previously in a low seismic zone would move to a medium seismic zone.
The remainder of the reforms would come into force on July 1, 2027.
"Guidance materials are currently being developed to support implementation and are expected to be shared for public consultation later this year," Watts said.
"This is about fixing the basics for a better working system. By focusing effort on the buildings that present the greatest risk to life, the reforms will deliver safer communities, smarter regulation, and avoid disproportionate and unrealistic costs."
'Common sense has prevailed'
In a statement, Auckland Mayor Wayne Brown said he was "delighted" and "common sense" had prevailed after the amendment bill had passed unanimously in Parliament.
"Auckland is one of the least seismically active regions of New Zealand, with a much lower earthquake hazard than places such as Wellington and much of the South Island," he said.
"Despite that, Auckland building owners were being hit with ridiculous seismic assessment and strengthening costs for a risk that is far lower here than in other parts of the country."
Brown said the current system had come at the expense of building owners.
"The system became a big earner for consultants and building managers writing reports, preparing estimates and assessments, proposing strengthening work and producing the dreaded earthquake ratings, all at considerable cost to building owners.
"Thankfully, common sense has prevailed and that’s good news for Auckland."
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