Chris Penk: Building and Construction Minister on the Government's overhaul impacting quake-prone buildings

A shake-up to the quake-prone building standards could be a reprieve for iconic properties facing large retrofit bills.

The Government's loosening the regime to only capture buildings genuinely posing a risk to life in medium and high seismic risk zones. 

It'll mean only 80 will need full retrofits and 15,000 will still need some remediation. 

Building and Construction Minister Chris Penk says there'll be a lot of places now off the hook for having expensive work.

"A large number of buildings that will remain caught by the system to some extent, but will only need a targeted retro-fit, or maybe just a securing of a façade." 

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Episode Transcript

Speaker 1 (00:00):
The government has announced a major overhaul of our earthquake
building rules. From now only concrete buildings three stories or
higher althose constructed with unreinforced masonry, brick walls and the
like will be included in that system. Auckland, Northland and
the Chattham Islands will be completely exempt. Chris Pink is
the Building Minister and with us now high Chris, Hello, Heather.
Is this an admission that we went overboard with the previous.

Speaker 2 (00:20):
Rules, Well, it's a refocusing a few years later, having
seen good rules, well while intention rules come into effect
and just thinking about the way that it's paid out practically,
we think that we can refine the system a bit
so that we can have, you know, still a focus
on life safety, but actually be a bit sensible and
balanced about what that means for people who own this.

Speaker 1 (00:42):
Are we accepting more risk?

Speaker 2 (00:45):
I think it's a balanced approach to risk. I think
actually we're not taking on any more risk given that
we are focusing on the most dangerous buildings. But also
maybe an unintended consequence of having a gold standard that's
proven very difficult to meet. Actually we're more likely that
the strengthening and remediation work takes place now because it's
a bit more targeted.

Speaker 1 (01:07):
Will this save the chateau?

Speaker 2 (01:10):
I don't want to get into individual buildings, particularly when
there's other factors. Well, I mean, each one will be assessed,
you know, according to the relevant criteria, and I'm not
familiar enough with them to get into that, but I
just know there around New Zealand, in small town New
Zealand as well as some of our biggest cities, there
will be a lot of winds where places are off
the hook and people can go ahead and invest in

(01:31):
them and have that.

Speaker 1 (01:32):
Okay, So the chateau is five stories, right, and it
looks to me to be made of stone, so it
would still it would still have to be assessed, right,
It wouldn't be exempt from these rules.

Speaker 2 (01:41):
Yeah, it sounds to me as though it wouldn't be
out automatically, but you know, it might also be that,
you know, and just to make it general, there are
a few buildings or a large number of buildings actually
that will remain caught by the system to some extent,
but will only need a targeted retrofit or maybe just
the securing of a facade, rather than the full strength
that the system.

Speaker 1 (02:01):
Currently What about the city to see Bridge and Wellington.

Speaker 2 (02:05):
Again not wanting to get too specific, but that's you know,
already received a stay of execution on the basis that
we were about to have the announcement. So it seems
to me that senity might prevail in terms of that
and other landmark kind of buildings around the place, some
of which are owned by councils and some of which
are privately owned. And then you've got central government as well,
so potentially a lot of winners of different entities not

(02:29):
having to spend money that currently the law is forced.

Speaker 1 (02:32):
Wellington obviously has a whole bunch of buildings which are
basically like, if not abandoned, at least closed because of
these rules, like Reading Cinema, the Oldamra Hotel and stuff.
I is it possible that these buildings may actually be
able to be opened.

Speaker 2 (02:46):
It will be a game changer for some in that respect,
or it might be that they can't be opened yet,
but with a relatively small application of new funds would
be able to get up to the standards. So you know,
there are different levels of assistance that going to be
provided by this and will be case by case, but
overall the effect will be a big win for cities
like Wellington, but further afield.

Speaker 1 (03:07):
Will it have an impact on insurance premiums?

Speaker 2 (03:10):
I think insurance is probably slightly different. I suspect it
will have a downward pressure effect in terms of insurance premiums.
But insurance will typically guard against buildings being damaged or
compensate in the event that there is damage. So our
aim as a government is actually to focus on life
safety risks, so a slightly different metric. But where insurance

(03:32):
currently say if you've got an earthquake prone building, according
to the government, we're going to hike your premiums. Those
people will find some relief.

Speaker 1 (03:38):
All right, Chris, thank you very much, as always Chris
pink Building Ministry. For more from Hither Duplessy Allen Drive,
listen live to news

Speaker 2 (03:45):
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