Building and construction law relates to all types of disputes which might arise during a building project, from conservatories to large commercial redevelopments. The law covers disputes between customer and builder, builders and sub-contractors, disputes with architects, surveyors and engineers. Often building and construction disputes involve complaints about the standard and quality of construction work or delay in getting the job done.
If you have a legal matter involving any issue regarding building and construction, then please complete your free legal enquiry form on the left, or click here.
Broadly speaking Building and Construction Lawyers handle all legal disputes arising from the building and construction process - from land acquisition and construction to management of post-construction settlements.
Building and Construction Lawyers handle all aspects of building, construction and development including:
• Home Building Act 1989 • Professional liability & negligence • Joint venture & business negotiation • Construction claims • Building & Construction Industry Security of Payment Act • Tribunal & Court attendances • Insurance claims advice • Home warranty claims • Building protection works • Claims resolution • Construction litigation • Risk management • Arbitration & mediation • Contract interpretation, administration & advice • Debt recovery • Construction Contracts and Payment Schedules • Insolvency & bankruptcy
Some examples of advice provided by Building and construction lawyers:
• legal issues arising from improvements of all sizes; • complex government building and construction projects; • commercial and industrial building and construction projects; • multi-storey developments; • complex building, construction and development matters; • house renovations and home improvements; • house construction including kit homes; • additions and alterations to houses and residences; and • claims under the Building and Construction Industry Security of Payment Act.
If you have a legal matter involving any issue regarding building and construction, then please complete your free legal enquiry form on the left, or click here.
Building and Construction Lawyers
Building and Construction Lawyers can advise on a wide range of both contention and non-contentious construction issues for all types of clients such as:
• developers • builders • owner builders • investors • contractors • project managers and other professionals.
In relation to contentious matters, building and constructions lawyers can place a strong emphasis upon acting alongside their client in order to avoid developing disputes. Where negotiation or mediation is inappropriate, building and constructions lawyers have a robust and vigorous approach to the resolution of disputes by adjudication, arbitration, litigation or expert determination as circumstances require.
If you have a legal matter involving any issue regarding building and construction, then please complete your free legal enquiry form on the left, or click here.
Building & Construction Lawyers generally specialise in advising clients with respect to the following building and construction issues:
• Contentious and non-contentious building disputes • Construction contracts and the role of industry professionals • Standard form and bespoke contracts • Risk management • Tactical and strategic advice • Pre-emptive advice and dispute resolution • Construction sector professional negligence
Areas of Practice of a building and construction lawyer:
• Procurement methods • Negotiation of building contracts • Professional appointments • Collateral warranties • Project management agreements
Construction focuses around contentious and non-contentious work. The former involves early dispute resolution through settlements, arbitration, third party mediation or finally, litigation and adjudication.
Non-contentious work includes: preparation and negotiations on building projects, assisting on areas of procurement of various resources and materials, and advising on environment, health and safety, insurance and other matters.
If you have a legal matter involving any issue regarding building and construction, then please complete your free legal enquiry form on the left, or click here.
Projects can include segments other than construction, like infrastructure projects for roads, hospitals, public amenities, and prisons; industry-specific projects such as those in oil & gas production, operations in power generation, water and hydroelectric projects such as dams, reservoirs and so on.
A projects’ lawyer works in collaboration with other colleagues and professionals in project finance and real estate/property to see projects through to fruition. The movement towards Public Private Partnerships (PPP) has seen the advent of private finance and management into what previously was governmental domain, and many public projects are today executed with Private Finance Initiative, not only in the establishment and execution phase, but also in running future operations and management of such enterprises.
If you have a legal matter involving any issue regarding building and construction, then please complete your free legal enquiry form on the left, or click here.
What is involved in Construction Law?
As stated above, most Construction lawyers who practice in non-contentious areas of the field work on:
(a) negotiating and drafting agreements between interested parties such as the property company or landowners, builders, architects, engineers, contractors and sub-contractors; (b) coordinate with other legal departments in finance and real estate to complete the necessary due-diligence, conditions-precedent and funding of the project; (c) obtain necessary civil and municipal approvals and sanctions from local authorities; (d) monitor progress of the construction with periodic site visits and meetings with stakeholders; and (e) on completion and handover of the project as per contractual terms, and assist in completing registration, tax and other formalities. (f) compliance with the Building & Construction Industry Security of Payment Act
Contentious practice, as mentioned above comes into play when disputes arise at any stage of construction, or after completion. In the past, litigation was resorted to frequently to resolve disputes, given the large amounts of money and certain loopholes in existing law which made it easier to litigate endlessly. But in recent years legal reforms and tighter regulation within the industry have ensured that the use of litigation as a means of dispute resolution has been strictly curbed.
If you have a legal matter involving a dispute with a builder, then please complete your free legal enquiry form on the left, or click here.
The rule of thumb in the construction industry today is that all agreements must have distinct provisions on alternative dispute resolution, should future issues arise. Arbitration is a mandatory clause in some of the newer lot of contracts, and if it becomes necessary to seek judicial intervention, then the dispute should be resolved through adjudication.
If you need a building and construction lawyer, then please complete your free legal enquiry form on the left, or click here.
NEWS. UPDATES & ALERTS - Building & Construction Law
What to look for in a good Construction Lawyer
A construction and projects lawyer should be well-equipped with basic skills in negotiating and drafting procedures, have excellent interpersonal skills and the ability to work in large teams made up of different kinds of professionals. construction and projects lawyer is knowledgeable and updated on latest developments and trends in finance, real estate, construction, planning, infrastructure development, and when working on industry-specific projects, has a thorough understanding of that industry. Personal qualities of a construction and projects lawyer include a creative & lateral thought process, the ability to breakdown complex structures and concepts into simple facts, strategic and analytical thinking, some even have technical knowledge and expertise in related professions such as architecture or engineering.
If you have a legal matter involving any issue regarding building and construction, then please complete your free legal enquiry form on the left, and we will put you in touch with a construction lawyer who is able to help you with your matter.
Building and construction law
Building and construction law is the complex structure of legislation and case law which deals with construction. Perhaps more than any other area of law, building and construction law epitomises the complexities of contract law. There is a significant number of lawyers and legal professionals which specialise not only in building and construction law, but in specific areas within that such as project finance law, building litigation and planning permission applications.
The reason so many different areas of expertise are needed is because the field of construction commonly creates disputes.
One of the most interesting legal aspects to come out of building and construction law is the contract-law issue of economic duress. Under contract law a contract is not legally binding on a party if that party entered into the contract under duress. The relatively new concept of economic duress means one party to a contract is not allowed to extort another into agreeing to terms by putting unfair economic pressure on that party. For example: a building contractor agrees a contract to build stalls which the client intends to let out during a trade event. A few days before beginning the work the contractor informs the client that the building work will not take place unless the client pays additional sums. The client, which already has contracts with other companies to let the stalls and therefore will have serious financial liabilities if the building work does not go ahead, agrees to pay more at this stage. It would be held by the courts that in such a case the agreement of the client was a result of economic duress and that the extra sum paid be subtracted from the total.
If you are experiencing a dispute which is affected by building and construction law, it is vital that you see a professional in order to better understand your legal position.
If you need a building and construction lawyer, then please complete your free legal enquiry form on the left, or click here.
Building and construction disputes are often complex and can involve wide ranging issues. Building and construction lawyers have extensive experience in advising contractors, developers and other industry professionals on construction disputes.
Building and construction lawyers can provide practical, commercial and cost effective advice on how best to resolve any disputes that arise in the course of your business, including disputes arising out of breaches of construction contracts. Building and construction lawyers can advise on standard form contracts and legislation such as the Housing Grants including other government grants.
Building and construction lawyers believe that it is very important that they are involved in advising you at an early stage. That way Building and construction lawyers can advise you on how best to avoid a full blown dispute, for example by pursuing negotiation or mediation, which could ultimately save you legal costs and limit the disruption to your business. If negotiation or mediation is unsuccessful or is not appropriate in the circumstances, Building and construction lawyers can advise you on other options, such as arbitration, adjudication, expert determination and the issue of court proceedings.
If you have a legal matter involving any issue regarding building and construction, then please complete your free legal enquiry form on the left, and we will put you in touch with a construction lawyer who is able to help you with your matter.
If you need legal advice regarding Building & Construction Law, then please complete your free legal enquiry form on the left, and we will put you in touch with a Building & Construction Law lawyer nearest you, who can help you with Building & Construction Law.
Our free legal enquiry service for Building & Construction Law extends to all suburbs throughout Australia.
Building & Construction Law & Lawyers Updates
These news come from .
Tanzania building collapse kills 13 people, race to save those trapped
Sun, 17 Nov 2024 23:00:15 +0000
Rescue workers are continuing to search for trapped survivors after a building collapsed in Tanzania and killed 13 people.
Industry body calls for productivity 'reset' in Queensland amid 'constructability crisis'
Fri, 15 Nov 2024 06:03:36 +0000
The peak body for urban developers says it takes twice as long to build residential apartments in Queensland as it calls for a "reset" of workforce productivity.
Councils to be stripped of power to block certain new residential developments in NSW
Thu, 14 Nov 2024 19:03:02 +0000
Premier Chris Minns says a new Housing Development Authority will make it easier to "build the homes we need" as the state trails behind less than six months into a national race to deliver more homes.
How 'appalling' and 'disgraceful' strata contracts favour managers over apartment owners
Thu, 14 Nov 2024 19:00:20 +0000
An ABC investigation has found strata contracts promoted by a key industry body disproportionately favour managers over apartment owners, sparking calls for an urgent review to reform the agreements.
Queensland suspends policy brokered with unions for construction workers. This is what the government is changing
Thu, 14 Nov 2024 06:34:23 +0000
The newly minted LNP government has sensationally suspended the Best Practice Industry Conditions (BPIC) for new major government projects. Here's what they are and what this will mean for the industry.
Queensland government suspends construction sector conditions policy as CFMEU labels move 'dangerous'
Thu, 14 Nov 2024 00:50:15 +0000
Described by the LNP as a "sweetheart deal" with the construction union, the policy dictates that workers can down tools if the air temperature reaches 35 degrees Celsius, or 29C and 75 per cent humidity.
Cute timber cottage sells for 10 times 1999 price as town regains positive outlook
Tue, 12 Nov 2024 04:51:07 +0000
This house in the South Australian town of Mount Burr sold for $45,000 after the local mill's closure at the turn of the century, but house prices are rising sharply.
Construction insiders fear speaking out against CFMEU without whistleblower protections
Tue, 05 Nov 2024 19:15:36 +0000
Several workers in the construction sector say they will not speak to the CFMEU administrator about their experiences with the union because insufficient legal protections mean they fear retribution.
Australia's housing crisis remains trapped in large, empty homes
Sun, 03 Nov 2024 21:13:12 +0000
Australia doesn't have enough houses. But there's a hidden capacity in the market which, in theory, could help solve that problem — and it could start with your spare bedroom.
Women taking on male-dominated industries prove anything's possible given the chance
Sun, 03 Nov 2024 19:41:23 +0000
Women working in male-dominated industries are proving anything's possible when given the chance, and it could help ease Australia's ongoing skills shortage.
Families call for asbestos action, with teenager, home renovator among those to contract mesothelioma
Fri, 01 Nov 2024 19:02:54 +0000
With asbestos lurking in an estimated one-third of Australian homes, campaigners want compulsory registers of the deadly product for home owners in an effort to save the lives of unsuspecting renovators.
'It seemed too good to be true': Why this couple built their house out of hemp
Thu, 31 Oct 2024 01:28:26 +0000
Having never built a house before, Dan decided his first would be his dream home — a sustainable, off-grid hemp house in Tasmania, rendered with a horse poo mix and with an outdoor composting toilet.
CFMEU official charged for allegedly climbing a crane at Perth worksite and refusing to come down
Thu, 24 Oct 2024 02:03:58 +0000
The Fair Work Ombudsman starts legal action against the CFMEU and one of its officials after he allegedly climbed a 50-metre crane on a Perth work site, preventing it from operating.
The US and UK embraced build-to-rent. Will it work in Australia?
Tue, 15 Oct 2024 19:00:37 +0000
Build-to-rent is the latest craze in property, with advocates saying it can help solve issues with housing in Australia. But how has the concept performed overseas?
Hundreds of homebuilders in limbo given lifeline in Nicheliving government deal
Fri, 11 Oct 2024 01:11:10 +0000
Embattled builder Nicheliving cuts a deal with the state government to give up its building registration in exchange for having its insurance liability waived.
Grand Designs' Kevin McCloud gets real on the show's 'great legacy' — its own drinking game
Thu, 10 Oct 2024 00:12:52 +0000
The host of the popular UK lifestyle show says he's grateful for the people willing to let cameras behind the scenes — "sometimes mistakenly" — while they push the boundaries on what's possible in design.
'Divine intervention' to help embattled builder complete hundreds of homes, director says
Wed, 09 Oct 2024 07:35:38 +0000
The boss of an embattled Perth building company assures hundreds of customers their unfinished homes will be completed with the help of "divine intervention".
A statewide granny flat building code could make for faster approvals and cheaper construction
Sat, 05 Oct 2024 22:45:07 +0000
Building a secondary dwelling in Queensland requires approval from one of the state's 77 different council areas, but a new building code is proposing to change that for the better.
Senior staff at Australia's biggest home builder ordered to sit basic training by regulator
Wed, 02 Oct 2024 20:28:48 +0000
More than a year after NSW Fair Trading began its investigation into Metricon, senior staff of the home builder have been ordered to sit a three-day, $2,250-per-person course.
The tactics retirement villages use to churn residents and maximise profits
Wed, 02 Oct 2024 18:49:08 +0000
Days before Christmas, Maurine's retirement village threatened her with eviction. Advocates say village operators have an incentive to churn residents to maximise revenue from exit fees.
A 4-tonne machine just printed a house in the US. What can Australia learn?
Sat, 21 Sep 2024 19:23:42 +0000
Texas just opened its biggest 3D-printed neighbourhood as a solution to its acute housing problem. Could it be the solution the Australian construction has been waiting for?
'Reset' meeting to be held between unions, business and government after CFMEU scandal
Tue, 17 Sep 2024 22:51:54 +0000
After findings of "lawlessness" and bikie infiltration within the CFMEU, the federal government will seek to reset relations with a high-level meeting between ministers, unions and business next month.
November 2024 ACIF Forecasts Released - Residential Construction to Bounce Back
Tue, 19 Nov 2024 00:00:00 +1100
The Australian Construction Industry Forum (ACIF) Forecasts released today show again how the large pipeline of work in hand is sufficient to drive growth in building and construction activity despite slowing in the economy. Activity is projected to rise to $299 billion this year (in 2024-25). The difference this year is that the rate of growth will fall to a modest 0.9 per cent. This will be just enough to keep the industry’s head above water. This is not to understate the difficulties encountered in the current economic environment. Builders are very much the meat in the sandwich between falling demand and higher costs. While the sharp spike in inflation in materials prices has moderated, input prices remain at elevated levels. Builders are also having to confront the impact of recent industrial relations changes at the same time as they are dealing with sustained labour shortages. Margins have been squeezed. The increase in construction insolvencies is an indicator of rising pressures.
The public sector has been a major contributor to the build-up in the pipeline of work. The investment programs in many states peaked last year and are now ramping down. Some governments are trimming their spending, cutting and deferring projects. Nevertheless there are still some fairly large items sustaining work flows into this year and next. Structural and policy change driving the transition to clean energy is already boosting construction work and more is on the way.
Prospects for the industry are also shaped by business investment decisions. The shift into data centres and in restructuring of logistics and supply chains is offset by an uncertain outlook in areas such as Offices, Accommodation, Entertainment and Recreation and retail. Mining and other resources are seeing some growth, most notably in Western Australia.
The boom in Engineering Construction, particularly Infrastructure Construction activities, has more than offset the decline in Residential Building. While growth in large-scale public transport projects has peaked, a wave of projects in renewable or clean energy supply and in water have taken up all of the slack in capacity that might have been freed. The ramp up in work yet to be done suggests that there is upside risk to the four per cent growth forecast for 2024-25.
In Heavy Industry including Mining interest in critical and strategic minerals and investment in clean energy supply is boosting activity, supported by ongoing development in traditional mining activities including iron ore, gold and copper. Work done is expected to continue to lift into 2024-25 and 2025-26. The upturn may run for longer adding an upside risk to the forecasts.
Non-Residential Building activity grew steadily over the last three years. The situation for this category reflects large movements in the sub-components, with growth (sometimes double-digit growth) in Industrial, and Other Commercial being offset by large contractions in Accommodation and Entertainment and Recreation and occasionally, Retail and Wholesale Trade. Reflecting this mixed performance the outlook is finely balanced. The forecasts project a small decline in 2025-26 followed by a mild increase in 2025-26.
Kerry Barwise, Lead for the ACIF Forecasts, commented: “There are many factors that could disrupt the finely balanced outlook. There is a grave risk that fiscal policy and monetary policy settings will continue to pull in opposite directions. Interest rates may remain elevated for longer, suppressing residential building activity for longer. The surge in clean energy may not play out as expected. Not all of the risk is on the downside.”
Nerida Conisbee, Chair of ACIF’s Construction Forecasting Council, commented: “Government initiatives to combat the housing crisis could mobilise a larger increase in housing supply and this may arrive sooner than expected in these forecasts. Residential Building has struggled under the weight of higher mortgage rates and the phase out of various subsides. The value of approvals has tumbled down over the last two years."
Andrew Scott, Deputy Chair of ACIF’s Construction Forecasting Council, commented: “The industry’s capacity in Residential Construction has been basically static. The forecasts project that the downtrend in work done will be carried forward one more year before a return to growth from 2025-26 when demand picks up and some of the supply side constraints are reduced.”
About the Australian Construction Industry Forum (ACIF)
The Australian Construction Industry Forum (ACIF) is the trusted voice of the Australian construction industry. ACIF facilitates and supports an active dialogue between key players in residential and non-residential building, and engineering construction, other industry groups, and government agencies. ACIF’s focus is on innovation, collaboration, equity and sustainability for the industry. ACIF Members are among the most significant associations in the industry, spanning the entire asset creation process from feasibility through design, cost planning, construction, building and management. ACIF harnesses the resources of its members to research and develop initiatives that benefit businesses of all sizes, from the largest of construction companies to small consultancies. More information on ACIF is available from www.acif.com.au.
About the ACIF Forecasts
ACIF Forecasts are rolling ten-year forecasts of demand across residential, non-residential and engineering construction in Australia. The Forecasts are prepared by respected economic modellers, using high quality data sources, and are overseen by ACIF’s Construction Forecasting Council, an industry panel of expert analysts and researchers. ACIF Forecasts are used by thousands of professionals each year, from across the full range of stakeholders, from major organisations to small consultancies. ACIF Forecasts are available as the Australian Construction Market Report and detailed numbers are available by subscribing to the Customised Forecasts Dashboard. The ACIF Forecasts are available from the Australian Construction Industry Forum from today. Available in two formats: Australian Construction Market Report, a 120-page expert analysis on the economy and industry sectors ($440), plus the Customised Forecasts Dashboard ($385), an online portal where users can query the full ACIF Forecasts database on 20 work types, over a twenty year period. As an industry not-for-profit, ACIF produces this information to assist businesses and governments at all three levels navigate the rapidly changing marketplace and help them plan for the future.
The Australasian Procurement and Construction Council (APCC) - Australian Construction Industry Forum (ACIF) Strategic Forum Joint Statement, 16 September 2024
The APCC-ACIF Strategic Forum (Forum) convened on Monday, marking another pivotal meeting of key stakeholders in the Australasian building and construction industry. Building on our collective experience and shared vision, members reaffirmed their commitment to addressing critical issues and driving positive change within the sector. Discussions throughout the day highlighted that while progress has been made, significant challenges still require collaborative efforts between government and industry to ensure sustainable growth.
The Strategic Forum discussed several important topics affecting the sector, starting with Professional Indemnity Insurance. Insights were shared into government insurance requirements, exploring potential solutions to ensure adequate cover while mitigating risk and better supporting consultants. The Forum also delved into the impact of the recent Australian Federal Unfair Contracts Legislation. Discussions highlighted how standard form contracts used by the government can clarify ambiguities and help the industry navigate the legislative landscape more effectively.
Proportionate Liability was another key topic, with discussions centred on fairness and clarity in government contracts. Members exchanged ideas on best practices and frameworks to improve proportionate liability across projects, with a particular focus on transparency and equity in the tendering process. The recent High Court judgment extending proportionate liability to arbitrations sparked in-depth conversations about future implications for contracts and dispute resolution. The discussion underscored the importance of adapting contract preparations to ensure equitable outcomes for all involved parties
The overall tone of the meeting highlighted the importance of the Strategic Forum’s commitment to enhancing collaboration and addressing the complex challenges faced by the construction industry. The insights shared will play a vital role in fostering collaboration, refining strategies, and driving efficiency across the sector.
As we look ahead, the collective expertise of industry leaders will continue to guide the construction industry in adapting to an evolving landscape. The Strategic Forum remains focused on promoting sustainable, transparent, and equitable practices that benefit all stakeholders in the building and construction sector.
Media Release – ACIF Calls on Governments and Government Bodies to Act Swiftly and Decisively on Construction Industry Lawlessness
Thu, 25 Jul 2024 00:00:00 +1000
The Australian Construction Industry Forum (ACIF) has noted the recent media reports of CFMEU illegal activity. ACIF calls on federal, state and territory governments, and various government bodies to act in accordance with the seriousness and gravity of the situation, and using the full extent of their legal powers. ACIF commends the Workplace Relations Minister’s announcement today, to appoint independent administrators to the CFMEU’s construction branches, as a positive first step.
The Australasian BIM Advisory Board (ABAB) have released their June Meeting Communiqué, which explores the integration of Digital Engineering, Asset Management and Sustainability for the Future BIM
The Australasian BIM Advisory Board (ABAB) have released their October Meeting Communiqué which discusses ABAB's reflection on the year's accomplishments and considers a path for its ongoing future success.
Media Release - ACIF Releases Landmark Review of Building Confidence Report Implementation
Wed, 01 Nov 2023 00:00:00 +1100
ACIF Releases Landmark Review of Building Confidence Report Implementation
The Australian Construction Industry Forum (ACIF) is pleased to release a comprehensive review of the implementation of the Building Confidence Report recommendations. The review found that the states and territories have made great progress towards implementing the recommendations, but there is still some work to be done. ACIF commends federal, state and territory ministers and public servants for their efforts in implementing the recommendations, and believes that they deserve considerable credit. However, not all of the recommendations have been implemented in all jurisdictions, so ACIF urges state and territory governments to keep up the momentum and good work. Now is not the time for state and territory governments to “take their eyes off the ball” in implementing critical building regulations for the quality and safety of our built environment.
After the Building Confidence Report was released in 2018, federal, state and territory governments committed to implementing all 24 recommendations. So a review was necessary to see how much progress had been made. One of the recommendations was that the recommendations be implemented within a three year period.
Dr James Cameron, Executive Director of ACIF commented, “My thanks to all the stakeholders that contributed to this review, including Ministers, public servants, ACIF members and staff, and one of the authors of the Building Confidence Report, Bronwyn Weir. This review would not have been possible without their input and support.”
“Australia can be proud of its built environment and construction industry. The implementation of the recommendations of the Building Confidence Report strengthens both.”
“We have been working on this review for around twelve months, and so it is satisfying to have it finalised and to release it into the public domain.”
“The review is a wealth of information on Australia’s building regulatory landscape. We hope that governments and building regulators take note of the review and continue to implement the recommendations of the Building Confidence Report. We will be advocating for this outcome”, Dr Cameron added.
ACIF’s review of the Building Confidence Report’s implementation and full media release can be read and downloaded below.
ACIF is proud to announce the release of its 2023-2024 Policy Priorities.
ACIF has the following policy priorities for 2023-2024:
Skills and materials shortages in the construction industry to be addressed.
Improve the culture of the Australian construction industry. This includes: support to enable a greater emphasis on mental health, wellbeing and suicide prevention in the construction industry; increase the number of women entering and staying in the construction industry across all disciplines; and lower the number of average working hours.
The recommendations of the Review of Security of Payment Laws, as recommended by John Murray AM, be implemented as soon as practicable.
Commitment and tangible progress by state and federal governments to implement the recommendations of the Building Confidence Report as soon as practicable.
Address the issue of professional indemnity insurance for professions in the construction industry.
On the 27th of February the first ACIF Member Meeting of 2023 was held.
The day began with a networking lunch and was followed by the Member Meeting.
ACIF Members also had the opportunity to liase with guest, Minister the Hon Michael (Mick) de Brenni MP, Queensland, Minister for Energy, Renewables and Hydrogen and Minister for Public Works and Procurement.
It was a productive day of discussion and was great to reconnect with members in-person to kick-start another successful year.
Mates in Construction have joined ACIF as the 25th member.
About Mates in Construction:
MATES is a charity established in 2008 to reduce the high level of suicide among Australian construction workers.
MATES provides suicide prevention through community development programs on sites, and by supporting workers in need through case management and a 24/7 help line. We serve the construction industry in Queensland and Northern Territory, New South Wales, South Australia and Western Australia, the Energy industry in Queensland and New South Wales, and nationally to the Mining industry.
MATES was established in response to a major report on suicide (the ‘AISRAP Report’) within the Queensland Commercial Building and Construction Industry. This report found that suicide rates in the industry were higher than the Australian average for men, and that youth suicide within the industry could be as much as 2.38 times more common than among other young Australian men.
The MATES program is based on the simple idea that suicide is everyone’s business. If the building and construction industry in Australia is to improve the mental health and well-being of workers and reduce suicide, then it cannot be left to mental health professionals:
everyone in the industry must play their part.
Working for the construction industry in general, MATES is independent of employers and unions and never works directly for an employer. Programs are delivered across the industry regardless of employer or union affiliation.
ACIF is proud to announce the release of its 2022 Policy Priorities!
ACIF has the following policy priorities for 2022:
1.) Skills and materials shortages in the construction industry to be addressed.
2.) Improve the culture of the Australian construction industry. This includes: support to enable a greater emphasis on mental health, wellbeing and suicide prevention in the construction industry; increase the number of women entering and staying in the construction industry across all disciplines; lower the number of average working hours, and retain the Australian Building & Construction Commission.
3.) Commitment and tangible progress by state and federal governments to implement the recommendations of the Building Confidence Report as soon as practicable.
4.) Address the issue of professional indemnity insurance for professions in the construction industry.
ACIF Forecasts Show that the Construction Industry is an Engine in Powering Australia’s Recovery
Thu, 10 Jun 2021 00:00:00 +1000
ACIF Forecasts Show that the Construction Industry is an Engine in Powering Australia’s Recovery
The forecasts released today by the Australian Construction Industry Forum (ACIF) reveal that the Australian building and construction market is bouncing back. Growth is exceeding expectations based on Australia’s ability to bring the spread of COVID-19 under control and the deployment of a comprehensive range of policy measures designed provide a strong stimulus and a rapid recovery. The new forecasts project growth of 2.7%, bringing the level of building and construction work up to $243 billion in 2021.
Bob Richardson, Chair of ACIF’s Construction Forecasting Council commented: “Recovery is on its way! Whilst COVID and the lockdowns significantly impacted our industry in 2020, returning business confidence and the Government’s stimulus measures will provide an uplift, and overall we expect to see a rebound in activity in 2021-2022.”
The building of new houses is entering into boom territory with 10% growth this year. The upswing is driven by a surge in house demand supported by record low interest rates, provision of significant government support programs including HomeBuilder, and an improving outlook for sustained employment growth.
Kerry Barwise, ACIF’s Chief Forecaster from FTI Consulting, stated “The building and construction industries did better than expected in dealing with the disruptions of 2020. The forecasts predict an even stronger outcome ahead in 2021. The industry is punching above its weight in the recovery.”
Infrastructure spending in areas including electricity supply, water, and railways are expected to benefit from enlarged infrastructure delivery programs being rolled out by Commonwealth and State governments. Government spending and investment providing social infrastructure and other essential services has been ramped up, increasing work forecasts in ad hoc categories of building, including Other Commercial and Miscellaneous, as well as in Health and Aged Care.
While the outlook for building and construction is much stronger than generally expected, the recovery remains uneven as the pandemic continues to weigh on some industry sectors and regions. Some parts of building and construction will experience remarkable growth this year, while others are expected to see contraction and decline.
The immediate outlook for sub-sectors which have been most directly affected by lingering disruption from the pandemic and lockdowns is not so bright. Sectors that are still impacted by closed borders and other including Accommodation, Recreation and Other, including stadiums and other large scale facilities.
Building and Construction Employment
Employment in building and construction activities fell by 2.6% to 1,152,000 jobs by the end of 2020 according to ABS employment statistics. Construction employment accounted for a little under 10% of total employment across the Australian economy.
COVID-19, the lockdowns and an underlying downtrend in activity levels, especially in Residential Building activity, drove the contraction in employment in 2020. The strong rebound in Residential Building and growth in Engineering Construction activity are already driving a recovery in employment and this is expected to push job numbers up to 1.2 million in 2021. The continued uplift in infrastructure spending will sustain growth in job numbers into 2023.
Australian Building and Construction Work Done ($ billion, 2018-19 prices). Source: ACIF CFC
About Australian Construction Industry Forum (ACIF)
Australian Construction Industry Forum (ACIF) is the trusted voice of the Australian construction industry. ACIF facilitates and supports an active dialogue between key players in residential and non-residential building, and engineering construction, other industry groups, and government agencies. ACIF’s focus is on innovation, collaboration, equity and sustainability for the industry.
ACIF Members are among the most significant associations in the industry, spanning the entire asset creation process from feasibility through design, cost planning, construction, building and management. ACIF harnesses the resources of its Members to research and develop initiatives that benefit businesses of all sizes, from the largest of construction companies to small consultancies. More information on ACIF is available from www.acif.com.au.
About ACIF Forecasts
ACIF Forecasts are rolling ten-year forecasts of demand across residential, non-residential and engineering construction in Australia. The Forecasts are prepared by respected economic modellers, using high quality data sources, and are overseen by ACIF’s Construction Forecasting Council, an industry panel of expert analysts and researchers.
ACIF Forecasts are used by thousands of professionals each year, from across the full range of stakeholders, from major organisations to small consultancies. ACIF Forecasts are available as the Australian Construction Market Report and detailed numbers are available by subscribing to the Customised Forecasts Dashboard.
The ACIF Forecasts are available in two formats: Australian Construction Market Report, a 110-page expert analysis on the economy and industry sectors ($350), plus the Customised Forecasts Dashboard ($300), an online portal where users can query the full ACIF Forecasts database on 20 work types, over a twenty year period. As an industry not-for-profit, ACIF produces this information to assist businesses and governments at all three levels navigate the rapidly changing marketplace and help them plan for the future. Find out more at https://www.acif.com.au/forecasts/forecasts
Latest developments on the Government’s proposals to alter automatic insurance cover
Thu, 21 Mar 2019 00:00:00 +1100
Latest developments on the Government’s proposals to alter automatic insurance cover
Working together with other industry super funds, Cbus was successful recently in stopping changes to legislation that would have left young construction workers without insurance. Last year the Government proposed to alter automatic insurance cover in super by:
Requiring new members under 25 to opt in for insurance cover with their super fund.
Requiring new members of any age to opt in for insurance cover where their account balance is less than $6,000.
Removing insurance cover from inactive accounts.
These changes were based on the view that young people are less likely to need cover and shouldn’t have insurance fees deducted from their super. While this might be a valid view for office-based staff, many of our employers operate in industries that score among the highest for injury and workplace accidents, according to data from Safe Work Australia.
Cbus lobbied parliamentarians directly raising concerns that removing default insurance would have a disastrous effect on young workers in hazardous environments, and for those with a low balance.
Ultimately, the Government’s Protecting Your Super package passed through the Senate, retaining automatic insurance for young and low balance members. This is great news for Cbus members. We were pleased that the work we did with the help of many of our employers and members has helped preserve automatic insurance for members under 25 years of age and for those with account balances less than $6,000. Young workers will retain these important protections.
However, the Senate did pass legislation to alter automatic insurance cover from 1 July 2019, by preventing Cbus from continuing automatic insurance to all inactive accounts (no contributions or rollovers received for 16 months including the time before 1 July 2019, unless a member has directed otherwise).
We understand that the Government may make further amendments to the legislation in 2019. Cbus will continue to make representations to ensure that the reforms are effective and in the best interest of our members.
We will continue to keep you updated about this important legislation.
This information is about Cbus. It doesn’t take into account your specific needs, so you should look at your own business needs, objectives and requirements before making any financial decisions. Read the relevant Cbus Product Disclosure Statement and related documents to decide whether Cbus is right for you. Call 1300 361 784 or visit www.cbussuper.com.au for a copy.
Cbus’ Trustee: United Super Pty Ltd ABN 46 006 261 623 AFSL 233792 Cbus ABN 75 493 363 262
Construction Industry Leaders Forecast a Healthy Recovery
Thu, 09 Nov 2017 00:00:00 +1100
Construction Industry Leaders Forecast a Healthy Recovery in Non-Residential Building Activity
The ACIF Forecasts for November foreshadow that the decline in the work done in the building and construction industries will slow over the next three years, with an upswing predicted from 2019-20. After some years of decline, a recovery in Non-Residential Building activity is expected, which includes an uplift in commercial building, including offices, retail and industrial building, reflecting increased business investment as well as in building required to support the underlying transition in the economy and employment towards the provision of services, including in tourism, accommodation, education as well as in health and aged care.
The upturn in infrastructure construction in roads, rail, water, that has been in the ACIF Forecasts for some time, is now definitely gathering pace. These increases will offset the falls in mining and commodity export infrastructure that are in the construction project pipeline following the completion of a number of mega projects and the falls in Residential Building activity that have already begun.
"Australia's success in the construction sector drives employment and productivity, which in turn encourages government investment in quality infrastructure. As Australia's population continues to grow at above trend levels, now more than ever, we need quality infrastructure and buildings.” said Adrian Harrington, Chair of ACIF’s Construction Forecasting Council, which oversees the production of the ACIF Forecasts.
“The public and private sectors have a key role, often in partnership, in funding, and ultimately owning this infrastructure. In these Forecasts we see a welcome uptick in infrastructure spending following the highs of the mining and residential building boom.”
Kerry Barwise, ACIF’s Head Forecaster, stated “This ‘two speed economy’ looks like a tightrope act. The south eastern states are largely ‘holding the line’ while bigger declines in Western Australia and Queensland mean these states are hanging off the line, pulling it down. We do however predict resurgent investment in roads, rail, energy and water infrastructure will be large enough in the next few years to offset the falls in construction activity that will follow the completion of the ‘mega projects’ that drove the recent mining boom.”
Work Done in Building and Construction
The value of all of the work done in the building and construction industries fell by 4% last year to arrive at $218 billion. The November 2017 ACIF Forecasts project that total building and construction work will continue to fall over the next three years, but the decrease will become smaller each year. The fall in total building and construction activity is projected to dip to just 0.3% by 2019-20, leaving total work done at $203 billion.
Residential Building
Approvals peaked two years ago and we are now on the downside of the residential building cycle. The number of new houses built fell last year. The rate of growth in the building of New Other Residential dwellings (such as apartments and townhouses) fell last year from the extraordinary highs seen for some years in some states, particularly in Queensland, New South Wales and Victoria. All categories of Residential Building are expected to fall over the next two to three years. This will push the value of work done in this category of building down from $96 billion in 2016-17 to $84 billion by 2019-20.
Non-Residential Building
Economic accounts show that business investment in areas outside of mining is recovering. Non-Residential Building activity is already growing in the states that were less exposed to a hangover from the end of the mining boom. While there are some challenges to overcome, including the need to address competition from new technologies and lingering scars from previous periods of overbuilding and over supply, Non-Residential Building activity is projected to see growth over the next three years, rising from $36 billion in 2016-17 to $39 billion in 2019-20.
Engineering Construction
Engineering Construction fell by 10% last year to reach $85 billion. A rebound in infrastructure investment in Roads and Bridges, Railways and Harbours, in Water and Sewerage and in Electricity and Pipelines is underway and expenditure is expected to increase significantly in the next three years. This will slow down and eventually halt the down turn in Engineering Construction work done. Engineering Construction is forecast to fall and then level out at around $80 billion over the next three years.
Building and Construction in the Australian States
Differences in the performance and outlook of the building and construction industries in the Australian states and territories gives some credence to concerns about the “two speed economy”. The “mining states” – Western Australia, Queensland and the Northern Territory – account for $7 billion of the $8 billion fall in building and construction activity forecast for this year. Meanwhile the south eastern states are projected to hold on to present levels of building and construction activity over 2017-18. Increases in infrastructure investment and increases in Non-Residential Building in some of the south eastern states will fully offset the coming downturn in Residential Building activity maintaining construction activity current levels for the next three years.
Trends in Construction Employment
Employment in the building and construction industries increased to 1,111,000 jobs last year, making a helpful contribution to employment growth in the economy at large. Given the projected falls in overall building and construction activity in the next three years, and the falls in labour intensive Residential Building activity in particular, employment in building and construction activity is projected to fall to 1,041,000 jobs by 2020-21.
The ACIF Forecasts are available from Australian Construction Industry Forum from today. Available in two formats:
the Customised Forecasts Dashboard ($200), an online portal where users can query the full ACIF Forecasts database on 20 work types, over a twenty year period.
As an industry not-for-profit, ACIF produces this information to assist businesses and governments at all three levels navigate the rapidly changing marketplace and help them plan for the future. Find out more at www.acif.com.au/forecasts.
Webinar Recording: Managing Compliance with Australian Building Codes
Mon, 30 Oct 2017 00:00:00 +1100
Our industry is facing continual changes to compliance and new product requirements, making it a burdensome task to ensure proper adherence to codes and regulations. In this ACIF Webinar, held on Friday 27 October 2017, we discussed whether the upcoming changes in legislation and regulation will hinder or assist your business.
New laws and requirements and what it means to your business
The construction and building industry is facing rapid change as new technologies, materials and regulation directly impact upon the successful delivery of the building projects.
Changes in legislation to the Australian Building Codes Board (ABCB) will affect regulation and compliance. Failure to comply could result in costly fines, yet the benefit enhances the reputation and financial security of our industry.
In this interactive and educational webinar, you’ll have the chance to ask questions about the compliance and regulatory changes and what it means for your business and employees. Michael Tomlinson of Pointsbuild will deliver and update on:
Industry compliance obligations for 2018, per State and Territory
Non-conforming products
Changes and new legislation that impacts on regulations and compliance
Additionally, Michael will also address possible solutions around the increased challenges of workforce mobility and working across state borders
About the Presenter -
Michael Tomlinson,
Founder and MD, Pointsbuild
Michael has over 20 years’ experience in education/training, IT and consulting services. In 2007, he founded Pointsbuild, and is responsible for the company’s leadership, strategy, execution and day-to-day engagement. Prior to Pointsbuild, Michael worked with Microsoft in consulting services.
Pointsbuild isthe leader in the delivery of professional development platforms, education and training and related services for all sectors of the building and construction industry. The company offers over 130 courses and delivers over 20,000 activities each year to more than 7,000 customers.
Webinar Recording: Where to Focus your IT Dollars for Maximum ROI
Thu, 12 Oct 2017 00:00:00 +1100
Where to Focus your IT Dollars for Maximum ROI
The ACIF webinar held on 29 September 2017 focused on the most important tool to improve productivity in today's building and construction industry: technology. New research shows which 15 processes can yield the best ROI when automated with technology.
The construction industry is known for facing uncertainty and managing competitive forces better than most. These mounting pressures result in an ever-growing need for collaboration, process efficiencies and improved decision making to, not only survive, but, succeed.
As you weigh future investments in technology, understanding where to focus your spending for the greatest ROI will ensure that you put money into tools that:
Help you create more efficient processes
Connect your teams, vendors, and subcontractors for better visibility and communication
Provide accurate, real-time data to enable better decision-making
Make you more competitive so you can win more bids and deliver more projects
Hobson & Company, a leading research firm focused on Return on Investment (ROI) studies, worked with Viewpoint, a leader in construction and collaboration software, to explore these challenges and learn how industry leaders are responding. In that process, they identified the 15 key construction work processes that yield the greatest ROI when fully automated. Join Maury Plumlee, Viewpoint’s Vice President of Global Marketing, for an exploration of the top areas to focus on for improvements in productivity, risk mitigation, and profitability.
About the Presenter
Maury Plumlee, Vice President of Global Marketing, Viewpoint Construction Software
Maury has been a member of the Viewpoint team for more than 35 years. He currently oversees Global Marketing, leading a high energy team that’s driven to promote Viewpoint’s unique brand story and help execute on the company’s goal of construction market leadership in all geographies served.
Prior, Maury had direct responsibility for North America sales of all Viewpoint product lines, including the company’s flagship product, Vista by Viewpoint. Maury led a team of 60 sales professionals and a growing network of business partners throughout North America and Australia.
Work-related injury and disease cost the Australian community $61.8 billion in a year, and National Safe Work Month is an opportunity to focus on reducing the cost of fatalities, disease, injury and illness in your business.
This October, commit to improving work health and safety by running a safety initiative in your workplace for National Safe Work Month. Safe Work Australia has resources and a campaign kit to help you do this – including activity ideas, posters, factsheets, statistics, flyers, videos and other campaign materials. >> Find out more here.
Cost of Injury and Illness Statistics
Safework Australia is an Australian government statutory body established in 2008 to develop national policy relating to WHS and workers’ compensation.
Jointly funded by the Commonwealth, state and territory governments through an Intergovernmental Agreement, they perform functions agreed annually by Ministers for Work Health and Safety. This includes research on the cost of unsafe work within the Australian workplace.
Work-related injuries, illnesses and deaths impose costs on employers, workers and the community. These include both direct costs and indirect costs:
Direct costs include items such as workers’ compensation premiums paid by employers or payments to injured or incapacitated workers from workers’ compensation jurisdictions.
Indirect costs include items such as lost productivity, loss of current and future earnings, lost potential output and the cost of providing social welfare programs for injured or incapacitated workers.
The level of costs borne by each economic agent varies with the severity of the injury or disease. While measures of direct costs are understood and reasonably simple to measure, these costs cover only a fraction of the total cost of work-related injury and disease.
Our report The Cost of Work-related Injury and Illness for Australian Employers, Workers and the Community: 2012–13 provides updated estimates of the cost of work-related injury and disease to the Australian economy, based on methodology developed by the National Occupational Health and Safety Commission in 2004.
In 2012–13, work-related injury and disease cost the Australian economy $61.8 billion, representing 4.1% of GDP.
The majority of the cost (95%) was borne by individuals and society.
Workers bore 77%, the community 18% and employers 5%.
Injuries accounted for $28 billion (45%) of the cost.
The ACIF Webinar held on 25 August looked at the big question for anyone working in the residential building sector: Where to now? Construction after the housing boom…
Cordell’s construction data suggests that the value of apartment and unit development applications across Australia peaked in September of 2015. Cordell estimated the combined value of residential construction applications at $22 billion. At this time, residential applications accounted for almost half of Australia’s construction pipeline.
Fast forward to the June 2017 quarter, and the value of residential development applications has fallen to just $8.9 billion. The number of ABS dwelling approvals has trended down to 2.8% in houses, and 26.2% in other dwellings in the year to June.
This ACIF Webinar featured Eliza Owen, CoreLogic Commercial Research Analyst, who explored the post-peak market for residential building. Applications for residential developments have fallen in recent months, and Eliza discussed the drivers for this change, as well as how this change affects the different sub-sectors for residential building. She outlined where the shift has been and where it is going to.
This ACIF Webinar pairs CoreLogic’s rigorous housing market data with Cordell construction figures. This provides attendees with an understanding of housing market performance, housing construction, and where future opportunities exist in the construction sector.
The Australian Prudential Regulation Authority (APRA) has introduced measures to limit exposure to residential developments, and limit lending to investors. In New South Wales, where investors comprised 46% of the mortgage market in May, increases to mortgage rates are likely to reduced demand for dwellings.
There is speculation that slowed demand for dwellings and institutional interventions from APRA will impact the value of construction work to be done across Australia. However, Cordell data indicates that residential building has a declining share in building applications. The value of the total Australian construction pipeline surged in the June 2017 quarter. Combined construction application values rose from $36.6 billion in March to $51 billion in June. Of this, just 17% of the value was made up of residential building applications.
About the Presenter - Eliza Owen
Eliza Owen joined CoreLogic with the acquisition of Residex in mid-2016. She graduated with a first class honours economics degree from the University of Sydney in 2014, while working as a researcher and writer on the residential housing market.
Her knowledge and experience of property research saw her appointed to the role of CoreLogic Commercial Research Analyst in January 2017. Eliza specialises in researching and reporting on commercial market trends, the construction sector and the interplay of these segments with broader economic factors.
Eliza has forged a name for herself in print media, television and radio, providing up-to-date commentary on commercial property using the expansive CoreLogic database. Eliza is also a proficient and popular keynote speaker on housing market matters. Eliza is also a member of the Construction Forecasting Council.
About CoreLogic
CoreLogic Australia is a wholly owned subsidiary of CoreLogic (NYSE:CLGX), which is the largest property data and analytics company in the world. CoreLogic provides property information, analytics and services across Australia, New Zealand and Asia, and recently expanded its service offering through the purchase of project activity and building cost information provider Cordell.
With Australia’s most comprehensive property databases, the company’s combined data offering is derived from public, contributory and proprietary sources and includes over 4.4 billion decision points spanning over three decades of collection, providing detailed coverage of property and other encumbrances such as tenancy, location, hazard risk and related performance information.
Advisory Board driving BIM benefits in construction projects
Tue, 22 Aug 2017 00:00:00 +1000
The new technologies and processes in Building Information Modelling (BIM) can lead to increased productivity and improved asset management across Australasia. As developments continue in the digital built environment, the BIM Advisory Board continues to provide a coordinated approach to development of BIM practices, standards and requirements through collaboration, education, innovation and simplification.
Leaders from government, industry and academia are partnering to provide leadership on the adoption of BIM and Project Team Integration (PTI). The Australasian BIM Advisory Board is linking industry leaders and expertise from government, industry and academia, and promoting best practice and consistent approaches to BIM practices, standards and requirements.
The Chair of the Board, Mr Michael Green said, “BIM adoption is on the rise and the Board believes that it will be business as usual in the foreseeable future”. “It’s estimated that Australia will spend around $207 billion on construction in 2016/17. By working together, government, industry and academia can maximise the value of BIM to deliver improved efficiencies and increased innovation in the management, design, construction and operational phases of a built asset.”
BIM resources to support construction projects
Mr Green said that the Board is focusing on three priority projects. “At our August meeting, the valuable work of the Board’s Technical Groups was given the ‘green light’ to further support the consistent approach to the adoption of BIM across jurisdictional boundaries.”
The first project, Exchange Information Requirements (Client specifications), will provide an essential foundation to assistance to the Australasian construction industry by creating a common framework and language for everyone involved in the construction process. The second project is to provide a National Framework for Intellectual Property for BIM, which will assist with education and collaboration across Australia. It will demystify and simplify what is required. The third project, Process Consistency in BIM, will identify and promote which BIM elements should be consistent across Australasia to ensure the optimisation of BIM benefits and therefore eliminate waste in construction practices.
A number of other projects are planned, including a common set of principles for BIM strategies across Government, and clarifying BIM roles and responsibilities.
The outputs from these projects will help the construction industry navigate through the new technologies and systems, to ensure that the benefits of BIM are realised in construction projects.
Collaborate on BIM and receive regular updates
To share ongoing information and resources, the BIM Advisory Board will be establishing a new website. It will provide information on best practice approaches, standards, tools, theories, and technologies, and help develop industry skills in BIM. In the meantime, if you want to share your insights on BIM, or if you’d like to receive ongoing articles about the development of BIM protocols and guidelines, please email the APCC (email: info@apcc.gov.au or info@acif.gov.au)
About the Australasian BIM Advisory Board
The BIM Advisory Board was established by the Australasian Procurement and Construction Council (APCC) and the Australian Construction Industry Forum (ACIF), together with the key standard-setting bodies, NATSPEC, buildingSMART and Standards Australia. The Board has evolved from a previous APCC–ACIF collaboration established in 2015 on a BIM Summit. This Summit produced a number of resources, including a guide to the adoption of BIM (see www.apcc.gov.au and www.acif.com.au).
Two recent Australian Government reports (SmartICT and Australian Infrastructure Report) recommended an integrated approach between government, industry and researchers for the development of BIM in Australia. As seen overseas, a coordinated approach delivers benefits. The UK Government identified that its BIM Level 2 Initiative was a significant contributor to the £840 million savings achieved on its public spend in 2013/14, and on its £1.2 billion savings in 2014/15.
Compliance isn't a dirty word - compliance and ongoing professional development is good for your business and our industry
As non-mining infrastructure projects have become a national priority, Australia is in an exciting phase of development. ACIF’s industry forecast released in May, forecasts turnover close to $80 billion for the construction sector. Equally, the residential building sector is projected to complete over 200,000 homes – the largest on record – resulting in an estimated turnover of $100 billion.[1]
With rapid expansion, the building and construction industry also faces a labyrinth of ongoing changes to regulation, new building materials and technology. Business owners and leaders now face the responsibility of ensuring their workforce are up-to-date with the ever-complex and changing regulations and new industry products and services... > Read the full article here
The unique peer review process that is behind the building and construction industry’s own 10 year forecasts, the ACIF Forecasts, has received a boost with the return of property expert Bruce Wan.
Bruce had previously been a member of the Construction Forecasting Council (CFC), contributing his expertise to reality test the data before release to the industry as the ACIF Forecasts. His recent appointment as Head of Property Research for RF Capital has provided him with the perfect opportunity to return to the CFC with increased depth of knowledge and commitment to analysing the prospects for the building and construction industry in Australia.
“After participating in the Construction Forecasting Council for several years, I have seen first-hand the exceptional value this Council provides to the construction industry and the investment community,” said Bruce.
“The standards of the forecasts are high, while the advisory panel of economists and industry specialists delivers excellent and timely insights into the state of the sector. Altogether, the Australian Construction Industry Forum continues to produce an indispensable product for anyone working or investing in the construction industry. I am very pleased to rejoin ACIF’s Construction Forecasting Council.”
CFC Chairman Adrian welcomed Bruce’s return to the CFC. “In the past, Bruce had made a notable contribution to the CFC, and we are thrilled to welcome him back. The property, investment and construction industry benefits from the contribution that Bruce and other members of the CFC make, contributing years of knowledge and well-honed instinct for market behaviour to the ACIF Forecasts.”
Members of the Construction Forecasting Council contribute their time in reviewing the macro economic drivers and construction market forecasts that become the ACIF Forecasts. This group of industry leading economists, researchers and analysts review the data and the assumptions presented by the ACIF Forecasts economics team, and add enormous value in not only the detailed review of the numbers but also often contribute specialist knowledge of behaviour from their section of the industry. The result is a robust set of forecasts for all sectors of building and construction that are reliable and relevant for the thousands of subscribers to the ACIF Forecasts.
New Education Partnership to Build Skills to Drive Excellence in Const
Thu, 20 Jul 2017 00:00:00 +1000
To build upon its work to drive improvement and excellence in the construction industry, the Australian Construction Industry Forum (ACIF) has today established its first-ever education partnership with online education and training company, Pointsbuild.
One area where education assists the construction industry is to reduce defective building work. According to recent research, five per cent of the value of residential building work in Australia each year is defective building work. In 2015-16, the estimated cost of rectifying defective building work was $3.3 billion.[1]
There are numerous additional benefits to the construction industry and clients in reducing defective building work, such as a reduction in the time and cost of resolving disputes, lower insurance costs, a more competitive and skilled industry, and increased consumer confidence. While some of these benefits, such as consumer confidence are immeasurable, it is estimated that the overall benefit of reduced defects and regulatory costs for finishing trades alone would be over $69 million annually.[2]
“Keeping current with training and understanding the latest building material and technical developments in the building and construction industry, is key to tackling these issues. We are pleased to partner with Pointsbuild as they have innovated education through technology to make it easier for both employers and individuals to manage their ongoing education needs,” said James Cameron, ACIF Executive Director.
Pointsbuild is an Australian Registered Training Organisation (RTO) and leader in the delivery of education, training, professional development and related consulting services for the building and construction industry. Pointsbuild offers an innovative online platform to deliver and manage continuing professional development, with over 130 courses.
Over their multi-year partnership, ACIF and Pointsbuild will seek to engage with many of the 1.1 million Australians working in building and construction, to show them how they can easily update or upgrade their skills for their trade or profession.
“Our industry is facing rapid change as new technologies, materials and regulation directly impact upon the delivery of the building projects. Understanding and applying the changes can be a burdensome task. We applaud ACIF for supporting its members. We’re excited to be the first education partner, and look forward to working with ACIF members and providing the necessary online training resources and tools,” said Michael Tomlinson, Pointsbuild Managing Director.
About Pointsbuild
Pointsbuild is the leading provider of online Continuing Professional Development (CPD) education and training services in Australia for builders, architects, engineers, certifiers and tradesmen. The company offers over 130 courses and delivers over 20,000 activities each year. Pointsbuild works with several state and federal agencies to provide the relevant courses and is also considered the preferred provider of CPD training by industry organisations, such as The Australian Institute of Architects, Association of Accredited Certifiers, Engineering Education Australia, The Swimming Pools & Spas Association and Bunnings Trade. www.pointsbuild.com.au
[1] Build Better: The Economic Benefits of Licensing Building and Construction Finishing Trade Contractors in Australia, January 2017.
[2] Build Better: The Economic Benefits of Licensing Building and Construction Finishing Trade Contractors in Australia, January 2017
Building Product Quality Focus Strengthened with New ACIF Member
Wed, 19 Jul 2017 00:00:00 +1000
Australian Construction Industry Forum (ACIF) is pleased to announce that the Australian Window Association (AWA) has joined as a member of ACIF. AWA joins leading associations and institutes that are working together to improve productivity and sustainability of the building and construction industry.
ACIF Members develop solutions to issues affecting the broadest cross section of the industry. As part of ACIF, AWA’s representatives will contribute to industry action on the key issues of product compliance and conformance. At a time when product quality and use has been highlighted by the tragic events of the Grenfell Tower fire in London, it is important to having strong leadership at ACIF from industry bodies committed to improvement in the safety in building products used by all Australians.
“We are pleased to welcome the Australian Window Association and its executive as they join us in the development of a whole of industry response to the significant concerns around product conformance and compliance, and other key industry issues,” said James Cameron, Executive Director of ACIF.
Tracey Gramlick, Chief Executive Officer of the Australian Window Association said, “Each building product contributes to a functional, sustainable and long lasting asset, and we are pleased to add our members’ strength to this important discussion as part of ACIF, as well as the many other industry initiatives and opportunities ACIF members work on.“
ACIF Members next meet in September, including the annual joint meeting with its government counterpart, Australasian Procurement and Construction Council (APCC), where industry and government leaders will work together to improve productivity and profitability of the building and construction industry in Australia.
About Australian Window Association
Australian Window Association (AWA) Membership comprises nearly 600 window manufacturers and industry suppliers throughout Australia. Members of the AWA offer products tested to Australian Standard AS2047, so users can be confident that products are made to withstand Australian conditions. Find out more about AWA at www.awa.org.au
The Australian Construction Industry Forum (ACIF) joins with other organisations from the Australian building and construction industry and from around the world in expressing our dismay at the tragic loss of life in the Grenfell Tower building fire catastrophe in London. Our thoughts are with those who have been affected by this devastating incident.
It is the opinion of ACIF that the appropriate processes and investigations must be undertaken and reports published before further comments are provided.
In 2014 Australia experienced a somewhat similar building fire incident at the Lacrosse building at Docklands, Melbourne, at which fortunately there was no loss of life or injury.
At present there is a Federal Parliamentary inquiry into non-conforming building products being used in the Australian building and construction industry. This inquiry should also inquire into the broader range of issues flowing from these and other overseas fire incidents including: codes and regulations, testing and approval of product design, selection, certification, construction and inspection of products as used, reporting, enforcement and appropriate consequences of non-compliance within the building process. Of importance too is the dissemination of information and the education of all building and design practitioners in the interpretation of the Building Code of Australia and the use of product.
Australian governments, regulators and the construction industry should continue to cooperate and be vigilant to prevent similar tragedies occurring in Australia in the future; there should be no room for complacency on this issue.
Its almost the end of the financial year, and ACIF has a special offer for businesses
ACIF Forecasts are the most comprehensive building and construction industry forecasts, spanning 20 years and 20 types of work plus much more. Until midnight 30 June 2017, enjoy 10% off the ACIF Forecasts when you buy a copy of the Australian Construction Market Report or subscribe to the Customised Forecasts Dashboard.
Receive the tax benefits sooner for your business to have the latest industry intelligence - use the code EOYFS17 at the checkout on the ACIF website.
90+ page report with detailed commentary, data and charts on the economic drivers for our industry, and 10 year forecasts for residential building, non-residential building and engineering construction. >> Click here to purchase
Full access to ACIF Forecasts data. Subscribers can tailor forecasts for their business type and location, on the upcoming work demand, labour requirements, outlook for construction costs and more. >> Click here to subscribe
ALL information for the ACIF Forecasts May 2017 release. This new package includes the Australian Construction Market Report May 2017 plus subscription to Customised Forecasts Dashboard for the full database of the May 2017 ACIF Forecasts. >> Click here to subscribe for instant access to Dashboard and Report
Australian Construction Industry Forum (ACIF), the peak consultative body for the Australian building and construction industry, has welcomed a new Chair at its recent Annual General Meeting.
Norman Faifer, immediate past president of Australian Institute of Building, was warmly welcomed to his new position by ACIF Members. Norman brings to the role a wealth of experience and broad range of skills, having achieved much in his 40+ year career in building and construction.
Norman’s unique mix of skill sees him a great choice as Chair for the meeting place of the trades and professions that work together to build important assets from homes to bridges and hospitals. Norman’s career began as a builder, and he has built upon his skills with qualifications from related professions including quantity surveying. He currently consults widely in the industry as a building consultant, superintendent, assessor and certifier. He also appears in tribunals and courts as an expert witness in building and construction matters.
As a Fellow of each of Australian Institute of Building, Australian Institute of Quantity Surveyors, Institute of Arbitrators and Mediators Australia and the Resolution Institute, Norman is well positioned to moderate the dynamic and sometimes challenging debate between the various partners in the asset development process, from architects to builders, trades and prefabrication manufacturers.
“Our industry is undergoing significant change, with international and domestic market forces as well as technology and process change demanding new approaches from all of us,” said Mr Faifer. “I look forward to working with ACIF Members as well as government and industry partners to continue to improve the productivity, safety and profitability of our industry.”
Executive Director of ACIF, James Cameron said, “As a representative to ACIF over a number of years, Norman has demonstrated his broad experience and deep understanding of the industry and the relationships between different parties. Now as Chair of ACIF, Norman is well positioned to use this experience to benefit the 1.1 million people working in our industry, and the rest of Australia that utilises the assets our industry creates.”
Outgoing Chair of ACIF, Ian Pedersen, was thanked and his efforts recognised by ACIF Members of at the Annual General Meeting, for his leadership over the past two years as Chair, and over 10 years as Director.
The recent release of ACIF Forecasts May 2017 showed that the value of aggregate construction work done peaked at $248 billion in 2013-14, reflecting the influence of the investment phase in the mining boom. The total value of work for 2016-17 is forecasted to be $215 billion, which is an aggregate level not seen since 2011.
The synchronised double dip due to the downturn in mining and housing booms will push the value of work done in aggregate construction down further to $194 billion by 2019-20.
The dominant sector Residential Building saw growth of 10.5% in 2015-16, lifting the value of work done to $95 billion. However leading indicators show that growth has peaked. Growth in Residential Building at large is projected to fall to 4% this year (2016-17) and then activity will contract by a total of 16% over the three years to 2018-19. The sub-category most affected will be New Other Residential which is apartments and townhouses.
A raft of policy measures have been implemented to reduce demand for housing, which has already raised interest rates for investors and reduced house prices in key markets. These include closer supervision of foreign buyers and more stringent prudential supervision on mortgage lending.
The Australian Government’s 2017 Budget provided many measures designed to tackle problems with housing affordability. These will take some time to flow through to actual Residential Building activity and it is likely that they will provide a lift in supply and assist in funding demand for more affordable housing from 2017-18, just when the Residential Building activity would otherwise be entering its expected downturn in earnest. It is too early to say in this set of ACIF Forecasts how much this will change the projections.
Several ACIF Member organisations have commenced a program whereby members of their own association or institute can enjoy free access to the ACIF Forecasts, to aid their business planning.
Beyond the ten year forecasts across residential building, commercial and industrial work and engineering construction, the Australian Construction Market Report also includes articles and information from property and construction industry leaders.
Featured contributors include quantity surveyors Rider Levett Bucknall (RLB), a long term contributor to the Australian Construction Market Reports since they were first published in 2012. In the May 2017 report, RLB has contributed a wealth of information including the Tender Price Index and the Crane Index, as well as information on anticipated construction costs in nine locations around Australia.
CoreLogic is the largest provider of property information, analytics and property-related risk management services in Australia and New Zealand. CoreLogic is also the new parent company of Cordell, which has provided major project data to the ACIF Forecasts for over a decade. In this edition, CoreLogic explores the development hot spots across Australia, and the impact of projects on the future of cities.
Also looking forward is another contributor, Adrian Harrington, Head of Funds Management for Folkestone. In this edition, Adrian analyses population projects and what it means for Australia’s infrastructure planning. “Its time to get it right…”, he says, and outlines how planning for Melbourne and Sydney is not keeping pace with strong population growth, and what that means for the future.
Despite insufficient work planned, there still is a lot of infrastructure work forecast to be done. In this edition, Andrew Scott, Basic Materials and Industrials Analyst for RBC Capital Markets explores the infrastructure boom that is “finally” happening. Andrew’s analysis explores the increasing level of work to be done, and the positive trajectory ahead for this sector.
Closer to home – literally – is a report by Shane Garrett from Housing Industry Association, on “Will home renovations spark the next boom?”. The importance of Australia’s home renovations market is often overlooked. However, during 2016, renovations work done on homes is estimated to have totalled around $33.06 billion, an increase of 2.7% on the previous year. This is not a sub-sector to be ignored, and Shane’s analysis of the work likely to be most popular in this area will be of great interest to businesses serving this market.
ACIF thanks our valued contributors for their invaluable information.
90+ page report with detailed commentary, data and charts on the economic drivers for our industry, and 10 year forecasts for residential building, non-residential building and engineering construction. Reports are released in May and November each year. >> Click here to purchase
Full access to ACIF Forecasts data. Subscribers can tailor forecasts for their business type and location, on the upcoming work demand, labour requirements, outlook for construction costs and more.>> Click here to subscribe
ALL information for the ACIF Forecasts May 2017 release. This new package includes the Australian Construction Market Report May 2017 plus subscription to Customised Forecasts Dashboard for the full database of the May 2017 ACIF Forecasts.>> Click here to subscribe and get the Report
ALL information for the ACIF Forecasts: the Australian Construction Market Reports released during your subscription plus access to Customised Forecasts Dashboard for the full database.>> Click here to subscribe and get the Report
Double Dip Downturn in the Australian Construction Market
Thu, 11 May 2017 00:00:00 +1000
The latest industry forecasts released today by Australian Construction Industry Forum (ACIF), the peak consultative body for building and construction, show this important industry for employment is moving quickly through two peaks in activity with a less fevered period of activity coming.
The ACIF Forecasts for May 2017show that Engineering Construction is midway through a sharp downslide. Demand in the sector that includes mining-related construction, plus roads, rail and other large infrastructure is coming off a record-breaking peak driven by the mining development boom to take second position behind Residential Building. Residential Building is in the middle of its own boom. This has pushed growth beyond the housing fundamentals and a downturn is on its way.
“Synchronisation of the dominant cycles in the construction market is clear when you look at the change in work done,” said Kerry Barwise, Head Forecaster for ACIF. “Growth in Engineering Construction spiked in 2012-13, about the same time that Residential Building bottomed out. The ACIF Forecasts for May 2017 show growth in Residential Building will peak this year (2016-17), close to the time when Engineering Construction is reaching is lowest point in contraction.”
There is still a lot of work in hand in most sectors of the Australian construction market.
The Engineering Construction sector is still going strong, and in 2016-17 is forecast to turnover close to $80 billion. There are still a number of large Infrastructure projects that are under development such as the development of the NBN or where plans are reaching an advanced stage including major road projects and new tramways/light rail projects.
The boom in Residential Building will lift the value of work done to $100 billion over this year, completing 220,000 homes, the largest number on record.
Non-Residential Building activity declined in 2015-16 to arrive at $36 billion in line with economic statistics showing soft non-mining business investment. Soft business investment conditions are expected to carry over into a further decline in Non-Residential Building activity in 2016-17 and 2017-18. In practice, Non-Residential Building activity is made up of a broad mix of activities and the drivers of investment differ by sub-category and the outlook for each sub-sector, including those of Offices, Education and Retail/Wholesale Trade, need to be considered carefully.
“The Federal Budget clearly has put infrastructure spending as a key priority. As the ACIF Forecasts show, the engineering sector continues to decline from the record highs of the mining boom and residential building is close to peaking,” said Adrian Harrington, Chair of ACIF’s Construction Forecasting Council which oversees the production of the ACIF Forecasts.
“The Federal Government clearly recognises that quality infrastructure is critical to ensure our cities and regions continue to grow and the significant role the construction sector plays in driving employment and productivity growth.
"As an industry not-for-profit, ACIF produces this information to assist businesses and governments at all three levels navigate the rapidly changing marketplace and help them plan for the future."
The Australian Government Budget 2017-18 is likely to assist in moderating the dual cycles that are bearing down on building and construction activity. Measures such as the establishment of the National Housing Finance and Investment Corporation and the First Home Super Saving Scheme are expected to support more affordable housing provision cutting in right when the ACIF Forecasts view that Residential Building will need some uplift. The $75 billion funding commitment in infrastructure investment over the 10 years to 2027 will be spread over all of the states and over the key infrastructure categories. Some of the activities mentioned in the budget are already listed in the ACIF Major Projects database. It is too early to say where the Budget measures are adding to forecast construction amounts, or adding certainty and funding to projects that have already been included in the May 2017 ACIF Forecasts.
ACIF Forecasts: 'Hot and Cold' Chart Shows Changes
Wed, 19 Apr 2017 00:00:00 +1000
The ACIF Forecasts team are currently finalising the May 2017 industry forecasts for the building and construction sector in Australia. Already it is clear that the market is rapidly changing so it’s more important than ever to know what changes that are coming, and which types of work will be most affected.
More than 1040 additional projects have been added to the ACIF Major Projects list supplied by Cordell Information, which illustrates the rate of change happening in the industry. In New South Wales alone, there are 312 additional projects reported since November 2016, of which 219 are major residential sector projects.
The changes brought by these and other domestic and international factors are reflected in the ‘hot and cold’ chart provided in the Australian Construction Market Report. This chart (see below, from November 2016) shows the differences since the last ACIF Forecasts in November 2016, by sub-sector.
In the May 2017 ACIF Forecasts, it appears that the Residential Building section is going to be awash with green, indicating the number of work types now set for an increase over the next five years. The darker the green, the stronger the increase and there are several cells in that table so dark that it’s hard to read.
However, the Non-Residential Building sector has a more pastel palette, mainly soft reds, indicating a slight contraction. Half of the Non-Residential work types, including Educational, Industrial and Office, are set to enjoy a mild increase as indicated by the pale green pallor in the cells showing the outlook for the next few years.
The Engineering Construction sector is not as red as some people may have expected. As past editions of the ACIF Forecasts have explained, the expected cliff fall in this sector, as the mining construction boom ended, has been arrested with increases in work in other sub-sectors such that has kept the overall outlook for Engineering Construction positive. There is one work type that is expecting a far sharper decline than any other in the sector. However, there are a number including Heavy Industry Including Mining that are marked as green, indicating growth.
The ACIF Forecasts are produced by industry-leading forecasters with the unique oversight of the Construction Forecasting Council, a panel of economists and industry researchers whose in-depth knowledge of the Australian economy and the building and construction sector specifically adds invaluable insight into the ACIF Forecasts. The ACIF Forecasts have been produced as an industry service since 2002, and have demonstrated reliability and relevance for businesses large and small.
ACIF Forecasts Presented Live - LIMITED SEATS
The ACIF Forecasts May 2017 will be launched at an industry breakfast on Thursday 4 May 2017 at the International Convention Centre in Sydney, co-located with industry events DesignBuild Expo, National Architecture Conference, Fire Australia and Planning Institute of Australia Conference. There are limited seats for this event. >> Register online for the ACIF Briefing here
ACIF Forecasts are available in two formats:
Australian Construction Market Report, an 80+ page report with in-depth commentary, charts and tables of data. Macro and domestic economic analysis as well as forecasts for employment, interest rates and population. Construction market analysis at national and state level, for residential, non-residential building and engineering construction sectors. >> Purchase the May 2017 Australian Construction Market Report here
New experts have been welcomed to the group of economic specialists behind the building and construction industry’s most comprehensive forecasts, the ACIF Forecasts.
Australian Construction Industry Forum (ACIF) has published industry forecasts since 2002, which includes a unique peer-review process by a group of leading researchers and economists, known as the Construction Forecasting Council. The range and depth of experience of the members of the Council means that the information behind the ACIF Forecasts is wide in scope and includes detailed market insights, which are incorporated into the ten-year forecasts for residential and commercial building, and engineering construction.
The Construction Forecasting Council welcomes three new experts to its impressive list of members:
Andrew Scott, Basic Materials and Industrial Analyst for RBC Capital Markets; and
Mike O’Shea, leading Quantity Surveyor and Associate Director, MBM
They join peers from allied industries including commercial property management, construction cost analysis, property development and management, as well as investment managers. Members each bring expertise from different sectors and contribute to this non-profit industry service, which makes available high-quality market analysis that helps businesses of all types and sizes plan to thrive, or prepare to survive.
“The Construction Forecasting Council is unique in that it’s a ‘brains trust’ of economists with specialist knowledge of the state of the market for building and construction and the economic activity that drives it,” said Construction Forecasting Council Chair Adrian Harrington.
“The depth and diversity of expertise of Construction Forecasting Council members adds great value to the ACIF Forecasts. We are pleased to welcome Nerida, Andrew and Mike, and look forward to hearing their voice in the robust discussions on the state of the market and what will happen next,” he said.
On joining the Construction Forecasting Council, Nerida Conisbee said, “The building and construction sector is vital in maintaining housing affordability in Australia and delivering the best outcomes to maintain our high standard of living. It is an honour to be part of the ACIF’s Construction Forecasting Council.“
Andrew Scott said, “One of the biggest drivers of capital in Australia is the building and construction industry, and this sector plays an important role in the ongoing financial stability of our nation. I am pleased to contribute to the ACIF Forecasts as market intelligence to help businesses as producers and employers in our economy.”
“With the introduction of new technology and increasing population, demand for construction activity is always changing and growing,” said Mike O’Shea. “The nature of construction work is set for a step change in the next 20 years and the large-scale infrastructure projects will change the shape of cities and careful strategic thinking is needed to navigate the changes. How can I possibly miss this opportunity? I am extremely proud and excited to contribute to the ACIF Forecasts and to be associated with the construction industry and the new surprises it is bringing in.”
ACIF Forecasts will be launched at the ACIF Briefing industry breakfast on Thursday 4 May 2017 in Sydney before full release to the building and construction industry the following week. Registration for the ACIF Briefing is available online here: https://www.acif.com.au/events/event/acif-briefing-may-2017 . More information about the ACIF Forecasts is here: www.acif.com.au/forecasts.
About Nerida Conisbee
Nerida Conisbee is the Chief Economist for REA Group and one of Australia’s leading property market experts. Nerida has more than 20 years of property research experience throughout Asia Pacific and she has held senior positions within commercial agencies and major consulting firms during this time. Her experience covers residential and commercial property from both an investor and occupier’s perspective. Nerida appears every Saturday on SkyNews Real Estate program, writes a fortnightly column for The Australian covering off real estate issues impacting Australia and is the property commentator for Eureka Report. Nerida presents on property market conditions to investors, occupiers and industry groups and is also an adviser on property market conditions to major Government bodies. She has been listed in the “Who’s Who of Australian Women” since its inaugural issue.
About Andrew Scott
Andrew Scott is the Basic Materials and Industrials Analyst for RBC Capital Markets, with over a decade of experience as an equity analyst following listed Australian companies in the Building Materials and broader Industrials sectors. As part of this work Andrew has been a keen observer of trends in the Australian construction sectors, including conducting a regular survey of a number of Australia’s largest homebuilders. Andrew joined RBC in July 2015 as a Director with primary responsibility for RBC’s coverage of Australian building materials, chemicals and other industrial companies. Prior to joining RBC, Andrew worked as a Basic Materials Analyst with a range of domestic and international investment banks and in 2011 was rated as the #1 building materials analyst in the 2010 SMH East Coles survey and lead the Number 3 ranked team in the 2013 Peter Lee survey.
About Mike O’Shea
Mike O’Shea is an Associate Director of MBM and leads Infrastructure projects on a national basis. Mike is a Chartered Quantity Surveyor (RICS), Certified Quantity Surveyor (AIQS) and a Senior Commercial and Risk Manager and is one of MBM’s most senior people. Mike has been a director and principal for over 25 years and has over 35 years’ practical experience in cost estimating/planning, contract management, risk management and project controls of capital works and maintenance.
Mike has provided both commercial/contract and risk services on a range of engineering and infrastructure projects including rail, oil and gas and mining and managed teams of cost/contract managers/engineers during the post contract phase of projects.
DesignBuild Expo delegates will get a unique perspective of the current state of our industry but also receive unprecedented access to this brand new venue, including an exclusive behind-the-scene venue tour.
DesignBUILD will be the first building and architectural event to be held at Sydney’s 1.5 billion International Convention Centre designed by HASSELL and Populous and the keynote speaker has been confirmed as Michael Lockwood, the Global Design Director at Populous’ Convention Center practice.
Delegates who register early for DesignBUILD also have the opportunity to register for a free tour of the ICC - limited spots available. ACIF is also able to offer a discount code for 20% off the DesignBUILD speaker series - see link and the code here: www.acif.com.au/events/event/designbuild-expo
DesignBUILD is co-located with the launch of the ACIF Forecasts at the ACIF Briefing, and for the first time, DesignBUILD will co-locate with long-term partner, the Australian Institute of Architecture’s National Conference. The event will also welcome first time partner, the Planning Institute of Australia, who will also be co-locating their own National Conference, creating an architectural and planning hub at the new International Convention Centre (ICC), Sydney.
DesignBUILD 2017 will see the Sydney launch of DesignBUILD RAW an exciting initiative to showcase the very best of emerging talent, run in partnership with the University of New South Wales, University of Sydney and the University of Technology Sydney. Students will be invited to design the two speaker theatres and the incubator pavilion. Rachel Couper from Sydney University’s Innovation in Applied Design lab said “The forum provides a fantastic opportunity to engage industry and enhance our student’s understanding of the design process through a realised project.”
In addition to Michael Lockwood’s keynote address, the DesignBUILD speaker series will also include lead architects on the ICC project, Paul Foskett and Graeme Spencer, plus a range of industry speakers across various disciplines.
The new expert panel has been announced for upcoming ACIF Briefing, where we will launch the May 2017 ACIF Forecasts.
After a networking breakfast and presentation of the May 2017 ACIF Forecasts by Head Forecaster Kerry Barwise, our expert panel will give their response to the outlook for residential building, non-residential building and engineering construction for the next ten years. They will also discuss the big issues facing the industry, including how international factors affect demand for property in Australia - such as the new US President Donald Trump, and changing economic policies in China.
Special guests for the ACIF Briefing include:
Adrian Harrington - Chair of the Construction Forecasting Council, Head of Funds Management, Folkstone
Chris Kakoufas - General Manager, Development, Cbus Property
Cameron Kusher - Head of Research - Australia, CoreLogic
Andrew Scott - Basic Materials and Industrials Analyst, RBC Capital Markets
Anneke Thompson - National Director - Research, Colliers International
BIM has the potential to revolutionise the Australian construction sector and is transforming the process by which buildings and infrastructure are designed, constructed and maintained.
The Framework is a critical part of the construction sector’s approach to improvement. It is a Framework of principles, practices, and outcomes with which to build an education curriculum, professional development and business BIM requirements.
ACIF Chair, Ian Pedersen, said that the APCC and ACIF membership represents a significant section of the building and construction industry. As the Strategic Forum for the Building and Construction Sector, APCC and ACIF together take a ‘whole of industry’ approach to facilitating positive change and encouraging greater productivity improvements in the industry.
“The Framework highlights the importance of having consistent skills and education relevant to BIM across the construction sector”, said Mr Pedersen.
APCC Executive Director, Teresa Scott, said that this Framework allows Australian businesses and educators to pay attention to BIM, with an eye to improving quality in project delivery and improve productivity.
“When the building and construction sector flourishes, so does the economy. That is why it is critical that industry and governments create the conditions that will make our industry competitive and more productive,” said Ms Scott.
The positive impact that efficiency improvements can have on the competitiveness of the building and construction industry are considerable. With an estimated construction spend in Australia of $207 billion in 2016-17 and a typical waste of effort reported at 30%, it is critical that efficient and effective processes are utilised. For example, a conservative 5% productivity improvement (in the 30% waste) driven by BIM would result in a $3.1 billion savings each year.
Given the benefits of BIM to the construction sector, a Knowledge and Skills Framework is necessary to ensure that Australia harnesses BIM’s potential and strategically engages and applies this new technology in a consistent manner.
The joint initiative between APCC and ACIF will assist the sector to optimise BIM technology, ensuring that expertise is shared across the industry in a consistent manner. The Framework is a critical element in the construction sector’s approach to improvement and is the guide to establishing a national standard for BIM knowledge and skills.
Australian Construction Industry Forum (ACIF) is pleased to welcome PrefabAUS as an ACIF Member, bringing to the industry table one of the newest and fastest growing sectors in building and construction – prefabrication.
As ACIF is the peak consultative body for trades and disciplines from across the industry, this is the right time and place for this emerging discipline to integrate with industry peers.
“Prefabrication is bringing a fresh approach to our industry, one that will help improve productivity, profitability and sustainability that will benefit all stakeholders,” said James Cameron, Executive Director of ACIF.
“PrefabAUS members utilise technology and collaborative work practices to innovate in the design and manufacturing, which will contribute to better results for clients, as well as safer and easier build projects for the over one million Australians involved in the construction industry.”
As Australia’s peak body for prefabrication and off-site construction, PrefabAUS exists to represent, showcase and advance Australia’s prefabricated building industry through collaboration, innovation and education.
In its first five years, PrefabAUS has enjoyed strong membership growth and excellent support from the emerging offsite construction industry, including architects, builders, engineers and other technical consultants, to manufacturers and others interested in this new approach.
On joining ACIF, Chief Executive Officer for PrefabAUS, Warren McGregor, said, “We are enthusiastic about joining ACIF, and hope to be able to make meaningful contribution to this important forum.
“We see this as a great opportunity to work closely with our industry peers at a strategic level, and to promote understanding of the benefits of off-site construction in transforming our approach to the built environment.”
About PrefabAUS
Established in 2013 (some 30 years after the US counterpart, the Modular Building Institute), PrefabAUS has enjoyed strong membership growth and excellent support from our emerging offsite construction industry.
As shown in the chart at left, PrefabAUS membership includes a cross section of the construction industry; architects, builders, engineers and other technical consultants, manufacturers of prefabricated buildings and modules, flat packs, bathroom pods and sub-assemblies, component suppliers, project managers, client organisations, allied Industry associations, government agencies as well as the academic/research community.
The 2016 PrefabAUS annual conference took place in Sydney in October. This three day event started with a whole day of site visits followed by two days of conference presentations was attended by over 220 delegates, representing a very strong groundswell of interest.
The 4th annual PrefabAUS conference in 2017 will be in Melbourne: Monday 11 September (Site Visits) and Tuesday 12 and Wednesday 13 September for the Conference formal program.
Built Offsite - The 2016 Conference also marked the launch of Built Offsite, a new bi-monthly magazine dedicated to offsite construction and expertly produced by Boston Publishing. The inaugural and second editions are available in digital format at www.prefabaus.org.au/, with the third edition about to be released.
In December 2016 PrefabAUS co-hosted the pre-launch event for the Modular Construction Code, the first of its kind in the world. Developed by the Modular Construction Codes Board (MCCB), it is a collaborative research project with Monash University, jointly funded by the Victorian Government and private industry.
The aim of the Code is to provide guidance to the industry on the design and construction of modular structures by consolidating leading-edge experience and knowledge of advances in modular manufacturing and construction for improving safety, productivity and quality in industrial practices. This Code seeks to provide integrated solutions and experiences to industry, government and the wider community. Additional information about the Codes Board is available at www.prefabaus.org.au/mccb/
PrefabAUS Sweden Study Tour
Sweden is the leading exponent of panelised building systems, with around 80% of its houses being factory-built to reap the construction time, quality and labour efficiency advantages. This study tour program has been designed to showcase panel systems for detached and apartment (mid-rise) construction and features unparalleled access to factories, projects and industry experts (presentations and technical discussions). PrefabAUS is arranging a study tour departing Australia the evening of Friday 5 May and arriving back in Australia the evening of Saturday 13 May.
Study tour delegates will experience a selection of Swedish prefabricated housing manufacturers from manually produced elements using ‘butterfly tables’ with very low capital investment through to firms utilising highly automated high volume production lines. Beyond the manufacturing processes involved, the program will also consider the initiation, design, marketing and delivery of panel system projects.
Registrations are open now for the annual ACIF Briefing, where we will launch the May 2017 ACIF Forecasts for the building and construction industry, outlining the prospects and challenges ahead for residential building, commercial building and engineering construction sectors for the next 10 years.
Register for this event to see the live presentation of the ACIF Forecasts followed by a dynamic panel discussion by industry leaders; enjoy a delicious networking breakfast; receive a PDF copy of the new Australian Construction Market Report as it is released (value $250) plus early VIP entrance to DesignBuild Expo (immediately after the Briefing, located opposite this event). >> Click here to register now.
For those who can't wait until May, the current ACIF Forecasts are available NOW as:
Advisory Board to lead the direction of BIM in Australasia
Mon, 23 Jan 2017 00:00:00 +1100
The Australasian Procurement and Construction Council (APCC) and Australian Construction Industry Forum (ACIF) recently hosted the inaugural meeting of the Australasian Building Information Modelling Advisory Board.
The Advisory Board has been established by the APCC and ACIF, together with the key standard setting bodies NATSPEC, buildingSMART and Standards Australia.
In a first for the Australasian building sector, government, industry and academia are partnering to provide national leadership to improve productivity and project outcomes through the adoption of Project Team Integration (PTI) and Building Information Modelling (BIM).
The Executive Director, APCC, Teresa Scott, said the first meeting of the Advisory Board was timely and essential to maximising the benefits of PTI and BIM.
“Essentially, we have identified the critical need for national leadership and coordination of developments occurring in the digital built environment. The Advisory Board will focus on education, innovation and simplifying BIM requirements.
“The Advisory Board consists of key players who are leaders in their respective fields, including private sector BIM experts, educational institutions, government (federal agencies, state and local) and relevant industry bodies, both public and private.”
“With an estimated construction spend in Australia of $207 billion in 2016-17 it is critical that efficient and effective processes and tools are utilised. Improved productivity driven by BIM is critical to Australia’s growth and the economy.”
Together with the APCC, Australian Construction Industry Forum (ACIF) have produced a series of publications, establishing PTI and BIM fundamentals.
“For many years now, the alliance between ACIF and APCC has provided guidance surrounding the adoption of PTI and BIM. However, we have now taken it to the next level by establishing the Advisory Board to ensure that future approaches are consistent and able to simplify our increasing dependence on digital technology,” said ACIF Chair Ian Pedersen.
“The combined membership of the Advisory Board is acutely aware of the need for optimal delivery of outcomes that eliminate waste, maximise end user benefits and increase the productivity of the Australasian economies.
“The members of the Advisory Board recognise that, without central principal coordination, there is a significant risk of wasted and duplicated effort, fragmented development of protocols and guidelines, and inconsistent approaches, all of which leads to inefficiency across Australasia,” said Mr Pedersen.
The Australasian BIM Advisory Board will continue to meet throughout 2017 to provide PTI and BIM advice and – through this leading-edge partnership – drive a coordinated approach.
As a new era begins in the US, we are all thinking about what it means for Australia and the building and construction industry. A recent ACIF Webinar had some important insights from Investment Strategy team at Cbus Super, and some highlight clips are below.
In an Australian Construction Industry Forum (ACIF) Webinar on 25 Nov 2016, Kristian Fok, Executive Manager Investment Strategy and Tim Ridley, Investment Manager Strategy from Cbus Super discussed the current challenges, upcoming events and triggers that could have a global economic impact and the latest global thoughts on investment management, including:
The US election result – a major disruption to markets or good for growth?
While markets and political commentators were expecting Hillary Clinton to win the US election, the world now has to assess the implications of President Trump.
In the webinar, Kristian and Tim will share insights on where the US economy and markets may be heading and the implications for Australia and the rest of the world.
This is a unique opportunity to listen to the types of issues that the investment team are considering when deciding how to position Cbus’ investment portfolio.
Report: Australian Construction Industry Hungry for Digital Disruption
Wed, 07 Dec 2016 00:00:00 +1100
The construction industry is ready to embrace change and deploy new technologies – but there’s still a long way to go to reap the full benefits of innovation, according to research released by Australian fintech startup - and ACIF Partner - Progressclaim.com. And as an ACIF subscriber, you can get a copy free.
Supported by the Australian Construction Industry Forum (ACIF), ‘The Construction Industry Innovation & Productivity Report 2016’, surveyed more than 200 industry leaders and workers in construction and related fields and showed that 9/10 respondents believe it’s valuable to stay up to date with the latest technology in the workplace, and 9/10 agreed that increased productivity was a primary benefit of implementing new technologies.
But despite most feeling it’s important to work in a progressive and innovative organisation (82%), less than half of those surveyed (37%) believe their industry is an early adopter of new tech-focussed solutions.
In fact, a staggering number of respondents felt their workplace was not at all, or only slightly, advanced in their uptake of different technology types, with standout areas of concern including: drone technology (78%), 3D printing (77%) and BIM technology (54%) – all of which are poised to revolutionise the industry.
Even in areas such as IoT (the Internet of Things), desktop software and cloud technology, where respondents showed the most trust in their workplace’s abilities, the results were still low, with barely half indicating their workplace was somewhat advanced – 51%, 46% and 45%, respectively.
So, why the disparity between what the industry recognises as beneficial and what digital tools are actually on offer in the workplace?
Founder of Progressclaim.com and former construction CFO, Lincoln Easton said the findings revealed the issue doesn’t lie in convincing people about the value of technology, but can be attributed more to an absence of Big Picture vision.
“Increased productivity (90%), enhanced competitiveness (85%) and less time wastage (77%) ranked as the top three benefits of new technologies – but, as an industry, we are lacking long term vision, resources and expertise to roll out new solutions.
“A project-focussed approach, rather than long term thinking, is breeding a stagnant culture that’s stifling progression at pace or scale.
“Given the size and value of our industry, the potential for growth, if we harness suitable and sustainable technologies, is enormous. We must dismantle our perceptions of how technology fits in our workplace – and understanding the hurdles we face is the first step.
The findings uncovered key hurdles to be: a lack of expertise and resources that can be dedicated to manage the implementation (50%), a lack of standardisation across the industry (50%) and a reluctance to change current processes (39%).
“Our industry needs to understand where it sits on the journey to truly embracing and deploying new technologies, so we conducted this research with the aim of setting a benchmark and tracking progression in the future.
“While the hearts and minds of our industry are sold on innovation, these feelings aren’t yet translating through to action and change, which needs to be driven from the top down – it’s time for leaders in the construction industry to radically re-think attitudes and breakdown the hurdles to change.”
Sometimes, its just best to hear it from the author.
Below you can watch a series of short videos on what is happening in building and construction over the next ten years, as presented in the ACIF Forecasts for November 2016 - straight from the Head Forecaster Kerry Barwise.
Today, after several days of debate, the Senate passed the legislation to re-establish the Australian Building & Construction Commission (ABCC).
James Cameron, Australian Construction Industry Forum (ACIF) Executive Director stated, "ACIF welcomes the passage of the Australian Building & Construction Commission (ABCC) legislation through the Senate today. This is a terrific result for the Australian construction industry."
"We commend the cross-bench Senators for supporting this legislation and the improvements in productivity that it will bring. A very positive way to end 2016."
ACIF calls for the reintroduction of the ABCC and all of the industry-specific laws previously administered by the ABCC. The application of these laws will ensure an upsurge in labour productivity in the sector which must be an essential part of the effort to ensure an industry level productivity boost. ACIF also calls on Federal and State Governments to align their procurement policies so far as these regulate workplace relations.
From 1 October 2005, following the passage of the Building and Construction Industry Improvement Act 2005 (Cth) (BCII Act), which created the Australian Building and Construction Commission (ABCC), the building and construction industry enjoyed a period of significantly improved industrial relations and increased productivity in which industrial relations was not the predominant and negative influence that it had been in the past. That change benefited all parties in the industry, including workers. Equally importantly, it benefited the Australian economy and the community. This regime should be re-installed because since June 2012 a weaker agency administering the Fair Work Act has been in place and the powers of that agency as well as the flaws in the Fair Work Act have seen an upsurge in industrial activity and the partial return of the climate of fear and intimidation that has regrettably dogged the industry for decades.
ACIF also calls on Federal and State Governments to align their procurement policies so far as these regulate workplace relations. At present, there are conflicting regimes of government procurement policies which contain potentially conflicting provisions. The greater disciplines imposed by, for example, the Victorian Code of Practice for the Building and Construction Industry and the related Implementation Guidelines should be consistently applied in all jurisdictions. This step would assist the task of building and construction industry workplace reform, as the ABCC would oversee the application of the disciplines imposed.
Construction activity was stronger than forecast over last year. The boom in Residential Building was stronger than forecast. Last financial year, 201,000 dwellings were built in Australia well above the trend level of activity of around 160,000 to 180,000 and well above the previous record high. Engineering Construction was also higher than forecast last year and revisions in the ABS data for previous years raised the peak of mining boom activity.
In aggregate, building and construction activity continues its downtrend. Building and construction activity equalled 16% of GDP at the height of the mining boom in 2012-13 and is projected to fall to 12% of GDP and $207 billion over this year (FY2017).
The biggest changes in these forecasts is that the cycles for different building and construction activities have increased. The activity peaks are getting higher and the troughs are getting lower, so the swings are more dramatic. The outlook and circumstances for each type of building and construction activity and for the national, state and regional is quite different. All of this makes it tricky for business planning.
Residential Building work is teetering at the top of a dramatic upturn. Building Work in an enlarged construction pipeline will drive a further increase of 5% to $94 billion this year (FY2017) setting a new record highpoint.
The upturn has been driven by extraordinary growth in New Other Residential(Apartments and Townhouses) that surged by 26% last year on top of 45% growth over the previous 3 years. There are strong signs that this explosive growth has peaked. Building work done in this area is already in decline in Western Australia and the decline is expected to spread to Queensland, Victoria and eventually New South Wales over the next 2-3 years. The dip will slice some 34% from the value of work done at the peak to the predicted trough.
Non-Residential Building continues its cyclical downturn. The November 2016 ACIF forecasts show that while business investment is recovering in terms of increases in Retail and Accommodation building work done last year, this is being swamped by declines in Offices, Industrial and Health and Aged Care and Education.
The November 2016 ACIF forecasts show that there is some light at the end of the tunnel for Engineering Construction. Mining and supporting export infrastructure activity have dropped off a cliff in Queensland and more is to come in Western Australia. The value of work done is projected to fall by 16% this year (FY2017) to $79 billion. But there are signs of increased spending in major infrastructure projects coming through and placing a “floor” in Engineering construction activity and halting the decline by the end of FY2018. Spending in infrastructure is already increasing in Telecommunications with the rollout of the National Broadband Network, and there are a diverse array of projects for this construction type, notably around transport, including Roads, and Bridges, Railways and Harbours.
New South Wales is in the ‘lead’ for building and construction for the first time in over a decade. The recent surge in Residential Building is still underway in New South Wales and this state is taking the lead in progressing major infrastructure projects particularly in Roads and some rail projects.
The construction outlook is relatively dour for the states that have relied most on the mining boom, especially Queensland and Western Australia. Continued contraction is of course difficult to avoid given the end of the mining development boom. This is also spilling over into declines in Non-Residential Building especially in Offices and Industrial. It should also be noted that these states are also experiencing a downturn in investment in major infrastructure investment at present, especially in areas such as Roads, Electricity and pipelines and Water and sewerage.
The ‘patchy’ nature to upcoming demand is intrinsic to the national story of these forecasts. Activity levels are far from consistent across all regions and capital cities, therefore researching the local market conditions by using the Customised Forecasts Dashboard is crucial for effective planning.
Australian Construction Industry Forum (ACIF) is pleased to present the November 2016 ACIF Forecasts – the outlook for the next decade for 20 work types across residential and non-residential building and engineering construction work in Australia.
These were always going to be interesting times for our industry; once the resources boom had passed and residential building peaked. The release of the latest industry forecasts illuminate a turbulent next ten years, as the Australian economy recalibrates from an extraordinary peak, with some sectors set to experience a fall in work demand of up to 40% in the coming years.
“These ACIF Forecasts have been fascinating to produce, in an environment where interest rates are at record lows, global economic activity remains subdued and Australia is coming off the largest resource boom in its history,“ said Adrian Harrington, Head of Funds Management for Folkestone and Chair of ACIF’s Construction Forecasting Council.
“Now that the peak has passed, opportunities for the industry’s 1.1 million participants are simultaneously softening and relocating, however it is not all bad. The dynamics of business and public spending has seen some expenditure move between sectors, rather than fall away entirely, so the opportunity landscape has changed significantly. We are pleased to present the industry’s own forecasts for all sectors, to help businesses navigate this new environment.”
The November 2016 ACIF Forecasts project a 6% fall in overall building and construction activity from $220 billion in 2015-16 to $207 billion this year.
However, this mild decline is far from uniform, and the headline numbers mask the shifting demand within each of the three sectors. There is evidence that the surge in Residential Building, especially the construction of apartments, has saturated demand, or is about to. While Residential Building as a sector will continue to rise until 2017-18, from the following year, the sub sector featuring apartments and townhouses is forecast to begin a fall of up to 40%.
The previous lift in Non-Residential Building and Engineering Construction from the mining boom and related activities has now completed, however the sub-sectors have new public and private investment that makes the distribution of activity uneven within each sector.
Engineering Construction Sector
The end of the mining and resources development boom has sliced the value of Engineering Construction work undertaken by a third in the last three years and the value of work undertaken has fallen to $95 billion. However, the November 2016 ACIF Forecasts show an increase in infrastructure spending is already underway, which has softened somewhat the decline in engineering activity associated with the resources boom.
Demand in areas such as Telecommunications, Roads and Bridges, Railways and Harbours are positive, particularly in the eastern states. While further falls in overall Engineering Construction are expected this year and next as mining development and supporting infrastructure projects are completed, revised projections point to the fall coming to a halt from 2018-19.
Residential Building Sector
Residential Building demand reached another record level in 2015-16 and is expected to continue to climb in 2016-17, albeit at a slower pace, before beginning to descend. Reflecting concerns about a potential glut in the market and the threat that this could pose to the stability of house prices and the banking system, additional prudential controls have reduced the availability of finance to investors and to developers. There are also signs of reduced foreign demand and lower immigration is starting to impact domestic demand. As such, the much-discussed sub-sector for apartments and townhouses will see some areas facing a 40% decrease from 2018-19.
Non-Residential Building Sector
The long-awaited recovery in Non-Residential Building is taking longer than expected. The prospects for this type of building work depends largely upon the outlook for non-mining business investment, and while this is improving, it is not yet enough to drive an increase in building activity until 2018-19. Particularly for this sector, concentration on the overall picture risks obscuring where the growth is coming from. Sub-sectors such as Accommodation and Other Commercial will enjoy growth next year, followed by other sub-sectors from 2017-18, in line with the activities where Australia is improving in competitiveness.
States and Territories
The outlook for building and construction in the next two to three years is more upbeat in the more populous states, especially New South Wales and Victoria. The projected decline in Residential Building activity will arrive later in these states and will not be as deep, given underlying strength in the economy in these states and continued population growth. Non-Residential Building has been growing in these states, reflecting stronger economic fundamentals. These states are also leading the way in reinvesting in critical infrastructure.
Employment
The November 2016 ACIF Forecasts project that employment in construction will fall from 2016-17 and for the next six years.
The projected increase in employment in Residential Building activity in the next few years is no longer sufficient to offset the numbers of jobs lost in Engineering Construction as mining and export infrastructure projects are completed, especially in Western Australia and Queensland.
The decline in employment will deepen when Residential Building activity starts to decline within the next two years.
How innovative is the Australian construction industry? Are we embracing new processes and techniques in how we do the work AND run our businesses?
Progressclaim.com, supported by Australian Construction Industry Forum (ACIF), invites all business leaders and workers across the Australian construction industry to add their view to an in-depth investigation into the sector’s adoption of new and innovative ways of working, with the launch of a new productivity and innovation research project.
There are so many great construction innovation and technology reports coming from the USA, Europe and Asia, it’s now time to get some real info on the Australian construction industry. We’re aiming for the first time to provide a clear picture of our industry’s innovation credentials and ultimately provide construction professionals, in form of the final report, the tools to benchmark where they or their organisation sit.
Through a simple two-minute online survey, all Australian construction professionals have the opportunity to provide this realistic snapshot into the current state of play in the industry.
From the survey results Progressclaim.com will produce a beautiful, highly visual report with lots of infographics and data visualisations. It’ll be the first of its kind in Australia, and you will get a copy. >>Have your say
The NSW Government has released the final report of the statutory review of the Building Professionals Act 2005 conducted by Michael Lambert and the detailed Government Response to the review.
The Government response addresses the report’s 150 recommendations and outlines the actions it will take in developing reforms to building and development certification in NSW in consultation with industry and community stakeholders.
It is with great pleasure that ACIF welcomes the Society of Construction Law Australia as a new member of ACIF.
The Society of Construction Law Australia (SoCLA) will be a very valuable voice at quarterly ACIF Meetings, and their expertise and advice will add considerably to our discussions, therefore, we are delighted to have SoCLA on board.
As stated on their website: “The Society of Construction Law (Australia) is a single national organisation of members drawn from all professions involved with construction, industry representatives and the legal profession who share an interest in construction law.”
ACIF Member, Association of Consulting Architects, has released the findings of the 2016 National Salary Survey, finding that salaries are up very slightly, but worrying trends continue – there is still a gender pay gap and some practices persist in paying under Award minimums.
The report outlines the broad trends identified this year and compares these to the results from previous surveys. Key findings are:
Generally, there were only slight salary increases since 2015 for architects, and more so for technicians.
There are some very wide ranges of pay within role categories. The highest paid person in each category is being paid an average of three times the lowest paid person.
Firm size matters for pay rates – generally, the larger the firm, the higher the rates of pay, particularly in senior and managerial roles. However, there are exceptions.
A gender pay gap persists for architects and for interior designers.
Some 13% of firms are paying architects under minimum rates defined by the Architects Award.
The ACA National Salary Survey gathers data on thirty-one different roles. In addition to architectural staff, salary information is gathered for technicians, interior designers and other staff ranging from reception and clerical positions to chief executive officers. Details on salary packages and conditions and geographic location are also collected. The salary figures discussed in the report include superannuation and benefits but exclude bonuses, dividends, distributions and the like.
Australian Construction Industry Forum (ACIF) is focussed on boosting productivity for construction in Australia, as a driver of more work and better quality outputs and workplaces for everyone. New Boosting Construction Productivity Policy Paper outlines the biggest issues and the solutions that the industry wants to see implemented to overcome them.
The construction industry is a major contributor both directly and indirectly to the Australian economy. It is an industry that employs around 1 million Australians, and had turnover of $212 billion in 2015-16 equating to 12.7% of GDP. In addition, it creates the buildings, cities and infrastructure that makes Australia more productive, liveable and sustainable, adding substantially to our national wealth and well-being.
However, the construction industry in Australia has not substantially improved its productivity in decades, and can waste up to 30% of its efforts. This is not a uniquely Australian issue. Rather, it is a product of the structure of the construction industry, the increasing complexity of its services, and the creation and operation of “silos” within that structure.
If that wasted effort were to be reduced by only one third, it would lift Australian residential and non – residential construction output by more than $10 billion annually. If the changes required to achieve that reduction were to “ripple” through the industry, it is conceivable that within a few years the improved output would be substantially higher.
The Solutions
This challenge has been the subject for numerous studies, reports, reviews and inquiries over at least three decades, most recently the Productivity Commission inquiry into Public Infrastructure Costs (2014).
These landmark studies point to a diverse range of common denominators in reducing wasted effort. In particular, three key themes are evident; depth of procurement and project management skills, better supply chain integration and the use of technology to improve project outcomes.
Yet despite these themes, and many particular recommendations, reappearing in study after study, there has been slow, if any, adoption of better practice. This is despite evidence from other jurisdictions (e.g. the UK) or industries (e.g. resources sector), that adopting these recommendations result in massive productivity uplifts, less waste, lower costs and happier industry participants.
ACIF and its members believe that there is no need for more inquiries or reports. The imperative is to act on a handful of potential drivers of improvement that are developed collaboratively by governments, clients and service providers.
The Role of Government
The importance of governments is twofold. As policy makers, governments have ultimate influence over the legislative and regulatory arrangements governing the industry. Even more important, however, is government in its role as client. As major and ongoing clients of the construction industry, and the ways in which governments and industry interact have a profound impact on both the health of the industry and the success of governments in delivering their capital programs.
Industry is already doing a great deal of heavy lifting from the bottom up, but it is limited in achieving the pace of change required to remain competitive with major trading partners without top down political and government leadership.
Leadership from government in both these roles is critical if we are to substantially increase Australia’s construction productivity.
Recommendation 1: Establish an Independent Australian Centre for Procurement Excellence
With large amounts of public funds being spent on infrastructure, it is incumbent on governments to ensure they get maximum value for money through the procurement process. To buy wisely you need wise buyers: there are substantial opportunities for governments and business to share expertise, and identify and deliver solutions that improve productivity and value for money across the procurement process.
To overcome persistent deficiencies in procurement skills and practices, we recommend a whole of government approach supporting the establishment of an Australian Centre for Procurement Excellence, building on the work of the Australasian Procurement and Construction Council (APCC).
The Procurement Centre of Excellence will expand the APCC’s role and remit, broadening government engagement and building on work across jurisdictions considering efficiencies in procurement. The Centre would be tasked with building a stronger relationship between government and business and supporting best practice procurement in Australia at all levels of government. The Centre should:
be established as independent of government;
build stronger linkages between government and with industry sectors;
provide transparent expert advice to all levels of government;
develop guidelines, build capability and improve standards; and
work with Infrastructure Australia and other government agencies to develop long term visionary thinking and planning for investment in economic and social infrastructure.
The Board of the Centre for Procurement Excellence should include equal levels of representation from industry and government.
Recommendation 2: Fairer, Standard Contracts
Devolved responsibility for agencies has resulted in greater autonomy, but also significant re-inventing of wheels. Specific approaches to project definition, initiation and contracting have increased regulatory and administrative burden, decreased trust and certainty and increased waste.
ACIF believes that a ‘leading practice’ approach can be reflected in a consistent public sector framework of capital works procurement policies and practices, used by all government agencies.
ACIF recommends a suite of leading practice procurement policies, delivery strategies and contract and sub-contract conditions be developed by the Centre for Procurement Excellence, to be used by government agencies on an “if not why not” basis that would:
provide best fit between end user and project requirements and delivery strategy;
reduce the cost of contract administration and of providing appropriate procurement and commercial skills whether in house or by consultants;
minimise wasted effort and disputes; and
embody equitable risk allocations whilst ensuring best value for end users and owners.
Recommendation 3: Promote Building Information Modelling
Building Information Modelling (BIM) is being used around the world to complement better collaboration and coordination between the supply chain participants in construction. Using technology as a facilitator to bring project teams together and design a virtual prototype of an asset is helping to enhance collaboration, test and re-test business case objectives, and plan for more efficient asset delivery.
Moving an entire industry to a new way of doing things, however, is not an easy task. There are up-front capital investments, significant industry up-skilling, regulatory frameworks and standards to be developed and changes to culture to be considered. However, the productivity dividend is undeniable. Numerous reports, experience from other countries and existing Australian examples provide a significant evidence base to substantiate making the change.
Thus it is imperative that governments, through their significant purchasing power and whole of industry influence, lead the way.
ACIF recommends that governments promote the use of BIM on all Federal and State government building projects and all infrastructure projects.
The Procurement Centre of Excellence would be tasked with the execution of this across governments.
Australian Construction Industry Forum (ACIF) is proud to announce a new partnership with an innovative company tackling one of the building and construction industry’s biggest issues: getting paid.
Progressclaim.com bridges the gap between multiple organisations and stakeholders, by providing an easy-to-use, real-time, online collaboration platform. Developed specifically around construction needs, it works by allowing contract parties to collaborate on a neutral platform, eliminating the need for endless spreadsheet reconciliations, email trails and heated phone calls.
“There is a big hidden cost for business in contract administration and chasing payment,’ said James Cameron, Executive Director for ACIF. “At a time when all sectors are facing a fall in the demand – the ACIF Forecasts show that there will be another 5% fall in activity this year and for the next three as historical booms pass – it’s the best time for businesses to have a way to reduce admin costs and improve cashflow.
“We welcome Progressclaim.com as a partner that understands the payment challenges facing our industry, and, more importantly, has a solution to help.“
“Progressclaim.com is all about increasing productivity by connecting everyone in the construction supply chain and getting them communicating,” said Lincoln Easton, CEO of ProgressClaim.com.
“We noted early that increasing industry productivity is at the top of ACIF’s activity agenda and the fact they are familiar with the software space, having their amazing Customised Forecasts Dashboard, made them an easy choice for us to partner with.
“Everyone at Progressclaim.com is very excited about our relationship. ACIF are as driven by innovation, productivity and the positive use of data within the construction industry as we are - there’s exciting times ahead for us both.”
Progressclaim.com joins a committed group of industry organisations supporting ACIF, as it works to improve the productivity, safety and profitability for businesses across architecture, building, engineering, and trades and professions in the built environment. ACIF’s Principal Partner Cbus Super Fund manages the financial future for over 700,000 people working in our industry; research organisation Cordell leading authority on project activity and building cost information in Australia, the industry’s lead trade event DesignBuild Expo and specialised construction software provider Viewpoint Construction Software.
As the nbn™ network rollout picks up pace, more and more developers are set to reap the rewards as their developments become eligible to receive Australia’s new and upgraded telecommunications network. Here’s a quick look at how to get your development project connected to the nbn™ network.
1. Check the rollout map
Whether you are building large apartment blocks or sub-dividing a lot, if it’s a new address in a current rollout area you may be eligible to have the nbn™ network installed. The first step is to find out if you are building in one of the rollout areas using the ‘check the rollout’ tool on the nbn website at nbn.com.au/rollout.
2. Start planning early
nbn requests that you apply three months before any civil works commence to ensure the network can be connected by lock up stage - ready for your home buyers. As soon as you have your permits or builder appointed start incorporating the nbn™ network into your plans.
To start the nbn process, visit nbn.com.au/buildwithnbn and fill out the pre-qualification form. nbn will assess your development and direct you to the appropriate process for your building project.
3. Design - prepare your site
The next step is to prepare your site for nbn to deliver their infrastructure. For apartments you will need to design and install pathways and for single dwelling units you will need pit and pipe infrastructure. The nbn guidelines are available online and nbn will work with you to ensure the design and construction meets the correct standards.
Once you have completed your pit and pipe or pathway designs, submit them to nbn for review. This will ensure you are building to the right specification that will allow nbn to install their network.
4. Build – complete your site preparation
Once nbn has approved your designs, commence building your pit and pipe or pathways. When you have completed building, notify nbn and they will arrange a site visit to check that it is “fit for purpose”. After the works are declared “fit for purpose” nbn will provide a Certificate of Practical Completion which you may need to receive your titles from council.
5. nbn™ network installation
nbn will then coordinate the installation of their network, ready for your residents when they move in. Once the nbn™ infrastructure has been installed you can arrange for a pre-installation of the in home equipment so residents can connect straight away via a Retail Service Provider.
One of the biggest issues developers and builders have is applying too late, which causes delays and holds up the titles process. nbn wants to make sure all new developments can make the most of the nbn™ network – but you need to apply.
To avoid delays apply as soon as possible. For more information on what’s involved in getting your property nbn™ ready and market ready visit nbn.com.au/buildwithnbn.
For more information
1800 687 626
newdevelopments@nbn.com.au
nbn.com.au/buildwithnbn
The Australian Construction Industry Forum (ACIF) has released its 2016 Policy Priorities. The four policy priorities are: the re-establishment of the Australian Building and Construction Commission (ABCC) with its former powers; the implementation of an effective regime to minimise the use of non-conforming building products; re-starting the process for the national harmonisation of licensing and registration of all trades and professions in the construction industry; and the establishment of an Australian Centre for Procurement Excellence.
1. Re-establishment of the Australian Building and Construction Commission with its former powers
The Coalition is committed to reinstating the Australian Building and Construction Commission (ABCC).
Recent Australian Bureau of Statistics data show that there are significantly more working days lost to industrial disputes in the building and construction industries than in all other industries. When the ABCC operated previously (2005-2012), the economic performance and productivity of the building and construction sector improved. Since Labor recklessly abolished the ABCC in 2012, the number of working days lost to industrial disputes in the construction industry has increased by 35 per cent.
Unlawful industrial conduct in the building and construction sector can add up to 30 per cent to the costs of construction because of unlawful strikes and stoppages, and inefficient and unproductive practices. On public infrastructure projects, this can mean taxpayers end up paying millions more than necessary.
When construction projects are lawful, safe and efficient, they can be delivered on time and on budget. When projects are delivered on time and on budget, there is more money for more projects. This benefits the construction industry with more work, more jobs and more economic growth. Increased investment and work in the construction industry will have economy-wide benefits.
The Coalition's determination to re-establish the ABCC is critical for jobs, growth and our transition to a strong new economy. The building and construction industry is critical to a productive and prosperous Australia. It is Australia's third largest employer with more than one million Australians working in the sector.
There are currently over 100 Construction, Forestry, and Mining and Energy Union officials before the courts for over 1,000 alleged breaches of workplace laws. Having a strong building industry regulator that can effectively deal with lawlessness, thuggery and coercion on construction sites will restore confidence, encourage investment and create more jobs and greater prosperity for workers, businesses and the economy.
2. The implementation of an effective regime to minimise the use of non-conforming building products
The Building Ministers' Forum, comprising Ministers from the Commonwealth, States and Territories, oversees the implementation of nationally consistent building and plumbing regulation.
At their meeting earlier in 2016, the Ministers progressed a number of significant reforms which will benefit the Australian building industry and the wider Australian community. Ministers discussed a number of reforms to benefit the building industry and are exploring mechanisms to share vital information relating to building products.
Ministers agreed to work cooperatively to implement a range of measures to address safety issues associated with high risk building products. In addition, Ministers requested that the Australian Building Codes Board further develop proposed additional actions to address the wider issue of non-compliant use of building products. Senior officials were tasked to undertake further work with the Australian Building Codes Board to review the National Construction Code related to high risk building products. A report on these matters will be provided to Ministers at the next Building Ministers' Forum.
Ministers also agreed to the strategies set out in a report from senior officials from all jurisdictions, aimed at addressing the risks associated with non-conforming building products. This includes improved intergovernmental cooperation and enhancing industry and consumer awareness of non-conforming building products. Building Ministers accepted the offer from the Commonwealth Department of Immigration and Border Protection with assistance from the Australian Competition and Consumer Commission, to establish relevant information sharing between the Commonwealth, states and territories with a resolution to fast track and report within two months.
In principle support was also given for improvements to the regulatory framework to enhance the powers of building regulators to respond to instances of non-conforming building products, developing education strategies to better inform consumers and building industry participants and encourage greater responsibility in the safe use of building products.
The Building Ministers' Forum will continue to take action and work collaboratively to ensure building practitioners have the right tools to comply with the National Construction Code and ensure Australians can continue to have confidence in the safety of buildings.
3. Re-start the process for the National Harmonisation of Licensing and Registration
The Coalition will continue to work with the States and Territories to help with recognition of capability, licencing, and standards and training systems across jurisdictions.
We are also working to ensure Australians' skills and licencing are acknowledged overseas.
The Turnbull Government will create a Professional Services Mutual Recognition Unit to provide direct assistance to professional associations and regulators in negotiating the international recognition of Australian qualifications and licensing.
4. Establish an independent Australian Centre for Procurement Excellence
The Coalition requires governments to undertake extensive consultation for all major procurements. That includes adhering to the comprehensive procurement apparatus in place and complying with our international procurement obligations.
Each major procurement should gain an understanding of what is possible, industry capability, potential risks, and appropriate options for delivery.
It's expected that any approach to market follows extensive research, including formal and informal analysis, and expressions of interest or requests for information to assess what the market is capable of delivering.
The Coalition is also advancing how we negotiate and execute contracts.
The Innovative Financing Unit will better equip government with skilled resources who can work with industry to ensure contracts and projects reflect the best possible outcome for both suppliers and the tax payer.
1. Re-establishment of the Australian Building and Construction Commission with its former powers
The ABCC will reduce productivity, increase injuries and strip construction workers of common law rights.
The evidence is clear on this.
Malcolm Turnbull claims the ABCC will increase productivity. This is a bald-faced lie. According to the ABS, productivity increased more in the seven years before the introduction of the ABCC than it did in the seven years after the ABCC was established by the Howard Government. Furthermore, productivity has been higher every year since Labor abolished the ABCC in 2012.
Labor is concerned that if the ABCC is established workplace deaths and injuries on construction sites will increase. According to Safe Work Australia, instances of fatalities and injuries in the construction industry actually rose under the ABCC. Furthermore, if Mr Turnbull has his way, construction workers will be hit with a $36,000 fine for acting on safety concerns at work.
The ABCC will abolish fundamental common law rights, which will leave around 1 million Australian workers in the construction industry and their families with less rights than a suspected drug dealer – it’s just wrong.
These are the reasons why Labor opposes a return to the ABCC, why we voted it down for the second time, and why all fair-minded Australians should be concerned about it and oppose it.
2. The implementation of an effective regime to minimise the use of non-conforming building products
In the building and construction industry, products that are non-conforming, and products used in situations where they are not fit for purpose (i.e. non-compliant), pose a serious risk to the integrity of buildings, the safety of construction workers and the welfare of building inhabitants.
Federal Labor takes this issue very seriously, that’s why we initiated a Senate Inquiry into non-conforming building products.
In government, Labor took a number of steps to address the issue of non-conforming building products. In its August 2012 report, the Prime Minister’s Taskforce on Manufacturing recommended that action be taken against imported products that do not conform to regulatory requirements and do not meet standards to which domestic businesses adhere.
The Manufacturing Leaders Group, established by Labor, considered this issue when it met in March 2013 and agreed to an Australian Industry Group (AIG) led research project into the issue. The AIG delivered its report, The quest for a level playing field: The non-conforming building product dilemma, in November 2013.
The Manufacturing Leaders Group was abolished by Tony Abbott and the program of work that commenced by Labor was further allowed to lapse under the Abbott-Turnbull Government.
Labor has repeatedly called on the Abbott-Turnbull Government to address this issue, particularly through its role on the Building Ministers’ Forum and through the National Building Code. However
it was not until July 2015, more than six months after the Lacrosse fire in Melbourne’s Docklands, that a meeting of the Building Ministers’ Forum was finally convened.
We note the work that is now underway through the Senior Officers’ Group of the Building Ministers’ Forum. Labor is prepared to work quickly and constructively to address the initial recommendations that have arisen as a result of that work.
Labor has already made a number of commitments relating to building materials and their certification as part of our Plan for Manufacturing and Jobs.
3. Re-start the process for the National Harmonisation of Licensing and Registration
Labor is committed to lower red-tape and regulatory burdens (including competition policy and national harmonisation) to assist Australian businesses.
Labor is committed to working with professional organisations, States and Territories to deliver nationally consistent accreditation and registration where practical. This will improve productivity and allow workers in licensed trades to easily move around the country to work on projects where their skills are in need.
4. Establish an independent Australian Centre for Procurement Excellence
Labor will promote a procurement strategy to safeguard and grow skills, investment and jobs, under existing international obligations, so Australian businesses can compete locally and internationally. As the biggest purchaser of services, the Federal Government has an important role to play to ensure where possible services are sourced locally.
Labor recognises the importance of both value for money and compliance with government policy and Fair Work Act in procurement processes. This is why the previous Labor Government introduced the Commonwealth Procurement Guidelines requiring that suppliers comply with workplace relations laws.
To further enhance transparency, Labor will ensure agencies keep records of, and make available on request, the details of any sub-contractor engaged by a contractor in respect of a Federal Government contract for procurement. Labor is committed to the vital role of the public service in implementing procurement transparency.
The previous Labor Government established the Procurement Coordinator to improve opportunities for Australian companies to compete for business. The Procurement Coordinator reviews and advises on practices across government; handle and review complaints; aggregate procurement information and submit an annual report to government.
In its role as a major purchaser of goods and services, Federal Government can play a role in fostering Australia’s manufacturing, service and information industries, particularly for emerging industries or companies. For goods or services to be ethically sourced, suppliers must be good corporate citizens who comply with the law in all matters, most notably laws regarding taxation, trade practices, corporations, industrial relations, consumer affairs, environment and immigration.
Labor will ensure small and medium enterprises (SMEs) are able to engage in fair competition for government business. Labor will require government officials undertaking procurement to ensure procurement methods do not unfairly discriminate against small and medium enterprises.
Labor will better coordinate Federal Government procurement and where it is sensible to do so, consider options to use model terms and conditions to help business and contractors.
Building and construction priorities focus politicians on productivity
Wed, 22 Jun 2016 00:00:00 +1000
The Australian Construction Industry Forum (ACIF) has released its 2016 Policy Priorities. The four policy priorities are: the re-establishment of the Australian Building and Construction Commission (ABCC) with its former powers; the implementation of an effective regime to minimise the use of non-conforming building products; re-starting the process for the national harmonisation of licensing and registration of all trades and professions in the construction industry; and the establishment of an Australian Centre for Procurement Excellence.
The building and construction industry has released this shortlist of priorities to focus the major parties in the lead up the Federal Election, as well as the next government on main issues in this crucial sector. For the 1.1 million Australians who work in building and construction industry, which is set to have a turnover of $212 billion this financial year, and for the 24 million Australians who live, work and play in the built environment, it is a crucial policy area in the upcoming Federal Election.
“While ACIF has many policies, these four have been chosen by our members as the most important ones that need addressing in 2016“, stated James Cameron, ACIF’s Executive Director.
“While the double-dissolution election was called due to the Senate not passing the legislation to re-establish the Australian Building and Construction Commission, the issue has not been a major one in this election campaign.”
“However, re-establishing the ABCC would lead to massive gains in productivity in the construction industry, and would benefit all workers in the industry.”
“The issue of non-conforming or faulty building products is also an important one which has a significant impact on consumers. While Governments are addressing this issue to some degree via the Building Ministers’ Forum and Australian Building Codes Board, we wish to keep working with them to find effective solutions.”
“National licensing would also lead to significant productivity gains in the industry, as would a national centre to promote procurement excellence.”
“We look forward to hearing from all parties on these issues, and discussing these issues further with them over coming weeks and months.”
ACIF is the peak consultative body for the building and construction industry, where the most significant trades and professions that drive the industry collaborate on issues and opportunities for the sector as a whole. The policies published by ACIF reflect the agreed key issues for architecture and design, building and engineering plus the main trades from the industry, from residential housing to commercial properties, through to roads, bridges and major services that enable our country to work. As the peak industry group, ACIF is concerned and committed to driving improvement in these key policy areas in the short to medium term.
2016 Policy Priorities of the Australian Construction Industry Forum
The Australian Construction Industry Forum calls on Australia’s political parties to consider and adopt ACIF’s policy priorities.
The Australian construction industry employs over 1.1 million Australians, and in 2015-16 had a turnover of $212 billion.
Therefore, the construction industry is one of the main drivers of the Australian economy and its productivity and success is critical to the growth and success of the Australian economy.
ONE: Re-establishment of the Australian Building and Construction Commission with its former powers.
ACIF calls for the reintroduction of the ABCC and all of the industry-specific laws previously administered by the ABCC. The application of these laws will ensure an upsurge in labour productivity in the sector which must be an essential part of the effort to ensure an industry level productivity boost. ACIF also calls on Federal and State Governments to align their procurement policies so far as these regulate workplace relations.
From 1 October 2005, following the passage of the Building and Construction Industry Improvement Act 2005 (Cth) (BCII Act), which created the Australian Building and Construction Commission (ABCC), the building and construction industry enjoyed a period of significantly improved industrial relations and increased productivity in which industrial relations was not the predominant and negative influence that it had been in the past. That change benefited all parties in the industry, including workers. Equally importantly, it benefited the Australian economy and the community. This regime should be re-installed because since June 2012 a weaker agency administering the Fair Work Act has been in place and the powers of that agency as well as the flaws in the Fair Work Act have seen an upsurge in industrial activity and the partial return of the climate of fear and intimidation that has regrettably dogged the industry for decades.
ACIF also calls on Federal and State Governments to align their procurement policies so far as these regulate workplace relations. At present, there are conflicting regimes of government procurement policies which contain potentially conflicting provisions. The greater disciplines imposed by, for example, the Victorian Code of Practice for the Building and Construction Industry and the related Implementation Guidelines should be consistently applied in all jurisdictions. This step would assist the task of building and construction industry workplace reform, as the ABCC would oversee the application of the disciplines imposed.
TWO: The implementation of an effective regime to minimise the use of non-conforming building products.
On this issue, ACIF supports the approach of the Construction Product Alliance (CPA). In August 2015, the CPA provided a paper to the Building Ministers’ Forum setting out an eight point Action Plan containing key activities designed to support a holistic approach to the issues. The recommendations in the Action Plan were as follows:
1. Establish a taskforce comprised of key industry stakeholders and state and federal government agencies with a charter to develop a strategic plan which incorporates short, medium and long term responses to the issue of non-conforming products (NCP).
2. Request the Australian Building Codes Board (ABCB) to:
Undertake a review of the current evidence of suitability criteria in the National Construction Code (NCC); and
Develop and publish guidance material in the form of a handbook regarding the use of risk-based assessments to determine the appropriate evidence of suitability under the NCC.
3. Establish a national portal to increase public and industry awareness of available information on NCP.
4. Increase stakeholder awareness of third party certification schemes as a tool for achieving product compliance.
5. Develop and operate a pilot to determine the feasibility of establishing a single building products register for compliant product based on industry and government certification schemes.
6. Evaluate the feasibility of building product legislation being enforced at point of sale.
7. State building authorities to review surveillance and audit activities and implement stronger penalty regimes to improve effectiveness in achieving compliance with the National Construction Code (NCC).
8. Assess the feasibility of establishing a confidential reporting system to facilitate the reporting of industry concerns around NCP.
THREE: Re-start the process for the national harmonisation of licensing and registration of all trades and professions in the construction industry.
ACIF believes that a genuinely national market for like contractors, professions, trades and disciplines working in the industry would make for a more efficient market, responsive to varying needs for particular skills in different jurisdictions. This requires consistent capability and licensing and recognition standards across all jurisdictions.
It is for the representatives of those professions, trades and disciplines to agree on the appropriate skills requirements, and the requirements for continuing professional development of organisations and individuals.
With nationally consistent frameworks of licensing or regulation there should be one arbiter of change rather than allowing multiple agencies to introduce additional or varied requirements or, worse, introducing minimal or lowest common denominator standards.
The Commonwealth Government agency working on national occupational licensing needs to ensure that licensing requirements include elements for maintaining appropriate commercial skills for individuals who are responsible for payments from customers and to staff, contractors and service providers.
Individual ACIF Members’ areas of influence include needs for greater efficiency in occupational licensing or registration. They each point to benefits in terms of quality outcomes. They include:
National registration for architects rather than state and territory registration;
Consistent national registration for engineers;
National accreditation for all protection sectors; and
The alignment of registration and certification qualifications standards for building surveyors across all jurisdictions.
FOUR: Establishment of an Australian Centre for Procurement Excellence.
With large amounts of public funds being spent on infrastructure, it is incumbent on governments to ensure they get maximum value for money through the procurement process. To buy wisely you need wise buyers: there are substantial opportunities for governments and business to share expertise, and identify and deliver solutions that improve productivity and value for money across the procurement process.
To overcome persistent deficiencies in procurement skills and practices, we recommend a whole of government approach supporting the establishment of an Australian Centre for Procurement Excellence, building on the work of the Australasian Procurement and Construction Council (APCC).
The Procurement Centre of Excellence will expand the APCC’s role and remit, broadening government engagement and building on work across jurisdictions considering efficiencies in procurement. The Centre would be tasked with building a stronger relationship between government and business and supporting best practice procurement in Australia at all levels of government. The Centre should:
Be established as independent of government;
Build stronger linkages between government and with industry sectors;
Provide transparent expert advice to all levels of government;
Develop guidelines, build capability and improve standards; and
Work with Infrastructure Australia and other government agencies to develop long term visionary thinking and planning for investment in economic and social infrastructure.
The Board of the Centre for Procurement Excellence should include equal levels of representation from industry and government.
Building and Construction activity – measured in terms of the value of work done in Residential Building, Non-Residential Building and Engineering Construction – amounted to $225 billion last year. The May 2016 ACIF Forecasts project a fall in activity to $212 billion in 2015-16.
The changes in work value are spread unevenly, affecting different states and territories as well as different work types differently, so the question every business person needs to answer is: where will the work be coming from in our area, in our type of work?
May 2016 ACIF Forecasts are available in two formats:
To illustrate the uneven impact of the transition that is underway it is notable that New South Wales, Victoria and Tasmania saw growth in Non-Residential Building last year and are projected to see growth again in 2015-16 whereas the mining related states of Queensland and WA are expected to see subdued levels of activity in the next few years.
In Residential Building, strong growth continues for NSW and Victoria however Residential Building activity has been volatile in Western Australia. Activity peaked in 2010-11 and fell in the years to 2012-13. A recovery is underway at present but there are signs that this is running out of puff in Western Australia and lower rates of growth are projected next year and the year after.
The ACIF Forecasts also outline the changes in the major projects that drive a lot of our work.
Since November 2015, there has been another increase in the number of projects in Residential Building with additional projects being entered in every state except Tasmania. The Major Projects list included in the ACIF Forecasts, provided by Cordell,
The largest number of additional projects is in New South Wales and then Queensland, followed by Victoria. Analysis of this information has been important in making the assessment that there remains work to be done in the Residential Building pipeline.
There are also some additional projects in Non-Residential Building. The largest number of these is in New South Wales, followed very closely by Queensland and Victoria. This seems to be reflective of an increase in non-mining business investment in the more populous states. The largest number of additional Non-Residential Building additional projects is in Industrial, Health and Aged Care, Education, Accommodation, and Entertainment and Recreation.
This adds to suggestions that the economy is beginning to re-invest and “rebalance” as suggested by the Reserve Bank and the macro-economic forecasts used in the ACIF Forecasts. Despite headlines about the end of the mining boom and signs that Engineering Construction work is falling more rapidly than expected, additional engineering projects have been added to the Major Projects data base.
The largest increase by value is in Roads in New South Wales. The second largest increase by value is in Bridges, Railways and Harbours, which in the past was dominated by rail and port projects in Western Australia and Queensland, but now seems to be made up of projects such as light rail projects and expansions, especially in New South Wales.
New forecasts chart 2 passing booms; but no time for gloom
Thu, 12 May 2016 00:00:00 +1000
New building and construction industry forecasts released today chart the passing of two booms – in mining and residential – and the impact on this important sector of the Australian economy.
Australian Construction Industry Forum (ACIF) today released the latest ACIF Forecasts, revealing how the sector is coping with another double digit fall in engineering construction plus the impending peak of residential building.
“The May 2016 ACIF Forecasts re-chart the course of building and construction industry as it surfs the downside of tsunami-sized waves of investment,” said Kerry Barwise, Chief Economist for ACIF.
May 2016 ACIF Forecasts are available in two formats:
“The building and construction industry is playing a key role in the transition of our economy away from resources towards a more diversified economy.
“The industry has ramped up residential building following the once in a lifetime mining boom, but that too is now coming to an end.”
The May 2016 ACIF Forecasts reveal a second consecutive 5% annual fall in aggregate activity, reducing 2015-16 total construction activity by $12 billion to $212 billion.
Above: May 2016 ACIF Forecasts - Change in Total Work Done, all Sectors
These forecasts have also ground $5-10 billion off the level of construction activity that was projected in each year over the next three years, largely reflecting a more stringent downgrade to the outlook in Engineering Construction following the mining boom and the expected dip in Residential Building. Residential builders are still working through an enlarged construction pipeline and building work is expected to top $91 billion in real terms in 2016-17 before falling.
However, despite the sweeping changes and challenges, this is not the time for doom and gloom. Irrespective of the passing of booms in two major construction sectors, these forecasts also identify areas of construction activity that will assist an economy in transition.
Wherever activity is in support of the shift towards the new economy, innovation, creativity and the provision of key services, Non-Residential Building work is growing especially in the areas of Health and Aged Care, Accommodation and Retail/Wholesale Trade.
These conflicting trends are projected to turn around the modest contraction forecast in Non-Residential Building activity for this year into a small uptick next year and more fulsome growth - close to 3% per annum - by 2017-18.
These forecasts have also taken into account a fundamental shift in the composition of Engineering Construction activity. Many of the largest new infrastructure projects are in areas that will enhance the delivery of key services and improve the mobility and liveability in Australia’s cities, enhancing their role as major drivers of economic growth.
“Australian Construction Industry Forum (ACIF) is proud to provide the construction industry with the May 2016 ACIF Forecasts,” said Adrian Harrington, Chair of ACIF’s Construction Forecasting Council.
“The building and construction sector contributes around 8% to GDP and is responsible for building the shelter and infrastructure for both our people and businesses that are the backbone of our economy. Our work facilitates the movement of people, goods and resources, fosters connectivity and communication, and allows the transmission of water and energy across this vast nation.
“With technology continuing to emerge at an unprecedented scale, our population growing and aging, and the economy transitioning from the biggest resources boom in over a century, it is more important now than ever before that the industry has a relevant and credible ‘compass’ for the next ten years. These Forecasts outline the upcoming demand for work across the three key sectors – residential and non-residential building plus engineering construction, and the 20 sub-sectors they include, as well as what is happening with construction costs and labour requirements.”
ACIF Forecasts are released today at www.acif.com.au. ACIF Forecasts are available in two formats: Australian Construction Market Report, an 80+ page report with detailed commentary and analysis, and the Customised Forecasts Dashboard, an online portal where subscribers can tailor queries to suit their business type and location.
Looking at all three major types of activity in the building and construction sector, total or aggregate activity fell in 2014-15 by 5% to $225 billion. A $6 billion increase in Residential Building was not sufficient to cancel out the $12 billion fall in Engineering Construction. What's ahead?
Leading indicators show that growth has peaked in some sub-segments, particularly New Other Residential (Mainly Apartments and Townhouses) in some markets.
Builders are still working through an enlarged construction pipeline and work is expected to top $91 billion in real terms in 2016-17.
Growth is projected to slow and eventually slip into a decline, reaching a fall of 6% in 2018-19, bringing work done down to $84 billion in real terms.
Non-Residential Building growth is patchy.
Much Non-Residential Building activity is linked to the fortunes of non-mining business investment.
To illustrate the uneven impact of the transition that is underway it is notable that New South Wales, Victoria and Tasmania saw growth in Non-Residential Building last year and are projected to see growth again in 2015-16 whereas the mining related states of Queensland and WA are expected to see subdued levels of activity in the next few years
The transition to growth will also be uneven between sub-sectors within Non-Residential Building.
The May 2016 ACIF Forecasts have upgraded projections for Accommodation, Entertainment and Recreation and Retail/Wholesale Trade but down-graded for Health and Aged Care and Offices, especially where this was in support of mining or mining related activity.
Engineering Construction is about to face further and deeper drops
Engineering Construction activity fell by 15% in 2014-15. Falls in activity spread beyond Heavy Industry Including Mining and include even deeper reductions in construction of Bridges, Railways and Harbours, Water and Sewerage and Electricity and Pipelines.
The May 2016 ACIF Forecasts have taken into account a fundamental shift in the composition of Engineering Construction activity. While mining and related construction is in decline, increased infrastructure construction is underway in Roads and Telecommunications, and there are further plans for major rail and light rail projects. Many of the largest new projects are in areas that will enhance the delivery of key services and improve mobility and liveability in Australia’s cities, enhancing their role as major drivers of economic growth.
While these initiatives are substantial they will not fully offset the very large withdrawal of private sector investment in mining and related infrastructure. Revised forecasts indicate that Engineering Construction is only about a third of the way into a projected 46% fall in activity that will bottom out by 2017-18.
Above: May 2016 ACIF Forecasts - Total Work Done by Type
The May 2016 ACIF Forecasts outline a changing economy being played out with building and construction a key sector in diversifying the economy after two booms - mining and residential.
Here we outline the impact on the big picture for building and construction work demand, and employment.
May 2016 ACIF Forecasts are available in two formats:
Total construction activity will fall faster in coming years
Looking at all three major types of activity in the building and construction sector, total or aggregate activity fell in 2014-15 by 5% to $225 billion. A $6 billion increase in Residential Building was not sufficient to cancel out the $12 billion fall in Engineering Construction.
A further fall of 5% is projected for 2015-16 reducing aggregate activity by around $12 billion to $212 billion.
The May 2016 forecasts have ground $5-10 billion off the level of construction activity that was projected in each year into the next three years, largely reflecting a deeper dip in Residential Building and a more stringent downgrade to the outlook in Engineering Construction.
Rebalancing is changing economic geography
Queensland, the former leader in construction activity, and Western Australia, the state that previously had the most rapid growth in construction activity, are now projected to see deep declines in activity reflecting the end of the mining construction boom spreading into infrastructure and other supporting business categories.
New South Wales is projected to become the new leader in construction activity in the States. It will climb to the front because it is at the forefront of rebalancing in its economy. Growth in Residential and Non-Residential Building is close to matching the large declines in Engineering Construction that are expected in the medium term.
The recent lift in Construction Employment will eventually slip and dip
Employment in building and construction is expected to rise this year to 1.1 million jobs.
It appears that growth in labour intensive Residential Building has more than offset the decline in more capital-intensive and import-intensive Engineering Construction.
The industry can’t defy gravity forever and a reduction in construction employment of 1% is forecast for 2016-17 as aggregate construction activity continues to fall and Residential Building growth levels out. Further falls in employment will be felt when Residential Building activity dips in 2017-18 and 2018-19.
Construction employment has been strongest in New South Wales, Victoria, Tasmania and the Northern Territory where around 60,000 additional jobs are expected in 2015-16. Construction employment in Queensland and Western Australia is projected to see sharp sustained falls. A reduction of around 30,000 construction jobs in these states is expected next year.
Above: May 2016 ACIF Forecasts - Construction Employment
Last Thursday ACIF had the pleasure of welcoming over 100 business leaders to breakfast and to hear the early release of the ACIF Forecasts.
The ACIF Briefing was Chaired by Adrian Harrington, Head of Funds Management at Folkestone and Chair of ACIF’s Construction Forecasting Council. The keynote presentation by Chief Economist Kerry Barwise was a presentation of the outlook for residential and non-residential building and engineering construction for the next ten years, charting the end two historical booms – in mining and residential – and the impact this has had on our industry.
An expert panel then discussed the forecasts, especially within the context of Federal Budget and a 25 basis point drop in interest rate just over a day earlier.
Cbus Property Chief Executive Adrian Pozzo, Brian Haratsis from Macroplan Dimasi, and CoreLogic’s Head of Research Cameron Kusher joined Adrian Harrington and Kerry Barwise for a far-ranging and fascinating discussion around economic policy and down to on the ground reality of investment as the driver of building and construction in Australia.
Adrian Harrington summarised the key comments from the discussion as:
The construction sector is playing a key role assisting the economy transition away from mining – the residential sector has picked up in recent years and it is critical now the non-residential and non-mining related engineering sectors play their part.
Cities are the engine room of the economy. They provide the setting to facilitate economic activity and innovation. The construction sector has a key role to play in delivering first class infrastructure and a built environment that fosters employment, allows the delivery of services more efficiently and effectively, improves mobility, achieves higher levels of sustainability and liveability. The construction sector is key to turning the government’s infrastructure plan and Smart Cities Plan into reality.
The service sector is becoming a powerhouse of the Australian economy – health, education, tourism, professional services and technology. The growth in these sectors will fuel the next wave of non-residential construction activity. However, the locations of this activity will be different from past cycles with a greater emphasis on inner and middle ring suburbs which will have a significant impact on the spatial organisation of our cities and the types of buildings that will house these functions.
ACIF Forecasts are released on 12 May at www.acif.com.au. Forecasts are available as:
Australian Construction Market Report – 80+ page of detailed commentary on the macro economic environment, analysis of demand sector by sector, and state by state. Construction Employment outlook and much more. >>More details here
Customised Forecasts Dashboard – online database of the full ACIF Forecasts data set. Query your own forecast for work demand, construction costs, labour and over 5,500 Major Projects from Cordell. >>More details here
ACIF Forecasts are only possible due to the ongoing support of Principal Partner Cbus Super Fund, and Silver Partners Cordell, DesignBUILD Expo, Viewpoint Construction Software and new Partner ProgressClaim.com
The ACIF Briefing on 5 May in Melbourne has a great expert panel to discuss and debate the new forecasts for building and construction. Where else can you meet all these people in the one room, at once?
Following the keynote presentation releasing the ACIF Forecasts for May 2016, our industry expert panel will discuss the key outtakes of the ACIF Forecasts and how it will affect different sections of the industry and its players – including clients, tenants, individual professions - and the issues and costs of doing business.
Who you will see at the ACIF Briefing on 5 May in Melbourne
Chaired by Adrian Harrington, Head of Funds Management, Folkestone Funds Management.
Adrian has more than 20 years of experience in the funds management and real estate industries. He was formerly CEO Funds Management, UK and USA for Mirvac Group. He previously held senior positions at James Fielding Group, Deutsche Asset Management, Paladin Australia and the Property Council of Australia.
Keynote Presentation releasing the ACIF Forecasts by Kerry Barwise
Kerry Barwise is the most Chief Forecaster, ACIF Forecasts. Kerry has the broadest expertise in the industry, all three sectors - residential, non-residential and engineering construction.
Kerry Barwise specialises in providing economic and policy advice to business and government. He commenced his career in the Commonwealth Treasury spanning Commonwealth state financial relations, infrastructure finance and structural policy reform, especially of major infrastructure services in transport and energy. After 11 years in Treasury he shifted to consulting in the private sector rising after 19 years to senior executive roles and Directorships in the Allen Consulting Group, the Centre for International Economics and ACIL Allen Consulting.
Expert: Adrian Pozzo - CEO, Cbus Property
Adrian Pozzo is the Chief Executive Officer of Cbus Property Pty Ltd, having been appointed to this role in 2007.
Adrian is responsible for an investment property portfolio which currently exceeds $2.5 billion, plus investments currently under development which on completion will total more than $4.5 billion. He has responsibility for the strategic performance & management of all aspects of the Cbus direct property investment business which includes major investments and developments in the commercial, residential and industrial sectors.
Expert: Brian Haratis - Chairman, Macroplan Dimasi
Brian Haratsis is a best-selling author, futurist, thought leader and is regarded by corporate Australia as the leading economic and strategic advisor operating in the property sector locally and internationally.
Brian established MacroPlan Australia (renamed MacroPlan Dimasi in 2012) in 1985 and has devoted the last 30 years to his loyal client base through the delivery of effective business and property strategy, precise forecasting of niche trends, successful facilitation of strategic outcomes and successful delivery of major projects / policies.
Expert: Cameron Kusher - Head of Research - Australia, CoreLogic
Cameron Kusher has worked as a property research analyst across the Australian property markets for more than 10 years. He joined RP Data in 2008 as the senior research manager where his expertise in property data analytics reporting has forged him a strong reputation across large corporations ranging from banking, finance and the mortgage services sector. Cameron is responsible for the day-to-day outputs of the rpdata research division where he works closely with research director Tim Lawless.
At this industry leaders breakfast, lead economist for the ACIF Forecasts, Kerry Barwise, will present the macro and major drivers reshaping the Australian marketplace for our industry.
Then on to the impacts on building and construction in Australia. ACIF Forecasts cover 20 work types and all states and territories in Australia. This presentation will give the outlook for demand for residential building, non-residential building and engineering construction - for the next ten years.
Then we get local. Kerry will present the outlook for Victoria and Melbourne, so the local market can plan for success - or survival.
Chaired by Adrian Harrington, Head of Funds Management, Folkestone Funds Management, following the presentation a discussion panel of leaders in property and investment, economics and research will discuss the key outtakes of the ACIF Forecasts for May 2016 - and what it means for our industry of 1.1 million people.
Panellists include:
Adrian Pozzo - CEO, Cbus Property
Harley Dale - Chief Economist, Housing Industry Association
Cameron Kusher - Head of Research - Australia, CoreLogic
ACIF Forecasts are used by professionals from across the full range of stakeholders, from major organisations to small consultancies. ACIF Forecasts are released twice a year, and are available as the Australian Construction Market Report, and detailed numbers are available by subscribing to the Customised Forecasts Dashboard, and online service to tailor queries on the full ACIF database. An annual ACIF Forecasts Subscription provides all ACIF Forecasts information for 12 months.
Forecasts show there is no need for doom and gloom
Mon, 11 Apr 2016 00:00:00 +1000
The last release of industry forecasts in November 2015 shaved off between $2-$4 billion per year for the next three years in anticipated work demand for the building and construction sector in Australia.
Much has happened since then, and the consequences for residential building, non-residential building and engineering construction will be reflected in the Australian Construction Industry Forum’s (ACIF’s) updated forecasts to be released in May.
Early indications of the May 2016 ACIF Forecasts show the prospects across the various building and construction sectors vary with some hotspots but also some areas that are slowing, particularly now that our economy is absorbing both the end of the mining boom and the peak of the residential housing boom.
The May ACIF Forecasts are still being prepared, with data from Australian Bureau of Statistics, Cordell Information and other high quality data sources, and will be launched at a business leaders breakfast on 5 May, ahead of release to the industry on 12 May.
The ACIF Forecasts undergo a unique peer review process to ensure that all drivers of change are factored in. Draft forecasts will soon be presented to the Construction Forecasting Council, a panel of economists and researchers from across the industry plus banks and other specialists, who come together to provide an important industry service by reality-testing the ACIF Forecasts with their confidential and expert insight. The result is that the final ACIF Forecasts provide a credible insight into the outlook for the sector, and can be relied upon by businesses large and small across the industry.
“We are still analysing the data for the next ACIF Forecasts however what preliminary data and analysis is showing that the building and construction industry still plays a significant role in the economy. In particular, residential building work is one of the few areas of steady and strong growth in the economy,” said Kerry Barwise, head forecaster of the ACIF Forecasts.
“Doom-and-gloom sentiments sometimes seen in the media are out of step with the preliminary numbers, and in some areas are spooking the industry and its clients. For example, engineering construction is not facing an unexpected free fall. Some 3,000 new projects in engineering construction have been added to the ACIF major projects list since late last year, offsetting those that have recently been completed, put on hold or terminated.
“Our national sector chart from November 2015 clearly shows the peak and then also the dip we are forecasting. We are seeing some big shifts in the numbers for May 2016 in the composition and location of construction work. Activity in the dip is lower than in the peak of the mining boom - pretty well as expected - but engineering construction will not disappear altogether.“There is a notable increase in the number of active road and rail transport projects in the major projects data base and much of the spending on the NBN is now coming into the construction sector work pipeline.
“Residential housing is the focus of industry and general media comment at the moment, as it is clear that the frenzy for homes, both detached and attached, is running out of puff. However, commentators spruiking a crash today or tomorrow are out of touch with what is actually happening, as there is a lot of work yet to come and buyers lining up to buy given still low interest rates.
“Preliminary data up to the end December 2015 shows that residential building work actually done grew again to record high levels. Dwelling approvals and commencements data shows that there is still growth in the home building pipeline. As reported in November 2015 the amount of residential building work to be done this Financial Year [ending in June 2016] is still likely to be larger than the previous peak in 2014-15. We are carefully reviewing the latest data to confirm the residential building outlook for the May 2016 Australian Construction Market Report.”
Adrian Harrington, Head of Funds Management at Folkestone Funds Management, is Chair of the Construction Forecasting Council. “The building and construction sector contributes around 8% to GDP, and it is crucial that we have detailed forecasts on all key sub-sectors that drive this important component of the economy. ACIF's Forecasts provide the industry with key forecasts across the residential, non-residential and engineering sectors, giving industry participants the quality information they need to make more informed investment and business decisions,” said Mr Harrington.
Australian Construction Industry Forum (ACIF) will launch the ACIF Forecasts at an industry breakfast on Thursday 5 May in Melbourne, which includes an outlook for all sectors for not only Australia but Victoria and Melbourne. An expert panel including Housing Industry Association’s Chief Economist Harley Dale and CoreLogic’s Australian Head of Research Cameron Kusher will discuss the Forecasts and how it relates to the key issues facing our industry. More information about the ACIF Briefing industry event is available here: http://www.acif.com.au/events/event/acif-briefing-may-2016
If you have attended an ACIF Briefing in the past, you will know how valuable it is to hear first hand the latest information on the state of building and construction in Australia.
At the only ACIF live event for the first half of 2016, conveniently located close to DesignBuild Expo, guests will benefit to the Construction Forecasting Council’s highly relevant, credible business forecasts ahead of the industry.
Chaired by Adrian Harrington, Head of Funds Management, Folkestone Funds Management, following the keynote presentation, our expert industry panel will discuss the key outtakes of the ACIF Forecasts and how it will affect different sections of the industry and its players – including clients, tenants, individual professions - and the issues and costs of doing business. Panellists include:
Harley Dale - Chief Economist, Housing Industry Association
Cameron Kusher - Head of Research - Australia, CoreLogic
As you would all now be aware, Prime Minister Malcolm Turnbull has pledged a double-dissolution election on 2 July if the Senate does not pass legislation to restore the Australian Building and Construction Commission (ABCC), as well as establish a Registered Organisations Commission.
It is a policy of Australian Construction Industry Forum (ACIF) that the ABCC should be re-established and all of the industry-specific laws previously administered by the ABCC, so the Prime Minister’s move is a welcome one.
When the ABCC began in 2005, the number of working days lost to industrial disputes in the construction industry annually per 1000 employees fell from 224 in 2004 to just 24 in 2006. Since the ABCC was abolished by the Gillard Government in 2012, industrial disputes have again risen and productivity affected. Further, a Registered Organisations Commission would monitor the transactions of union finances and make it virtually impossible for union officials to hold senior roles if they have a criminal record.
While ACIF will be urging the cross-bench Senators to restore the ABCC, given the statements of some Senators since the Prime Minister’s announcement, it seems unlikely that the Government will have the support of six of the eight cross-bench Senators necessary to pass the legislation. Thus it seems very likely that a double dissolution election will be held on 2 July, with the focus on union activity, and especially in the construction industry.
Given the nature of union activity in the construction industry, a statutory body with special powers is needed to maintain the rule of law. The re-establishment of the ABCC with its former powers would greatly increase productivity in the industry, meaning that everybody in the industry would benefit. Since the loss of the ABCC, union officials have received more than $3 million in fines, with a significant number currently before the courts.
ACIF urges all players in the construction industry to observe the rule of law, and it is unfortunate that a culture exists in the industry that makes it necessary for a body like the ABCC to exist. All workers in the industry deserve an environment where they can go to work, and be assured of their physical and mental health. Bullying of apprentices cannot be tolerated, and nor can bullying of construction managers by union officials. Surveying of construction managers in the ACT in 2015 showed that a third had been physically bullied and two-thirds verbally bullied.
Enough is enough, and this culture must end. The ABCC should be restored as soon as possible, and ACIF will be working hard to ensure this policy goal is achieved.
The Australian Construction Industry Forum (ACIF) today welcomed the release of Infrastructure Australia’s (IA) Australian Infrastructure Plan. ACIF believes that the Australian Infrastructure Plan, when implemented, will result in more local employment in the construction industry, the development of skills and training, particularly for young people, and a long-term plan that will create more certainty for employers and the industry. The report incorporating 78 recommendations provides a coherent and strategic long-term plan based on cost-benefit analysis that will hopefully lessen political influence in providing the infrastructure that Australia most needs.
James Cameron, ACIF’s Executive Director, stated, “We applaud Infrastructure Australia on the release of the Australian Infrastructure Plan.”
“Infrastructure Australia is something that other countries wish to emulate, as it is a body which makes recommendations based on long-term social and economic benefit, rather than short-term political gain.”
“This initial 15 year plan by Infrastructure Australia is a bold and definite statement by IA of where Australia should be heading in terms of infrastructure priorities, and we strongly encourage Federal and State Governments to take note and implement Infrastructure Australia’s recommendations.”
“Universities, technical colleges and employers must have some level of certainty of demand in order to know where to prioritise education and skills development, and this plan provides that.”
“ACIF would also like to see more Australian labour, manufacturing and products used on local projects and we encourage Australian governments to do their best to ensure this occurs on these projects recommended by Infrastructure Australia.”
“Product conformity and product compliance are also issues for Australian Governments to consider with these projects, and are important for their short, medium and long-term success.”
“ACIF agrees that we must encourage strategic and integrated planning, and notes that Infrastructure Australia states that the average Australian household will be $3000 a year better off by 2040 if this priority list of infrastructure is built.”
“ACIF welcomes the commitment of IA to improve decision making in infrastructure planning, procurement, delivery and operation. ACIF’s work with the Australasian Procurement and Construction Council on best practice procurement and the implementation of Building Information Modelling will be valuable resources in achieving IA’s aims.”
“I look forward to working with Federal and State Governments to encourage debate into fair and equitable ways of funding the infrastructure Australia needs”, commented Mr Cameron.
'New Other Residential'? Forecasts Categories Explained
Fri, 12 Feb 2016 00:00:00 +1100
'New Other Residential' labels a wealth of business in the building and construction industry. But what does it include?
The 20 categories in the ACIF Forecasts are drawn from the Australian Bureau of Statistics, which has a strict definition of what work is called what. To ensure that our forecasts of work demand are consistent across our (so far) 14 years and into the future, the team behind the ACIF Forecasts retain the definitions to categorise work demand for the next decade.
'New Other Residential' in the 'Residential Building' section is defined as: A new ‘other residential’ building is a building other than a house primarily used for long-term residential purposes and which contains (or has attached to it) more than one dwelling unit (e.g. includes blocks of flats, home units, attached townhouses, villa units, terrace houses, semidetached houses, maisonettes, duplexes, apartment buildings, etc.)
Its a strange little term for a whole lot of work. From the chart below, from the Customised Forecasts Dashboard, you can see that the work in this work type for New South Wales, Victoria and Queensland, is growing nicely over the next few years. $16.8million in 2016-2017 makes this work type a nice earner for many of us.
ACIF Forecasts are the industry’s own forecasts for the whole building and construction industry, for the next ten years, helping you plan not only for FY 2016-17 but all the way to 2025.
ACIF Forecasts cover 20 work types across residential and non-residential building plus engineering construction, as rolling ten year forecasts plus ten years of actual performance. Developed by leading industry forecaster, the information is then rigorously reviewed by a unique panel of economists and industry experts before release.
Expert data and analysis across four forecast types:
Work demand – the dollars to be spent over the next decade, by 20 work types, by national, whole of state, capital city, or rest of state.
Labour requirements – the number of people required by our industry, by skill type, by state or across Australia.
Big Picture – the costs for construction projects as an index, so you can prepare project quotes with confidence.
Major Projects – provided by Cordell Information, the full Major Projects database includes over 5,500 major projects over $20m, with the ability to search for projects by location down to postcode level, category, and commencement date. View information on value and project status.
ACIF Forecasts data and analysis are presented in three formats:
12 months online access to Customised Forecasts Dashboard – online database of the full forecasts data set, with easy to use tools for subscribers to tailor a query to suit their business.
2 x Australian Construction Market Report sent by email as they are published – 70+ page report with detailed expert commentary on the forecasts, from the macro drivers of change, to the national outlook then the major changes for each state and territory.
2 x ACIF Forecasts online discussions/Webinars with forecaster at release time – exclusive access to the forecasters where they explain the key changes in the latest forecasts, with opportunity to answer questions from the live audience. Recording of the session is available for ACIF Forecasts Subscribers.
Discount registration for ACIF Briefings – business breakfast events at which the ACIF Forecasts are launched and presented to the audience. Includes an expert panel to discuss the major issues both arising from the forecasts and affecting the industry at the time.
3 Priorities for the Building and Construction Industry in 2016
Thu, 04 Feb 2016 00:00:00 +1100
by James Cameron New year is always a good time to set goals. For Australian Construction Industry Forum (ACIF), the bloom of new year is even more so as I begin as Executive Director, after waving off Peter Barda to the many joys of retirement amongst his wine vines.
The challenges ahead for the industry are significant, as are the opportunities. For ACIF, an important point to ponder is where to focus our energies for 2016, leveraging the significant contributions to the industry under Peter’s leadership.
Our first priority is making sure that the right people understand the key needs of this industry, which employs 1.1 million people. However, we build the homes, workplaces, hospitals, schools and public spaces for all 23 million Australians. As an industry, we have strong ideas on what needs to happen to make this better.
Design and Construction for a Sustainable Industry
Government Economic Management – Regulation
Occupational Licensing
Procurement
Workforce Development and Relations
Workplace Health and Safety
With my years of experience managing policy and advocacy, and my determination to make a difference for ACIF, communicating these policies will be my first priority.
Secondly, it is my conviction that just as the Wallabies, Australian cricket team and Australian netball team all strive to be number one in the world, so to the Australian construction industry should strive to be ranked first in the world in a range of indicators. Let’s play hard, play as a team, and play to win.
ACIF and its key government partner, Australasian Procurement and Construction Council, have jointly produced a series of resources to improve how we work, to make it safer, more fulfilling, more cost effective (so more clients will start projects) but more importantly produce a better built environment for all Australians.
The built environment plays such an enormous role in our physical and mental health and wellbeing. Buildings and infrastructure are essential for families, businesses, government, and organisations of all types. Buildings and infrastructure left to us from previous generations are a key component of our civilisation. In Cordoba in Spain, they are still using a bridge first built by the Romans over 2000 years ago!
Thirdly, making sure that this industry has the right intelligence with which to drive its decision making. We need to have an evidence base for what has happened, and a reliable set of data and information on what is coming. The ACIF Forecasts are part of this, but where are the gaps – where else do we need better, clearer, more specific information that can inform the big strategic questions of the industry, as well as the small, more localised ones for individual businesses? When we are forewarned we can be forearmed, as the saying goes, which means ready to handle the ebbs and flows that come from being a big, important part of a dynamic domestic and international economy.
We can do it, together. We have much to be proud of in the Australian construction industry, but let’s keep the ideas flowing to continually make things better. ACIF is a collaborative organisation, the meeting place for the leaders across the building and construction industry to learn about each other but also to find commonality so we can work together on issues and opportunities that affect us all. We welcome your input too, so if you have any ideas on how the industry can be improved, please do get in touch at ceo@acif.com.au. I look forward to hearing from you.
Augmented Reality capable construction guide released
Thu, 04 Feb 2016 00:00:00 +1100
An Augmented Reality (AR) capable construction guide has been released for NSW.
The 2015/16 edition of the NSW Construction Site Safety Guide features interactive content that allows users to engage with the guide on a whole new level. Supported by ACIF MemberMaster Builders Association NSW, this year’s Guide will include additional information, training resources, videos, 3D models and safety awareness. Using the publisher's Pro-Vis AR app on smart phones or tablets, construction workers can unlock hidden content and engage with the most up-to-date safety information.
If unsecured or unstable, a falling object or structure can have detrimental effects on a construction site with the possibility of fatalities. To avoid such hazards, control measures must be implemented and reviewed. Scaffolds are a well-known hazard in the industry and if incorrectly erected can lead to the possibility of the scaffold collapsing on-site. As a principle contractor, it is your duty to consult with your scaffold contractor/supplier and relevant documents to understand scaffold compliance.
Fire protection during construction is a very real concern for the construction industry. Suitable means of fire fighting must be installed in a building under construction to allow construction workers to combat the fire attack. This year’s Guide brings light to the hazards present on construction sites and uses AR content to engage and educate users on safe practices in the construction industry.
To obtain free copies of the NSW Construction Site Safety Guide 2015/16, please click here to send an email request for one.
2015 was a year of significant challenges, so how will you make sure that 2016 is a better ride? A crystal ball, perhaps?
Here it is.
ACIF Forecasts November 2015 outline the macro and local conditions your business will face over the next 10 years.
Get informed on forecasted spending on 20 work types of residential and non-residential building plus engineering construction. >> What types?
Want to see how fast the landscape is changing? Read the new detailed analysis of the variations since the previous forecasts in July 2015. A new chapter in the Australian Construction Market Report breaks down the key changes and the colour coded chart shows you the hot spots of work, and where it is cooling off.
The latest ACIF Forecasts shave between $2-4 billion per year for the next three years from future construction activity ACIF had forecasted in July 2015. This largely reflects a forecasted dip from a peak in Residential Building spending, and the continuing decline from the peak in Engineering Construction.
Australia’s macro story is changing, and this affects building and construction requirements. Population growth rates have been revised downwards reflecting falls in immigration from recent peaks. The reduction in growth in the working age population has profound implications for future employment, unemployment and economic growth.
Despite the large contraction in aggregate work done last year, employment in construction activities increased by 1.4% to 1,043,000 jobs. It appears that growth in labour intensive Residential Building has more than offset the decline in more capital-intensive Engineering Construction.
Many additional projects have been added to the ACIF Major Projects list in the Customised Forecasts Dashboard in the period between the July 2015 and November 2015 Forecasts. Australian Construction Market Report for November 2015 includes a table showing the number of additional active projects by state and for Australia. It also shows the total value of the additional projects by category.
Residential Building
Residential Building peaked in 2014-15 at 186,000 completions - which is much higher than anticipated, and that we have ever seen in history. This surge was due to low interest rates and so was broadly experienced in every state and territory. Growth in the booming sub-sector that includes townhouses and apartments will halve in some areas in the coming years. The ACIF Forecasts for November 2015 show where and when the fall from the peak be most felt, and in what sub-sector.
Non-Residential Building
Non-Residential Building fell by 0.3% last year – a loss of $122 million in work done – with further reductions to come. However three sub-sectors in particular, Health and Aged Care, Offices and Retail and Wholesale Trade, will reverse the trend due to non-mining business investment, and will grow in 2015-16.
Engineering Construction
Engineering Construction activity surged over the last few years peaking at $129 billion in 2012-13, driven by investment in mining and heavy industry as well as an expansion in related infrastructure. The investment phase of the mining boom has come to an end and the levels of engineering construction activity are now falling. However infrastructure investment across Australia is projected to be sustained at current levels or grow.
The Australasian Procurement and Construction Council (APCC) has released the second edition of the Procurement of Construction Products: A Guide to Achieving Compliance.
The Guide is aimed at assisting anyone involved in the building industry to ensure the building products they select, buy and install meet Australian building standards. The Guide fills the gap in credible and accurate information on ‘safety critical’ products, to verify construction product conformance, in order to determine whether or not a product is fit-for-purpose.
The Guide now recognises 34 industry led product accreditation schemes and guidance information across a range of building product categories including reinforcing and structural steel, cementitious materials for concrete, wood products, glazing products, electrical products, fire safety services, plumbing products, insulation products, coating products and building products.
“The Guide highlights the importance to the procurer of understanding the responsibility to determine whether or not a construction product is fit for its intended purpose,” said the APCC Chair, David McHugh, Chief Executive, Department of Infrastructure, Northern Territory.
“Importantly, the compliance and durability of construction products are major risk factors which need to be managed as they impact significantly on the service life and quality of building and construction projects, said Mr McHugh.
“The APCC has worked with over forty building industry and building product groups to update the Guide, originally released in September 2014. This new edition acknowledges that industry is working hard to ensure that the products supplied to builders are fit for purpose,” said APCC Executive Director, Teresa Scott.
“The Guide is also aimed at assisting builders and trade contractors,” said Kristin Brookfield, Chair of the APCC Construction Product Quality Working Group and HIA executive director, building development and environment.
“Knowing the right questions to ask and what to check when products are delivered on site has become an extremely difficult task. This Guide can assist builders to understand how to get the right product for the job,” said Ms Brookfield.
“Choosing quality building products for any building work is important. This Guide also helps manufacturers and suppliers of building products understand how to test their products, correctly label them and provide the right information to show they meet the national building standards,” said Ms Brookfield.
A copy of the Guide is now available online at www.apcc.gov.au.
Business in 2016 is going to be, well, interesting.
ACIF Forecasts are the industry's own outlook for building and construction for the next decade, and are a reliable, relevant 10-year forecasts for residential building, non-residential building and engineering construction.
There is now a new way to use the ACIF Forecasts in your business planning...
+12 months access to Customised Forecasts Dashboard - online access 24/7 to tailor your query on the ACIF Forecasts numbers. New video here to see what it includes and how to use it
+Exclusive online discussion session with the Forecaster, Kerry Barwise
+Discounted registration to ACIF Briefings
Subscribe nowto have the November 2015 Report and access to the online discussion with the forecaster recording included in your package for FREE.
As he leaves the building and construction industry after 40 years in leadership roles, retiring Executive Director ACIF, Peter Barda shares his thoughts and wishes for our industry.
It’s been a challenging year for ACIF and, in many ways for the industry, but I can’t help but feel optimistic about the future.
Roads spending is also helping to provide jobs and much needed transport efficiency. It’s also been encouraging to see the Commonwealth Government commit to funding of pre-feasibility work for the Melbourne-Brisbane inland rail project. If only we could get that away, what a difference would be made to the economic resilience of the bush along a more than 1,000 kilometre steel spine.
The industry’s adoption and use of technology to drive greater efficiency continues to grow. The potential of BIM and a renewed focus on the “way we used to do things” with strong project team integration have the capacity to be game changers, as we are already seeing in Singapore and Hong Kong.
We have a Minister for Cities, a long overdue recognition of the central importance of cities as generators of wealth and providers of social and economic infrastructure. We also have a Prime Minister who gets innovation and the need for sustainability to be at the centre of policy making.
It’s been a privilege to work for ACIF for the last eight years, but the time has come to hand over and disappear in to the sunset. My thanks to the ACIF Board members I have worked with, in particular my three chairmen – Neil Marshall, Robin Fardoulys, and Ian Pedersen – and Marketing Manager Pia Argiratos. Thanks also to my colleagues at the Australasian Procurement and Construction Council with whom I was privileged to work happily and collaboratively on several projects.
I wish my successor James Cameron all the best and trust he will find the role as stimulating as I have.
Lastly, thanks to the thousands of people I have worked with and for over forty-some years in the industry. In that time I have come across only two people I would rather not see again. I wonder if they know who they are?
Australian Construction Industry Forum (ACIF) congratulates DesignBuild Expo on winning its category at the recent Exhibition and Event Association of Australasia (EEAA) Awards for Excellence.
DesignBuild won the category for Best Trade Show under 10,000 m2, while it’s Marketing Manager Stephanie Bleakley also took out the Richard Geddes Young Achiever Award.
DesignBuild has been partnered with ACIF and other industry Associations for over four years, and in that time has increased its understanding of the needs and wants of the building and construction industry in Australia. The 2015 DesignBuild Expo held in Sydney saw dramatic changes in the mix of exhibitors and the speaker series, resulting in a dynamic event for the industry.
“Ali Mead and the DesignBuild team have consulted with the building and construction industry and taken its feedback seriously,” said ACIF Executive Director Peter Barda. “As a result, the Expo is focussed on supporting industry needs such as good quality products and innovation for improving what we produce.”
The latest industry forecasts show the crucial role the building and construction sector is playing in rebalancing the Australian economy, as it transitions from mining and housing booms towards moderation in a services based economy.
“The November 2015 ACIF Forecasts highlight the quick pace of change in our economy, with major changes in our outlook for building and construction across Australia since our last forecast,” said Adrian Harrington, Head of Funds Management for Folkestone and Chair of ACIF’s Construction Forecasting Council, which produces the ACIF Forecasts.
“The November 2015 ACIF Forecasts shave off between $2-$4 billion per year for the next three years in anticipated work demand. This is a substantial change in the prospects for businesses large and small, from designers and constructors to individual tradespeople as well as young people seeking to enter the workforce.
“It will also have significant implications for the Australian economy as it continues to transition away from mining.”
The ACIF Forecasts include demand for work across three industry sectors, residential and non-residential building plus engineering construction, and 20 work types, for all states and territories, as well as labour, and construction costs. The ACIF Forecasts are produced by ACIF’s Construction Forecasting Council which comprises representation from across the industry and are based upon information sourced from government reports, economic reports and major projects data from Cordell Information that are scheduled or in progress across Australia.
“The big shift in the outlook largely reflects the dip we are experiencing from a recent peak in spending in Residential Building, plus the continuing decline from the peak in Engineering Construction we enjoyed with the mining and resources boom,” said Kerry Barwise, head forecaster for ACIF.
“Australia’s macro story is changing, and this affects requirements in building and construction. Population growth rates have been revised downwards, reflecting falls in immigration from recent peaks. The reduction in growth in the working age population also has profound implications for future employment, unemployment and economic growth.”
ACIF Forecasts use leading indicator data but also a unique industry peer review process, with the data and analyses being reviewed by leading economists and forecasts together as ACIF’s Construction Forecasting Council. This ensures that changes not yet revealed in statistics and external data can be factored into the ACIF Forecasts, to ensure they are highly relevant and accurate. A peak consultative not-for-profit organisation in the building and construction industry, ACIF has published the ACIF Forecasts as an industry service since 2002.
ACIF Forecasts are possible only thanks to ongoing support from Cbus Super, our Principal Sponsor, plus Cordell Information, DesignBuild Expo, Property Council of Australia and Viewpoint Construction Software.
ACIF Forecasts are released online at www.acif.com.au. This crucial business information is available as Australian Construction Market Report, including detailed commentary by state and work type, as well as data tailored to individual user’s requirements from the ACIF Customised Forecasts Dashboard. Subscribe now to receive 12 months full access to the ACIF Forecasts.
ACIF Forecasts November 2015 include a new detailed analysis of the variations in the short period since the last release in July 2015.
The latest ACIF Forecasts shave between $2-4 billion per year for the next three years from future construction activity ACIF had forecasted in July 2015. This largely reflects a forecasted dip from a peak in Residential Building spending, and the continuing decline from the peak in Engineering Construction.
Australia’s macro story is changing, and this affects building and construction requirements. Population growth rates have been revised downwards reflecting falls in immigration from recent peaks. The reduction in growth in the working age population has profound implications for future employment, unemployment and economic growth.
Despite the large contraction in aggregate work done last year, employment in construction activities increased by 1.4% to 1,043,000 jobs. It appears that growth in labour intensive Residential Building has more than offset the decline in more capital-intensive Engineering Construction.
Many additional projects have been added to the ACIF Major Projects in the period between the July 2015 and November 2015 Forecasts. Australian Construction Market Report for November 2015 includes a table showing the number of additional active projects by state and for Australia. It also shows the total value of the additional projects by category.
Residential Building
Residential Building peaked in 2014-15 at 186,000 completions - which is much higher than anticipated, and that we have ever seen in history. This surge was due to low interest rates and so was broadly experienced in every state and territory. Growth in the booming sub-sector that includes townhouses and apartments will halve in some areas in the coming years. The ACIF Forecasts for November 2015 show where and when the fall from the peak be most felt, and in what sub-sector.
Non-Residential Building
Non-Residential Building fell by 0.3% last year – a loss of $122 million in work done – with further reductions to come. However three sub-sectors in particular, Health and Aged Care, Offices and Retail and Wholesale Trade, will reverse the trend due to non-mining business investment, and will grow in 2015-16.
Engineering Construction
Engineering Construction activity surged over the last few years peaking at $129 billion in 2012-13, driven by investment in mining and heavy industry as well as an expansion in related infrastructure. The investment phase of the mining boom has come to an end and the levels of engineering construction activity are now falling. However infrastructure investment across Australia is projected to be sustained at current levels or grow.
Leading indicators suggest that the pace of growth in Residential Building is tapering off, but there is still building activity in the pipeline and a further increase in work done is predicted in 2015-16, furthering the 7% uptick experienced in 2014-15. An increase in Non-Residential Building last year ended three years of contraction in this category. A jump is foreshadowed in 2015-16 for Engineering Construction, reflecting spending on infrastructure projects announced and funded in the recent Australian Capital Territory budget.
NSW
New South Wales is at the forefront of rebalancing its economy and making adjustments in construction activity where growth in Residential and Non-Residential Building is exceeding declines in Engineering Construction. A net increase in aggregate construction activity is expected to put New South Wales into the leadership position in the state construction stakes over the next two years.
NT
Construction activity in the Northern Territory surged over recent years to reach a total of $9 billion in 2014-15. The Territory achieved 86% growth last year. After growth of 26% in Residential Building in 2013-14, the Territory was the only state to miss on growth in this sector last year however growth is coming in two Residential Building sub-sectors for the next two years. As projects reach completion over the next two years, Non-Residential Building will hover at around $1 billion per year.
SA
Building and construction activity contracted in South Australia to $11 billion in 2014-15. Engineering Construction, which had been the driver of growth in construction activity in South Australia for some years, is now on a downslide. This has overcome increases in Residential Building to drive a reduction in aggregate construction activity. Looking into the medium to longer term, South Australia’s Non-Residential Building will grow broadly in line with general economic activity. A growth blip this year, reversing a downturn since this sector’s peak in 2008-09, reflects expectations that South Australia will receive a share of the ongoing nation wide recovery in in activities such as Accommodation reflecting increased service provision in areas such as tourism and education.
QLD
Construction activity is on a downslide in Queensland. Total activity fell by $13 billion last year and 3 more years of contraction are ahead. The decline is being driven by a downturn in Engineering Construction. This has spread from sharp falls in Heavy Industry including mining with the end of the mining boom, to include falls in related infrastructure including in Electricity and pipelines, Bridges, railways and harbours. The end of the mining boom also seems to be suppressing non-residential building work with further contractions in Office and Other commercial building in prospect. An upturn in Residential building has defied the end of the mining development boom. There is still more Residential Building work in the pipeline, although growth will be at a slower pace.
TAS
Residential Building in Tasmania had been on a downtrend since 2008-09, however last year saw an uptick of $2.8 billion, reflecting increases in New Houses and New Other Residential. Leading indicators suggest that growth has peaked in these activities, though New Houses construction is expected to continue to grow, albeit at a reduced rate in 2015-16. A fall in Engineering Construction is in prospect over the medium term as current projects are completed, mainly in Electricity and Pipelines construction and Roads. Growth in Non-Residential Building activity will be volatile reflecting changes in the mix and the arrival and departure of a relatively small number of projects, but the trend is expected to come out at around the same rate of growth in the economy at large as economic activity is “rebalanced” with less dependence on mining and resources and more investment follows emerging opportunities in tourism, education, health and aged care and innovative manufacturing and commerce.
VIC
Total construction spending in Victoria has been on a steady uptrend over recent years to arrive at $42 billion in 2014-15. Residential Building activity dominates the picture in Victoria, and has been growing steadily since 2006-07, defying the downturn that came with the GFC, to amount to $23 billion by 2014-15. There have been concerns about saturation of the market for apartments and townhouses and leading indicators suggest that growth has peaked. Engineering Construction activity in Victoria peaked in 2011-12 and continued its downtrend with a 5% contraction in 2014-15. This reflects a sustained downtrend in Water and Sewerage, and Electricity and Pipelines and in Heavy Industry including Mining. Further falls in these areas are in prospect over this year (2015-16).
WA
Construction activity in Western Australia is on a downslide. It fell to $54 billion last year. Further declines are expected over the next three years. The falls are largely driven by falls in Engineering Construction. The end of the mining boom has seen falls in heavy industry including mining in recent years. Declines have spilled over into supporting infrastructure including construction of Bridges, railways and harbours, electricity and pipelines and Water and sewerage. Overall, Engineering Construction activity fell by 10% last year and a further deeper fall of 19% is expected this year. Non-Residential Building activity has grown from around $2 billion in 2003-04 to peak at $6 billion in 2011-12 and Residential Building in Western Australia has shown an upturn over the last two years. Western Australia has seen particularly strong increases in New Other Residential building over recent years and a more recent uptick in New Houses. The leading indicators suggest that growth rates have peaked and New Other Residential may even be on the decline with the net effect resulting in continued growth in Residential Building this year, albeit at a lower level of growth than last year.
The construction industry is a major contributor both directly and indirectly to the Australian economy. So no more reports, just get on with it!
This is an industry that employs around 1 million Australians, and had turnover of $233 billion in 2013-14 equating to 14% of GDP. In addition, it creates the buildings, cities and infrastructure that makes Australia more productive, liveable and sustainable, adding substantially to our national wealth and well-being.
Yet, the construction industry in Australia has not substantially improved its productivity in decades, and can waste up to 30% of its efforts. This is not a uniquely Australian issue. Rather, it is a product of the structure of the construction industry, the increasing complexity of its services, and the creation and operation of “silos” within that structure.
If that wasted effort were to be reduced by only one third, it would lift Australian residential and non – residential construction output by more than $10 billion annually. If the changes required to achieve that reduction were to “ripple” through the industry, it is conceivable that within a few years the improved output would be substantially higher.
The Solutions?
This challenge has been the subject for numerous studies, reports, reviews and inquiries over at least three decades, most recently the Productivity Commission inquiry into Public Infrastructure Costs (2014).
These landmark studies point to a diverse range of common denominators in reducing wasted effort. In particular, three key themes are evident; depth of procurement and project management skills, better supply chain integration and the use of technology to improve project outcomes.
Yet despite these themes (and many particular recommendations) reappearing in study after study, there has been slow (if any) adoption of better practice. This is despite evidence from other jurisdictions (e.g. the UK) or industries (e.g. resources sector), that adopting these recommendations result in massive productivity uplifts, less waste, lower costs and happier industry participants.
ACIF and its members believe that there is no need for more inquiries or reports. The imperative is to act on a handful of potential drivers of improvement that are developed collaboratively by governments, clients and service providers.
The Role of Government
The importance of governments is twofold. As policy makers, governments have ultimate influence over the legislative and regulatory arrangements governing the industry. Even more important, however, is government in its role as client. As major and ongoing clients of the construction industry, and the ways in which governments and industry interact have a profound impact on both the health of the industry and the success of governments in delivering their capital programs.
Industry is already doing a great deal of heavy lifting from the bottom up, but it is limited in achieving the pace of change required to remain competitive with major trading partners without top down political and government leadership.
Leadership from government in both these roles is critical if we are to turn the dial on Australia's construction productivity.
Recommendation 1 - Establish an Independent Procurement Centre of Excellence.
With large amounts of public funds being spent on infrastructure, it is incumbent on governments to ensure they get maximum value for money through the procurement process. To buy wisely you need wise buyers: there are substantial opportunities for governments and business to share expertise, and identify and deliver solutions that improve productivity and value for money across the procurement process.
To overcome persistent deficiencies in procurement skills and practices, we recommend a whole of government approach supporting the establishment of an Australian Procurement Centre of Excellence, building on the work of the Australasian Procurement and Construction Council (APCC).
The Procurement Centre of Excellence will expand the APCC’s role and remit, broadening government engagement and building on work across jurisdictions considering efficiencies in procurement. The Centre would be tasked with building a stronger relationship between government and business and supporting best practice procurement in Australia at all levels of government. The Centre should:
be established as independent of government;
build stronger linkages between government and with industry sectors;
provide transparent expert advice to all levels of government;
develop guidelines, build capability and improve standards; and
work with Infrastructure Australia and other government agencies to develop long term visionary thinking and planning for investment in economic and social infrastructure.
The Board of the Procurement Centre of Excellence should include equal levels of representation from industry, and government.
Recommendation 2 - Increase Standardisation in Procurement and Contracting
Devolved responsibility for agencies has resulted in greater autonomy, but also significant re-inventing of wheels. Bespoke approaches to project definition, initiation and contracting have increased regulatory burden (or at least administrative burden), decreased trust and certainty and increased waste.
ACIF believes that a ‘leading practice’ approach to can be reflected in a consistent public sector framework of capital works procurement policies and practices, used by all government agencies.
ACIF recommends a suite of leading practice procurement policies, delivery strategies and contract conditions be developed by the Procurement Centre of Excellence, to be used by government agencies on an “if not why not” basis that would:
provide best fit between end user and project requirements and delivery strategy;
reduce the cost of contract administration and of providing appropriate procurement and commercial skills whether in house or by consultants;
minimise wasted effort and disputes; and
embody equitable risk allocations whilst ensuring best value for end users and owners.
Recommendation 3 - Adopt BIM by 2020
Building Information Modelling (BIM) is being used around the world to complement better collaboration and coordination between the supply chain participants in construction. Using technology as a facilitator to bring project teams together and design a virtual prototype of an asset are helping to enhance collaboration, test and re-test business case objectives, and plan for more efficient asset delivery.
Moving an entire industry to a new way of doing things however, is not an easy task. There are up-front capital investments, significant industry up skilling, regulatory frameworks and standards to be developed and changes to culture to be considered. However the productivity dividend is undeniable. Numerous reports, experience from other countries and existing Australian examples provide a significant evidence base to substantiate making the change.
Thus it is imperative that governments, through their significant purchasing power and whole of industry influence, lead the way.
Next in the ACIF Webinar series, we explore the opportunities for investment in China.
Join us with Kristian Fok, Executive Manager Investment Strategy and Tim Ridley, Investment Strategy Manager, from Cbus as they discuss Tim’s recent research trip to Beijing and Shanghai. Highlights include the investment implications of the slowing pace of China’s economic growth, the Chinese credit bubble, market reforms and flows of money out of China (including our residential market).
Kristian Fok - Executive Manager, Investment Strategy, Cbus
Kristian and his team are responsible for designing and setting the investment strategy for the Fund. The team works closely with the Investment Committee of the Board and with the Investment Management team as they manage investment governance and risk, implement the strategy and monitor the portfolio. Kristian and his team evaluate the market and investment opportunities that will provide returns to members over the long term within the parameters of the investment objectives of the Fund. The team is made up of strategy, ESG, public and private markets investment professionals.
Qualifications: BCom, Fellow of the Institute of Actuaries, Fellow of FINSIA
Tim Ridley - Investment Strategy Manager, Cbus
Tim works closely with the Fund’s internal investment team and the Fund’s investment consultant to formulate investment advice which is considered by the Cbus Investment Committee and Board. This includes formulating advice in relation to the asset allocation of Cbus’ investment options, as well as the configuration of asset classes.
Qualifications: Master of Economics and Bachelor of Economics (with First Class Honours)
Australian Construction Industry Forum (ACIF), the building and construction industry’s peak collaborative body, is pleased to announce the appointment of new Executive Director, James Cameron.
With the imminent retirement of Peter Barda after eight years at the helm, ACIF’s Board sought an industry professional experienced in policy and research, with detailed understanding of the issues facing the building and construction industry in Australia. James Cameron brings expertise in policy formulation, most recently from Australian Institute of Building, with good depth of knowledge of the industry’s key issues and many participants.
ACIF’s Chair Ian Pedersen said, “On behalf of the Board and Members, we welcome James Cameron as ACIF Executive Director.”
“We have worked with James over several years and are already aware of his high quality work and his vision for a successful and productive building and construction industry. We are pleased to see him pick up the reins from the insightful Peter Barda, to leverage ACIF’s impressive achievements to date to foster a stronger industry into the future.”
Mr Cameron said, “I am looking forward to joining ACIF to tackle both the opportunities and challenges that the industry faces.”
“Australia should be the world leader in the built environment. While the industry has many strengths, in terms of its economic viability, quality, safety, sustainability, innovation, design, skills and research, there is room for improvement. This will be my mission while at ACIF.
“It will be an honour and a privilege to work with ACIF’s Member organisations, as well as industry and government, as together we make a positive difference in Australia’s built environment.
“I wish Peter Barda all the best in his retirement, and on behalf of ACIF, thank him for all the magnificent work he has done for the organisation since 2008.”
James Cameron will commence as Executive Director of ACIF in January 2016.
Some of the positions held by James Cameron
Australian Institute of Building - Policy and Advocacy Manager
Australian Automobile Association - Policy and Research Manager
Far from being the regal of economic geeks, businesses large and small need to understand the detail of how their business intelligence is being created, so they can be sure they are using information that is credible and relevant to their business and properly informs their planning.
The building and construction industry's own forecasts of demand, labour and construction costs, the ACIF Forecasts, are prepared using top down and bottom up analytical frameworks.
The ‘top down’ framework starts with the preparation of economic forecasts. These are compiled through the use of the AUS-M model which is operated by Outlook Economics. The AUS-M model is a large quarterly time series structural model of the Australian economy.
It is based on the TRYM model, originally developed by the Australian Treasury. AUS-M builds on TRYM by incorporating input-output based demand systems and more industry and commodity detail. In terms of common labels, AUS-M is a modern Keynes-Klein-style model, to which CGE features have been added.
Forecasts for the global and the Australian economy are prepared. The forecasts include information about policy settings, including fiscal and monetary policies, as well as supply and demand, investment, trade, capital and labour markets, and changes in prices. A high level of industry detail is also provided in the AUS-M forecasts, spanning investment, output, employment and prices. The key elements of the National accounts that relate to construction are tracked in detail, which is very helpful when projecting changes in construction expenditure which is largely a portion of Gross Fixed Capital Formation and public sector spending and investment.
AUS-M also involves considerable information about demographic change in Australia. Information is tracked about natural growth, net immigration and net internal migration.
The Building Activity Model (BAM) draws together ‘bottom up’ information tracking actual construction projects and actual construction spending and employment over the recent past in considerable industry and geographic detail. Data is sourced from the ABS National Accounts and Buildings Approval data, and Cordell Information. The BAM identifies the share of investment in the asset types that make up the residential and non-residential building and engineering construction sectors by construction type and subcategories and across Australia, by state, by capital city and by the rest of state. The ABS asset type definitions are included in the Appendix to this report.
Query the ACIF database by location, work type, time period and more with the Customised Forecasts Dashboard. Check out the video on the Dashboard here, where it shows how you can tailor a query to your business needs. >> Click here for the video
Non-residential building activity in the larger states has reflected underlying economic conditions and changes, show the latest building and construction forecasts by Australian Construction Industry Forum.
ACIF Forecasts latest release shows that activity in New South Wales, Victoria and Queensland ramped up over the period to 2008-09 when the GFC seemed to have induced an overall moderation.
Despite the fiscal stimulus felt in some non-residential construction activities such as Education, overall non-residential building activity softened up to 2013-14. Non-residential construction activity in Western Australia over the last decade seemed to have closely followed the fortunes of investment in mining and resource development, which induced an increase of construction spending of around 70 per cent over the last decade, but which began to slide down over the last 2-3 years.
The chart below shows activity levels at 2013-14 as a index of 100.
Looking ahead, a dip in non-residential building spending is in prospect. The trough is expected to be deeper and more prolonged in the mining states. Non-residential construction activity will eventually resume growth in line with underlying growth in the economy at large.
Non-residential spending in the Australian Capital Territory was subdued between 2011-12 and 2013-14, falling by as much as 80 per cent from the previous five-year average spending.
Over the next decade, we expect to see non-residential spending recover to the previous decade average as mixed-use developments and hospital refurbishments take place, offsetting declines in office building spending observed in recent years.
>> Detailed information on residential building in Australia, and for each state and territory, can be read in the Australian Construction Market Report.
>> Data on both actuals and forecast demand for the next 10 years are available for 4 sub-sectors of residential building on the Customised Forecasts Dashboard.
Well, that may be a bit on the hyperbolic end of the spectrum, but three recent pieces of work from the Royal Institute of Chartered Surveyors (RICS) highlight that fact that Building Information Modelling (BIM) can be pretty stimulating when it comes to property professionals as well as construction stiffs.
The new research reports share insights and experiences from various stages of the real estate life-cycle and examine various aspects of how and where BIM technologies are employed to improve project coordination.
BIM has its uses in other areas and sectors where it can influence project costs and facilitate better information flow.
Details and links to the three reports are below, however there are interesting conclusions from the research. Here are some:
If BIM innovations can also be designed to enable inter-disciplinary learning and promote collaboration throughout a project supply chain, then the efficiency savings are likely to be large.
In terms of education and skills transfer, suppliers and sub-contractors at lower levels of the supply chain might well be open to innovative solutions to project co-ordination and management. The capacity for innovation demonstrated by some of the suppliers and sub-contractors in the study suggests that they would not be resistant to embedding ICT solutions – the constraints would be direct financial costs, and indirect costs in terms of lost working time. These will be particularly significant for the smaller, more vulnerable businesses.
Support, including financial support, is needed from construction organisations, clients, main contractors and government to enable smaller, more vulnerable businesses to access training and education opportunities, without disrupting their normal business.
More generally, for novel technologies, processes and procedures, the construction industry organisations have a crucial role to play in informing construction businesses, particularly smaller businesses about the relative benefits of BIM and other ICT solutions.
Details and links to the three RICS reports are here:
Utilization of BIM in Construction Cost and Project Management Practice
North America, China & the UK (June 2015)
This report examines how BIM is used in the North American, Chinese and the United Kingdom (UK) construction markets and the opportunities and challenges faced by professionals in its development. It finds that for the utilisation of BIM-enabled construction cost and project management to continue to evolve in a sustainable manner so as to become conventional practice, there must be interventions on the part of both the public and private stakeholders.
These interventions should focus on the standardisation of BIM’s construction cost and project management practices and widespread integration of BIM in built environment education programs. >> Download the report here
Building Information Modelling and the Value Dimension (June 2015)
This report investigates the potential for property professionals to use BIM data. Workshops were held with property professionals in Sydney and London along with a global online survey to identify the data types and needs of property professionals which were then mapped out across the property lifecycle.
The report identifies 24 specific data types that are used by a number of property professionals through the property lifecycle were identified in the workshops. Different data types are required at different stages of the property lifecycle. Some professionals have repeated data needs over longer periods of the lifecycle, whereas others have a need for a more limited range of data types at specific points in the lifecycle.
Property professionals who require data relating to building performance and maintenance costs will find BIM data useful, where it is available, in their professional practice.
The report finds that there is great potential to expand education about BIM into property education at undergraduate and post-graduate level. This potential will increase over time as the rate of uptake of BIM. >>Download the report here.
Collaborative Building Information Modelling (BIM): Insights from Behavioural Economics and Incentive Theory (April 2015)
This report outlines the findings from a research project that explores the potential and pitfalls of collaboration on construction projects and matches these with an analysis of BIM. The work investigates how BIM can improve information flows and enable collaborative working practices particularly among suppliers in the lower tiers of the construction supply chain.
Here are the key research questions addressed in the report – they apply equally validly to the Australian industry.
Do transaction costs, particularly at lower tiers of the supply chain – in which SMEs are strongly represented, impede efficient supply chain management?
How and why can collaboration reduce transaction costs within supply chains?
Are construction transaction costs inflated by constraints on the quick and easy flow of information and/or behavioural biases?
What potential does BIM have to reduce these transaction costs, not only by increasing the transparency and comparability of building information data, but also by harnessing the benefits of collaboration?
If BIM does have potential to ease the flow of information, do behavioural biases have an additional impact in constraining the uptake of BIM? For projects that have not implemented BIM, what are the implications?
What a good start. Prime Minister Turnbull’s announcement of Jamie Briggs as Minister for Cities and the Built Environment is a most welcome start to his premiership.
The recognition of our cities as economic powerhouses for the economy and critical sources of social infrastructure recognises advocacy from the industry over a long period of time as well as plain good sense.
The focus on innovation too is to be commended. Hopefully that will mean that the industry advocacy for encouragement from all levels of government for fresh approaches to risk, procurement and adoption of BIM will also be recognised and receive a positive response.
What's behind the forecast for building and construction?
Wed, 23 Sep 2015 00:00:00 +1000
Quality ingredients make a good dish, don't they? Its the same with the industry intelligence you use for business planning: it is as good as the inputs and method used to define what is happening in the market.
ACIF Forecasts have been informing large and small businesses across the building and construction industry in Australia since 2002.
The latest twice-yearly release of data and commentary for residential building, non-residential building plus engineering construction included data and other information available up to the middle of June 2015, of particular importance are the historical data published by the ABS, including:
“Engineering Construction Activity”, ABS Cat No. 8762.0, released 1 July 2015;
“Building Activity”, ABS Cat No. 8752.0, released 15 April 2015;
“Construction Work Done” ABS Cat No. 8755.0 released 27 May 2015;
“Australian National Accounts: National Income, Expenditure and Product” series 5206.0 released 3 June 2015; and
Australian System of National Accounts, 2013-14 released 31 October 2014.
Cordell Information major project data is another key ingredient in the forecasts, giving an up to date list of the big spends providing work to trades and more, in locations all across Australia.
Forecasts are presented in real terms using chain volume measures based on ABS’s current chain volume base year of 2012-13. It should be noted that when the chain volume base year changes, the historical values are revised by ABS, in turn affecting ACIF Forecasts.
Query the ACIF database by location, work type, time period and more with the Customised Forecasts Dashboard. Check out the video on the Dashboard here, where it shows how you can tailor a query to your business needs. >> Click here for the video
The building and construction industry, like much of the Australian population in general, keeps a close eye on the movements in the residential building sector, hungry for profit.
The latest ACIF Forecasts show that residential building in the most economically dynamic states has varied considerably.
In the below chart, the value of construction spending in the residential sector for selected states has been converted into an index where spending in 2013-14 is set to 100.
A close look at the charts shows residential spending as an index shows that residential construction spending peaked in Queensland 2006-07 and has experienced a trend decline until last year. Activity is already recovering and further gains are projected in the next few years reflecting historic lows in interest rates.
A strong recovery in residential construction activity is already underway in New South Wales. It is expected to see strong growth in the medium term.
Victoria has had sustained growth in Residential construction activity over most of the last decade. Further growth is factored into the projection for the medium to longer term, although this is at a rate that is lower than that projected for New South Wales and Queensland.
Residential construction activity has been volatile in Western Australia. Activity peaked in 2010-11 and fell in the years to 2012-13. A recovery is underway at present and this is projected to continue with relatively high growth rates being achieved to 2015-16 reflecting the surge in residential demand that is being felt around Australia reflecting sustained low interest rates and still relatively modest rates of unemployment.
>> Detailed information on residential building in Australia, and for each state and territory, can be read in the Australian Construction Market Report.
>> Data on both actuals and forecast demand for the next 10 years are available for 4 sub-sectors of residential building on the Customised Forecasts Dashboard.
As the House of Representatives Standing Committee on Infrastructure and Communications enquires into Smart ICT in the design and planning of infrastructure, it’s timely to look at some of the issues the industry needs to address, and the tools individual firms of designers and constructors need to master, to get the best from Building Information Modelling, or BIM.
Why bother? A study by the Allen Consulting Group found that accelerated adoption of BIM would increase GDP growth in Australia by 0.2 basis points in 2011, and by 2025, it was estimated that GDP growth would be 5 basis points higher. And also that the benefit cost ratio of early adoption of BIM would be around 10 (assuming a $500 million adoption cost).
To achieve maximum benefits from the adoption of BIM, a number of activities need to be addressed with appropriate government or industry bodies taking the leadership role in championing delivery.
The higher the level of integration of project team members at the early design stages, the greater the opportunities to get maximum benefit from the use of BIM.
BIM is a very effective tool that promotes project collaboration through clearer, more accurate, up-to-date communication by consolidating currently disparate project information, allowing all team members to contribute to the establishment and population of the databases underpinning the planning, design, construction and operation of the asset.
At the same time the use of BIM assists project team integration (PTI) by dissolving the barriers between project team members through the sharing of knowledge and closer collaboration throughout the project lifecycle.
The powerful combination of PTI and BIM can significantly reshape the way project teams work together to increase productivity and improve outcomes for all project participants. Utilised together, PTI and BIM are capable of driving the most transformative change the building and construction industry has ever experienced.
Contractors in nine of the world’s top construction markets using BIM report BIM helps them to improve productivity, efficiency, quality and safety on their projects, as well as their own competitiveness. Further, contractors in markets with well-established BIM, together with those markets that are still in the initial stages of BIM adoption, are experiencing a positive return on their investments in BIM.
ACIF and the APCC are well down the track of providing guidance for industry practitioners, and for clients, and for government wearing its industry policy hat – assuming it still has one labelled “construction”.
We now have five guides under our belts, all developed by practitioners for practitioners. Each provides invaluable guidance for those contemplating using BIM and focusing on better project team integration to enhance collaboration and improve productivity and minimise disputes.
Most remarkably of all, they are all free to download from the ACIF web site. I suspect that’s probably a mistake you understand, because “no price” may send a signal to some that there is “no value”. Take it from me, that’s not the case – there’s gold in there.
The meeting of Building Ministers held in Melbourne at the end of July has taken encouraging first steps to address serious concerns over failures in building product quality certification. A workshop convened ahead of the Ministers meeting by Karen Andrews, the Minister assisting the Minister for Industry, gave the Industry an opportunity to expand on its concerns. Industry has shown great unity in attacking the problems, through the Construction Product Alliance. The Alliance has framed a multi-faceted action plan, including several initiatives adopted by Building Ministers.
Kristin Brookfield from the Housing Industry Association, and an ACIF Board member, has been a key driver in this work and attended the Melbourne workshop. She briefed this week’s ACIF Board meeting on the workshop and meeting outcomes. Four of the recommendations in the Construction Product Alliance action plan were adopted.
A handbook will be prepared regarding the use of risk based assessments to determine evidence of suitability under the NCC.
The ABCB will review the current evidence of suitability criteria in the NCC.
A senior official group, led by the Queensland Department, will review surveillance and audit activities.
The ABCB is to be tasked to report on mandatory product reporting for high risk products.
ACIF's Customised Forecasts Dashboard has a new feature, where you can tailor a forecast for work demand - for short term of 8 quarters to long term of 10 years - not only by capital city or state, but also all of Australia.
The new Country: Australia region choice gives a new dimension for businesses large and small assessing the viability of working in any of 20 work types in residential building, non-residential building or engineering construction sectors.
The new option is included on the Region page (see below, highlighted yellow) of the Customised Forecasts Dashboard provided by ACIF, giving 24/7 access to the ACIF Forecasts data published by the Construction Forecasting Council.
Once a query has been selected, results are available as data for up to the previous ten years as actuals, plus forecasts for the next ten. Results can also be provided as a chart.
Peter Barda retiring from Australian Construction Industry Forum
Mon, 24 Aug 2015 00:00:00 +1000
Australian Construction Industry Forum’s Peter Barda has decided that its time. After many productive and successful years at its helm, he will retire from his position as Executive Director – leaving big shoes for someone to fill.
"After eight years with ACIF, it’s time for me to spend more time looking after the vines and fruit trees on our farm in the Hunter Valley,” said Peter.
Peter’s tenure as Executive Director of ACIF is the most recent in his leadership roles in the building and construction industry in Australia. He began his career as a construction lawyer, before becoming CEO of the Building Industry Specialist Contractors Organisation of Australia, the Property Council of Australia, the Commonwealth Government Construction Industry Development Agency, and the Master Builders Association of NSW.
“On behalf of the ACIF Board, I want to thank Peter for his dedication and excellent leadership of ACIF,” said Ian Pedersen, Chair of ACIF. “Peter’s professionalism and skill have seen ACIF achieve cross-industry policy advancements, and provide important resources to the industry including forecasts of work demand and employment, plus productivity resources that can help our industry improve and grow. We wish Peter and his wife Jill much happiness in their retirement.”
ACIF Board is now inviting expressions of interest from suitably experienced industry professionals, to lead the organisation into its next period of development. Interested people are welcome to contact Peter Barda for further information, on ceo@acif.com.au.
Latest ACIF Forecasts shows that while a decline in mining construction activity dominates headlines, it is clear that many large mining and resource development construction projects dominate the list of projects that are still being considered or are currently underway in Australia.
Not all of these projects will proceed and some may be deferred, but the large number of large mining and resource development projects that remain on the list suggests that the end of the current mining investment boom may not be as final or peremptory as previous cycles.
Of the $100 billion forecast to be spent in Engineering Construction in 2014-15, around $50 billion is to be spent in the Heavy Industry inc Mining category.
The top 20 major projects list also includes a number of infrastructure projects including Sydney Rapid Transit - second harbour crossing ($10.5 billion), WestConnex ($11.5 billion), Melbourne Metro rail tunnel ($9 billion), and others. These projects are still in early planning or planning stages, but some have been given a high priority by Commonwealth and/or State Governments and in some cases, funding commitments have already been announced.
The 20 Largest Major Projects list does not include the development of the National Broadband Network (NBN) which is underway at present and is expected to involve $40-50 billion of capital expenditure spread over Australia at large in the next several years. Component parts of the NBN that have been announced as specific projects in particular locations are included in the ACIF major projects database.
A much more comprehensive list of projects collected by Cordell Information is available through ACIF’s Customised Forecasts Dashboard. The database includes projects found in Cordell Information business intelligence that span new building construction activities from early planning stages, that are under construction or where tenders are being called, through to completion and when projects are deferred or cancelled across Australia and across all major types of construction activity. This larger data base includes all major projects that have a project value that is greater than $20 million. The major projects database has also been used as a resource in the preparation of the ACIF Construction Market forecasts.
Latest ACIF Forecasts show Residential building spending increased in 2013-14 to $75 billion.
Spending is projected to increase to $79 billion in 2014-15. Dwelling approvals and commencements statistics point to strong growth being already ‘in the bag’ for this year.
Record low interest rates have driven increased demand. This has increased dwelling prices, particularly in Sydney, but also stirred the industry to expand supply of new housing in most of Australia’s capital cities.
Sustained growth is expected until 2016-17 where residential building is projected to reach $87 billion. An increase in interest rates, supply constraints or higher prices is projected to cap growth in residential building from around mid 2016-17.
Non-residential building activity has been relatively subdued over the years following the GFC. This type of construction activity achieved growth of 5 per cent in 2013-14 to $35 billion, as per the latest ACIF Forecasts.
National economic managers have spoken with concern about a continued decline in non-mining business investment. Non-residential building is projected to contract by 8 per cent in 2014-15 to $32 billion. An upturn is projected in the medium term given a return of business investment and higher economic growth.
Non-residential building activity in the larger states has reflected underlying economic conditions and changes.
Activity in New South Wales, Victoria and Queensland ramped up over the period to 2008-09 when the GFC seemed to have induced an overall moderation. Despite the fiscal stimulus felt in some non-residential construction activities such as Education, overall non-residential activity softened up to 2013-14. Non-residential construction activity in Western Australia over the last decade seemed to have closely followed the fortunes of investment in mining and resource development, which induced an increase of construction spending of around 70 per cent over the last decade, but which began to slide down over the last 2-3 years.
Looking ahead, a dip in non-residential spending is in prospect. The trough is expected to be deeper and more prolonged in the mining states. Non-residential construction activity will eventually resume growth in line with underlying growth in the economy at large.
Construction is in the middle of a whirlwind of change in the global economic outlook and major structural changes that are shaping which industries grow and which contract and where that activity will take place around Australia.
The macro-economic outlook and interest rate settings are driving a structural shift and churn in the mix of investment in Australia.
In the construction industry, total spending in 2013-14 reached $231 billion, slightly lower than the $233 billion we had foreshadowed in December 2014. It is expected that construction activity will fall to $213 billion this year (2014-15).
Significant increase in residential building is already well underway and an increase to $79 billion in for 2014-15 as a whole is factored in to the revised projections. A larger increase is factored into the projections in 2015-16, raising activity by 9 per cent.
A slight improvement in non-residential spending was observed in 2013-14 from $33 billion in 2012-13 to $35 billion. Total spending in non- residential construction is projected to dip slightly in 2014-15 reflecting soft non-mining business investment in the economy at large.
The biggest change is a reduction in engineering construction, now projected to amount to $100 billion in 2014-15, a decline of 18 per cent on spending in 2013-14. The mining development boom is very definitely over. The slide in activity in this sector will continue over the next few years, reducing spending to $86 billion by 2017-18.
Website subscribers can enjoy summaries of the forecasts by sector, and download a free Summary Report.
PARLOUR: a space to speak – bringing together research, informed opinion and resources; generating debate and discussion; expanding the spaces for women in Australian architecture.
Parlour needs your support.
Over the past three years Parlour has become an important ‘space to speak’; a strong and respected online platform providing research, resources and discussion about gender equity and architecture.
Parlour is now an Incorporated Association. This enables us to continue as a powerful voice in the profession that also provides space for others; to expand the resources available and to develop new initiatives and research.
To do this we need assistance from sponsors, donors and supporters – like-minded organisations, business and individuals who value our work and its results.
The ACIF Forecast Breakfast held in Sydney on Monday was the first of only three such industry events for 2015, where we provide an early release of the industry forecasts for work demand, major projects, construction costs and labour for the next decade.
If you follow us on Twitter, you will have seen a series of post with quotes and notable comments from the expert lineup, including leading industry forecaster Kerry Barwise, Construction Forecasting Council Chair Adrian Harrington (Folkestone Funds Management), Matthew Harris (Rider Levett Bucknall), David Rees (JLL) and Brian Seidler (Master Builders NSW).
Comments included:
Key Global Macro Economic risk for building construction is global prices.
Industry is substituting capital for labour. Employment & growth recovering
Total construction changing gear: -7% 2014/15
Activity has further to fall but not as far or fast as engineering construction
Residential growth nearly 9% in 2015/16. Upturn is sustainable too.
Winner is NOT Sydney. Queensland remains leader in building construction activity. But Sydney has its own race going on with construction building growing, due to biggest mix of work inc mining.
How to access the ACIF Forecasts
Australian Construction Market Report - Expert analysis and commentary, from a macro perspective, national economy including employment, sector analysis, state-by-state outlook, major projects from Cordell Information, plus construction costs projections by Rider Levett Bucknall. >> read more
Customised Forecasts Dashboard - tailor your own query on the ACIF Forecasts database, across work demand, labour, projects and costs. By work type, location, timeframe. Output as data or charts. >> read more
Video comments
With apologies for the fair audio quality, here are some video comments from some of our expert panel.
Kerry Barwise, leading industry economist, on ACIF Forecast July 2015
Adrian Harrington, Chair of Construction Forecasting Council, on ACIF Forecasts July 2015 for New South Wales
Matthew Harris (Rider Levett Bucknall) on ACIF Forecasts for July 2015
ACIF’s Construction Forecasting Council will release its mid-year forecasts of demand for housing, commercial building, and engineering construction at the breakfasts.
ACIF Forecasts are an industry resource developed by the industry, for the industry.
The industry’s best minds lend their skill and experience to the ACIF Forecasts, adding their expert knowledge of the ‘X’ factors that affect how the data will play out.
ACIF Forecasts have a reputation for accuracy and relevance, endorsed by leaders across the industry.
Full breakfast, interactive Q&A with an expert panel, and a copy of the Australian Construction Market Report (value $250). All for $150 – less for tables of 8.
Click on the links below for further details including panellists, and register online.
Global coalition formed to unify construction measurement standards
Tue, 07 Jul 2015 00:00:00 +1000
Over 30 professional bodies from around the world met last week at the International Monetary Fund (IMF) in Washington D.C. to launch a major initiative which seeks to create international standards in construction measurement.
The International Construction Measurement Standards (ICMS) Coalition was established by non-profit organisations representing professionals in more than 140 countries. Collectively, the group aims to create overarching international standards that will harmonise cost, classification and measurement definitions in order to enhance comparability, consistency, statistics, and benchmarking of capital projects.
In an industry estimated to be worth a staggering $15 trillion by 2025 according to Global Construction Perspectives, inconsistency in something as fundamental as construction measurement and reporting can create huge uncertainty, misunderstanding, and risk.
The ICMS Coalition will continue to grow as further professional organisations come forward to join the effort to align high-level principles. By mid July 2015, the coalition will be formally launched. Industry corporations, contractors, and key government stakeholders will also be encouraged to contribute to and lead adoption of the new international framework in their capital markets.
The work to draft and consult on ICMS will be led by an independent committee of construction experts, due to be appointed by the coalition in the coming weeks. The Washington meeting represented a landmark moment for construction, project management, cost engineering and quantity surveying sectors as a whole. This is the first time these professions have come together in this way to develop unifying standards which reflect and enhance the increasingly international construction market.
The coalition has stated its ambition to make tangible progress immediately and to deliver an internationally agreed and adopted standard in the near future.
Michael Manikas, Chief Executive Officer of the AIQS said “in today’s global environment there is such a strong need to establish international standards. With developers and contractors working across the globe it is becoming even more important to enable standard and consistent benchmarking across regions on construction costs. The ICMS with be the conduit to this change and enable greater mobility and certainty in the construction industry.”
The organisations that have already signed the declaration to become
joint members of the ICMS Coalition are:
African Association of Quantity Surveyors (AAQS)
Association for the Advancement of Cost Engineering (AACE)
Association of Cost Engineers (ACostE)
Association of South African Quantity Surveyors (ASAQS)
Australian Institute of Quantity Surveyors (AIQS)
Brazilian Institute of Cost Engineers (IBEC)
Canadian Institute of Quantity Surveyors (CIQS)
Chartered Institution of Civil Engineering Surveyors (CICES)
China Engineering Cost Association (CECA)
The European Council of Construction Economists –Conseil Europeen des
Economists de la Construction (CEEC)
Commonwealth Association of Surveying and Land Economy (CASLE)
Federation Internationale des Geometres (FIG)
Ghana Institute of Surveyors (GhIS)
Hong Kong Institute of Surveyors (HKIS)
Institution of Civil Engineers (ICE)
International Cost Engineering Council (ICEC)
Institute of Engineering and Technology (IET)
Nigerian Institute of Quantity Surveyors (NIQS)
Pacific Association of Quantity Surveyors (PAQS)
Philippine Institute of Certified Quantity Surveyors (PICQS)
Royal Institution of Chartered Surveyors (RICS)
Society of Chartered Surveyors Ireland (SCSI)
Union Nationale des Economistes de la Construction (UNTEC)
As the building and construction industry anticipates the next release of industry data by Australian Construction Industry Forum, one call is heard loud and clear: Show Me The Money!
Australian Construction Industry Forum (ACIF) will release the next ACIF Forecasts in July, and the outlook is overall positive for work demand across all sectors, for most areas.
In terms of total construction, meaning all work across residential and non-residential building plus engineering construction, there is a slight fall of 3.4% from $231 billion spent in 2013-14 to $224 billion forecast to be spent in 2014-15.
Residential building alone is expected to increase to $82 billion from $74 billion, which is an increase of 11.2%.
Non-residential building will go down a little, but then is projected to go back up. It has fallen down 1.3% over the 12 months to 2014-15 to settle at $35 billion, set to fall to $34 billion by 2016-17 then is forecast to increase after that.
The biggest fall by sector is for engineering construction – no surprises there as the sector settles from the mining construction boom. Down 13.9% from $122 billion in 2013-2014, for 2014-15 the spend was $106 billion – still a lot of work.
ACIF releases forecasts for work demand, labour requirements, costs of construction and major projects twice a year to keep businesses large and small well informed of changing market conditions. The rolling ten-year forecasts are generated by the building and construction industry’s peak consultative not-for-profit body, with the unique benefit of oversight by the industry’s own Construction Forecasting Council.
ACIF will release the latest data first at Forecasts Breakfasts in Sydney, Brisbane and Melbourne 20-23 July 2015 before the release of a report and data via its website. Included in the presentation will be vital information, such as National forecasts and analysis for residential building, non-residential building, and engineering construction plus detailed information for each capital city and state.
Delivered by pre-eminent industry forecaster, Kerry Barwise, followed by debate by an expert panel, the ACIF Forecasts Breakfasts are important events for businesses in building and construction around Australia
ACIF Forecasts are available as Australian Construction Market Report including national and state-by state data and analysis by Australian’s leading forecaster, plus the Customised Forecasts Dashboard where subscribers can query ACIF’s data to generate detailed reports and charts from national to postcode level.
About ACIF Forecasts
ACIF Forecasts are rolling ten year forecasts of demand across residential, non-residential building and engineering construction in Australia. The Forecasts are prepared by respected economic modellers, using high quality data sources, and are overseen by ACIF’s Construction Forecasting Council, an industry panel of expert analysts and researchers.
ACIF Forecasts are only possible with thanks to the support of Principal Sponsor Cbus, and Silver Sponsors Cordell Information, DesignBuild Expo, Property Council of Australian and Viewpoint Construction Software.
ACIF Forecasts are used by thousands of professionals each year, from across the full range of stakeholders, from major organisations to small consultancies. ACIF Forecasts are released twice a year, and are available as Australian Construction Market Report, and detailed numbers are available by subscribing to the Customised Forecasts Dashboard. More information about ACIF is available from www.acif.com.au/forecasts.
Employment, plus possible mini-boom: ACIF Forecasts
Wed, 01 Jul 2015 00:00:00 +1000
Latest industry forecasts are set to show patchy growth – even a possible mini-boom – for building and construction.
Australian Construction Industry Forum (ACIF) will release the next ACIF Forecasts in late July, and the outlook is positive for work demand across all sectors, residential and non-residential building, plus engineering construction. ACIF releases the forecasts for work demand, labour requirements, costs of construction and major projects twice a year to keep businesses large and small well informed of changing market conditions.
“Employment is the big, good news story coming out of the latest ACIF Forecasts – despite a decline in mining infrastructure,” said Peter Barda, Executive Director for ACIF.
“New South Wales and Queensland are powering ahead. There is a resurgence in non-residential building, with new drivers of structural change re-shaping the CBD office markets. Infrastructure investment is driving new investment in industrial buildings.
“For these states, there is every chance of a mini boom in engineering construction – led by roads and followed by mining.”
“Looking at residential building for these states plus Victoria, this sector is strong with new dwelling completions through the roof. But how long can growth be sustained?”
However, Victorian engineering construction pales next to it comparator states, prompting the question, what is Victoria going to do about it?
The forecasts are generated by the building and construction industry’s peak consultative not-for-profit body, with the unique benefit of the industry’s own Construction Forecasting Council overseeing the rolling ten-year forecasts. Businesses from architecture, to engineers, construction, trades and facility management rely upon the independent and reliable forecasts to plan for success.
National forecasts and analysis for residential building, non-residential building, and engineering construction
Forecasts and analysis for the three sectors, for all states and territories
Detailed outlook for the state and capital city
Overview of the global economic drivers affecting the Australian economy
Five year forecasts of the macro indicators of prosperity for our industry – GDP, interest rates, employment, inflation, and more
Delivered by pre-eminent industry forecaster, Kerry Barwise, followed by debate by an expert panel, ACIF Forecasts Breakfast are important event for businesses in building and construction in New South Wales. Queensland and Victoria.
ACIF Forecasts are available as Australian Construction Market Report including national and state-by state data and analysis by Australian’s leading forecaster, plus the Customised Forecasts Dashboard where subscribers can query ACIF's data to generate detail reports and charts from national to postcode level.
NSW building and construction booming: ACIF Forecasts
Tue, 30 Jun 2015 00:00:00 +1000
Latest industry forecasts for building and construction are set to show business is booming for New South Wales – for all sectors.
Australian Construction Industry Forum (ACIF) will release the next ACIF Forecasts for NSW on 20 July 2015, and the outlook is positive for work demand across all sectors, residential and non-residential building, plus engineering construction. ACIF releases the forecasts for work demand, labour requirements, costs of construction and major projects twice a year to keep businesses large and small well informed of changing market conditions.
“Employment is the big, good news story coming out of the latest ACIF Forecasts – despite a decline in mining infrastructure,” said Peter Barda, Executive Director for ACIF.
“New South Wales is powering ahead, continuing its traditional role as the front-runner in the Australian economy.”
“Residential building is strong, as new dwelling completions are through the roof – the question is, how long can growth be sustained?
“There is a resurgence in non-residential building. New drivers of structural change are re-shaping the CBD office markets. Infrastructure investment is driving new investment in industrial buildings. And there is every chance of a mini boom in engineering – led by roads and followed by mining.”
The forecasts are generated by the building and construction industry’s peak consultative not-for-profit body, with the unique benefit of the industry’s own Construction Forecasting Council overseeing the rolling ten-year forecasts. Businesses from architecture, to engineers, construction, trades and facility management rely upon the independent and reliable forecasts to plan for success.
National forecasts and analysis for residential building, non-residential building, and engineering construction
Forecasts and analysis for the 3 sectors, for all states and territories
Detailed outlook for Sydney and NSW
Overview of the global economic drivers affecting the Australian economy
Five year forecasts of the macro indicators of prosperity for our industry – GDP, interest rates, employment, inflation, and more
Delivered by pre-eminent industry forecaster, Kerry Barwise, followed by debate by an expert panel, this ACIF Forecasts Breakfast is an important event for businesses in building and construction in New South Wales.
ACIF Forecasts are available as Australian Construction Market Report including national and state-by state data and analysis by Australian’s leading forecaster, plus the Customised Forecasts Dashboard where subscribers can query ACIF's data to generate detail reports and charts from national to postcode level.
Latest industry forecasts for building and construction are set to show business is improving for Queensland businesses – across all sectors, but especially engineering construction.
Australian Construction Industry Forum (ACIF) will release the next ACIF Forecasts for Queensland on 22 July 2015, and the outlook is positive for work demand across residential and non-residential building plus engineering construction. ACIF releases the forecasts for work demand, labour requirements, costs of construction and major projects twice a year to keep businesses large and small well informed of changing market conditions.
“Employment is the big, good news story coming out of the latest ACIF Forecasts – despite a decline in mining infrastructure,” said Peter Barda, Executive Director for ACIF.
“Residential building is powering ahead, with new dwelling completions through the roof. The question is, how long can growth be sustained?”
“There is a resurgence in non-residential building. New drivers of structural change are re-shaping the CBD office markets. Infrastructure investment is driving new investment in industrial buildings.
“Engineering construction is looking as promising with every chance of a mini boom – led by roads and followed by mining.”
The forecasts are generated by the building and construction industry’s peak consultative not-for-profit body, with the unique benefit of the industry’s own Construction Forecasting Council overseeing the rolling ten-year forecasts. Businesses from architecture, to engineers, construction, trades and facility management rely upon the independent and reliable forecasts to plan for success.
National forecasts and analysis for residential building, non-residential building, and engineering construction
Forecasts and analysis for the 3 sectors, for all states and territories
Detailed outlook for Brisbane and Queensland
Overview of the global economic drivers affecting the Australian economy
Five year forecasts of the macro indicators of prosperity for our industry – GDP, interest rates, employment, inflation, and more
Delivered by pre-eminent industry forecaster, Kerry Barwise, followed by debate by an expert panel, this ACIF Forecasts Breakfast is an important event for businesses in building and construction in Brisbane and other areas of Queensland.
ACIF Forecasts are available as Australian Construction Market Report including national and state-by state data and analysis by Australian’s leading forecaster, plus the Customised Forecasts Dashboard where subscribers can query ACIF's data to generate detail reports and charts from national to postcode level.
VIC building strong – but construction?: ACIF Forecasts
Tue, 30 Jun 2015 00:00:00 +1000
Latest industry forecasts for building and construction are set to show business is improving for Victorian businesses – for most sectors.
Australian Construction Industry Forum (ACIF) will release the next ACIF Forecasts for Victoria on 23 July 2015, and the outlook is positive for work demand across residential and non-residential building. ACIF releases the forecasts for work demand, labour requirements, costs of construction and major projects twice a year to keep businesses large and small well informed of changing market conditions.
“Employment is the big, good news story coming out of the latest ACIF Forecasts – despite a decline in mining infrastructure,” said Peter Barda, Executive Director for ACIF.
“Residential building is powering ahead – but is it all apartments? New dwelling completions are through the roof. The question is, how long can growth be sustained?”
“There is a resurgence in non-residential building. New drivers of structural change are re-shaping the CBD office markets. Infrastructure investment is driving new investment in industrial buildings.
“Engineering construction is not looking as promising, however. Other states have every chance of a mini boom in engineering – led by roads and followed by mining. What is Victoria doing to fight back?”
The forecasts are generated by the building and construction industry’s peak consultative not-for-profit body, with the unique benefit of the industry’s own Construction Forecasting Council overseeing the rolling ten-year forecasts. Businesses from architecture, to engineers, construction, trades and facility management rely upon the independent and reliable forecasts to plan for success.
National forecasts and analysis for residential building, non-residential building, and engineering construction
Forecasts and analysis for the 3 sectors, for all states and territories
Detailed outlook for Melbourne and Victoria
Overview of the global economic drivers affecting the Australian economy
Five year forecasts of the macro indicators of prosperity for our industry – GDP, interest rates, employment, inflation, and more
Delivered by pre-eminent industry forecaster, Kerry Barwise, followed by debate by an expert panel, this ACIF Forecasts Breakfast is an important event for businesses in building and construction in Melbourne and other areas of Victoria.
ACIF Forecasts are available as Australian Construction Market Report including national and state-by state data and analysis by Australian’s leading forecaster, plus the Customised Forecasts Dashboard where subscribers can query ACIF's data to generate detail reports and charts from national to postcode level.
Constrained global growth and the flat-lining of demand for Australia’s rocks and energy. What does this mean for local growth, interest rates, and confidence to drive new investment?
European confidence? Nervous at best as it faces Grexit from the Eurozone, and European lenders face up to appalling lending decisions. What will this mean for new construction financing?
The Australian economy is facing structural adjustment as the mining sector’s contribution to government coffers declines. What does this mean for employment? Is the trend likely to be restrained?
Residential activity in NSW and Victoria is off the 40-year statistical chart. It is driving better than 185,000 completed dwelling per annum and surging – way past the average of 155,000. How long can the good times roll before supply side constraints (shovel ready land, and skilled people) pull them back?
How long can the Reserve Bank hold its nerve on interest rates to boost the economy generally, while house prices in Sydney are driven past reasonable affordability levels? If the Reserve blinks, what are the options for demand for new dwellings?
What is local confidence and internet buying doing to retail spending and investment in shopping centres?
The ACIF Forecast Breakfasts are a once-a-year-only opportunity to get the highest quality information and hear from those who put it together, our pre-eminent team of industry forecasters, and the peerless members of the Construction Forecasting Council.
Get all the info in the ACIF Australian Construction Market Report, and breakfast, for $150. Even less for tables of eight – bring your friends, bring your staff, don’t tell your competitors. Briefings will be delivered by our lead forecaster Kerry Barwise, who will field questions from you and an expert panel of industry leaders.
Thirty minutes of daily physical activity may not be much of a challenge for construction workers who spend their shifts active but how do the rest of their lifestyles measure up?
Recent statistics paint an unhealthy picture of the typical modern construction worker – obese or overweight and consuming more alcohol than the national average.
“We know that a healthy worker is a happy worker – health and wellbeing are directly linked to productivity. In fact, the healthiest employees take less sick days, have less workplace injuries and are more engaged in their work than their colleagues,” said Diabetes WA Prevention Unit Manager Lauren Zappa.
“Finding a healthy balance for your workers makes sense. Not only is there a positive impact on their health – but their health makes a positive impact on your business.”
For health-conscious employers who want to help employees improve their health and wellbeing, Diabetes WA has revamped its My Healthy Balance program.
Employers can refer their staff to the free, online program that is designed to provide participants with the information, skills and support they need to set and then reach health goals.
Rather than focusing on fad diets or exercise regimes that fall by the wayside all too easily, My Healthy Balance focuses on long-term, sustainable behaviour changes.
"The program helps people to set SMART goals – that is goals that are specific, measurable, achievable, realistic and timely," explains Ms Zappa.
"Setting SMART goals is important, as these allow people to identify and value the smaller, ongoing achievements as a positive, rather than getting disheartened because they don't get dramatic results overnight."
Each week, participants can complete interactive modules that provide them with credible information on healthy eating, physical activity, mental wellbeing and other relevant topics.
The modules can be completed by participants at a pace that is comfortable to them, meaning there is plenty of opportunity to fit the program in around shift work and casual work.
Participants can also access online or text message support to keep them motivated.
"The aim of this program is to encourage and support people to take small, sustainable steps towards leading a healthier, happier life," Ms Zappa said.
"These benefits are also more than likely to spill over into the workplace – healthier employees means fewer sick days and greater productivity."
ACCC has launched a media campaign to make consumers more aware of the danger of Infinity Cables - so be ready for calls for help.
The onus is on the supplier of the cable to remedy this situation, not you – unless you either purchased the cable direct from Infinity, or from a wholesaler/supplier that has subsequently gone out of business. The first stage in the process is to ascertain who laid the cable, and where it was purchased. Assuming that it was not you, we suggest you quote to inspect the premises. Should you discover Infinity Cable has been laid we suggest you refer the customer to the ACCC website.
You should not go ahead and replace the cable unless the customer requests that and realises that they would have to pay you for that work. If the customer wants this remedial work to be paid for by the supplier, they must work with the supplier – and their electrician, if they know who it was, to get the cable replaced.
The ACCC is very keen to see this situation pick up pace as the progress to date has been very slow, and time is running out as the cables could already be deteriorating.
In August 2014, Infinity electrical cables were recalled by 18 electrical retailers and wholesalers due to safety concerns. The cables were supplied in:
NSW - 2010-2013
ACT - 2011-2013
Victoria, Queensland, South Australia and Western Australia - 2012-2013
Tasmania - 2013.
It is estimated that up to 40,000 homes, commercial and residential buildings in Australia could be affected.
A taskforce of consumer agencies, building regulators and electrical safety regulators are coordinating the safety recall.
To date, 27 suppliers have announced recalls of Infinity cables. Further recalls may be announced in the future.
Electrocution and fire dangers from faulty cables
Infinity and Olsent-branded Infinity cables failed to meet electrical safety standards due to poor quality insulation (plastic coating). Testing found the insulation on the ‘TPS’ and ‘orange round’ range of cables will become brittle prematurely, which may present a safety hazard if the cables are disturbed and the insulation breaks. Cables exposed to prolonged high temperatures will degrade at a faster rate.
Once the insulation is brittle, physical contact with the cables could dislodge the insulation and lead to electric shock or possibly fires.
The taskforce found there is no immediate danger; however, careful steps need to be taken to stop electric shock or fires from occurring in coming years—as early as 2016 for New South Wales.
No incidents have been reported, but the longer-term risk is real. The cables will degrade over time and the risk of physical contact is highest in roof spaces and under raised floors.
What you should do
Have your wiring checked by a licensed electrician if, between 2010 and 2013, you:
purchased a new property
renovated
had electrical work done, including appliance installations.
Do not attempt to inspect cables yourself.
If you are unsure who did the electrical work, talk to your builder. If you don’t know who the builder was and are unsure if Infinity cables were installed, get a licensed electrician to inspect your wiring.
Five Essential Building Blocks to Manage Work in Hand
Wed, 10 Jun 2015 00:00:00 +1000
In a construction software system, an integrated project costing and financial model is a given. But how easily and how well are contractors utilising this project and financial information to get the ‘big picture’ of their company?
To understand, a comprehensive grasp of the quantity and importantly the quality of business-wide work-in-hand is essential. At its simplest, work-in-hand is how much of a company’s order book hasn’t been completed yet.
Importantly the work-in-hand value represents the underlying margin potential and not just the value of turnover alone. Also the ability to understand what assumptions have been made looking forward – from project level upwards – gives contractors the power and controls to measure three vital business metrics.
Can a different approach to procurement make a big difference to project outcomes? What impact will it make on productivity, profitability - and how well the team works together?
The next free ACIF Webinar will be held on Friday 26 June 2015 at 12pm EST to launch the latest Strategic Forum for Building and Construction resource for improving productivity in the building and construction industry.
This informative webinar will be presented by Teresa Scott, Executive Director of Australasian Procurement and Construction Council (APCC) launching the Building and Construction Procurement Guide: Project Team Integration and Building Information Modelling (BIM), published by ACIF and APCC as the founding members of Strategic Forum for Building and Construction.
Strategic Forum as it is acutely aware of the need for optimal delivery outcomes that eliminate waste, maximise end user benefits, enhance industry participants and also increase the productivity of the Australian and New Zealand economies. The Procurement Guide will provide owner personnel and project procurers with an outline of potential procurement practices, processes and steps which might be followed in developing effective procurement strategies for implementation of Building Information Modelling (BIM) and Project Team Integration (PTI) on specific projects within the built environment.
This Guide is also intended to promote consistency of approach on a national basis in examining the relevant tools, standards, strategies and development processes when identifying a model that best suits delivery using Building Information Modelling.
Productivity in the construction industry is critical to Australia’s growth and the economy.
The building and construction industry accounts for 7.8% of Australia’s gross domestic product (GDP), and employs 9.1% of the workforce.
Total spending in the building and construction industry reached $233 billion in 2013-14 - $128 billion on engineering construction, $75 billion on residential building, and $75 billion, and $30 billion on non-residential building.
Collaborative work practices, including different project teams working together from Day 1, are part of the ‘new way’ of project work. But how do you make it work in reality?
This important topic was the first of a new series of free webinars by Australian Construction Industry Forum, held on Friday 29 May 2015 2015.
“Productivity in the construction industry is critical to Australia’s growth and the economy, “ said Peter Barda, Executive Director of Australian Construction Industry Forum (ACIF). “The building and construction industry accounts for 7.8% of Australia’s gross domestic product (GDP), and employs 9.1% of the workforce. At the end of June 2012, the building and construction industry generated $305 billion in total income, incurred $275.4 billion in total expenditure, and employed 950,000 persons.
“A study by the Allen Consulting Group found that accelerated adoption of Building Information Modelling (BIM) would increase GDP growth in Australia by 0.2 basis points in 2011, by 2025, it was estimated that GDP growth would be 5 basis points higher. And also that the benefit cost ratio of early adoption of BIM would be around 10 (assuming a $500 million adoption cost).”
“These statistics provide clear evidence of the benefits and productivity gains achievable through the adoption of BIM.”
ACIF plus its Government counterpart, Australasian Procurement and Construction Council (APCC), have together published a business case and workbook to guide teams towards better, more effective team management.
This is a time of changing political landscapes and economic drivers, and our industry relies on the unique ACIF Forecasts now more than ever before.
With over 13 years history in delivering relevant, credible and reliable building and construction forecasts, Australian Construction Industry Forum is about to do it again with the release the next of the ACIF Forecasts in July 2015.
We forecast the demand for 20 work types, for the next 10 years, across residential and non-residential building as well as engineering construction, across all states and territories.
You can see the opportunities (and threats) coming - whatever you do, wherever you are.
Find out...
Which sectors are winners - and which are losers?
What impact will the Federal Budget have on housing, commercial building, and infrastructure?
Can the Reserve Bank keep interest rates this low for much longer?
Is new apartment development likely to continue at the current pace in NSW?
What about the declining residential market in WA and Queensland?
What labour requirements will the industry have over the next decade?
Are market conditions in any state likely to start to stimulate demand for new office, retail, industrial and other types of buildings?
What's happening to construction costs?
The unique partnerships between ACIF’s Construction Forecasting Council, plus the industry leading forecasters Kerry Barwise, Peter Downes, and Kevin Toohey using high quality data including Cordell Information is one of the industry’s cornerstone forecasts of our future prosperity.
How you can access the ACIF Forecasts
Attend an ACIF Briefing 20-23 July in Brisbane, Sydney or Melbourne. Here we release the Forecasts with a presentation by Kerry Barwise and a panel discussion with industry experts from costing, commercial property, property owners and more. >> Register online here
Generate your own tailored forecasts using the ACIF Customised Forecasts Dashboard, with new Forecast a data available from 24 July 2015. Select your work types, locations and time periods to generate an ACIF Forecast customised to your business.
>> Subscribe hereor Dashboard subscribers can access the Dashboard here
New tools to help the industry get the best from Building Information Modelling and Project Team Integration are about to be released. ACIF and the Australasian Procurement and Construction Council have signed off on a guide to procurement when using Building Information Modelling (BIM) and Project Team Integration (PTI), and a set of required skills sets for people working with BIM.
The tools come after more than 12 months of work by the ACIF/APCCBIM Summit and its dedicated working groups.
The Procurement Guide is a comprehensive guide for clients and procurers of projects to make sure they match the objectives of individual projects and the appropriate use of BIM. It provides clients and their procurement staff or advisers with an outline of potential procurement practices, processes and steps which might be followed in developing effective procurement strategies for implementation of BIM and PTI on specific projects.
This Guide is also intended to promote consistency of approach on a national basis in examining the relevant tools, standards, strategies and development processes when identifying a model that best suits delivery using BIM.
The utility of BIM as a design, construction, and asset and facility management tool is only maximised if it is addressed at the Project Initiation phase of a project, as one part of settling on a procurement strategy.
This is because adoption of BIM and project team integration introduces several new options for decision making and will require budget consideration as well as consideration in terms of business need.
The project procurement strategy will define the process and management of the BIM model creation. It is imperative that the decision to use any delivery method be determined during project initiation so that BIM can be properly structured and managed to support the procurement strategy.
The adoption and implementation of BIM and PTI will modify the typical procurement process. By exploring all available information and options, procurers can ensure that opportunities for achieving increased value-for-money and improved infrastructure investment outcomes are readily identified and capitalised on.
While there are other documents in existence that deal with adoption of PTI and BIM, this Guide specifically addresses the procurement aspects of the use of BIM and PTI for individual projects. It takes into consideration pre-existing material and defines a ‘core’ set of commonly used baseline processes for developing procurement strategies that can be used to consider the suitability of adopting BIM on a specific project.
The Guide will be able to be downloaded free of charge from the ACIF and APCC web sites, and APCC and ACIF members will also be encouraged to make it available from their web sites.
The copyright in the Guide is owned by ACIF and APCC. The Guide will include a licence provision allowing:
unlimited downloads and use of the Guide for non-commercial use;
users who wish to use the Guide in full or part as part of a training program to apply in writing for a licence to do so from APCC and ACIF.
The Skill Sets crystallise the skills required by employers from staff using BIM, who are involved in the process of integrating project teams and managing them as they develop and use BIM models. They are a work in progress, and at present cover skills for architects, construction managers, trades, and consultants and project managers. There is an overarching matrix of skill sets.
The draft matrix and skills sets will released for industry comments early in June, to BIM Summit members, ACIF and APCC and their members, and through the ACIF members’ web sites. ACOFenews subscribers will have the opportunity to download them from the ACIF web site. They will be accompanied by a fact sheet explaining their purpose, and a set of questions to encourage consistent format of responses.
In addition, a series of roundtable discussions will be arranged with cross disciplinary representation, to review the skill sets in detail to determine whether they adequately describe skills required by employers.
The key question we will ask is, “do these skill sets meet your needs as an employer?”
Once the industry consultation has been completed, the skill sets will be “translated” in to competencies, and offered to the industry to use as the foundation for nationally consistent approaches to university, VET and on-line learning.
Encourage accrediting institutes (including the Australian Institute of Building, Australian Institute of Architects, Australian Institute of Quantity Surveyors, and Engineers Australia) to use the competencies as standards to be incorporated in to the curricula of degree courses they accredit.
Given the scarcity of educators with the experience to instruct in this area, we expect that ACIF members might use the competencies as the foundation for specific training and CPDprograms using practitioners as educators.
Australian Governments agreed to a major building regulation reform agenda, with one of the key initiatives of this reform package being: National Construction Code (NCC) being freely available Online from the 2015 edition.
Pre-registration to the free on-line NCC was popular, with approximately 33,000 registrations and 52,000 downloads. Now everyone can register to access the NCC >> Click here to register
Why register??
By registering with the Australian Building Codes Board (ABCB), other free material will be made available such as access to non-regulatory handbooks, YouTube clips and educational material, as well as access to all previous editions of the NCC. Further material will be developed over time to help support training providers, industry associations, education institutions and regulators.
Importantly, registering with the ABCB will enable us to advise users of future changes to the Code.
Australian Building Codes Board aims to register as many practitioners as possible to help build awareness and understanding of the NCC, and in so doing improve the capacity and capability of all who participate industry.
Digital first key to ATO’s new relationship with small business
Wed, 08 Apr 2015 00:00:00 +1000
Digital technology and online services will underpin the new relationship the ATO wants to forge with the small business sector.
Tax Commissioner Chris Jordan told the Tax Institute that feedback is urging them to minimise red tape and provide equipment, systems, technologies, communications and software that enable easy interaction in the digital world.
“People love apps and want more information and services available on mobile devices, but also want to be able to use click to chat or after-hours call-back services like the one we have for small businesses.”
The Commissioner said more small businesses will soon be able to streamline their superannuation obligations using the Small Business Superannuation Clearing House, and that the ATO’s online Small Business Newsroom is becoming a must for small business operators.
He foreshadowed further improvements to AUSkey and ABN registration processes and the release later this year of a new Personal Services Income (PSI) decision tool.
He also highlighted a more client-friendly approach to resolving disputes and to debt management which will focus on business viability and ability to meet future obligations.
“We are intervening earlier to prevent debts from escalating beyond people’s control – connecting with people to ensure they stick to repayment arrangements and prevent things getting worse.”
The Commissioner also launched a Reinventing the ATO Blueprint which can be found at ato.gov.au/reinvention.
“This blueprint describes the kind of experience that Australians want to have when they deal with the ATO. It will guide everything we do in coming years.”
The Association of Consulting Architects (ACA) has launched the Architects’ Time/Cost Calculation Guide.
This Guide is a vital tool to assist practices in assessing the time and associated costs involved in providing an appropriate level of service for a broad range of building types.
The Guide provides a fundamental knowledge base for practices when developing fee proposals and budgets, based in the specifics of their practice. It can be used by practices of all sizes for a wide range of building types, and accommodates a range of service levels and procurement types.
The calculation guide combines information supplied by users about their practice’s overheads, costs, expertise and project particulars with historic data about required hours to generate a suggested fee. It enables practices to tailor this information and knowledge to the particulars of their office.
The Guide means that architects are better informed about the real time and costs associated with projects, and will, therefore be in a better position to negotiate fees that represent adequate time and resources to complete commissions to an appropriate standard. This is to the benefit of all.
The Architects’ Time/Cost Calculation Guide is an ACA member resource, and is available to all members at no cost.
“The release of this Guide, which has taken several years work to produce, is probably the most significant event of its type for the architectural industry in the last decade,” said Steve Kennedy, ACA National President.
"It is a potential game changer and something everyone has been asking for."
The ACA believes that understanding the time, costs and resources associated with completing a project is vital to the business viability of every architectural practice. Yet many practices struggle to accurately determine these factors when developing budgets and fee proposals.
The ACA Architects’ Time/Cost Calculation Guide is a member resource that will guide architects in making better decisions about the time and resources they require to provide appropriate levels of service.
Simon Hanger, ACA – Vic/Tas President, says “If architects are better informed about real costs involved in projects, they will be in a better position to negotiate fees that represent adequate time and resources to complete commissions to an appropriate standard.”
The Architects’ Time/Cost Calculation Guide will be released across Australia on a state-by-state basis, with each ACA branch hosting a seminar to familiarise members with the guide.
Ian Pedersen was elected Chair of the Australian Industry Construction Forum at the ACIF Annual General Meeting in Melbourne on 4 March. John Held and Robert Hunt were elected as Deputy Chairs, and Scott Williams as Honorary Treasurer.
Ian Pedersen is a strategic management planner and manager, and a structural engineer with more than thirty years’ experience in engineering, project and general management, business development, finance, and government and media liaison.
Ian is a Past National President (1999–2000) of Engineers Australia (EA) [The Institution of Engineers Australia]. In 1990 he was awarded the Institution’s National Professional Engineer of the Year Award for the role he played in the aftermath of the devastating 1989 Newcastle Earthquake.
Up to December 2013 he was Chair of EA’s National Honours and Awards committee for over 15 years and has been Chief of Judges for the Australian Engineering Excellence Awards since 2003.
John Held is a director of Russell Yelland architects, and is currently South Australian President of the Association of Consulting Architects Australia, and a member of the SA Construction Industry Forum.
Robert Hunt has been CEO of the Australian Institute of Building for 6 years. He is a former Director of Corporate Services for the Australian Medical Association, after 6 years spent working in senior roles for the Heart Foundation.
Scott Williams has been CEO of Fire Protection Australia for 6 years. He has extensive experience in business management, business development, and finance, across several sectors including telecommunications and global logistics.
ACIF is developing a greater focus on public policy and advocacy. Existing ACIF policy in these areas will be refreshed with a greater focus on advocating to federal, state and territory governments.
Following a day long strategic planning workshop the ACIF Board re-affirmed the Forum’s purpose. The Board settled on this reason for ACIF’s work.
“To ensure the wellbeing of the Australian Construction Industry.”
Our vision
To be “The cohesive, trusted voice of the Australian Construction Industry”
Our core activities will be
Policy and advocacy
Communication to the industry and decision makers
Developing useful technical information and guides
Forecasting of industry activity
Championing the values of innovation, collaboration, equity, and sustainability
ACIF is developing detailed strategies to advocate for positive change in three key areas – procurement, product quality, and skill formation and retention.
Existing policy positions and technical work on the use of project team integration and building information modelling to drive productivity improvements for clients, end users and all parts of the supply chain, will of course continue. This work includes development of a guide to procurement on projects where BIM is used, a set of uniform competencies for people working on the technical and process aspects of BIM, and a checklist for capital works projects. All three pieces of work are being undertaken under the aegis of the Strategic Forum for the Australasian Building and Construction Industry, our joint venture with the Australasian Procurement and Construction Council.
Capital works and infrastructure project checklist
Fri, 13 Mar 2015 00:00:00 +1100
The Strategic Forum for the Building and Construction Industry members Australasian Procurement and Construction Council (APCC) and ACIF are collaborating to action and implement the changes that are key requirements in unlocking improvement in the successful delivery of capital works and infrastructure projects.
Changing procurement behaviours, removing inefficiency and improving strategic collaboration to deliver excellent projects are central themes of the proposed Project Checklist.
All Australian and New Zealand governments have already taken steps to cut significant waste and inefficiency in their own procurement processes. Governments are also taking action to improve procurement practice and improve the sustainability and competitiveness of supply chains.
It is acknowledged, however, that the experience and expertise in capital works and infrastructure delivery varies greatly and project failures are occurring. It is widely recognised that planning and monitoring plays a major role as the cause of project failures.
Improved project governance and control drawing on good project practice are key ingredients to mitigate risk and minimise failures. The proposed Project Checklist will assist in supporting the achievement of project objectives and provide a consistent project control system.
Governments and industry recognises that there is “no one size fits all‟ solution to achieve optimal delivery of capital works and infrastructure projects. The common characteristics for effective project delivery set out in the proposed Project Checklist should significantly influence change and an increased positive impact if applied consistently across the industry.
The aim of the proposed Project Checklist is to support public and private sector capital works and infrastructure providers to optimise the delivery of projects and reduce waste. It is intended that the proposed Project Checklist will provide a structured approach to checking and actioning the necessary components/elements/key considerations of the entire lifecycle of a project i.e. cradle to cradle, where appropriate.
The project is being undertaken by a high powered working group drawn from government and industry, and will report to a broad based reference group also representing all parts of the industry.
That’s a piece of advice especially relevant to owners of construction businesses and worth heeding for best project execution and financial success. Project owners inevitably face project delays, cost overruns, disputes, and litigation on many of their construction projects.
A new article by by Rob Humphreys, Vice President of Product Management at Viewpoint Construction Software discusses the causes of cost overruns within input from PWC.
Fire safety depends on many factors. Critical to this is ensuring that fire safety products are designed, installed and maintained so that they are fit-for-purpose.
It is essential that the right decisions are made from conception through to completion and that appropriately certified products are selected and installed to ensure the reliability and longevity of every system.
Fire Australia 2015 is the premier fire protection industry conference, attracting a wide range of representation from businesses, government and fire safety practitioners.
Building on the success of the last conference and exhibition, Fire Australia 2015 will once again provide delegates the option of attending multiple streams over the course of both days. The streams will provide a mix of presentations focussing on
industry wide and industry specific topics. The industry specific streams will cover early warning and detection, fire suppression, passive fire protection and egress and bushfire. Presentations will address current issues, industry direction and challenges, and technical content relevant to those with an involvement in the fire protection industry.
The decision to develop an asset is but part of an organisations’ asset management planning. The decision to do so will be taken to deliver a service or benefit to the organisation or its stakeholders. These include users of services delivered by a publicly owned asset, shareholders of the owner of a privately owned asset, or the beneficiaries of a superannuation fund-owned asset.
All those assets are created and managed to deliver services. In the public sector the primary focus is on economic and social infrastructure. The private sector may also create assets for that purpose, but will also create them to meet a market need, and generate profit. On other occasions public sector agencies and private sector firms collaborate to deliver economic or social infrastructure using private sector finance.
The front end decision making involved in procuring an asset is often collegiate, and undertaken by a range of project sponsors - the client, financiers, and end users who, individually or jointly, determine the risk allocations and commercial terms upon which the work involved is offered to the market. The commercial and technical conditions are often influenced or even controlled by providers of finance, or the requirements of end users.
What can project sponsors and project team members do to achieve successful project and asset service delivery? How will they know if they have achieved success? Maybe that’s too obvious a question I hear you cry. Perhaps it is, but apart from the usual time, cost and functionality metrics, there are other markers of project success.
The UK Government published its strategy for the construction industry out to 2025, in July 2013. Developed over 6 months of consultation with industry, it is being implemented by a newly created Construction Leadership Council, co-chaired by the Rt Hon Vince Cable, Secretary of State for Business, Innovation and Skills, and Sir David Higgins*, Executive Chairman of the UK’s High Speed 2 rail project).
The full strategy is worth a look, but part of its attraction is the simplicity of its vision and associated metrics:
Our vision for construction in 2025 is:
1. An industry that attracts and retains a diverse group of multi-talented people, operating under considerably safer and healthier conditions, that has become a sector of choice for young people inspiring them into rewarding professional and vocational careers.
2.A UK industry that leads the world in research and innovation, transformed by digital design, advanced materials and new technologies, fully embracing the transition to a digital economy and the rise of smart construction.
3. An industry that has become dramatically more sustainable through its efficient approach to delivering low carbon assets more quickly and at a lower cost, underpinned by strong, integrated supply chains and productive long term relationships.
4.An industry that drives and sustains growth across the entire economy by designing, manufacturing, building and maintaining assets which deliver genuine whole life value for customers in expanding markets both at home and abroad.
5. An industry with clear leadership from a Construction Leadership Council that reflects a strong and enduring partnership between industry and Government Construction in 2025 is no longer characterised, as it once was, by late delivery, cost overruns, commercial friction, late payment, accidents, unfavourable workplaces, a workforce unrepresentative of society or as an industry slow to embrace change..
In short, by 2025 construction has been radically transformed.
Our joint ambition
By working in partnership, the construction industry and Government jointly aspire to achieve by 2025:
1. A 33% reduction in both the initial cost of construction and the whole life cost of assets.
2. A 50% reduction in the overall time from inception to completion for new build and refurbished assets.
3. A 50% reduction in greenhouse gas emissions in the built environment.
4. A 50% reduction in the trade gap between total exports and total imports for construction products and materials.
These are long-term ambitions shared by industry and Government jointly.
*Australian Higgins is a former CEO of Lend Lease and head of the London Olympic Delivery Authority.
Where is ours?
Why can’t we have something equally direct and punchy? The Brits seem to be able to move on these things more straightforwardly (only one national government) where we continue to be entertained by squabbles between the Commonwealth Government and the 8 state and territory governments. You don’t need reminding of the farce of national uniformity for occupational licensing as a recent example. Or is it that our governments just don’t get construction?
In some other areas though cooperation and collaboration is alive and well. Neil Savery and his Australian Building Codes Board’s new strategy is a shining example of how a good idea, a good leader, and a good team, can overcome the internecine warfare and achieve real benefits for our industry and its customers – that’s all of us remember?
You don’t have to talk to too many Tradies to realise just how many have been affected by insolvency in the construction industry. In the latter half of this year, the Senate Economics Committee will launch an inquiry into this practice, and make recommendations to the Abbott government to introduce changes to a legal and regulatory framework that continues to be manipulated.
There are insolvencies that involve no more than a simple refusal to pay bills. It is often alleged that head contractors have used their subcontractors as cash flow while a project is being built and then refuse to pay on completion. And then there is the practice of Phoenixing, where the assets of an insolvent company are transferred to a new company that has the same directors. To an outsider, it seems that our legal system often serves to protect the bad guys, and it comes as no surprise that unscrupulous means are used to recover debts, further damaging the reputation of the industry.
We want to hear from everyone who has ideas about what we, in the parliament, can do to help, whether they are developers or suppliers, lead contractors or sub-contractors. We will be seeking the advice of lenders, insurers, and lawyers involved in debt recovery, and of course, insolvency practitioners.
Senator Sam Dastyari
Chair, Senate Economics References Committee
Construction Technology Improves Productivity in Stalled Economy
Wed, 11 Feb 2015 00:00:00 +1100
When waste is high and productivity is low, improving your bottom line is an exercise in futility. There’s a hole in your boat and you’re bailing water with a spoon. Savvy construction business leaders see an opportunity, not a desperate situation. The wise realise it’s a critical time to take a hard look at processes and ways to improve by leveraging technology.
Software can play a critical role in improving a company’s overall productivity. For example, the use of mobile technology, allowing remote access, increasing visibility via dashboards, and having timely and accurate reporting can make a big difference in how your financial decisions are made, how your projects are executed, how your bids are won, and so on.
ACIF Briefings - where Australian Construction Industry Forum releases the next ACIF Forecasts - in 2015 will be held in three cities, and ONLY in May.
Delegates to these key industry events will enjoy the first release of the ACIF Forecasts, receive a complimentary copy of the Australian Construction Market Report plus hear of new industry initiatives by ACIF and its partnering organisations.
Engage with industry leaders including Peter Barda, Executive Director ACIF (above) plus our panel of industry experts.
Companies and organisations wishing to have multiple users subscribe to ACIF's Customised Forecasts Dashboard are now able to have up to 5 users under the one subscription, at a saving of 15% per user.
Powered by the industry’s own Construction Forecasting Council, with a dozen years of reliable forecasting for your benefit, ACIF Forecasts are published twice a year for YOUR business benefit, not its own profit.
The Customised Forecasts Dashboard is an online 24/7 tool to tailor queries on the ACIF Forecasts database for businesses large and small to get accurate local or national data - and plan effectively.
ACIF’s Australian Construction Market Report, covering the national, state and territory markets for residential and non-residential building, and engineering construction, was released in December. The Report gives forecasts out to 10 years for 20 asset types across the three sectors.
A free Summary Report is available from ACIF’s website for subscribers to ACIF's enews, called Website Subscribers. To download it now, simply subscribe here for free, then login to access the Summary Report here.
Since the release of our May 2014 Construction Market Report, there have been a number of developments in the global and domestic macroeconomic outlook.
Global economic growth has been revised downwards following lower than expected growth in the first half of 2014.
Australia’s economic growth of 2.5 per cent in 2013- 14 was generally in par with what we had foreshadowed six months ago.
However, a sluggish recovery in Europe and a strong domestic currency means that interest rate rises are likely to be deferred to encourage consumption spending until at least the end of 2014-15 – a later date than thought earlier in the year.
The highly regarded forecasts are produced for ACIF by ACIL Allen Consulting and the ACIF’s Construction Forecasting Council, a unique group of the industry’s leading economists and analysts.
ACIF is proud to provide the construction industry with this Report, delivering forecasts of activity that provide cost effective inputs to planning for private and public sector organisations across the country, and in many overseas countries. We are grateful to the highly skilled and professional team that puts the forecasts together.
Our forecaster ACIL Allen Consulting provides the Report’s analysis of the factors driving supply and demand, the economic scenarios that underpin the forecasts, and a set of leading indicators that help track movements in economic conditions, as well as the Forecasts themselves.
Cordell Information provides critical data on projects with values of $20 million and above to inform our forecasts. Cordell is the leading authority on project activity and building cost information in Australia.
The members of our Construction Forecasting Council are leading industry economists and researchers. Members of the CFC provide the forecaster with relevant input data from their areas of expertise, identify issues requiring additional explanation. They review the recommendations of the forecaster during each forecasting cycle, and approve the forecasts before they are released.
Snapshots per state and territory are available here for ACIF's Website Subscribers, which is a free subscription providing you with ACIF enews and access to forecast and other information.
As we look forward into 2015, the challenges remain the same – or do they? Some seem to have become constants but others are assuming growing importance, and have become sources of greater concern, calling for concerted action. Here’s our list, including good and bad drivers of change.
Skill formation and retention
Increasingly organisations across the board are experiencing pressure to attract and retain skilled people. The apprenticeship system is so fragile, with completion rates so low that it verges on being broken.
We still don’t have a uniform national approach to licensing or mutual recognition of professional or trade qualifications. On top of that, what little work is being by the Commonwealth government seems overly concerned on dumbing down qualification requirements.
On top of that we still don’t have decent labour market information, unlike our Canadian friends who have been setting the pace with a reliable and respected system for forecasting labour trends for more than a decade.
Productivity
Where to start? The ongoing industrial relations tensions continue to occupy the minds of all employers, as do continuing inflexibilities in work practices. But there are plenty of other pressures that need to be dealt with.
Risk allocations have become increasingly lop-sided as market conditions tightened with the decline in activity in engineering activity as commodity prices fell, and non-residential building flat lined at best. Major contractors are being squeezed with unrealistic “take it or leave” risks.
Contract conditions are reflecting tough risk allocations and making business sustainability a lottery.
Work flows are still patchy, with the exception of residential work particularly in NSW. See the article on winners and losers. Nimbleness in identifying opportunities and shifting to new sources of work is a critical competitive advantage, whether for big firms looking to projects smaller than they usually look for, or smaller firms looking sideways at new work types or locations.
International competitiveness is becoming and even greater issue as overseas firms look to opportunities in Australia, and imports of materials, equipment and prefabricated structures make greater and greater inroads in to traditional supply channels.
Procurement
Outdated procurement practices continue to hold back optimal utilisation of new technologies and innovations in design and construction. An apparent reluctance to look beyond the conventional approaches to contracting with head and trade contractors is limiting the scope for clients to win the productivity gains to be had from use of Building Information Modelling, and greater Project Team Integration.
Product quality concerns continue, with in some cases life threatening products avoiding quality systems. Thus one is growing in importance, as some exporters to Australia are going as far as fraudulently falsifying quality checks and performance certification. We need government action here to make sure there are effective systems in place to exclude products and materials that do not meet Australian standards.
Taxation
Tax is a concern for all businesses, with the inequities caused by trans-national tax avoidance distorting the responsibility for funding government programs. The political difficulties of changing the GST arrangements between states, or increasing the Medicare levy, are throwing an unfair burden on business across the board.
Investment
Investment should be a bright spot for the industry, with long term bond rates at record lows, enabling governments, if so inclined, to borrow at rates that make a marked difference to business cases, to fund transport and health infrastructure. Time for the industry to make the running with innovative approaches to unsolicited proposals using new financing structures?
Technology
BIM tools are taking us back to the future, as far back as Sir Christopher Wren building St Paul’s in London using the latest in coordinated, collaborative working through an integrated team designers and builders. There is no longer any question of “if” but rather the question is how fast and how widespread.
All three are available to download free from our web site using the links above.
New tools to help with procurement and management of projects are coming from ACIF and APCC in 2015. A Guide to Successful Asset and Project Delivery, a Guide to Procurement and Project Team Integration and BIM, and a set of competencies and other tools for BIM and Project Team Integration.
Keep an eye on the ACIF web site and enews for release dates.
High quality market information
Good information and knowledge are constants. ACIF continues to provide you with reliable and cost effective information and analysis to help navigate your organisations through all the challenges.
The princely sum of $250 buys a comprehensive Australian Construction Market Report including forecasts for residential and non-residential building and engineering construction for all states and territories,
Another $400 (less if you are a member of an ACIF Member Association or Institute - ask them for your 'ACIF Dashboard Discount Code' to use when subscribing) buys 12 months access to our Customised Forecast Dashboard so you can test your own planning scenarios using our modelling data and forecasts. Check out the video here on what this Dashboard will give to you.
Senate inquiry into insolvency in the Australian construction indus
Fri, 23 Jan 2015 00:00:00 +1100
On 4 December 2014 the Senate referred an inquiry into insolvency in the Australian construction industry to the Senate Economics References Committee for inquiry and report by 11 November 2015.
The Terms of Reference for the inquiry are to report on the scale and incidence of insolvency in the Australian construction industry, including:
1. The amount of money lost by secured and unsecured creditors in the construction industry and related insolvencies, including but not limited to:
employees,
contractors and sub-contractors,
suppliers,
developers,
governments, and
any other industry participants or parties associated with the Australian construction industry;
2. the effects, including the economic and social effects, of construction industry insolvencies, having particular regard to the classes of creditors in paragraph (a);
3. the causes of construction industry insolvencies;
4. the incidence of 'phoenix companies' in the construction industry, their operation, their effects and the adequacy of the current law and regulatory framework to curb the practice of 'phoenixing';
5. the impact of insolvency in the construction industry on productivity in the industry;
6. the incidence and nature of criminal and civil misconduct related to construction industry insolvencies, having particular regard to breaches of the Corporations Law both prior to and after companies enter external administration and/or liquidation;
7. the current extent and future potential for the amount of unpaid debt in the industry to attract non-construction industry participants to the industry for the purposes of debt collecting and related activities and the extent of anti-social and unlawful conduct related to debt collecting and related activities;
8. the adequacy of the current law and regulatory framework to reduce the level of insolvency in the construction industry.
For information on making submissions contact the Committee Secretariat:
Senate Standing Committees on Economics
PO Box 6100
Parliament House
Canberra ACT 2600
Technology is one of the inevitables in our industry - Embrace it!
In this article, Union Square Software provide a case study for Adams Consulting Engineers and how it managed business growth and the demand for high quality, reliable information to manage and monitor projects from inception to completion.
"They were seeking a system that could encompass all aspects of project management, including managing project financials, in a reliable and consistent environment."
"...a solution that could support the company’s plans to grow across multiple offices while maintaining a standardised way of working."
"The practice wanted everyone to start operating with the system as quickly as possible, but understood that change can take some time for people to adjust to."
On 18 January 2015, the Victorian Government announced the abolition of the Victorian Code of Practice for the Building and Construction Industry (Victorian Code) and its monitoring body, the Construction Code Compliance Unit.
The Department of Treasury and Finance (DTF) will continue to manage the Construction Supplier Register and the Ministerial Directions for public construction tendering and contracting.
Contractors who are bidding for Victorian Government work and applying for pre-qualification on Victorian Government construction registers will still be required to meet safety and industrial relations management criteria but are no longer required to submit Victorian Code compliant Workplace Relations Management Plans and Health and Safety Management Plans.
Health and Safety Management Plans and Workplace Relations Management Plans must continue to be followed on current projects to the extent that they reflect legislative and contractual requirements.
The Victorian Code’s drug and alcohol testing and site security requirements no longer apply, however, occupational health and safety policies and procedures remain.
The Victorian Code previously required client agencies to supply key public construction data to DTF. Timely and accurate client agency reporting on public construction provides valuable data for the whole Victorian government. DTF will continue to collect this data under the Ministerial Directions for public construction, and will provide further information for client agencies soon.
Activities that may breach the Fair Work Act, such as unlawful industrial action, will continue to be investigated by the federal regulator, Fair Work Building and Construction (FWBC).
Activities that may breach criminal law, including trespass, can be referred to Victoria Police.
>> Department of Treasury and Finance will provide further advice shortly, if you have any urgent queries please call 1800 842 222.
Winners and Losers revealed in new ACIF Construction Activity Forecast
Mon, 08 Dec 2014 00:00:00 +1100
Despite the now unavoidable decline in engineering construction activity in the medium term, Australia-wide construction expenditure is set to remain at levels much higher than the historical average, according to the latest forecasts from the Australian Construction Industry Forum (ACIF).
The forecasts are included in ACIF’s Australian Construction Market Report, covering the national, state and territory markets for residential and non-residential building, and engineering construction. The Report gives forecasts out to 10 years for 20 asset types across the three sectors.
“Since the release of ACIF’s May 2014 Construction Market Report, there have been a number of developments in the global and domestic macroeconomic outlook,’ said Peter Barda, the Executive Director of ACIF.
“Global economic growth has been revised downwards following lower than expected growth in the first half of 2014. Australia’s economic growth of 2.5 per cent in 2013- 14 was generally in par with what we had foreshadowed six months ago. However, a sluggish recovery in Europe and a strong domestic currency means that interest rate rises are likely to be deferred to encourage consumption spending until at least the end of 2014-15 – a later date than thought earlier in the year,” said Mr Barda.
“In terms of total construction activity, New South Wales has had strong growth over the past six months, and is predicted to overtake Queensland as the state with the most construction spending by 2016-17. Residential spending in New South Wales is projected to be particularly strong whilst engineering construction declined in Queensland, leading to this shift in spending profile. As foreshadowed in our May forecast, construction activity in Victoria and Western Australia is already showing signs of subdued activity”.
Total spending in 2013-14 reached $233 billion, slightly lower than the $237 billion we had foreshadowed in May. The outlook for 2014-15 remains essentially unchanged at $228 billion, however the mix of construction work has shifted. The biggest change is in the residential sector: residential building is already spending to meet a backlog of pent up demand, which is arising from historically low interest rates and increased foreign demand. This is expected to lift total spending by nearly 17 per cent to just under $90 billion by 2017-18 from $75 billion in 2013-14.
Non-residential spending rose slightly in 2013-14 to $33.6 billion from $35.2 billion in 2012-13.
Spending in engineering construction finally recorded a peak in 2012-13 at $128 billion, falling to $123 billion in 2013-14. Over the next few years, activity in this sector will wane to around $92.5 billion by 2017-18. The slowdown in mining construction will lead to associated changes in related sectors such as bridges, railways and harbours, and electricity and pipelines. Unsurprisingly, these effects will be most profound in Western Australia, Queensland and the Northern Territory. A key bright spot in the outlook for engineering construction is roads spending, which is expected to see growth over the projection period.
The highly regarded forecasts are produced for ACIF by ACIL Allen Consulting and the ACIF’s Construction Forecasting Council, a unique group of the industry’s leading economists and analysts.
“ACIF is proud to provide the construction industry with this Report, delivering forecasts of activity that provide cost effective inputs to planning for private and public sector organisations across the country, and in many overseas countries”, said Mr Barda. “We are grateful to the highly skilled and professional team that puts the forecasts together.”
“Our forecaster ACIL Allen Consulting is the largest Australian owned, independent, economic and public policy consulting firm in Australia. They provide the Report’s analysis of the factors driving supply and demand, the economic scenarios that underpin the forecasts, and a set of leading indicators that help track movements in economic conditions, as well as the Forecasts themselves.”
“Cordell Information provides critical data on projects with values of $20 million and above to inform our forecasts. Cordell is the leading authority on project activity and building cost information in Australia.”
“The members of our Construction Forecasting Council are leading industry economists and researchers. Members of the CFC provide the forecaster with relevant input data from their areas of expertise, identify issues requiring additional explanation. They review the recommendations of the forecaster during each forecasting cycle, and approve the forecasts before they are released.”
This important work is possible only with the ongoing support of Principal Partner Cbus, as well as Sponsors Australian Institute of Architects, Cordell Information, DesignBuild Expo, Engineers Australia, Property Council of Australia and Viewpoint Construction Software.
ACIF Forecasts are published twice a year in May and December. The Forecasts are available as Construction Market Reports with data and commentary, or as data reports tailored to the user’s needs from the Customised Forecasts Dashboard. More information is available on the ACIF website at www.acif.com.au/forecasts.
In a national first, government and the building and construction industry today released a national Framework elevating project team integration and building information modelling to the national stage. A new joint government and industry resource A Framework for the Adoption of Project Team Integration and Building Information Modelling, developed by the Strategic Forum for the Australasian Building and Construction Industry, and was launched by the Hon. Bob Baldwin, Parliamentary Secretary to the Minister for Industry this morning in Canberra.
The new publication is another in a series of resources published by the Strategic Forum, an initiative of the Australian Construction Industry Forum and the Australasian Procurement and Construction Council, who have joined forces to produce resources for increased productivity, safety and sustainability for use by government and the construction industry.
The Framework identifies the key elements, underpinned by objectives and actions, that require a ‘whole of industry’ approach to encourage and support increased adoption of Project Team Integration (PTI) and BIM.
“The Framework and other resources we have produced are intended to improve both the process and the result when building assets for the ultimate end user – the Australian people,” said the Chairman of ACIF, Robin Fardoulys.
“This document outlines proposed activities required to successfully implement BIM across government agencies and private sector clients, as well as construction industry service providers, including the facilitation of more integrated project teams from the outset. Its adoption embraces the new wave of technology available and being used on a number of large government builds, such as hospitals, and private sector projects. Embracing PTI and BIM on a project is the way the industry is heading.”
Neil Castles, Chair of the APCC Council of Chief Executives agrees: “BIM encourages innovative practices together with productivity, time and quality gains applicable at every stage of the project delivery process without inhibiting competition or transparency.“
A ‘whole of industry’ approach will inspire more advanced and innovative use of BIM. The result being smoother construction processes with less wasted effort, and construction products, increasing end-user satisfaction and longer asset-life for use by the community.
Electronic copies of the Framework are available on ACIF's website here and
APCC www.apcc.gov.au.
About Strategic Forum for Australasian Building and Construction Industry
An initiative of Australian Construction Industry Forum and the Australasian Procurement and Construction Council
The Strategic Forum is a unique body that brings together key stakeholders in the Australasian building and construction industry. The Forum acts as an entry point and significant interface between government and the building and construction sector. It facilitates positive change and encourages greater productivity. Above all, it acts as a national forum to network and discuss issues that affect the industry.
This Forum is an entry point to facilitate joint pathways for improving building and construction industry productivity in Australasia. By working together to do this, we engender and encourage trust between the government and industry sectors.
Its enough to drive you to drink! Do we need a national approach to security of payment legislation? Professor Phillip Evans from Curtin University who has been appointed to review the WA Construction Contracts Act raises the issue, as well as the difference in approach in WA from the Eastern states. The review of the Act will consider the desirability of a uniform approach.
In his discussion paper inviting submissions on the ACT Professor Evans makes the point that “The difficulty for Western Australia is that its model is considered by some legal academics to be largely better in practical operation than all other states. It is believed that little will be gained by adopting the majority legislative model as this is viewed as inferior in practice.”
Legal academics refer to the WA Act and its near equivalent in the Northern Territory as the “West Coast” model of security of payment legislation. All other states and the Australian Capital Territory have adopted a different legislative approach often referred to by these academics as the “East Coast” model.
Master Builders Australia describes the key differences in approach.
The East Coast model prescribe a statutory payments scheme that is and overrides any inconsistent provisions;.
The West Coast model maintains the parties’ contractual payment regimes to a large degree, rather than explicitly overriding them.
East Coast Acts only permit for statutory payment claims to be made up the contractual chain, which usually means a subcontractor making a payment claim against the head contractor. West Coast Acts allow for payment claims to be made up and down the contractual chain.
While both models allow for an adjudication scheme that determines payment claims as an immediate fast-track remedy, there are significant differences in terms of the provisions for adjudicator appointments, submissions which an adjudicator is permitted to consider and the way an adjudicator needs to adopt to arrive at his or her decision. The East Coast Acts are more restrictive in all these aspects than the Western Australian and Northern Territory Acts.
Calls for national uniformity in security of payment legislation have been made by the Cole Royal Commission, the Society of Construction Law Australia and Master Builders Australia. There are probably good reasons why there has been no attempt to harmonise the approaches. Just like 1901 really, when the Australian colonies agreed on a Constitution but have been squabbling ever since.
Is it time we took this up as a serious issue? Is there an appetite to review the East Coast approach and consider replacing it with something that looks like the WA approach?
>>Tell us what you think - send your email to ceo@acif.com.au. We’ll publish the most thoughtful response on the ACIF website and in our next enews, and reward the author with a bottle of Tasmanian single malt whisky
What do private sector suppliers (constructors, designers, and other consultants) want from government procurement policies and processes? Could changes in those policies and processes improve the way we deliver projects?
The Productivity Commission in its draft Report on Infrastructure Costs had a crack at some suggested changes, arguing that:
“There is significant scope to improve public sector procurement practices and lower bid costs for tenderers, with potentially large benefits for project costs and timing.”
Here are two changes in procurement approach suggested by the Commission.
Reducing bidding costs by investing more in initial design, contributing to the bid costs of tenderers, and requiring only cost‑relevant plans from all bidders, with the remaining ones required of the preferred tenderer.
Eliciting best value‑for‑money bids by improving the quality of information on possible costs by developing initial designs using BIM, and, working with industry to coordinate the establishment of common technical standards to ensure that the greatest benefits from the adoption of BIM are realised.
Both make sense, and could and should be applied to commercial building projects as well as infrastructure. There are other improvements that would make a difference. Here are 2 suggestions from ACIF’s policy on regulation.
Ensure procurement policy encourages collaborative working. Success in the future will involve greater attention being paid to collaborative working at all levels within a construction project. Procurement and tendering policies should support and encourage greater involvement of key stakeholders at the early stages of project development and should address the capacity of the industry to meet project objectives by allocating risk appropriately.
Government is a large customer. Demand innovation. Government must encourage innovation by demanding innovative practices and sustainability on its projects. Done properly, demand side innovation will not inhibit competition or transparency. It can lift standards that flow across the public sector and to the private sector. These innovations include requiring the use of integrated project teams and the use of BIM.
Encouraging public sector agencies to embrace change is a challenging task. It is not to be embarked on lightly, and patience is required. And yes, that is a partial lift from the Book of Common Prayer. The reasons are many and well known but it is worth reflecting on how the growing tide of support for BIM and its key driver, project team integration, is likely to generate sufficient momentum, and soon, to sweep away the perceived obstacles.
Clients approaching adoption of BIM, and the option of encouraging greater project team integration, with caution. There is some reluctance to adopt BIM as a tool to design and construct assets, and to manage them after they are commissioned.
In the public sector, each jurisdiction and the agencies within them are moving at their own pace. Some agencies are more advanced than others – those that regularly commission projects to deliver new or refurbished assets, and have significant asset portfolios to manage, are more advanced in their thinking and development of internal policies and processes. Agencies at the forefront include those for defence, health and education.
Key issues for public sector agencies include:
Assessing whether the costs of requiring the delivery and use of BIM models are outweighed by the asset’s whole-of-life benefits.
Identifying minimum threshold values of projects on which to require the use of BIM for designing, constructing or managing assets.
Assessing whether local suppliers (designers and constructors and asset managers) have the skills and resources to build and use BIM models.
Ensuring that smaller firms – whether designers or other consultants, or constructors – that are slower than others in using BIM are not disadvantaged.
Determining whether existing legislation, policies, or procedures are flexible enough to allow the early appointment of constructors to project teams to be part of the design process.
Determining the extent to which internal BIM or other project management capability is required when requiring the delivery and use of BIM models by suppliers.
Other related issues arise in considering the scope that government agencies and private sector clients have to encourage those bidding for design or construction work to use teams that integrate designers, trade contractors and head contractors.
The conventional approach to project delivery involves design work being undertaken by designers sufficient to enable the client to seek proposals and prices to construct an asset. This excludes constructors (including trade contractors who provide a head contractor with sub-contract proposals) from initial design.
A different approach is needed if we are to optimise the power of BIM to facilitate more effective collaboration focused on meeting client objectives is optimised. This alternative involves constructors (including relevant trade contractors) in the initial design as part of an integrated design team, regardless of the project delivery strategy selected.
This approach may involve challenging existing policies and procedures, which aim to ensure that the selection of suppliers is transparent and delivers value for money, and implementing alternatives in their place.
Clients, whether public or private, are addressing these issues in different ways and proceeding at their own pace. Nonetheless, the McGraw Hill reports on use of BIM – globally and in Australia – point to the increasing adoption of BIM due to efficiencies and cost benefits. It is likely that, once the initial investment in systems and skills is made, BIM models and their use will be offered as a competitive advantage by early adopters, and eventually as a matter of course by all firms who wish to continue as suppliers.
It is reasonable to assume that the rate of adoption of BIM will increase as the number of clients requiring it grows. The challenges presently being considered by clients may indeed have a default response – industry will simply make BIM, and greater use of more effective project integration, part of its business-as-usual kitbag of tools.
These challenges, and others, are being explored in a Framework for Adoption of Project Team Integration and Building Information Modelling that is being developed by ACIF and the Australasian Procurement and Construction Council.
>>The Framework will be launched on 2 December, and be available for download from the ACIF and APCC web sites.
What makes ACIF Forecasts so different, so valuable?
Mon, 24 Nov 2014 00:00:00 +1100
ACIF develops tools to help everyone in the construction industry and those who use its services to be more efficient and productive. Some we produce on our own. Others are collaborations with our friends at the Australasian Procurement and Construction Council.
Data to plan with.
Productivity resources to make your work as successful and profitable as possible.
Here's why these resources are so unique and so powerful.
Data to plan with
ACIF’s unique and powerful Forecasts of activity for residential and non-residential building and engineering construction will be released in December, in ACIF’s Australian Construction Market Report. It includes the national and all state and territory markets outlook overall, as well as the national and international markers of prosperity that drive demand for our industry’s services. The Report includes detailed commentary and charts covering all major asset types, as well as comprehensive construction costs trends for Australia from Rider Levett Bucknall. All your key planning data out to 10 years as well as 10 years of historical data.
On top of the Australian Construction Market Report, ACIF’s Customised Forecast Dashboard gives you access to all the data behind the ACIF Forecasts and the Australian Construction Market Report. You can interrogate the database and download data and charts in ways to suit you, to produce your own customised forecasts of activity, across all three industry sectors, for 21 asset types, and out to 10 years. The ACIF has a video that that explains all, see it here.
So what makes the Forecasts and the Dashboard so different and so valuable?
They harness the power of three key organisations.
Our forecaster is ACIL Allen Consulting, the largest Australian owned, independent, economic and public policy consulting firm in Australia. Their forecasts include analysis of the factors driving supply and demand, the economic scenarios that underpin the forecasts, and a set of leading indicators that help track movements in economic conditions. Forecasts cover the short term (8 quarters) and long term (10 years) for 21 asset types in residential and non-residential building and engineering construction.
Cordell Information is the leading authority on project activity and building cost information in Australia. The Cordell Construction Projects division researches and tracks construction projects from early planning right through to when construction actually commences. Cordell provides critical data on projects with values of $20 million and above to inform our forecasts.
The members of our Construction Forecasting Council are leading industry economists and researchers. Members of the CFC provide the forecaster with relevant input data from their areas of expertise, identify issues requiring additional explanation. They review the recommendations of the forecaster during each forecasting cycle, and approve the forecasts before they are released. The ACIF web site has details of the members of the Council.
The ACMR will be available for download in early December for $250. All our Customised Forecasts Dashboard subscribers have the opportunity to purchase the report for $200 (log in to the website before purchase so that your benefit can be offered to you).
ACIF and Cordell have been working together for over 12 years providing industry information for the ACIF Forecasts. You can also use Cordell to see what is going on and where.
When trying to grow your business, having access to quality project information and the ability to contact the right person at the right time is the key to success. Cordell has simplified this process.
Cordell has been researching and providing the Australian construction industry with comprehensive project information and leads since 1969, making them Australia’s leading supplier of construction information and intelligence. Cordell’s expert team research and track construction projects throughout the entire life cycle of a project, from the early warning stage right through to when construction actually commences. Reporting on over 100,000 projects per year, this information can be tailored exclusively to the needs of your business with Cordell Connect. This ensures you only receive leads and information that are relevant to your business, saving you time and helping to grow your business and monitor competitor activity more efficiently.
Plus, as Cordell Connect is completely web-based, you have access to project information 24 hours a day, 7 days a week, no matter where you are – whether you’re onsite, in your office or at home. The project data is updated four times each weekday, so you can be sure that you have access to only the latest information possible.
>> Until the end of 2014 ACIF Customised Forecasts Dashboard subscribers are eligible for a 15% discount off Cordell Connect new member pricing. Just contact Cordell NOW and advise you are an ACIF Dashboard subscriber (Cordell will confirm with ACIF) to get this great benefit.
Framework for the Adoption of Project Team Integration and BIM
The ACIF and APCC have identified the key elements, underpinned by objectives and actions, that require a ‘BIM partnership’ approach between government and industry to encourage and support increased adoption of Project Team Integration and BIM. These are:
People: behaviour and capability
Procurement and contracting
PTI/BIM protocols
Facilities management
Information exchange and National Object Library
Standards
Technology
They are explored in a Framework for the Adoption of Project Team Integration and BIM, which will be launched in Canberra on 2 December, by the Hon. Bob Baldwin, Parliamentary Secretary for Industry. The Framework will be available for download after the launch from the APCC and ACIF web sites.
Guide to Successful Asset and Project Delivery
Guide to Successful Asset and Project Delivery: Getting it right up front will soon be available for download from the ACIF and APCC web sites. It provides a snapshot of the processes involved in planning, designing, and constructing capital works assets, and some of the existing resources produced by ACIF and APCC available to inform those processes. It is not intended to be, and is not, exhaustive. Rather, it seeks to provide those who may be unfamiliar with how those assets are created with an introduction, and links to further information.
The Guide has a considerable focus on collaborative working, and the integration of project teams. In common with most developed countries, our construction industry is project based, and relies heavily on bringing dozens and sometimes hundreds of separate organisations together to deliver an asset. Selection of team members (whether designers, builders, trade contractors or suppliers) is competitive. When the virtual project organisation created to deliver an asset has done its work, it is disbanded.
Whilst the competitive approach delivers value for money outcomes to clients and end users, it creates challenges for project teams. That’s where our focus on collaboration comes in. The best projects deliver what end users want, and are happy places for team members to work. Good relations within project teams, like any organisation, need to be planned for, worked at, and managed. They encourage collaboration, and respect within teams for the skills and capabilities that team members bring to the project.
Following the processes for project initiation, team selection, and project planning suggested in this Guide and the resources it describes, will go a long way to ensuring that your project will deliver what you expected, when you need it, for the price you expected to pay.
Australia’s top construction, engineering, architecture and design people and projects have been celebrated at the recent Australian Institute of Quantity Surveyors Infinite Value Awards in Brisbane.
In their third year, the national Infinite Value Awards have established themselves as one of the most coveted accolades in the construction industry with this year’s focus being on sustainability.
Hosted by Channel 7 News anchor, Sharyn Ghidella, the awards attracted a high calibre of nominations with winners from across the eleven categories becoming eligible for the Award’s highest honours, Professional of the Year and Project of the Year.
Director of Rider Levett Bucknall, Canberra, Fiona Doherty, took out the Professional of the Year Infinite Value Award.
Selected by the judges for her proactive approach to cost saving and efficiency which is crucial to sustainable development, Fiona said it was very humbling to be recognised by her peers for the honour.
“After 25 years in the industry, it’s wonderful to receive this accolade and be professionally awarded. I’m very proud to have risen to the position I am in and I hope that I can inspire other women in the construction industry and help promote equality across the field” said Ms Doherty.
“I would say to all young aspiring professionals, stay focused and have a plan because things will pay off if you stick to them as this award proves” added Ms Doherty.
In keeping with this year’s sustainability theme, the Infinite Value Awards Project of the Year honour was taken out by the Sir Samuel Griffith Centre constructed at Griffith University’s Nathan Campus in Brisbane.
The Sir Samuel Griffith Centre is Australia’s first building relying entirely on photovoltaic arrays and hydrogen-hydride storage technologies to generate its power and deliver a truly innovative 6 star green rating.
The Centre can remain entirely ‘off grid’, generating and storing enough energy to power all its activity from the sun, water and oxygen.
Managing Director from Donald Cant Watts Corke Queensland, Mark Mammarella, headed up the quantity surveying team behind the Centre and said it was great to see innovation and sustainability celebrated on a national scale.
“We are extremely proud of this project; it’s an Australian first, the first of its kind to be powered off the grid in Australia which is a remarkable feat. As a result it has opened the door for other projects to use the new technologies we worked with in other development areas that will really benefit from such sustainability, such as rural and remote areas”, says Mr Mammarella.
Michael Manikas, CEO of the AIQS, said he is proud of the 2014 Infinite Value Awards winners and saying that the building and construction sector is one that is constantly pushing boundaries.
“The AIQS Infinite Value awards are all about highlighting innovation in the sector and these winners really are a snapshot of the future and what is possible for the construction industry,” Mr Manikas said.
“Maintaining awards programs like the Infinite Value Awards allows the industry and public to step back and recognise the innovation, commitment and success of our peers and the projects they work on,” he said.
This year’s winners include:
Project of the Year Sir Samuel Griffith Centre, Donald Cant Watts Corke
Professional of the Year Fiona Doherty, Rider Levett Bucknall
Coverforce Architectural Excellence Award Perth Arena, Ralph Beattie Bosworth
Engineering Excellence 8 Chifley Square, Mirvac
Conduit Recruitment Future Leader Award Irena Kuzman, MBMpl
Government Project Gold Coast University Hospital, Lend Lease
Innovation Project 50 Martin Place, MBMpl
Lifetime Contribution Mike O’Shea, MBMpl
Buildsoft Quantity Surveying Advocacy Dr Peter Smith, University of Technology Sydney
MBM Research & Teaching Prof Craig Langston, Bond University
Wood Solutions Sustainable/ Green Project Sir Samuel Griffith Centre, Donald Cant Watts Corke
Women in Construction Fiona Doherty, Rider Levett Bucknall
Australian Construction Industry Forum (ACIF) has today released new forecasts that show serious shortfalls or oversupply are expected for key building assets - including classrooms, hospital beds, office, retail and industrial space plus housing - in communities around Australia.
ACIF’s Demand Driven Forecasts 2014 start with population changes expected in 21 locales around Australia, determine the future needs of these communities, compared to the current and planned supply of each asset type.
Some regions will have be struggling to meet the needs of the community, yet other regions will see an oversupply of assets as the projected population will have a reduced need for some building types.
“Effective urban planning will only happen with sound information on asset supply and demand,” said Peter Barda, Executive Director of the Australian Construction Industry Forum, publisher of the Demand Driven Forecasts.
“Peering into the looking glass of the population we expect in 21 regions, we can see how their needs are set to change. Authorities have the chance now to plan for construction or re-use of community and other assets.”
Mr Barda was keen for readers of the Demand Driven Forecasts to understand the nature of the forecasts, however. “These Forecasts rely upon the published building and construction plans of governments. In some cases the Demand Driven Forecasts highlight where plans have not been released – or possibly made – and the potential gaps if action isn’t taken.”
The Demand Drive Forecasts include charts for population projections to 2050, and the forecasts supply and demand for seven asset types to 2020. Matching the projected demand and supply for each asset is a ‘traffic light’ chart, highlighting the gaps.
The Demand Driven Forecasts use source data from government reports plus major project information from Cordell Information. Expert forecasters ACIL Allen Consulting analyse the data to produce the Demand Driven Forecasts for ACIF.
The Demand Driven Forecasts are part of the ACIF Forecasts, a suite of industry forecasts that provide the building and construction industry and its clients with a ‘compass’ to the future, so they plan to survive and thrive changing market conditions. ACIF Forecasts include a ten year outlook for work demand, labour requirements, major projects and the costs of building and construction. This work is supported by Principal Partner Cbus, plus Australian Institute of Architects, DesignBuild Expo, Cordell Information, Engineers Australia, Property Council of Australia and Viewpoint Construction Software.
How to gain benefit: BIM Framework and Other Guides
Sat, 11 Oct 2014 00:00:00 +1100
ACIF and the Australasian Procurement and Construction Council (APCC) are acutely aware of the need for optimal delivery outcomes that eliminate waste, maximise end user benefits, enhance industry participants and also increase the productivity of the Australian and New Zealand economies. Building Information Modelling (BIM) has the potential to deliver outstanding productivity gains to the Australian construction industry, and give clients of the industry buildings and infrastructure that are delivered on time, are more efficient and cost effective.
A study by the Allen Consulting Group found that accelerated adoption of BIM would increase GDP growth in Australia by 0.2 basis points in 2011, by 2025, it was estimated that GDP growth would be 5 basis points higher. And also that the benefit cost ratio of early adoption of BIM would be around 10 (assuming a $500 million adoption cost).
These statistics provide clear evidence of the benefits and productivity gains achievable through the adoption of BIM.
In Australia and New Zealand the awareness of BIM is high and the drive for productivity is facilitating increased integration and collaboration of project teams. However the commitment to and use of BIM and PTI is still relatively immature compared to other countries.
For Australia and New Zealand to achieve maximum benefits from the adoption of PTI and BIM, a number of activities need to be addressed with appropriate government or industry bodies taking the leadership role in championing delivery.
Different parts of the industry are working towards wider adoption of BIM software and practice in design, project site buildability, commissioning, and asset management. Design professionals are investing heavily in required technology and training. Trade contractors, particularly engineering services and structure trades, are doing likewise.
The industry’s professional bodies are working towards setting agreed national competency standards for people working with BIM software and management systems. Others are working hard to populate object libraries to make design faster and more efficient.
Industry however is but a servant of those who commission new assets or decide to refurbish existing ones. It will adopt new technology and systems when its clients demand them. It will willingly explore innovation in procurement, including early appointment of contractors to project teams with the intention of better integrating those teams, when its clients require it.
Industry and individual firms of designers and other consultants, constructors, trade contractors, and suppliers, are committed to working with representatives of clients and individual project sponsors to achieve wider and more effective adoption of BIM, of Project Team Integration, and to deliver better asset performance over the life of assets.
A joint working group of ACIF and the APCC are producing a Framework for the Adoption of Project Team Integration and Building Information Modelling to guide government and private sector clients, as well as design and construction professionals, to unlock those benefits. The Framework will be released in December.
Two other joint working groups are developing a guide to Procurement Models and Application of PTI and BIM Options articulating how to integrate BIM into each procurement model and different Roles and Responsibilities for each party, and a BIM Education Guide. BIM education and training in this context is about crystallising PTI and BIM knowledge and skills required by project participants of all disciplines and across all project lifecycle phases.
Neil Savery the General Manager of the Australian Building Codes Board and his Deputy Trent Bourne gave the ACIF Board a detailed overview of the strategic changes being implemented by the Board from the beginning of 2015, at our September meeting. The changes include making the National Construction Code available free of charge.
Governments will now fund the entire ABCB operation, and the ABCB will no longer need to produce and sell annual revisions to the NCC to pay its way. From February there will be no hard copies of the NCC – it will be available only online.
The key for ABCB from here on will be to track who is using the Code, as it shifts focus from publishing to value adding – it will focus on how industry firms use the Code, and is investing in sophisticated online publishing software allowing for more sophisticated tracking of and support for users.
A new communication and awareness strategy is being developed including online training programs, webcasts, and videos. Pointsbuild has been appointed to deliver on line learning.
Further reform work continues, including identifying redundant, duplicated, and unnecessary, provisions. There are potentially hundreds of millions of dollars added cost that could be stripped out.
The Australian construction industry has developed a landmark guide to construction product quality, to address growing industry concern over product failures, and the attendant risks to workers and occupiers safety.
Led by the Australasian Procurement and Construction Council (APCC), a group of organisations representing government, designers, constructors and product manufacturers released a guide to achieving compliance for Procurement of Construction Products in September.
As there are hundreds of thousands of building and construction products on the market - produced both domestically and internationally - it is extremely difficult to ascertain whether or not they all comply with the National Construction Code (NCC) and/or conform to the requirements of the relevant Australian or international standard where they exist.
The compliance and durability of construction products are major risk factors which need to be managed as they impact significantly on the service life and quality of building and construction projects.
Evidence suggests that the market penetration of non-conforming products in several key construction product sectors in Australia may be up to 50%2. This is a sobering and alarming statistic.
In Australia, there have been numerous instances in which non-compliant construction products have caused failure or damage to buildings, such as the collapse of buildings and motorway signs, and failure of key building elements, such as glass panels, steel fixings and more.
The most concerning consequence of construction product failure is its impact on safety. In the most extreme cases, such failure can lead to serious injury or loss of life. The potential risks to the community and construction industry workers are immeasurable and should not be underestimated. Without doubt, the use of faulty construction products puts lives at risk.
It is, therefore, vital that the industry works together to create an environment in which all stakeholders in the building and construction process, including the community, are confident that construction products meet a minimum acceptable level of quality and compliance, and are fit for the purposes for which they are intended.
It is important to understand the responsibility to determine whether or not a construction product is fit for its intended purpose and the profound consequences in the event that the product is found to be defective. However, the procurement of construction products has become increasingly complex, and information and guidance to assist the procurement process is scarce. In particular, for many 'safety critical' products, there is often a Iack of credible and accurate information available in Australia to assist stakeholders involved in construction projects to verify construction product compliance and conformance, in order to determine whether o not a product is fit-for-purpose.
This Guide seeks to assist in the decision-making processes for the procurement of construction products in Australia, with a view to elevating levels of compliance and providing a level of confidence to all parties in the supply chain.
An appendix to the Guide provides examples of a number of conformity assessment schemes or guides. By its nature, the appendix is dynamic and will change, therefore it is designed to be updated regularly.
NATSPEC has released a national collection of BIM resources.
The NATSPEC National BIM Portal is a repository of documents and tools that will assist the implementation of BIM in the construction industry.
The National BIM Portal is home to the NATSPEC National BIM Guide, and also acts as the ACIF and APCC Project Team Integration (PTI) and BIM Knowledge Hub.
NATSPEC is a not-for-profit organisation with the objective of improving the construction quality and productivity of the built environment through leadership of information.
NATSPEC believes that digital information, including 3-D Modelling and Building Information Modelling, will provide improved methods of design, construction and communication for the industry.
Further, NATSPEC supports open global systems. This will result in improved efficiency and quality.
NATSPEC’s primary focus is on the “i” (information) in BIM and how it is linked to digital models.
NATSPEC’s areas of interest include how specification information can be best integrated with BIM and the development of BIM guidelines and standards beneficial to the construction industry.
The Guide is an important and valuable contribution to the efficiency and reliability of the building and construction industry. This new Guide has been jointly developed by 30 key construction industry stakeholders and supported by many others.
Teresa Scott, Executive Director of the APCC said, "The Guide will increase awareness, provide guidance, understanding, and improved decision making in the procurement and compliance issues of construction products. "
"It is hoped that the Guide will provide procurers with greater clarity, reduce confusion and assist to ‘de-mystify’ matters relating to the conformance of construction products in Australia.
"The guidance and conformity assessment schemes included in the Appendix provide useful and practical information and reference for procurers.
"The Guide fills an existing void by providing a solid non-regulatory and invaluable tool for the procurement of construction products in Australia and providing a level of confidence for all stakeholders involved in building and construction project delivery."
The Australian Taxation Office (ATO) is reminding employers that they need to increase the compulsory minimum super payments they make on behalf of eligible employees.
Emma Haines, ATO Assistant Commissioner said the super guarantee rate increased from 9.25 per cent to 9.5 per cent on 1 July 2014 and employers must ensure they have calculated their super correctly for pay periods after that date.
“Super contributions are calculated based on the date you pay your employees. If this date was on 1 July or after then you will need to use the new super guarantee rate.”
“Employers can use the ATO’s online superannuation guarantee contributions calculator to work out how much super they must contribute for eligible workers,” Ms Haines said.
For more information about super guarantee visit www.ato.gov.au/employersuper or seek help from your superannuation service provider.
Just when you thought that most talk from governments about cutting red tape is, well, just hot air, out comes a really important change that delivers real gains for the construction industry. The Australian Building Codes Board (ABCB) has announced big changes to the strategic framework of regulation, and the systems that manage them.
The ABCB will make the National Construction Code (NCC) available on line and free of charge from 2015, and move to a three year amendment cycle in 2016. This is one of those cases that is so obvious and worthwhile that it makes you wonder why it wasn’t done years ago. The resources and effort needed to produce annual revisions can be re-directed to more useful tasks, and the need for industry to be on top of annual changes has gone.
The loss of revenue from selling the Code will be made up of a modest increase in budget funding, savings in production costs, and administrative efficiencies.
There are other equally important changes in the package of measures that will be welcomed by the industry.
The performance measures used by the ABCB will change to focus on uptake and use of the NCC, encouraging innovation. State and Territory departures from the NCC, the bane of those who work across borders, will be reduced as a big step towards national consistency. The imposition of higher prescriptive standards than those in the NCC by other authorities, such as local governments, will be limited.
Other innovations will focus on more efficient and effective delivery of the NCC on line, enhancing the design and appearance of the Code, increasing harmonisation of the building and plumbing codes, and the development of national practice notes to deliver greater consistency in interpretation.
Much energy and time and resources are devoted to developing and maintaining standard forms of contract for the construction industry. Sometimes great energy and heat are spent arguing over whether standard contracts are worth the effort, doing little more than generating revenue for the organisations that sponsor and produce them. Those who argue that it’s not worth the effort now have useful and instructive research findings that demonstrate just why the use of standard contracts is important, and why we should care how they are produced and used.
The University of Melbourne Law School, with the support of the Society of Construction Law Australia, has published the results of a research project investigating current practice in relation to standard forms of contract in the Australian construction industry.
The research project relied on a web-based survey (which received 295 responses representing 379 projects) and 47 interviews with key industry personnel. The key findings include:
there is broad support in principle for the use of standard forms;
however, 54% of respondents believe that there is no current standard form capable of being used in Australia without substantial amendment;
68% of contracts reported upon used standard forms;
of those, 84% were amended from the standard form;
the primary reason identified for amendment was the ‘need to shift risk’;
overall, AS4300-1995 was the most widely used form in Australia (used in 23% of projects using a standard form), followed by AS4000-1997 (18%), AS2124-1992 (17%) and AS4902-2000 (14%);
the form was chosen by the principal or principal’s lawyer in more than 80% of cases;
the dominant factor identified for that choice was ‘familiarity with the form of the party choosing it;
the extent and types of amendments to standard forms varied by form, contracting sector and value; and
overall, the highest incidence of amendment was in relation to extensions of time, delay damages, site conditions, variations, warranties, claims, security of payment, GST, workplace health and safety and limitations on liability.
Project Team Integration – The Key To Optimising BIM
Tue, 22 Jul 2014 00:00:00 +1000
ACIF and the Australasian Procurement and Construction Council (APCC) have produced two important and valuable guides to help the construction industry improve productivity. The Case for Project Team Integration, and The Project Team Integration Workbook contain straightforward ways to improve project team collaboration and performance. They make a strong case for early integration of project team members, to get the best from all disciplines that can contribute to good project outcomes and, where it is used, from Building Information Modelling (BIM).
Collaboration amongst members of project teams in the construction industry is a good thing. It is a vital input to efficiency and productivity, reduction in wasted effort, and minimisation of disputes. BIM will produce best results (design to achieve project sponsors' objectives, minimal changes, optimal buildability, designed-in operational efficiency) when all who can contribute are involved in designing and planning for the work they will perform for the project.
That requires
integrating project teams to create, sustain and encourage the collaborative behaviour required of all members of project teams if optimal project outcomes are to be achieved; and
the powerful enabling tools presented by BIM, that optimise the process of planning, designing, constructing and operating assets.
Both developments have demonstrated significant improvements in time, cost and quality outcomes, when used separately. The industry is beginning to invest heavily in BIM to drive more efficient design, site management, construction methods, and asset management. It is also a key to driving greater productivity from supply chain arrangements, offering opportunities to standardise and modularise components.
The full benefits of BIM will not be realised without a delivery methodology in place that facilitates the integration of contractors, trade contractors and suppliers in the design process.
The benefits of early appointment coupled with use of BIM to develop design solutions to meet needs, are significant. The orthodox approach of appointing contractors only after designs are sufficiently developed to allow for tendering denies buyers opportunities for productivity gains, both in capital and recurrent cost.
ACIF and APCC will be holding workshops to demonstrate how the Workbook can improve project outcomes, and will present an hour long webinar on the Workbook in September for the International Association for Contract and Commercial Management. Dates will be announced soon.
Construction Products Quality – Achieving Compliance
Tue, 22 Jul 2014 00:00:00 +1000
Evidence suggests that the market penetration of non-conforming products in several key construction product sectors in Australia may be up to 50%. This is a sobering and alarming statistic. The Australasian Procurement and Construction Council (APCC) has been working with more than 20 other organisations to produce a guide to construction products quality compliance.
The guide is close to being released on line by APCC and will address the growing concern of industry over product quality standards certification. The compliance and durability of construction products are major risk factors which need to be managed as they impact significantly on the service life and quality of building and construction projects.
It is important to understand the responsibility to determine whether or not a construction product is fit for its intended purpose and the profound consequences in the event that the product is found to be defective. However, the procurement of construction products has become increasingly complex, and information and guidance to assist the procurement process is scarce. In particular, for many ‘safety critical’ products, there is often a lack of credible and accurate information available in Australia to assist stakeholders involved in construction projects to verify construction product compliance and conformance, in order to determine whether or not a product is fit-for-purpose.
This Guide seeks to assist in the decision-making processes for the procurement of construction products in Australia, with a view to elevating levels of compliance and providing a level of confidence to all parties in the supply chain.
Separately, the Australian Industry Group is leading a working group attacking the problems of non-compliance from another perspective, drawing on the evidence of widespread non-compliance in its November 2013 report The quest for a level playing field, The non-conforming building product dilemma.
The Australian Government has released the Productivity Commission’s Final Inquiry Report into Public Infrastructure. The Treasurer asked the Productivity Commission to undertake a comprehensive review of public infrastructure in November last year, with terms of reference that included identifying ways to reduce infrastructure costs and address barriers to private sector financing.
The majority of reforms recommended by the Commission relate directly to state and territory governments, and the Australian Government has announced it will consult with them over the next few months before it releases its own response to the Report.
Here are the key recommendations.
There is an urgent need to comprehensively overhaul processes for assessing and developing public infrastructure projects.
There are numerous examples of poor value for money arising from inadequate project selection, potentially costing Australia billions of dollars.
Additional spending under the status quo will simply increase the cost to users, taxpayers, the community generally, and lead to more wasteful infrastructure.
Reliance on the notion of an infrastructure deficit, too, could encourage poor investment choices.
It is essential to reform governance and institutional arrangements for public infrastructure to promote better decision making in project selection, funding, financing and the delivery of services from new and existing infrastructure.
Well-designed user charges should be used to the fullest extent that can be economically justified. However, governments will have to continue to fully or partly fund some infrastructure projects and address equity issues.
Significant institutional and longer-term road pricing arrangements will create more direct links to road users, taking advantage of advances in vehicle technology.
Private sector involvement in infrastructure provision and/or financing delivers efficiency gains only if well designed and well implemented.
Private financing is not a 'magic pudding' — ultimately users and/or taxpayers must foot the bill.
Government guarantees and tax concessions are not costless and often involve poorly understood risks.
Governments will have some capacity to fund more projects than under current fiscal and debt management practices, provided the reform package in this report is implemented to ensure the selection of projects with strong net benefits.
Data problems limit analysis and benchmarking. A coordinated and coherent data collection process will address this and improve future project selection decisions.
Nevertheless, there is evidence of recent significant increases in the costs of constructing major public infrastructure in Australia. Elevated labour costs due to the mining construction boom has been one factor, but no single input has played a decisive role in cost increases.
Until recently, labour productivity growth in the construction sector generally has been sluggish. There is no conclusive evidence that Australian levels of productivity in construction are significantly different from other developed countries.
The industrial relations environment in the construction industry remains problematic, mainly in general rather than civil construction, with the problems much greater for some sites, unions and states. Governments can use their procurement policies to drive reform, and penalties for unlawful conduct should rise.
Despite significant concentration in the market for large public infrastructure projects, the market appears to be workably competitive today, though a few simple measures would make it more so and would reduce the cost pressures facing procurers.
There is significant scope to improve public sector procurement practices and lower bid costs for tenderers, with potentially large benefits for project costs and timing.
ACIF is encouraged by the Commission’s willingness to address many of the issues and practices about which the private sector has been concerned for years, including the issues associated with the cost of the front end of delivering infrastructure. It has recognised that the costs of tendering on large projects could be moderated if clients spent more on initial design, rather than loading design costs on to competing bidders, and that it would be equitable to compensate unsuccessful tenderers for at least part of their tender costs.
The Commission has understood that the progressive dismantling over two decades of government’s ability to procure and deliver assets, and the associated devolution of asset delivery from government to the private sector, have made it difficult to find “educated” public sector clients. It has suggested that clients become “more informed about the project they are wishing to purchase and for clients not to rush to market with untested scope documents. The importance of informed customers has equal relevance to other forms of government contracting. For example, for PPPs, the patronage risk analysis, undertaken by governments and any other information relevant to project risks should be provided to potential bidders to lower bid costs and elicit better costed bids.”
It goes on to suggest that Government clients should garner the benefits of Building Information Modelling (BIM) to provide a better understanding of whole‑of‑life project costs and potentially lower construction costs. The Commission recommends government clients should “consider provision of initial designs in a BIM format when the project is of sufficient complexity to provide for lower construction costs and the selection of the lowest ‘whole‑of‑life’ design option.”
The Commission has also identified the use of excessively tight rules on probity as a form of inefficient or excessive risk aversion, which can (and the industry knows that they do) increase the time and costs of procurement processes, and frustrate superior procurement options for some projects.
>> For the brave and interested, both volumes of the report may be downloaded here.
Law firm Ashurst has released the fourth of its latest of its Scope for Improvement Reports, "Project Pressure Points – Where Industry Stands".
Scope for Improvement reports on pressure points and industry practices in Australian construction and infrastructure projects – the key issues, trends and opportunities for change and improvement. Since 2006, Ashurst has undertaken industry-wide research into projects worth more than $135billion. Only around half of these projects have been delivered on time, on budget and to the required quality, and disputes have been prevalent. This research formed the basis of Scope for Improvement reports in 2006, 2008 and 2011.
The fourth report reflects the views of participants in these projects on how well industry is responding to challenges and provides guidance on improved approaches to achieve better project outcomes.
This report identifies a series of major issues which continue to hamper the delivery of projects around Australia and which put at risk the prospects of industry participants and contribute to declining productivity. The main obstacles identified in the report are these:
Imagine you are starting out in the building and construction industry. You know you want to be amongst it, but are yet to work out which type of player you are going to be - a high-skilled type, a low-skilled type or a tradesperson?
Could you base your choice upon where the prospects are for each?
ACIF Forecasts includes the outlook for different labour requirements across the country, with a rolling ten year forecast plus the past ten years actual requirements. Entrants to the industry, and their educators, can gain important information to inform their choice from the ACIF Forecasts.
The below chart from the Customised Forecasts Dashboard shows that for volume of opportunities, the 'fluro-vest economy' really is the way to go.
>> Need the expert comments and analysis on the outlook for your state or territory across all sectors and work types, with the national outlook for reference? Construction Market Reports are here
Tradies National Health Month this August will boost and transform the health and safety of Australian tradies.
Safe Work Australia recently reported $8.7 billion in compensation costs for trips, slips and falls relating to 26,705 claims and with research showing that 80% of injured workers in Australia are tradesmen and labourers, this initiative is a must.
Tradies rely on their physical and mental health to do their jobs and ignoring aches, pains and body stress could result in disability and debilitation in the future. Steel Blue and the Australian Physiotherapy Association are providing tradies with the right tools to help them move well, stay well and assist in reducing the risk and severity of injuries.
Throughout August, there will be events at work sites Australia wide with physiotherapists and Steel Blue representatives spreading the word. Physiotherapists will be hosting Q&A’s and providing tips for tradies in areas such as neck, back, shoulder and knee health. Steel Blue representatives will also take to worksites and highlight the full body health benefits of wearing correct footwear.
“We are encouraging everyone to get involved and spread the word, so if you are interested in hosting a worksite event anywhere in Australia, please register online and we can organise physios, and Steel Blue reps who know the importance of proper safety in the work place, to make it down,” Ross Fitzgerald, General Manager of Steel Blue.
“A large proportion of life is spent at work and with tradies placing their bodies under a lot of stress in their day-to-day activities it is understandable that they may get hurt. The Australian Physiotherapy Association is passionate about keeping Australian tradies pain-free, moving well and living to their full potential,” said Cris Massis, Chief Executive Officer of Australian Physiotherapy Association.
All tradies are encouraged to register their support online and will enter a $4,000 prize draw to win the ultimate outdoor adventure and choose from the ultimate surfing, camping or fishing trip.
Bigger and better each year as we reach more tradies - this year, Tradies National Health Month is also launching an online game featuring an Australian celebrity. More details to be revealed soon.
The ACIF Forecasts show improved demand for residential building in Sydney at last. But what TYPE of work should you aim for?
The below chart from the ACIF Customised Forecasts Dashboard shows the short term demand for Sydney residential building for New Homes, New Other Residential, compared to Alterations and Additions (Large) and Alterations and Additions (Small). Which would you like to aim for?
>> Need the expert comments and analysis on the outlook for NSW and Sydney across all sectors and work types, with national outlook for reference? Construction Market Report for NSW is here
Nationally, ACIF Forecasts show that engineering construction is expected to peak this financial year at $128 billion, just short of an additional $1 billion of spending observed in 2012-13. Many of the large-scale mining projects that have dominated this category and sector over the past five years are now coming to an end, and will be moving into production.
That said, there are several major projects that are still under construction or are committed. As a result, despite the imminent sharp downturn in total engineering construction spending, the absolute value of work done in this construction category will remain well above the historical average, and is projected to be around $110 billion in 2022-23.
Western Australia has the greatest change in prospects in engineering construction. For the people and businesses experience and committed to this type of work and location - where to from here?
The below chart from the ACIF Customised Forecasts Dashboard shows the projections for WA engineering construction for Roads; Bridges, Railways, Harbours; Electricity and Pipelines; Water/Sewerage; Telecommunications; as well as Heavy Industry inc Mining.
>> Need the expert comments and analysis on the outlook for Western Australia and Perth across all sectors and work types, with national outlook for reference? Construction Market Report for WA and Perth is here
Large-scale investment in Queensland mining and associated infrastructure have meant that engineering construction expenditure has grown at a speed, and to amounts, at unprecedented levels. As a result, over the past decade Queensland’s economy has been booming, fuelled by the surge in mining activity.
In its latest Construction Market Reports, ACIF projects the peak in Queensland's construction spending to be reached this year, in 2013-14. As construction of many of the mega projects come to completion in the medium to long term, the state’s income is set to continue on an upward trajectory, resulting from the increased capacity to export coal and gas to international markets.
Although activity in engineering construction is expected to hit a turning point this year, the fall in annual spend in this sector will be slower than the speed at which it rose. Many major projects remain in the pipeline, with several more proposed but not yet committed.
As personal income levels continue to rise, we expect to see some of that wealth to pour into the residential building sector, which has been subdued over the past five years.
Construction activity in Queensland over the past ten years is a tale of two stories. Spending in engineering construction has grown by nearly sixfold (approximately $7 billion in 2003-04 to $39 billion in 2012-13), whilst growth in residential and non residential building expenditure has been much more modest in comparison.
Although the tapering in engineering construction activity may seem drastic in the short to medium term future, existing large-scale investments such as the ongoing Australia Pacific LNG development (approximately $23 billion) and those in the project pipeline (for example, Port of Hay Point Dudgeon Point Development worth approximately $10 billion), will continue to sustain spending in this sector above historical levels.
In addition, we have interviews with members of the Queensland Briefing expert panel one by one.
Job cuts in the Australian public service are likely to be significantly impact the economic outlook for the Australian Capital Territory (ACT).
The Federal Government has flagged intentions to reduce the public service workforce by up to 14,000 people, with some reports suggesting that over 5,000 of this to come from the nation’s capital. Lower employment in the ACT would impact personal consumption levels and put additional downward pressure on housing demand, reversing previous strong growth.
Overall, the subdued economic outlook for the ACT is expected to adversely impact construction spending. ACIF projects marginal growth in Construction activity in the ACT over the projection period, at less than 0.5% per annum.
The surge in residential building spending observed between 2008-09 and 2011-12 has come to an end, and demand for new houses as well as apartments and townhouses is anticipated to dip.
That said, the Territory Government has been active in seeking residential development opportunities in recent years, and a long list of approved residential and mixed-use projects in both green and brown field sites exists. The fall in residential building activity may be quicker than what is projected by our forecast model, if planned projects are placed on hold as the economy slips into sluggish growth.
Non residential activity has been strong in recent years, but a sharp drop was observed between 2011-12 and 2012-13. Although there is some potential for a flurry of activity to take place in this sector further down the track, the projection is of a modest growth to 2022-23.
The ATO is encouraging employers to prepare for the introduction of SuperStream which will change the way they make superannuation contributions in the future.
In cooperation with their service provider or default fund, employers can opt-in to use SuperStream from as early as 1 July 2014.
The ATO expects most large and medium employers will implement SuperStream between July and December of this year.
SuperStream introduces a new standard for all employers which involves making super contributions electronically with linked data and payments. All super contributions are treated in the same way – whether sent to a default or choice fund, an APRA fund or self-managed superannuation fund (SMSF).
“The main benefit for employers is that the SuperStream standard will simplify the employer experience and reduce costs by eliminating unnecessary variation and complexity that has crept into the system over recent years,” Mr Philip Hind ATO’s National Program Manager, Data Standards & E-Commerce (SuperStream) said.
The improvements mean employers will increasingly find that they can use a single channel when dealing with super funds, regardless of how many funds their employees contribute to.
“The need for reform of Australia’s superannuation system was highlighted in the 2010 Cooper Review which found the existing processes made poor use of technology and there was no consistency in the data required and how funds deal with contributions,” Mr Hind said.
“SuperStream is one of the most significant improvements to the compulsory superannuation system since its inception 20 years ago.
“All employers need to introduce changes in the way they currently make super contributions; although some who are already working electronically or have a clearing house partner will find these changes are relatively minor.”
The ATO is focused on awareness raising, education and support for employers during the first few years of SuperStream as the new standard is adopted.
“All large and medium-sized employers need to prepare now to ensure they’re ready to transition to SuperStream at the earliest available opportunity,” Mr Hind said.
“The ATO will provide flexibility and support to employers making a genuine attempt to comply with their obligations under SuperStream. This means you must have in place firm implementation plans with your service provider or default fund including a proposed completion date. A large or medium employer must complete their implementation by no later than 30 June 2015.”
Small employers (those with 19 or fewer employers) have another year before they commence using SuperStream, starting from 1 July 2015but completing their implementation by no later than 30 June 2016.
Performance in South Australian construction activity is projected to have mixed results, says the May release of the ACIF Forecasts.
While the beneficial impacts of historically low interest rates will support some activity while the state continues to adjust to structural change, high exchange rates and labour costs have had an adverse impact on South Australia’s manufacturing sector.
Real gross state product (GSP) grew by 1.3% in 2012-13, which was a minor fall from the 1.8% growth recorded in the previous year.
Total construction spending in South Australia increased by 3% in 2012-13. The main driver of growth was a surge in engineering construction.
Total construction spending is anticipated to fall in 2013-14, stemming from a tapering-off in engineering construction and non residential building activities.
Economic growth in Western Australia is slowing, and as such the Government projects growth to slow to 3.75% in 2013-174 and to 2.5% in 2014-15.
ACIF projects spending in Western Australian engineering construction to peak in 2014-15, followed by a gradual decline as major resource projects come to an end. Although spending will fall quickly at first, the downward trend will likely flatten out at levels well above the historical average.
Non residential building activity has grown strongly as support services demand grew with the rise of mining townships and rapid population growth. We anticipate these activities to slow down and trend at close to zero growth through to 2022-23.
Performance in residential building activity has been mixed in past years. By comparison to the surge in engineering expenditure, its annual growth has remained relatively flat. We project relatively weak growth in this sector, similar to its historical pattern.
The completion of several of the mega projects signals the beginning to a production and export driven economy, which will sustain output growth, albeit at a less exuberant pace than recent years. However, the transition period is likely to involve some pain. Business activity is showing signs of weakening, but this is unlikely to continue beyond the medium term, as revenue generated from exports will provide new opportunities.
ACIF projects total construction spending to contract for several years to come as engineering construction faces a sharp decline which will level by around 2018-19.
The outlook for New South Wales’ economy is positive, with output growth projected to lead the rest of Australia as the booming states of Western Australia and Queensland feel the impact of a decelerating mining sector over the coming decade.
After years of sluggish performance, the residential building sector is expected to see significant improvements, driven largely by the relatively low interest rates and existing pent-up demand for new houses and multi-unit dwellings. There is also a healthy pipeline of engineering construction projects in mining, rail and roads that are already committed or on their way.
Overall, ACIF projects New South Wales to be one of the leading states in construction activity in the coming decade.
The historical trend for each of the construction sectors in New South Wales has been unique. While engineering construction has enjoyed consistent year-on-year growth from 2003-04 to 2012-13, the residential building sector underwent periods of relatively low activity during the same period, with annual spending falling by as much as $5.5 billion between 2003-04 and 2009-10.
Activity in residential building has shown signs of recovery in the past two years, and is projected to continue on an upward trajectory through to 2022-23 as interest rates remain at low levels, providing plenty of liquidity in the home loans market.
Non residential activity took a small dip in 2011-12, however, like the residential building sector, has been on a moderate growth path since. Construction expenditure in this sector is expected to be far more modest in terms of annual growth compared to residential building.
Speakers for ACIF Briefing in Sydney
Ian Pedersen, Deputy Chairman, ACIF
Ian Pedersen is a structural engineer with more than thirty years experience in engineering, project and general management, business development, finance, and government and media liaison.
Ian is a Past National President (1999–2000) of Engineers Australia [The Institution of Engineers Australia), Chief of Judges for the Australian Engineering Excellence Awards, a Councillor of the NSW Business Chamber, and Chair of the Chamber's Infrastructure Committee.
Kerry Barwise, Director, ACIL Allen Consulting
Originally commencing with the Allen Consulting Group in 1997, Kerry is now a leader within the firm’s Built Environment and Energy Efficiency practice areas. He started his career in providing economic policy advice at the Commonwealth Government’s Department of the Treasury, where he was for 11 years.
Kerry has planning and built environment expertise, and is particularly interested in the intersection of policy development in areas including land use, transport, urban design, sustainability, greenhouse gas abatement, renewable energy, and community development.
Nicholas Crothers, Director Research & Consulting, Jones Lang Lasalle
Nick responsible for managing the provision of strategic research services to all of Jones Lang LaSalle’s New South Wales business lines.
Nick joined Jones Lang LaSalle in 2008 having previously held the role of National Research Manager for Stockland Development, Research Manager at Dexus Property Group and National Research Manager at the Property Council of Australia.
Adrian Harrington, Head of Funds Management, Folkestone
Adrian has more than 20 years of experience in the funds management and real estate industries. He was formerly CEO Funds Management, UK and USA for Mirvac Group. He previously held senior positions at James Fielding Group, Deutsche Asset Management, Paladin Australia and the Property Council of Australia. Adrian is a Fellow of the Financial Services Institute of Australasia. Adrian has a Bachelor of Science (Hons) from the University of New South Wales and a Graduate Diploma in Applied Finance and Investment from the Financial Services Institute of Australasia.
Matthew Harris, Director, Rider Levett Bucknall
Matthew has worked in Professional Practice for some 20 years including 7 years as a Company Director and Shareholder of Rider Levett Bucknall.
Matthew began his career in the UK. Since moving to Australia in 1994, Matthew has worked in senior positions with large consulting groups providing professional services in Australia, the UK and Hong Kong. Matthew provides advice in Construction and Infrastructure Cost Management, with particular interest in financial engineering, methods of procurement and strategies for success.
Brian Seidler, Master Builders Association NSW
Brian has been Executive Director of the NSW Master Builders Association since 2000. Prior to his appointment he was extensively involved in providing full time on-site industrial relations advice to a number of major development projects.
He has served as a Director on several industry-related bodies including the Australian Construction Industry Redundancy Trust and the Allied Construction Employees Superannuation Fund.
Construction activity was negative in Victoria in 2012-13 despite strong growth in the residential building sector. A larger contraction is projected for 2013-14 at approximately minus 1.5%, driven largely by the projected reduction in residential building activity.
While there is a lot of attention on negative outlook for manufacturing in the state, the key driver for construction has been population growth and lower interest rates. However, these are unlikely to be insufficient to ward-off the contraction in residential activity foreshadowed for 2013-14.
Deceleration in growth is expected to be particularly pronounced in residential building. Engineering construction is predicted to only have minimal change in the next two years before returning to a gradual upward trend from 2016-17 onwards.
Non residential building activity is anticipated to continue to on a very marginal growth trend, average around 1.5% annual growth over the forecast period.
ACIF’s latest forecasts for the industry and some interesting “births and deaths” numbers set me to thinking about our industry’s resources, and how we approach skills formation and retention. Our May forecasts presented a strong (though geographically patchy) recovery in residential building, non-residential flat-lining overall, and a decline in new engineering construction, albeit with current workloads still at historically very high levels.
The employment story was at first glance perplexing. Remember the skills shortage we had before the world crashed with the collapse of financial markets? And then the very real concern of a jobs blood bath as more than $60 billion worth of committed projects were canned.
You would think that the employment numbers from 2008 to now would show big shifts as activity waxed and waned. Not so. This graph tells the story of an industry with a remarkably stable workforce.
Sure, the year on year numbers change as GDP growth changes, but the swings were not severe – the biggest a 3% decline in 2009-10?
But it seems that smaller firms have less interest in skills formation, and encouraging young people to enter the industry, than larger firms with more invested in capital and reputation.
1. Contact your Association or Institute to ask for the 'ACIF Dashboard Code'. They may have it included in a website or enewsletter where they list special benefits for their members. The code will look like 'ACIF-XXX-XXX'.
2. Visit ACIF's website and click on the 'Subscribe' button in the top menu. Then select 'Customised Forecasts Dashboard Subscription'.
3. Complete the subscription form, and proceed to make payment for your new subscription. It will cost less than $1 a day for 24/7 access to the full ACIF Forecasts database.
4. At the Payment Method screen, see the box requesting the discount code. Type in the code as it has been provided to you, and proceed to complete your payment. You will now save 25% off the full price of a 12 month subscription.
Did you miss the recent ACIF Briefings, but still keen to know what the forecasters say are the factors affecting YOUR business over the next ten years? Well, you can find out.
All the numbers that matter - how much $$ will be spent in YOUR area in YOUR type of work. How to use the new Customised Forecasts Dashboard.
The Customised Forecasts Dashboard makes it easy for businesses large and small to use our Forecasts database to get accurate local or national data - and plan effectively.
Four Forecasting tools in an easy to use online Dashboard.
Query the ACIF Forecasts database on Work Forecasts; Labour Requirements; Projects in your area; and find out the Big Picture for construction costs.
Data is available for upcoming work for residential building, non residential building and engineering construction.
Select from 20 work types, and locations by states and/or capital cities.
Forecasts can be generated as short term of eight quarters or a long term of ten years. The information is delivered as both data ready for further processing and as charts ready for inclusion in reports.
Forecasts data comes from high quality sources including ABS, Cordell Information and expert economic reports, before analysis by ACIL Allen Consulting.
The Forecasts are scrutinised by ACIF’s Construction Forecasting Council, a panel of economists and industry experts from finance, housing, commercial property and more.
View this brief video presentation to find out more
The ACIF Forecasts have been released for May 2014.
Over the last two weeks, delegates to the ACIF Briefings have heard first hand the trends and drivers that will impact their business. Overseen by ACIF’s Construction Forecasting Council, the ACIF Forecasts are the industry’s ‘compass’ to the future and your upcoming work for the next decade.
Construction Market Reports are released today for each state and territory here. Each Report includes the expert analysis and detailed commentary on the industry nationally by ACIL Allen Consulting, including macro-economic outlook, activity shares by sector, the industry’s need for labour and skills, and detailed national outlook for residential and non residential building, and engineering construction, by work type.
Then detail on the outlook for your state and capital city, including major projects from Cordell Information. All Reports include Construction Costs Trends by Rider Levett Bucknall.
Easy to use, the Dashboard delivers data and charts for short term (8 quarters) or long term (10 years) forecasts for 20 work types in any state or city; labour and skill outlook; lists of major projects in your area, thanks to the Cordell Information; plus the outlook for construction costs. To learn how to use the Dashboard, see the video on the ACIF website.
Wondering what happens at an ACIF Briefing? Thanks to ACIF media partner Building On Air, for the first time you can view a recording of the ACIF Briefing in Brisbane on 14 May 2014. In addition to a 5 star breakfast and networking opportunities, the Briefing saw ACIL Allen Consulting deliver the key issues for the industry - and what is driving them - then the outlook both nationally and for Queensland.
Following was a Q&A with a local expert panel, featuring Leigh Warner from JLL, John Crittall from Master Builders Association, Mark Burow from Rider Levett Bucknall and Kathy MacDermott from the Property Council.
Queensland’s economy has been booming over the past decade, fuelled by the surge in mining activity. Large-scale investments in mining associated infrastructure have meant that engineering construction expenditure has grown at a speed, and to amounts, at unprecedented levels.
ACIF projects the peak in construction spending to be reached this year, in 2013-14. As construction of many of the mega projects come to completion in the medium to long term, the state’s income is set to continue on an upward trajectory, resulting from the increased capacity to export coal and gas to international markets.
Although activity in engineering construction is expected to hit a turning point this year, the fall in annual spend in this sector will be slower than the speed at which it rose. Many major projects remain in the pipeline, with several more proposed but not yet committed.
As personal income levels continue to rise, we expect to see some of that wealth to pour into the residential building sector, which has been subdued over the past five years.
Construction activity in Queensland over the past ten years is a tale of two stories. Spending in engineering construction has grown by nearly sixfold (approximately $7 billion in 2003-04 to $39 billion in 2012-13), whilst growth in residential and non residential building expenditure has been much more modest in comparison.
Although the tapering in engineering construction activity may seem drastic in the short to medium term future, existing large-scale investments such as the ongoing Australia Pacific LNG development (approximately $23 billion) and those in the project pipeline (for example, Port of Hay Point Dudgeon Point Development worth approximately $10 billion), will continue to sustain spending in this sector above historical levels.
Speakers for ACIF Briefing in Brisbane
Robin Fardoulys, Fardoulys Constructions and ACIF Chairman
Robin is a Past President of the Australian Institute of Building (2006 – 2008) and a member of the Australian Building Codes Board. He was appointed to the Queensland Building and Construction Board on 1 December 2013. He has been Chairman of ACIF since 2009.
KerryBarwise, Director, ACIL Allen Consulting Originally commencing with the Allen Consulting Group in 1997, Kerry is now a leader within the firm’s Built Environment and Energy Efficiency practice areas. He started his career in providing economic policy advice at the Commonwealth Government’s Department of the Treasury, where he was for 11 years.
Kerry has planning and built environment expertise, and is particularly interested in the intersection of policy development in areas including land use, transport, urban design, sustainability, greenhouse gas abatement, renewable energy, and community development.
Mark Burow, Director, Rider Levett Bucknall
Mark is the Managing Director of Rider Levett Bucknall Queensland Pty Ltd, a position he has held since 2001. He has worked in the property and construction industry in Queensland since 1972 and was appointed a Director of Rider Levett Bucknall Queensland Pty Ltd in 1987.
During his career, Mark has been involved in a diverse range and size of projects throughout the Pacific Basin. This diverse background has enabled him to specialise in strategic advice, cost planning and management.
John Crittall, Director Construction Policy, Master Builders Association QLD
John is the Director of Construction Policy at Master Builders since 2003. He is responsible for the key areas of Industrial relations, workplace health and safety, legal and contracts and training within Master Builders Queensland. He has had over 25 years of experience with the industry. He currently sits on the Queensland Governments Workplace Health and Safety Board and is also a Board member of BIGA training and CIPQ. John has an Honours Economics degree, and a Masters.
Kathy McDermott, Executive Director, Property Council of Australia, QLD Division
Before joining the Property Council in 2010 Kathy was General Manager – Property and Finance, Rowland Group.
Her 28 year career in property includes 11 years as a journalist for The Australian Financial Review, seven as the Queensland bureau chief. Kathy has also worked in corporate communication roles in Australia and London.
Leigh Warner, Director Research, Jones Lang Lasalle
Leigh heads Jones Lang LaSalle's Queensland Research team and also co-ordinates national retail market research. Leigh has a strong background in economics, previously working as an economist for the Reserve Bank of Australia and Queensland Treasury. Since joining Jones Lang LaSalle in 2004, he has also provided strategic consulting advice to both private and public sector clients. He holds an honours degree in Economics from the University of Queensland
Economic outlook for the Australian Capital Territory (ACT) is likely to be significantly impacted by the job cuts in the Australian public service. The Federal Government has flagged intentions to reduce the public service workforce by up to 14,000 people, with some reports suggesting that over 5,000 of this to come from the nation’s capital.
Lower employment in the ACT would impact personal consumption levels and put additional downward pressure on housing demand, reversing previous strong growth.
Overall, the subdued economic outlook for the ACT is expected to adversely impact construction spending. ACIF projects marginal growth in Construction activity in the ACT over the projection period, at less than 0.5% per annum.
The surge in residential building spending observed between 2008-09 and 2011-12 has come to an end, and demand for new houses as well as apartments and townhouses is anticipated to dip.
That said, the Territory Government has been active in seeking residential development opportunities in recent years, and a long list of approved residential and mixed-use projects in both green and brown field sites exists. The fall in residential building activity may be quicker than what is projected by our forecast model, if planned projects are placed on hold as the economy slips into sluggish growth.
Non residential activity has been strong in recent years, but a sharp drop was observed between 2011-12 and 2012-13. Although there is some potential for a flurry of activity to take place in this sector further down the track, the projection is of a modest growth to 2022-23.
Speakers for ACIF Briefing in Canberra
Robert Hunt, CEO, Australian Institute of Building
Robert has been CEO of the AIB since 2009. He is a Qualified Accountant (CPA), and graduate of the University of Canberra. He has more than 20 years senior management in membership organisations including 5 years as Deputy CEO of the Federal Office of the Australian Medical Association and 7 years as Corporate Service Director of the National Heart Foundation. He is Canberra born and bred and out of business hours is a fine Merino wool farmer. Or should that be a farmer of fine Merino wool?
Kerry Barwise, Director, ACIL Allen Consulting
Originally commencing with the Allen Consulting Group in 1997, Kerry is now a leader within the firm’s Built Environment and Energy Efficiency practice areas. He started his career in providing economic policy advice at the Commonwealth Government’s Department of the Treasury, where he was for 11 years.
Kerry has planning and built environment expertise, and is particularly interested in the intersection of policy development in areas including land use, transport, urban design, sustainability, greenhouse gas abatement, renewable energy, and community development.
Andrew Balzanelli, Managing Director, Jones Lang Lasalle
Andrew joined Jones Lang LaSalle in 1988, and was appointed Managing Director for the ACT in 2009. Andrew has been involved in the property industry for over thirty three years, successfully positioning commercial property for lease and sale in Sydney’s Southern and Northern suburbs and CBD from 1996 to 2009, and now in Canberra. Andrew is a current member of the PCA’s planning and economic committees for the ACT and has presented commercial market overviews at PCA, API and Industry forums in Sydney and Canberra.
Mark Chappe, Director, Rider Levett Bucknall
Prior to joining Rider Levett Bucknall in Australia in 1998, Mark was a senior partner of a quantity surveying practice in Durban, South Africa. He was involved in various building and engineering construction sectors, and was also a part time lecturer in quantity surveying at Natal University. In Australia, Mark has managed both pre-contract and post-contract quantity surveying services on projects varying from less than $1 million to over $2 billion. He is a past president of the ACT Chapter of the Australian Institute of Quantity Surveying.
Jim Service AO, Executive Chairman, JGS Property
Jim's experience is extensive and unmatched. From 1959, he has held senior and executive roles in investment, finance, property, development and construction before founding the JGS Group in 1981. He is a Fellow of the Australian Society of CPAs, a Fellow of the Chartered Institute of Secretaries, an Honorary Life Fellow of the Australian Institute of Building, a Member of the Institute of Chartered Accountants, a past President of the Property Council of Australia and a Doctor of the University of Canberra.
Jim has been involved in all phases of the JGS Group since the company's establishment, and his focus on providing clients with unambiguous advice has rightly earned him, and JGS, an enviable reputation of experience, knowledge and integrity.
The outlook for New South Wales’ economy is positive, with output growth projected to lead the rest of Australia as the booming states of Western Australia and Queensland feel the impact of a decelerating mining sector over the coming decade.
After years of sluggish performance, the residential building sector is expected to see significant improvements, driven largely by the relatively low interest rates and existing pent-up demand for new houses and multi-unit dwellings. There is also a healthy pipeline of engineering construction projects in mining, rail and roads that are already committed or on their way.
Overall, ACIF projects New South Wales to be one of the leading states in construction activity in the coming decade.
The historical trend for each of the construction sectors in New South Wales has been unique. While engineering construction has enjoyed consistent year-on-year growth from 2003-04 to 2012-13, the residential building sector underwent periods of relatively low activity during the same period, with annual spending falling by as much as $5.5 billion between 2003-04 and 2009-10.
Activity in residential building has shown signs of recovery in the past two years, and is projected to continue on an upward trajectory through to 2022-23 as interest rates remain at low levels, providing plenty of liquidity in the home loans market.
Non residential activity took a small dip in 2011-12, however, like the residential building sector, has been on a moderate growth path since. Construction expenditure in this sector is expected to be far more modest in terms of annual growth compared to residential building.
Speakers for ACIF Briefing in Sydney
Ian Pedersen, Deputy Chairman, ACIF
Ian Pedersen is a structural engineer with more than thirty years experience in engineering, project and general management, business development, finance, and government and media liaison.
Ian is a Past National President (1999–2000) of Engineers Australia [The Institution of Engineers Australia), Chief of Judges for the Australian Engineering Excellence Awards, a Councillor of the NSW Business Chamber, and Chair of the Chamber's Infrastructure Committee.
Kerry Barwise, Director, ACIL Allen Consulting
Originally commencing with the Allen Consulting Group in 1997, Kerry is now a leader within the firm’s Built Environment and Energy Efficiency practice areas. He started his career in providing economic policy advice at the Commonwealth Government’s Department of the Treasury, where he was for 11 years.
Kerry has planning and built environment expertise, and is particularly interested in the intersection of policy development in areas including land use, transport, urban design, sustainability, greenhouse gas abatement, renewable energy, and community development.
Nicholas Crothers, Director Research & Consulting, Jones Lang Lasalle
Nick responsible for managing the provision of strategic research services to all of Jones Lang LaSalle’s New South Wales business lines.
Nick joined Jones Lang LaSalle in 2008 having previously held the role of National Research Manager for Stockland Development, Research Manager at Dexus Property Group and National Research Manager at the Property Council of Australia.
Adrian Harrington, Head of Funds Management, Folkestone
Adrian has more than 20 years of experience in the funds management and real estate industries. He was formerly CEO Funds Management, UK and USA for Mirvac Group. He previously held senior positions at James Fielding Group, Deutsche Asset Management, Paladin Australia and the Property Council of Australia. Adrian is a Fellow of the Financial Services Institute of Australasia. Adrian has a Bachelor of Science (Hons) from the University of New South Wales and a Graduate Diploma in Applied Finance and Investment from the Financial Services Institute of Australasia.
Matthew Harris, Director, Rider Levett Bucknall
Matthew has worked in Professional Practice for some 20 years including 7 years as a Company Director and Shareholder of Rider Levett Bucknall.
Matthew began his career in the UK. Since moving to Australia in 1994, Matthew has worked in senior positions with large consulting groups providing professional services in Australia, the UK and Hong Kong. Matthew provides advice in Construction and Infrastructure Cost Management, with particular interest in financial engineering, methods of procurement and strategies for success.
Brian Seidler, Master Builders Association NSW
Brian has been Executive Director of the NSW Master Builders Association since 2000. Prior to his appointment he was extensively involved in providing full time on-site industrial relations advice to a number of major development projects.
He has served as a Director on several industry-related bodies including the Australian Construction Industry Redundancy Trust and the Allied Construction Employees Superannuation Fund.
Construction activity was negative in Victoria in 2012-13 despite strong growth in the residential building sector. A larger contraction is projected for 2013-14 at approximately minus 1.5%, driven largely by the projected reduction in residential building activity.
While there is a lot of attention on negative outlook for manufacturing in the state, the key driver for construction has been population growth and lower interest rates. However, these are unlikely to be insufficient to ward-off the contraction in residential activity foreshadowed for 2013-14.
Deceleration in growth is expected to be particularly pronounced in residential building. Engineering construction is predicted to only have minimal change in the next two years before returning to a gradual upward trend from 2016-17 onwards.
Non residential building activity is anticipated to continue to on a very marginal growth trend, average around 1.5% annual growth over the forecast period.
Speakers for ACIF Briefing in Melbourne
Earl Sakareassen, Managing Director, OP Industries, Deputy Chair ACIF
Earl is the Managing Director of the O.P.Industries Group of Companies. He has spent 40 years in the mechanical services industry. He is the National President of the Airconditioning and Mechanical Contractors Association (AMCA), and a past Victorian President of AMCA. Earl was elected Deputy Chairman of ACIF in March 2011.
Kerry Barwise, Director, ACIL Allen Consulting
Originally commencing with the Allen Consulting Group in 1997, Kerry is now a leader within the firm’s Built Environment and Energy Efficiency practice areas. He started his career in providing economic policy advice at the Commonwealth Government’s Department of the Treasury, where he was for 11 years.
Kerry has planning and built environment expertise, and is particularly interested in the intersection of policy development in areas including land use, transport, urban design, sustainability, greenhouse gas abatement, renewable energy, and community development.
Geoffrey Bills
Geoffrey Bills is an independent economist with long experience of analysing and forecasting economic activity in Australia. He is a member of ACIFs Construction Forecasting Council. In the past he has been the chief economist of BHP, a senior lecturer in business administration at the University of Melbourne, and a member of the Stock Exchange of Melbourne. He has been running his own consultancy since the 1980s.
Kimberley Paterson, Research Manager – Victoria, Research and Consulting, Jones Lang LaSalle
Kimberley joined JLL in Melbourne in 2013 and is the research manager for Victoria. She is responsible for the provision of strategic research services to all of JLL’s Victorian business lines. Kimberley’s primary responsibilities include analysis of key trends and drivers of the Victorian commercial property markets, providing quarterly updates of market forecasts and regular reporting on market performance.
Kimberley joined JLL in New Zealand in 2004, before transferring to the Central London Office Agency team as a research analyst. She has a Bachelor of Communications from the Auckland University of Technology, NZ
Asher Judah, Deputy Executive Director, Property Council of Australia Victoria Division
Asher is a policy and media professional with over eleven years experience with industry associations in the property, construction, manufacturing and farm business fields.
Asher has been published on a number of public policy matters including planning, population growth, tourism, agriculture, China and the environment. He is also a contributing author to the public policy books, Really Dangerous Ideas and Right Social Justice, Better ways to help the poor.
Chris Robinson, Director Rider Levett Bucknall
Chris Robinson has had over 30 years' experience in the construction industry including 9 years at Multiplex Constructions, as Cost Planning Manager of the Victorian Branch.
Chris was appointed a Director of the RLB Melbourne practice in 2006.
Chris’ experience on both the client and contractor side in his career has given him a clear understanding of contract and risk transfer. Involvement with major developers has given a good understanding of the full spectrum of the development industry non construction related issues.
ACIF projects spending in engineering construction to peak in 2014-15, followed by a gradual decline as major resource projects come to an end. Although spending will fall quickly at first, the downward trend will likely flatten out at levels well above the historical average.
Non residential building activity has grown strongly as support services demand grew with the rise of mining townships and rapid population growth. We anticipate these activities to slow down and trend at close to zero growth through to 2022-23.
ACIF Construction Market Report for Western Australia and Perth will be released 26 May here.
Performance in residential building activity has been mixed in past years. By comparison to the surge in engineering expenditure, its annual growth has remained relatively flat. We project relatively weak growth in this sector, similar to its historical pattern.
Economic growth in Western Australia is slowing. The Government projects growth to slow to 3.75% in 2013-174 and to 2.5% in 2014-15.
The completion of several of the mega projects signals the beginning to a production and export driven economy, which will sustain output growth, albeit at a less exuberant pace than recent years. However, the transition period is likely to involve some pain. Business activity is showing signs of weakening, but this is unlikely to continue beyond the medium term, as revenue generated from exports will provide new opportunities.
ACIF projects total construction spending to contract for several years to come as engineering construction faces a sharp decline which will level by around 2018-19.
High exchange rates and labour costs have had an adverse impact on South Australia’s manufacturing sector. Real gross state product (GSP) grew by 1.3% in 2012-13, which was a minor fall from the 1.8% growth recorded in the previous year.
Performance in construction activity is projected to have mixed results. The beneficial impacts of historically low interest rates will support some activity while the state continues to adjust to structural change.
ACIF Construction Market Report for South Australia and Adelaide will be released 26 May here.
Total construction spending in South Australia increased by 3% in 2012-13. The main driver of growth was a surge in engineering construction.
Total construction spending is anticipated to fall in 2013-14, stemming from a tapering-off in engineering construction and non residential building activities.
ACIL Allen Consulting has updated the 2012 ACIF Demand Driven Forecasts, and will be published in addition to the next Construction Market Reports in May.
These Forecasts deliver demand driven forecasts for 21 locales around Australia by using demographic modelling to consider the expected changes in population and community mix, outputting this in terms of social infrastructure needs.
This includes the need for housing delivered as the number of new houses and new dwellings that will be required, while non-residential demand is delivered in square metres anticipated for office, retail and industrial uses. Demand for health care is delivered as number of hospital beds and education needs in terms of the number of classrooms required.
ACIF Demand Driven Forecasts use data from 2012 to 2020 to determine the additional demand over that period for:
Hospital Beds (number of beds);
Classrooms (number of rooms);
Houses (number of dwellings);
Attached dwellings (number of dwellings);
Retail space (thousands of square metres);
Office space (thousands of square metres); and
Industrial space (thousands of square metres).
Projection charts shown for each of the above demand types are incremental new demand, supply and cumulative gap in the future, beginning in 2012.
The demands for these services are derived from demographic modelling using the Our Nation model, which has been updated using ABS’ census 2011 data and the Australian population projection released in 2012. The demand for each of the services is based on how each of the cities examined grows and ages.
Details of the demographic assumptions of this model and how they relate to infrastructure/services can found at www.propertyoz.com.au/ournation.
The supply-side projections represent new additions to the corresponding indicator that are currently expected, projected or committed. They are calculated by:
Extracting available project level data in the Cordell Information database;
Corroborating this data with government budgets; and
Assessing this against the state-level shares results presented in the ACIF Forecasts. Where insufficient data is available from the database or government budgets, the shares are used as the primary driver of supply.
ACIF Demand Driven Forecasts are a useful addition to the planning tool box of anyone interested in knowing where demand for particular kinds of work is coming from.
The Productivity Commission's draft report on Infrastructure Costs released in March is a thorough and detailed study of the structural and operational issues surrounding the way the industry delivers economic infrastructure, and in particular the argument that we pay too much for it.
The draft report reviews the relationship between the historically high levels of activity in the infrastructure markets, and the resultant high demand for appropriate professional and trade skills that created skills shortages. Remember them? All the talk was about skills shortages as the mining and gas development boom took off, and before the GFC applied the hand brake. We are still debating the merits of, and the need for, 457 visas for some mega projects.
The draft report points to "the intermittency of construction projects as one of the most important drivers of skill shortages". It identifies the fact that "most occupations are highly specialised, requiring years of experience before reaching proficiency".
The Commission sensibly suggests that "consistent occupational licensing across jurisdictions would also improve geographic labour mobility, providing one avenue for addressing regional shortages".
Equally sensibly it makes the point that "no single policy can address all skill shortages in construction and, indeed, it would not be feasible or cost‑effective to avoid skill shortages during transient boom periods".
The Commission suggests two responses to the skills issues. One is that the Australian Workforce and Productivity Agency should make and publish regular projections of labour demand from public infrastructure construction. The other is that "the administrators of training funds should … agree on suitable guidelines that will be able to meet the current needs of industry, as well as their likely future needs in an environment where there is a more continuous flow of infrastructure investment".
The more I thought about those recommendations the less helpful they appeared to be. Here's why I think they miss the mark, and why we need a National Skills Strategy.
Since 2002, ACIF has provided the industry with a compass to its future, as the ACIF Forecasts details the upcoming demand for work across all sectors, as well as what is happening with construction costs and labour requirements.
The Customised Forecasts Dashboard will make it easy for businesses large and small to use our Forecasts database to get accurate local or national data - and plan effectively.
Four Forecasting tools in an easy to use online Dashboard.
Query the ACIF Forecasts database on Work Forecasts; Labour Requirements; Projects in your area; and find out the Big Picture for construction costs.
Data is available for upcoming work for residential building, non residential building and engineering construction.
Select from 20 work types, and locations by states and/or capital cities.
Forecasts can be generated as short term of eight quarters or a long term of ten years. The information is delivered as both data ready for further processing and as charts ready for inclusion in reports.
Forecasts data comes from high quality sources including ABS, Cordell Information and expert economic reports, before analysis by ACIL Allen Consulting.
The Forecasts are scrutinised by ACIF’s Construction Forecasting Council, a panel of economists and industry experts from finance, housing, commercial property and more.
View this brief video presentation to find out more
About the ACIF Forecasts
Since 2002, ACIF has provided the industry with a compass to its future, as the ACIF Forecasts details the upcoming demand for work across all sectors, as well as what is happening with construction costs and labour requirements. Forecasts are released May and November at ACIF Construction Forecasts Briefings, and are published as Construction Market Reports available here.
In May 2014, ACIF released its new Customised Forecasts Dashboard make it easier for the industry to access our Forecasts, and to get accurate local or national data to plan effectively.
The new Dashboard provides subscribers with access to data in four key areas: work forecasts; labour requirements, major projects, and the Big Picture, which looks at construction costs.
Under work forecasts, subscribers can customise a query on the upcoming demand for their business over the next ten years. Queries can be specific to each business, forecasting work for residential or non residential building, or engineering construction, for over 20 work types and for locations across Australia. Forecasts can be generated as short term of eight quarters or a long term of ten years. The information is delivered as both data ready for further processing and as charts ready for inclusion in reports.
Also included in the ACIF Customised Forecasts Dashboard are tools to query where the major projects are, using data from Cordell Information, as well as information on what kind and quantity of workers will be needed plus what is happening with the costs of construction.
The Australian Construction Industry Forum (ACIF) and the Australasian Procurement and Construction Council (APCC) have produced two important and valuable guides to help the construction industry improve productivity.
The Case for Project Team Integration, and The Project Team Integration Workbook contain straightforward ways to improve project team collaboration and performance. They make a strong case for early integration of project team members, to get the best from all disciplines that can contribute to good project outcomes and, where it is used, from Building Information Modelling (BIM).
"Collaboration amongst members of project teams in the construction industry is a good thing", said Robin Fardoulys, Chairman of ACIF, announcing the release of the guides with John Tondut, Chair of the APCC Construction Leadership Group.
"Collaboration is a vital input to efficiency and productivity, reduction in wasted effort, and minimisation of disputes. BIM will produce best results (design to achieve project sponsors' objectives, minimal changes, optimal buildability, designed-in operational efficiency) when all who can contribute are involved in designing and planning for the work they will perform for the project."
"The industry is beginning to invest heavily in Building Information Modelling (BIM) to drive more efficient design, site management, construction methods, and asset management", said Mr Tondut. "It is also a key to driving greater productivity from supply chain arrangements, offering opportunities to avoid design clashes and reduce variations during project delivery."
"The Australian construction industry has, presently, a fragmented approach to BIM, and to the use of supply chains. There are significant benefits to be had for clients of the industry from the adoption and widespread use of both tools, said Mr Fardoulys."
"Government as buyer in Australia could spur on the productivity gains to be had from both, by normalising the market by encouraging the use of BIM, and requiring contractors to nominate the members of supply chains they will use, on all Commonwealth Government projects," said Mr Fardoulys.
"The more challenging and potentially more rewarding, opportunity lies in government challenging the orthodox approaches to ensuring probity and value requirements are met, by finding innovative ways to appoint project teams before design solutions have been finalised", he said.
"Ideally, government procurement policy should encourage collaborative working. Productivity gains will come from greater attention being paid to collaborative working, rather than the traditional trade and professional discipline 'silos'. Silos inhibit collaboration and the ability of all parts of the industry to contribute to design, buildability, and generation of value for money service deliveries from capital works assets. "
ACIF and the APCC are continuing to work together to pursue ways to encourage the selection of members of project teams before the scope of design is settled, to facilitate those opportunities, including negotiation.
Design and Building gained insights at DesignBUILD
Thu, 10 Apr 2014 00:00:00 +1000
The twenty eighth year of the successful DesignBUILD 2014 finished on a high last Friday 4th April, giving the design, building and construction industries insight into trending materials and products from both local and offshore suppliers. The real highlight however was the event’s booked-out, Industry Insights seminar program which delivered 15 engaging sessions and 21 speakers from Australia’s leading building associations and architectural thought leaders.
As the exclusive business platform for the industry, DesignBUILD brought together nearly 5,000 professionals of various trades, from architects, to manufacturers, contractors, project managers and even tradies.
Spanning 3 days from 2-4 April in Melbourne, the event delivered an impressive showfloor that comprised Innovation Alley; featuring groundbreaking technology and products, Project Next; an in-situ sustainable product showcase, Industry Insights; an engaging series of seminars and various networking and information sessions in support of Sustainability Day on the Thursday.
A delighted Exhibition Manager, Ali Mead comments “DesignBUILD continues to acknowledge what the market requires from the industry, by delivering new, sustainable product innovation shown by the caliber of exhibitors this year”.
“DesignBUILD represents a microcosm of the design and building industry. This was by far our most successful year in terms of pre-bookings for the Industry Insights seminar series, with an overwhelming attendance,” she said.
Standout seminars at Industry Insight included Association of Building Sustainability Chair, Sid Thoo and General Manager of the Australian Building Codes Board, Neil Savery. The sessions were especially well attended by architects with over 15 CPD accredited seminars offered as part of the program.
Exhibitor, 3D Printing Systems won the Visitor Voted Innovation Alley New Product of the Year Award for the easy to use 3D desktop printing system, UP Plus 2.
Ms Mead also observed visitor’s engagement with Project Next, which partnered with sustainable building consultants, Australian Living to produce a uniquely interactive show feature. “Visitors were really hands on, and took away clear ideas on how to better design and build sustainable spaces. They got a lot from being able to see the products in-situ, and ask experts on-hand how the building materials would interact to create sustainable outcomes,” she said.
DesignBUILD will return to Sydney in 2015 to the Sydney Showground, Olympic Park on 28 – 30 April. For more information, visit www.designbuildexpo.com.au.
ACIF has released a policy compendium, making recommendations to increase productivity across seven areas.
Housing Affordability
Design and Construction for a Sustainable Industry
Government Economic Management - Regulation
Occupational Licensing
Procurement
Workforce Development and Relations
Workplace Health and Safety
"The policies have been developed by working groups of ACIF Board members," said Peter Barda, Executive Director of ACIF. "They represent the considered and consensus positions of the construction industry as a whole. The policies and key recommendations will be submitted to relevant government and industry leaders for discussion and implementation via policy and process changes."
"Underpinning each of the policies is the conviction that it is important for the industry takes a strategic view of the way assets are designed, constructed, operated and maintained. Productivity improvements require rigorous examination of the way we do things. It goes without saying (or should) that if we are to do better, we need to do things differently. We need to be prepared to challenge the orthodox approaches that have changed little over decades. "
"We need to be innovative
in how we assist clients to prepare performance briefs,
in the ways we put project teams together,
in how teams are managed,
in how we embrace technology, and
in the ways we empower integrated project teams to work together to deliver the functionality clients want."
"For that to happen we need clients of the industry to encourage designers and constructors to innovate. Government clients, particularly the regular buyers of construction services, are substantial organisations and should be prepared to demand innovation."
"Trying to do things differently can involve risk. The construction industry is used to taking and managing risks. Many of the assets we build, particularly non-residential buildings and engineering infrastructure, are in effect prototypes. Designers and constructors are used to managing the delivery of prototypes. What they are not comfortable with is taking risks to deliver enhanced functionality without the potential costs of doing so being recognised by their clients."
"Designers and constructors are understandably reluctant to advocate innovative approaches – whether to design, material selection, or construction processes - when the risk of additional costs is to their account, but benefits all accrue to their clients. Particularly when the result of innovation that is less than optimal is for the designers or constructors or both to be taken out to a paddock and shot. Figuratively at least."
"The ACIF policies suggest many ways in which clients and the industry itself can innovate and make significant improvements to productivity. They will be promoted widely in the hope that we can stimulate an ongoing critical review of how we do things. Let's acknowledge that if we all keep doing what we've all been doing, we are all going to get what we have all been getting."
The full Policy Compendium is available for download below, or read each policy here.
Report: The Business Value of BIM in Australia and New Zealand
Wed, 02 Apr 2014 00:00:00 +1100
McGraw Hill Construction has released its report on The Business Value of BIM in Australia and New Zealand. The Report makes fascinating reading – it can be downloaded here.
The Report is based on surveys of more than 400 firms in Australia and New Zealand, distributed by ACIF and its members the Airconditioning and Mechanical Contractors Association, the Australian Institute of Building Surveyors, and Consult Australia, amongst others. AMCA, Consult Australia and the AIBS were contributing partners.
The Report makes fascinating reading. The Introduction to the Report points to new adopters coming on board, and existing users planning aggressive expansions of their BIMprograms.
"In fact, 51% of firms are engaged with BIM on more than 30% of their projects today, and this number is expected to increase dramatically in the next two years-74% report that they will be engaged in BIM on more than 30% of their projects by the end of 2015.
The research findings suggest that business benefits and returns from BIM are key drivers behind that planned growth.
Positive Return on Investment (ROI) for BIM: Reported by 75% of firms, with 30% citing ROI of 25% or more.
Positive View of Potential Benefits from BIM: 52% of firms report that they can gain more than they already receive, and 39% believe that they are just scratching the surface of what they can gain.
Change the perception of BIM's efficiency for smaller projects, since 54% of nonusers working only in Australia and New Zealand (compared with 38% of those working in and out of Australia and New Zealand) report that it is an important/very important factor delaying their use of BIM.
Demand by owners, including a government mandate, can be a key factor in helping to spur adoption. Significantly more non-users working only on in-country projects believe that their competitors and clients are not using BIM, compared with their peers at global firms. This suggests that education is needed in this market."
The Report findings were presented at seminars run by AMCA and Consult Australia in March. Stephen Jones, a senior director from McGraw Hill presented key findings. The following slides from his presentation tell a very positive story about the benefits of BIM for clients and designers and constructors.
New Forecasts Dashboard is a compass for the construction industry
Tue, 01 Apr 2014 00:00:00 +1100
In May, Australian Construction Industry Forum (ACIF) will release its new Customised Forecasts Dashboard, a new data portal for businesses large and small to generate tailored Forecasts that give them specific and relevant information on their business prospects.
Since 2002, ACIF has provided the industry with a compass to its future, as the ACIF Forecasts details the upcoming demand for work across all sectors, as well as what is happening with construction costs and labour requirements.
“Our new Dashboard continues the forecasting service we have provided to the industry for more than 12 years,” said Peter Barda, Executive Director for ACIF. “The new Dashboard makes it easier for the industry to access our Forecasts, and to get accurate local or national data to plan effectively.”
The Forecasts source data comes from high quality sources including ABS, Cordell Information and expert economic reports, before analysis by ACIL Allen Consulting. The Forecasts are scrutinised by ACIF’s Construction Forecasting Council, a panel of economists and industry experts from finance, housing, commercial property and more.
The new Dashboard provides subscribers with access to data in four key areas: work forecasts; labour requirements, major projects, and the Big Picture, which looks at construction costs.
Under work forecasts, subscribers can customise a query on the upcoming demand for their business over the next ten years. Queries can be specific to each business, forecasting work for residential or non residential building, or engineering construction, for over 20 work types and for locations across Australia. Forecasts can be generated as short term of eight quarters or a long term of ten years. The information is delivered as both data ready for further processing and as charts ready for inclusion in reports.
Also included in the ACIF Customised Forecasts Dashboard are tools to query where the major projects are, using data from Cordell Information, as well as information on what kind and quantity of workers will be needed plus what is happening with the costs of construction.
Subscription to the ACIF Customised Forecasts Dashboard will be available for $400 for 12 month’s online access. Details and online subscription will be available at www.acif.com.au/subscribe.
Registration opens for Construction Forecast Briefings
Tue, 01 Apr 2014 00:00:00 +1100
ACIF Briefings are your six-monthly opportunity to receive the latest macro and local economic outlook for your lifeblood - cashflow. Registrations are open now for events in six cities.
ACIF's rolling ten year 'outlook' is developed and delivered by the best minds in the industry. ACIF's Construction Forecasting Council reality tests the forecasts developed by ACIF Allen Consulting, providing the industry with its most relevant and reliable outlook for the next decade. At these Briefings, learn about the new Customised Forecasts Dashboard to be released in May.
Over a five star breakfast, benefit from a unique ‘reality filter’, as a discussion panel of local industry leaders follows the release, adding their insight on the data, the industry and its future.
The May 2014 update delivers the outlook for demand for housing and commercial building, and infrastructure and engineering construction. ACIF will also present the new Customised Forecasts Dashboard, our new portal for subscribers to generate their own forecasts for their work type and location, using the ACIF Forecasts database.
The Productivity Commission has released its Draft Report on Public Infrastructure: Provision, Funding, Financing and Costs. It's not for the faint hearted – more than 580 pages. Here are the key findings.
The overriding message of this draft report is the need for a comprehensive overhaul of processes in the assessment and development of public infrastructure projects.
There are numerous examples of poor value‑for‑money arising from inadequate project selection.
Without reform, more spending will simply increase the cost to users, taxpayers, the community generally, and the provision of wasteful infrastructure.
It is essential to reform governance and institutional arrangements for public infrastructure to promote better decision‑making in project selection, funding, financing and the delivery of infrastructure services.
Well-designed user charges should be used to the fullest extent that can be justified. However, governments will have to at least partly fund some infrastructure projects and address equity issues.
Significant road pricing and institutional arrangements are proposed to create more direct links to road users and to take advantage of advances in vehicle technology.
Only if implemented well does private sector involvement in infrastructure provision and/or financing deliver efficiency gains.
But private financing is not a ‘magic pudding’, ultimately users and/or taxpayers must foot the bill.
Government guarantees and tax concessions are not costless.
Governments have the capacity to fund more projects than under current fiscal and debt management practices provided the reform package in this report is implemented.
Data problems beset the detailed analysis of the costs and productivity of public infrastructure construction, and of the effects of various policies. A coordinated and coherent data collection process can address this and improve future project selection decisions.
Nevertheless, there is evidence of recent significant increases in the costs of constructing major public infrastructure in Australia. The mining construction boom has been one factor, but no single input has played a decisive role in cost increases.
Until recently, labour productivity growth has been sluggish. There is no conclusive evidence that Australian levels of productivity in construction are higher or lower than comparable countries.
Despite significant concentration in the market for large public infrastructure projects, the market appears to be workably competitive. However, there are some uncertainties, including whether this applies across all market segments.
There is significant scope to improve public sector procurement practices and to lower bid costs for tenderers, with potentially large benefits for project costs and timing.
The industrial relations environment in the construction industry remains problematic, though this appears to mainly relate to general rather than civil construction, with the problems much greater for some sites, unions and states. Governments can use their procurement policies to drive reform, and penalties.
The Commission is holding public hearings on the Draft Report in three cities – Melbourne on 9 April, Brisbane on 11 April, and Sydney on 14 April. Not a lot of time to absorb and reflect, but there you are.
The Air Conditioning and Mechanical Contractors' Association of Victoria (AMCA) is campaigning to address a significant issue arising from regulatory changes to Living Away From Home Allowance (LAFHA) on rural and essential construction projects.
The legislative changes to the LAFHA were implemented on 1 October 2012.
Prior to these legislative changes, the majority of LAFHA was not taxable either to the employer or the employee, and the LAFHA was a deductible expense to the employer. As such, LAFHA has been historically utilised as a form of compensation for those working and living away from home.
The changes have altered the very essence of LAFHA, and limits the circumstances in which a reduction of taxable value of LAFHA will be available to employers.
Employers must now pay fringe benefit tax (FBT) on the entire amount of all LAFHA benefits payable to employees unless the new legislative conditions are met (which are extremely onerous on employers).
This is, of particular concern for Victoria, given the State is sparsely populated, with the majority of the skilled workforce being located in Melbourne and a huge proportion of workers required to live away from home when working on interstate and rural projects.
The Effects
1. Cost
The changes have already started causing serious economic harm in the Victorian construction sector. AMCA estimates that the cost implications using 18 employees as a guiding example is approximately $280,117. This means that for any additional sub-contracting firms (e.g. electrical contractors' and various specialist trades) engaged on an interstate / regional project, the aggregate cost implications are in the millions of dollars. This cost burden is simply unacceptable, and unmanageable, particularly in an already struggling economy.
2. Apprentices
AMCA is particularly concerned about the impact of these changes on apprentices working within the sector. Under the legislation, if an apprentice does not own or rent a house (commonly they live with their family when not on site) the employer will be liable to pay FBT on the entire amount of LAFHA payable to the apprentice. This would discourage the promotion of apprentices' working on rural and regional projects. As such, AMCA fears that the cost implication will be too great for businesses to absorb, and we have serious concerns that this will adversely impact the use of apprentices in the sector.
3. Substantiation Requirements
Significant changes have been made to the reporting obligations for food and drink expenses to be reimbursed for employees on LAFHA arrangements.
Recent tax rulings relating to food and drink benefits payable in relation LAFHA arrangements set a "reasonable amount" which is payable to the employee for these expenses. If employees claim more than the "reasonable amount", strict requirements regulate the reporting requirements for these expenses.
Workers in the construction sector largely receive above the specified "reasonable amount" and employers will need to ensure their employees comply with the substantiation requirements to obtain FBT concessions.
Employers in the construction industry will face difficulties in ensuring that their employees comply with the substantiation requirements (i.e. production of receipts to justify expenditure on food and accommodation). This is largely due to the commonality of employees utilising the allowance to boost their rate of pay, and not obtaining and retaining the required receipts when paying for food / accommodation. Again, the impact is an enormous cost implication on employers.
Immediate Action Required
Many of AMCA's members are tendering for work on major projects across Australia and particularly in rural areas (e.g. Ararat Prison, Bendigo Hospital, Tasmania Hospital, and Adelaide Cricket Ground). There would be numerous other Australian wide projects which will be impacted adversely.
Employers will be increasingly sending employees to live away from home in remote areas, or areas in which the work cannot be carried out by local residents.
The cost implications of these legislative changes are already being felt, and will increasingly impact on tendering and project costs going forward, affecting the entire supply chain from the sub-contractors, the builders and those that they engage to work on the projects.
Further, the changes provide a disincentive to train and utilise apprentices — clearly in contra to the intent of the legislation and the future of the industry.
AMCA has asked to meet with the Minister for Employment and the Treasurer and the formulation of a building and construction whole-of-industry employers' workgroup to include AMCA, Australian Construction Industry Forum, Australian Constructors Association, Master Builders' Association, National Electrical and Communications Association, National Fire Industry Association and Master Plumbers and Mechanical Services Association of Australia to assist with resolving this issue.
The Commonwealth's Australian Workforce and Productivity Agency (AWPA) has published an Engineering Workforce Study Issues Paper. The paper is the first stage of AWPA’s Engineering Workforce Study and is intended to canvas views from key stakeholders. The Paper can be sourced at www.awpa.gov.au. The final Study is due to be released in August 2014.
AWPA’s Engineering Workforce Study will contribute to existing work on the engineering workforce including the 2011 Inquiry by the Senate Standing Committee on Education, Employment and Workplace Relations into the shortage of engineering and related employment skills.
The key aims of the Study are to:
examine important trends in the demand and supply of a skilled engineering workforce
examine barriers to workforce participation by women, mature-aged and Indigenous workers
identify factors influencing the employment of skilled migrant engineers and the participation of higher education and Vocational Education and Training (VET) students in science, technology, engineering, and mathematics (STEM) subjects
identify best practice approaches to challenges related to skills development and utilisation in the engineering workforce.
The outcome of the Study will be a set of workforce development strategies for industry, tertiary education sector and government to improve the participation of under-represented groups in the engineering workforce, to improve ongoing skills development for the engineering workforce and to promote effective utilisation of engineering skills.
The Issues Paper draws on the existing body of research and previous discussions with stakeholders, including the Engineering Pathways seminar held in December 2011 and the Engineers Working Forum 2011–12, both convened by AWPA. The issues highlighted in the paper reflect the challenges facing the engineering workforce. The paper is intended to stimulate discussion, seek stakeholders’ views on the issues raised and to scope if there are additional issues for inclusion in the Study.
The industry has been invited to consider the Issues Paper and to respond to the questions for discussion. It is also looking for examples of successful programs or initiatives that support the attraction and retention, development and utilisation of engineering skills. AWPA would like to feature a number of case studies in its final report and would be delighted to receive examples.
Responses to the questions and case studies to the Secretariat at engineeringstudy@awpa.gov.au are invited by 26 March 2014.
AWPA will convene a roundtable meeting in coming months to build on the responses and case studies and to discuss effective workforce development strategies for the engineering workforce. The discussions at this meeting will shape the final Study. More information about this roundtable will be provided in the near future.
The Commonwealth Government is undertaking a targeted review of the Australian Government Building and Construction OHS Accreditation Scheme (the Scheme), administered by the Federal Safety Commissioner.
The Government supports continuation of the Scheme but has established the review to identify specific options to reduce red tape and compliance costs, without compromising safety outcomes. The review is expected to be completed by 30 June 2014.
The industry is invited to make submissions on the issues raised in a discussion paper available here.
Submissions should be provided as early as possible but no later than 4 April 2014 to ofscreview@employment.gov.au. Enquiries about the review can be made by email to the same address, or by phone to 1800 652 500.
The Australasian Procurement and Construction Council (APCC) and Austroads have released a Guide which consolidates current jurisdiction-specific approaches to procurement and contracting of civil (road and bridge) and nonresidential building works and services into a single overarching framework.
A draft was released for industry consultation in late 2012 and has since been updated in response to the matters raised in the submissions. An electronic version the Building and Construction Procurement Guide — Principles and Options can be downloaded from www.apcc.gov.au.
The Guide is a prime example of collaboration. Representatives from Austroads and APCC member agencies in all states and territories directly participated in the Guide's development, and industry contributed to its content through both formal and informal consultation processes. As such, it is a publication written 'by practitioners, for practitioners'.
While the Guide has been designed to operate at a high level, and to complement existing jurisdictional and national guidelines, one of its main objectives is to bring all of this material together by presenting standard terminology and descriptors for commonly used delivery models, describing a baseline process for the development of procurement strategies, and providing information on recent developments in areas such as collaborative and ICT-based project techniques
The Guide also acknowledges and seeks to address some of the long-standing issues of concern raised by industry in areas such as risk allocation, and variability of tendering practices and contract documentation, by defining a series of agreed principles to be adopted within local frameworks.
One of the projects being undertaken following the BIM Summit held by ACIF and the APCC last November is the development of an electronic Knowledge Hub of the Benefits and Resources) associated with both PTI and BIM. The purpose is to create a register of BIM-related research and development projects for the design and construction industry in order to avoid duplication of effort and facilitate collaboration.
The Knowledge Hub will include materials such as:
Baseline benchmarking
Case studies
Research undertaken internationally and in Australia
A bibliography
Updated Conspectus of BIM Initiatives
NATSPEC, on behalf of APCC and ACIF, are collecting information on BIM related research and development being undertaken by government and industry organisations to populate the knowledge hub. The questionnaire NATSPEC are using is included in this enews.
We are encouraging everyone in the industry who has information to complete the questionnaire. If that's not you, forward this enews and the questionnaire to the appropriate person within your organisation for completion.
>> Should you have any questions, please do not hesitate to contact Richard Choy or Neil Greenstreet at NATSPEC.
The purpose of this questionnaire is to create a register of BIM-related research and development projects for the design and construction industry in order to avoid duplication of effort and facilitate collaboration.
Please provide information in the format shown.
Projects that your organisation initiated or has primary responsibility for during 2013 & 2014
Project name: If appropriate, include a short name and the full/official name.
Completion/expected completion date:
Main participating organisations: List alphabetically.
Description: 100 — 250 word overview using the following headings:
Project goals and objectives:
Context: e.g. need, issues it seeks to address.
Proposed deliverables: e.g. report, white paper, policy, guidelines, tool.
Planned 2014 activity: e.g. sub-project deliverables, workshops.
Expected audience: e.g. clients, architects, engineers, contractors, QSs, all project stakeholders.
Approach, methodology: e.g. undergraduate research, survey.
Other information:
Project contact:
Name:
Position:
Email:
Tel:
Links: Provide hyperlinks to project website, project documents, reports, etc, if available.
Images: Attach any images that will help explain the project.
Projects that your organisation is participating in
Project name: If appropriate, include a short name and the full/official name.
Responsible organisation: Organisation that initiated or is leading the project.
Innovation, Strategy and Risk in Construction book
Mon, 17 Feb 2014 00:00:00 +1100
The industry has a new, thoughtful, and valuable, piece of work on innovation, risk and strategy. With the cute sub-title 'Turning Serendipity into Capability', Martin Loosemore's new book Innovation, Strategy and Risk in Construction integrates insights from business and government leaders with contemporary research, to help built environment professionals turn serendipity to their own advantage by building greater innovative and adaptive capacity into their operations. Accessible and full of practical examples, the book argues that traditional business strategies which seek to systematise innovation and eliminate uncertainty need to be balanced with more flexible approaches which acknowledge and harness uncertainty.
The missing key to innovation, it is argued, is to turn serendipity into capability. The author proposes a simple model which allows managers to tap into the increasingly dynamic and interconnected nature of the construction industry. Innovation does not occur in isolation within individual firms, but through collaboration. Each stakeholder in the construction industry has a responsibility to drive innovation, and this book will be key reading for consultants, contractors, subcontractors, suppliers and clients, as well as policy makers and all serious students of construction management.
Martin Loosemore is a Professor at UNSW, Sydney, Australia and a Visiting Professor at Loughborough University, UK. Martin was an advisor on workplace productivity and reform to the Cole Royal Commission into the Building and Construction Industry and a member of Australian Government's Built Environment Industry Innovation Council.
Innovation, Strategy and Risk in Construction is published by Routledge.
NATSPEC has published a report summarising the current status of BIM education in a number of countries across the globe. The countries included in this report are the countries of the respondents to an email that Richard Choy from NATSPEC sent to a group of parties with an interest in BIM, in October 2013.
The email requested that respondents provide a paragraph outlining the current status of BIM education their country. This was interpreted in two ways, with the respondents either describing the current level of BIM awareness/use in their country or the current level of training/tertiary education available.
The responses indicated that BIM education and BIM awareness/uptake is currently at different levels of implementation across the globe. Tertiary education institutions are either already providing, or gearing themselves up to provide, BIM education on both an undergraduate and postgraduate level. Some countries, such as the UK, appear to be leading the way in terms of the number of postgraduate BIM courses available at universities.
It would appear that the majority of BIM education available to date focuses on training in the use of particular BIM software packages. Training in open BIM concepts, BIM management and working in collaborative BIM environments, appears to still be in its infancy.
It is clear from the responses that awareness and uptake of BIM is certainly increasing, with BIM already widely adopted in the Architecture, Engineering and Construction (AEC) industry or with industry/government preparing themselves for the imminent arrival of BIM.
An industry reluctance to change, a ‘wait and see’ approach and a shortage of experienced/educated BIM practitioners/technicians/educators is slowing the inevitable uptake of BIM in the AEC industry. It is clear that tertiary education institutions, with the support of government and industry, need to fully incorporate BIM education into their curricula, to provide the AEC industry with the ‘BIM-ready’ graduates required for the collaborative BIM working environments to which they will be part of in the future.
The Law School of the University of Melbourne is undertaking research into the current use and effectiveness of the range of standard form contracts available to the Australian construction industry. The research project is funded by the Law School and the Society of Construction Law Australia. Respected construction lawyer Professor John Sharkey AM is steering the research work.
The project is one of national significance. It is hoped that the results will inform and influence debate around the cost effective and efficient delivery of future construction projects.
ACIF is assisting the work by encouraging the industry to respond to a survey.
We invite you to participate in an online survey in which you will be asked questions about your experience with, and use of, standard forms of contract. The findings of this survey are expected to be published in a report in mid-2014.
Participation is voluntary and participants can withdraw at any point in the survey. The questionnaire should take approximately 15-20 minutes to complete.
If you would prefer to be interviewed rather than complete the survey, the University may be able to interview you by telephone or face to face at a convenient time. If you would like to do this, please email Rami Marginean (Research Assistant) and we will be in touch to make the arrangements.
This research has received ethics approval from the Melbourne Law School's Human Ethics Advisory Group (HEAG). Should you have any concerns about the conduct of the study, or you require further information about the project, please contact the responsible researcher, Mr Matthew Bell or Professor John Sharkey AM.
The CRC for Low Carbon Living is inviting participants to a 3-day course on “Sustainability Management, Carbon and Water Footprinting – be smart and benefit from business opportunities” hosted by the University of NSW Water Research Centre.
Reducing environmental footprints makes business sense and provides real bottom-line benefits. Reliably quantifying reductions in direct or indirect carbon emissions is crucial to accessing the Emissions Reduction Fund under the Australian Government’s Direct Action Plan.
This 3-day workshop held 11–13 February 2014 at the University of New South Wales will help organisations take a pro-active approach to the development and implementation of sustainability strategies to manage and reduce their product and corporate carbon and water footprint.
Please find attached a course brochure including a registration form. See also the announcements here and here.
Have you noticed that the construction industry doesn’t talk about ‘Research and Development’ much any more? Perhaps the constant reminders that we spend less on R & D than most other sectors (some fraction of three fifths of...) have made us altogether too depressed to talk about it, never mind do anything.
This article by ACIF's Peter Barda was first published on sourceable.net in December 2013.
Instead we’ve resorted to the more comforting and certainly less confronting notion of ‘innovation’.
‘Ah yes’, I hear a distant voice, ‘I can manage that. Just need to be a bit more clever than the other feller, and I’ll be right.’
Forget it pal. Just another version of ‘she’ll be right.’
I suspect that the currency the word ‘innovation’ has gained in the last few years reflects the discomfiture too many people and organisations in this industry, and others, feel when faced with the stark reality of R & D spending by our major international trading partners. I won’t bore you with the numbers - you’re too familiar with them already.
We are regularly outspent by Japan and many of the Europeans, and increasingly (again) the US. And it shows, I think, whenever we see some firm or other win a project or a part of it, at what industry gossip tells us is too low a price.
There are two issues involved here. The first is the unwillingness of an organisation to concede that one of its competitors may have won the job by being cleverer, by genuinely learning and applying a better way of doing things. The second, the flip side of the first, is that it is easy to blame losing on having gone in at “about the ‘right’ price.”
The notion that there is some ‘right’ price or range for construction projects defies their very nature. Each is unique. Each should embody and reflect a clearly defined understanding of client need, expressed through well crafted design and construction. The response clients are increasingly looking for is one expressed not through drawings or specifications, but with concise statements of the functions which a solution will deliver.
They want answers, not monuments.
Successful and profitable construction is increasingly not about materials and labour. It’s about having the learning, experience and skill to help the prospective client understand and articulate real need, and having the knowledge to meet the need better than anyone else.
The sea changes in role of the now disbanded public works agencies around Australia are a current and vivid example of the point. The old departments of state designed and constructed for tied government clients, employing considerable numbers of designers and constructors. Now the most highly prized skills in what remains of those agencies are those which assist the client develop needs analyses and preliminary funding proposals.
Peter Drucker in his book Post-capitalist Society captures the paradigm change succinctly:
‘Knowledge is the only meaningful resource today. The traditional factors of production - land, labour, capital - have not disappeared, but they have become secondary. They can be obtained, and obtained easily, providing there is knowledge.’
Research and development, particularly research, has seemed to be perceived as somehow inappropriate for the construction industry. Innovation ,with its connotation of almost accidental discovery of something new which may be useful, is rather easier to accommodate. John Williamson captures the ethos perfectly in True Blue
‘.... will you fix it up with wire,
just to keep the show on the road..’
Creaking along with the old skills, old knowledge, old approaches, won’t cut the mustard for very much longer. We can see that in the ownership of the largest constructors in Australia - foreign controlled many of them, or getting out of the game. At the specialist contractor end of the market, the same realisation that the financial and intellectual capital base needs to be substantial just to survive, never mind prosper, seems only just to be dawning.
The capital problem is easy fixed (!) - get big, go niche, or get out. Only the foolish client or head contractor will take a risk with a weak or over-stretched balance sheet, or financial management skills which don’t match the size and complexity of the project.
The intellectual or knowledge base is something else. It is much harder to deal with. It requires making the time to reflect on what might be rather than what has been, dissatisfaction with the present, curiosity, and determination to change. Above all else it requires the insight and patience to realise that knowledge at the edge, real breakthrough learning, won’t come by accident.
That requires research and the application of research to produce tangible, practical products or processes. And that in turn calls for time and money.
Innovation, as the word is used in the construction industry to suggest accidental breakthrough, is for mine a blind. To use the vernacular it’s b******t. It is and can be no substitute for building enterprise and industry cultures which recognise and reward sustained commitment to gaining new knowledge, to genuinely find new and valuable ways to meet client need.
Research and development might make us feel uncomfortable, but at least it throws down an honest challenge.
As we wave goodbye to 2013, its a good time time to reflect on what was another uncertain year, and the challenges and opportunities that present themselves for 2014.
As ACIF Construction Forecasting Council's Forecasts and Construction Market Reports have made plain, the signs in some sectors and locales of emerging recovery from the long tail of the 2008 GFC are more or less matched by continuing weak confidence and market conditions in others. The private sector has yet to recover its appetite for new commercial building, particularly new offices. Tenants are finding more and more sophisticated ways to get by with less office space. Retail space is being refreshed and expanded on the other hand, in the teeth of continuing growth in on line retail.
Both trends remind me of the observation of a one time National President of the Property Council, in the midst of a discussion around changes in demand for office space and the then emerging trend to tele-working.
"If you divide a single paddock into four smaller ones, and put a cow in each of the four, they will inevitably meet in the middle."
He was right of course, as he was about most things. We are social animals and will always need the companionship of our own kind, whether at work, shopping, worship, or being entertained. The amount of space we need may change but there will always also be the need to keep that space up to date. We need only look at the rapid uptake of Green Star buildings in a short time.
Apart from the space issues, the basic demographic drivers are in our favour. Notwithstanding the odd bleatings of the flat earthers urging us all to stop growth, Australia's population continues to grow. Each year we need to feed, water, educate, house and look after another around 180,000 people. Construction will always be a vital part of meeting those needs.
Consumption in North America is looking healthier than it has for some time. Some parts of Europe are also looking sounder than they have for some time – the Southern European Manyana aberrations aside – and that can only be good for consumer confidence and growing demand for manufactured goods. That in turn ought to help us to export rocks and energy to China, India, and South East Asia.
The demise of the mining boom has been over-stated. There are still many projects either mothballed or ready to start, once global commodities prices firm up. They will provide new work for many of our engineers and tradespeople once they crank up. And at the same time, our national order book for engineering construction is still at record levels.
Housing is making a decent run in many markets, fuelled by pent up demand, population growth, low finance cost, and rational planning law changes.
Another significant issue that has affected us has been the early death notice for our manufacturing industry, and the auto industry in particular. We can look closer to home for evidence. We import a staggering amount of the manufactures we incorporate in to buildings and structures – steel, glass, cement, reo, and the list goes on.
We also enjoy some of the more bizarre regulations and protection rackets in the developed world. Why is it that our standards dictate a design for toilet pans that effectively make ours the only non-tradeable market for dunnies in the world? Why does it cost us more than twice the price for a tonne of imported reo that the English pay for imported reo? Why are our ports charges amongst the highest in the world?
Talk of generating a worthwhile local import substitution manufacturing capability was once an issue – sometime in the 1980s. It seems to me it's time we revived that debate, partly to help find jobs for the soon-to-be displaced persons in manufacturing and partly to create worthwhile jobs for our kids.
I'll finish with a brief mention of the strategic relationship ACIF is developing with its government counterpart the Australasian Procurement and Construction Council. We have been working with the APCC for a long time but this year made a more formal step towards giving the industry a place for genuinely strategic thinking. The two organisations made a start with an initial BIM Summit in November, and there will be more to come. My sincere thanks to John Tondut, Teresa Scott and the indefatigable Hyphen for a good year working together.
Peter Barda, Executive Director Australian Construction Industry Forum (ACIF)
MySuper is a new, simple and cost effective super product that super funds will be offering to employers for use from 1 January 2014.
Alison Lendon, ATO Deputy Commissioner, Superannuation, said, “From 1 January 2014, superannuation guarantee contributions need to be paid to a fund with a MySuper product or an employee chosen fund.”
“As an employer, you should check that the default fund you’re currently using provides a MySuper product, or plans to do so by the new year deadline.
“If your existing default fund does not offer a MySuper product by 1 January 2014, you will need to switch to a fund that does,” Ms Lendon said.
Many superannuation funds have already launched MySuper products, and more will launch products through to the end of the year. Super funds have been contacting employers and advising of the new arrangements.
“We expect that for almost all employers, your existing default fund will offer a MySuper product, so you won’t have to make any changes.
“However, if you haven’t heard from your super fund or want to know more about their MySuper product, contact your fund before the end of the year,” Ms Lendon said.
The MySuper changes will deliver benefits to both employers and their staff. MySuper products will have a simple set of product features, regardless of who provides them. MySuper products will also ensure members do not pay for any unnecessary features they do not use.
MySuper steps for employers
Employers can be ready for MySuper by taking the following simple steps:
Check: Check your existing default fund arrangements. Has your default fund advised you about MySuper changes?
Contact: If you have not heard from your default super fund, contact them now.
Contribute: After 1 January 2014 make super guarantee contributions with your MySuper arrangements in place.
ACIF and its government counterpart the Australasian Procurement and Construction Council (APCC) held a successful Project Team Integration (PTI) and Building Information Modeling (BIM) summit in Sydney on 27 November. More than 20 people from public sector agencies and private sector organisations met to begin developing industry-wide protocols and knowledge resources to help adoption of PTI and BIM approaches to design procurement, and project management.
The BIM Summit begins the development of a "Knowledge Hub" to promote the better understanding of BIM activities underway and to avoid duplication of effort. It is not intended to crowd out or take over any work currently underway or planned. The focus of the Summit discussion and ongoing work is the procurement and adoption of BIM, and project team integration.
This joint APCC/ACIF initiative follows on from and complements a meeting of industry organisations convened by BuildingSMART in June 2013 in Sydney when the discussion focused on the National BIM Initiative.
There are 4 key outcomes from the project, each to be developed by a working group drawn from the public and private sectors. They will each report to the next Joint APCC and ACIF Meeting planned for mid-2014. Here's a snapshot of each of the projects. ACIF will keep enews subscribers updated with progress.
Project One:
Adoption of Project Team Integration and BIM Road Map
Develop an Adoption of Project Team Integration (PTI) and Building Information Modelling (BIM) Road Map for endorsement by APCC and ACIF members (and other key stakeholders).
Project Two:
PTI and BIM Knowledge Hub – Benefits and Resources
Undertake a scan for the purpose of developing an electronic Knowledge Hub – Benefits and Resources (collection point) for materials associated with both PTI and BIM.
Project Three:
Procurement Models and Application of PTI and BIM Options Guide
Develop a Procurement Models and Application of PTI and BIM Options Guide (BIM Procurement Guide) articulating:
1. How to integrate BIM into each procurement model;
2. Different Roles and Responsibilities for each party; and
3. Other inclusions and considerations:
Project Four:
Education and skills program for PTI and BIM
Develop a draft Strategy for an education and skills program for industry and clients.
Productivity Commission Inquiry into Infrastructure Costs
Fri, 06 Dec 2013 00:00:00 +1100
The ACIF Board met in Canberra this week and began planning for a submission to the recently announced Productivity Commission Inquiry in to Infrastructure Costs.
The terms of reference for the inquiry are broad, covering capital raising and management, procurement and regulatory issues. The landscape it will cover has been the subject of many recent reports from the Grattan Institute, PricewaterhouseCoopers, and the Business Council of Australia. The Commission itself published a draft report on approvals processes for infrastructure projects in August.
Some existing ACIF policies already cover some of the ground for the Inquiry. Others will need to be developed, if not for this inquiry (its 23 December deadline for submissions is rather short), then for ongoing discussions with the Federal and State Governments.
Many ACIF members have their own positions and policies on these issues and they will be used to craft a consolidated industry wide submission. More on this when complete, and of course after the draft report of the Inquiry is published.
The Building Value project is led by the University NSW and is funded by the Australian Department of Education Employment and Work Place Relations (DEEWR). It is a legacy of the Orgill committee's review of the Building the Education Revolution funding of schools buildings. The database of those projects is being turned in to a tool for the industry, to assist with future planning of schools and other public buildings in order to achieve better value for money, including quality outcomes.
Sid Newton and Terry Aulich from the Alliance for Building Excellence, the group developing the database, gave a report to the ACIF Board this week. In particular they reported that:
the Building Value Online web site was recently launched by RICS, and provides for secure management and analysis of project cost data;
this will deliver a standard method of analysis, full access management, reference-set filtering, a value dashboard and tailored slice-and-dice functionality, once populated with data;
data collection was now being progressed across the sectors and to permit international capital cost comparisons, school value framework development, school case study development and standard method of operational cost analysis;
industry engagement was now being sought with ACIF members to facilitate data to populate the database;
data gathering beyond the education sector school had been delayed whilst DEWR finalised its position on releasing data beyond the sector;
ACIF's support is sought, providing a forum to discuss the project, endorsing it, and by providing an informal reference group to assist to gather data.
Forecasts bottom line: be prepared for change in place and work
Tue, 29 Oct 2013 00:00:00 +1100
The real bottom line of an industry forecast is the outlook for its people. The latest forecasts for the building and construction industry are set to reveal that while the total number of people working in the building of homes, businesses and roads remains steady, some people are best to prepare to move, as the location and type of work is soon to change.
Australian Construction Industry Forum’s November release of the ACIF Forecasts show that the shudders of moderating economic growth are being felt across the country, directly affecting the types of work available for professionals and tradespeople alike in building and construction.
“The influence of international economics as well as domestic confidence and policy are strong across our industry,” says Peter Barda, Executive Director of Australian Construction Industry Forum. “The well worn patterns of past decades are no longer valid, and the emerging picture of the next ten years presented in this Forecast release are important information for businesses large and small.”
Record low interest rates are looming, triggering a strong rebound in demand for residential building and renovation. Due to homeowners and wannabes enjoying access to cheaper cash, the industry will benefit from new greenfield development, from suburbs increasing the number of apartments and townhouses, through to smaller scale improvements to existing homes. New South Wales leads the building rebound, offering opportunities for workers unrequired by a down-cycling Victorian residential sector, while the industry waits with baited breath for the cash-rich Queenslanders to open their wallets.
The non residential building sector will retain its flat trend however it’s what lies beneath the line that intrigues. Changing approaches to workplaces, including new ways to accommodate people in an office environment, are seeing a significant impact on the demand for office building and refurbishment. This sector is highly vulnerable to change, as a reduction in a capital city’s space per person by just 1m2 equates to three years net demand.
Contrastingly, a bullish retail sector is taking up the opportunity of a quiet time to remodel, extend and refresh, as the fears of internet shopping reducing overall retail spend evaporate.
Some of the workers to deliver these jobs will be coming home from the big money work in engineering construction. The ACIF Forecasts confirm that mining work has indeed peaked however the fall from the peak is steady with plenty of committed work yet to be completed. The new Australian Government’s promises on roads will pick up labour drifting from mining work, while the telecommunications category waits for confirmation on NBN, as indeed do another major telecoms players.
ACIF Forecasts are produced by industry body Australian Construction Industry Forum (ACIF), with the next release at the ACIF Briefings on 12-14 November in Sydney, Melbourne and Brisbane. Followed by discussion and debate with local industry experts to clarify the biggest issues facing the industry in each region. More information and registration is at www.acif.com.au.
Paul Bidwell, Deputy Executive Director for Master Builders Association Queensland has agreed to join the industry expert panel at the upcoming ACIF Briefing in Brisbane.
Paul's extensive knowledge of the construction industry, including policy and planning, adds even greater depth to the panel - and could add additional dimensions to the expected lively debate on the future for residential, non residential building and engineering construction in the state.
Paul joined Master Builders in July 2009 and has a long history in industry policy. He most recently worked with the Chamber of Commerce & Industry Queensland, Herron Todd White Property Valuers and AgForce Queensland. Paul is a registered valuer with tertiary qualifications in urban and regional planning, and business administration.
Paul joins a number of industry experts from across economics, property management, construction costing, and client groups at the Briefing to be held on Thursday 14 November at the Sofitel Hotel Brisbane. >> Click here for more details and to register.
Chair for the event will be one of Brisbane’s most successful builders, Robin Fardoulys. Robin’s perspective of the marketplace is enriched by his role as CEO of Fardoulys Constructions, as well as Board involvement with the Australian Institute of Building and as Chair of Australian Construction Industry Forum. Robin brings a balanced view as business operator as well as someone involved with industry policy setting and advocacy.
Kerry Barwise, Director, ACIL Allen Consulting is an expert in forecasting for the built environment. Kerry particularly interested in the intersection of policy development in areas including land use, transport, urban design, sustainability, greenhouse gas abatement, renewable energy, and community development. He started his career in providing economic policy advice at the Commonwealth Government’s Department of the Treasury, where he was for 11 years.
Considering the costs of construction will be Mark Burow, Director from Rider Levett Bucknall. Over more than 30 years in the industry, Mark has been involved in a diverse range and size of projects throughout the Pacific Basin. This diverse background has enabled him to specialise in strategic advice, cost planning and management
Executive Director for the Queensland Division of the Property Council of Queensland, Kathy McDermott brings to the Briefing over 28 years of experience in property, and a full view of the issues affecting Queensland’s community and businesses. Kathy was The Australian Financial Review’s Queensland bureau chief for seven years and journalist for eleven.
Leigh Warner heads Jones Lang LaSalle's Queensland Research team as Director, and also co-ordinates national retail market research. Leigh has a strong background in economics, previously working as an economist for the Reserve Bank of Australia and Queensland Treasury. Since joining Jones Lang LaSalle in 2004, he has also provided strategic consulting advice to both private and public sector clients.
Last days to contribute your input to the ACIF - McGraw-Hill Construction industry survey, and we encourage you to participate before the survey closes on 28 October 2013.
The survey will investigate Building Information Modelling (BIM) adoption and implementation in Australia and New Zealand across the construction spectrum of all players, including architects, engineers, owners and contractors.
The results of the survey will be used to produce a SmartMarket Report (SMR) on the Business Value of BIM in Australia and New Zealand, which will provide essential insights on how practitioners and participants are enjoying both quantitative and qualitative benefits from the use of BIM. The SMR will be released in November 2013 and will be widely distributed to the global design and construction industry.
The survey will take approximately 15 minutes to complete. Your responses will be completely confidential and used for this survey only. All responses will be analysed in aggregate, and no individual responses will be referenced or used in any way. In appreciation for your time, those completing the survey will have the option to receive this exciting new report.
If you have any trouble accessing the survey from the link above, please copy and paste into your browser: http://kadence.dubinterviewer.com/scripts/dubinterviewer.dll/Frames?Quest=90832&ass=101.
ACIF is pleased to partner with McGraw-Hill Construction on a new industry survey, and we encourage you to participate. The survey will investigate Building Information Modelling (BIM) adoption and implementation in Australia and New Zealand across the construction spectrum of all players, including architects, engineers, owners and contractors.
The results of the survey will be used to produce a SmartMarket Report (SMR) on the Business Value of BIM in Australia and New Zealand, which will provide essential insights on how practitioners and participants are enjoying both quantitative and qualitative benefits from the use of BIM. The SMR will be released in November 2013 and will be widely distributed to the global design and construction industry.
The survey will take approximately 15 minutes to complete. Your responses will be completely confidential and used for this survey only. All responses will be analysed in aggregate, and no individual responses will be referenced or used in any way. In appreciation for your time, those completing the survey will have the option to receive this exciting new report.
If you have any trouble accessing the survey from the link above, please copy and paste into your browser: http://kadence.dubinterviewer.com/scripts/dubinterviewer.dll/Frames?Quest=90832&ass=101.
Opportunities for all trades and professions – with travel
Tue, 24 Sep 2013 00:00:00 +1000
ACIF Board recently enjoyed a presentation by a Government representative from Canterbury New Zealand, a region that has suffered enormous damage by natural disaster over the last three years.
The report highlighted that the need for help by – and therefore the availability for work for – all elements of the asset creation process are high, and will remain high for the foreseeable future.
Canterbury NZ needs all types of building and construction skills, labour, materials and project management. Now. The anticipated level of work still yet to be commenced as the district rebuilds after a series of earthquakes far outstrips the supply in that region, and the rest of New Zealand.
ACIF and its government counterpart, the Australasian Procurement and Construction Council (APCC), have worked together over several years to enhance the efficiency and productivity of project teams. The focus has been on the benefits to be gained from better and earlier integration of project team members, and the use of Building Information Modelling (BIM).
Two guides are set to be released soon – The Case for Project Team Integration, and the Project Team Integration Workbook. These resources will help to promote collaborative processes and team culture, the keys to minimising wasted effort, reducing disputes, and creating excellent project outcomes.
These publications will be released to the industry in the coming months. Additional resources set to be produced include guides to procurement for clients using BIM, and an education program to further understanding of the opportunities available for clients and project team members by using more collaborative processes on their sites.
Figuring out where the future lies for a business in the building and construction industry?
Need to know what work is coming, and where?
For over ten years, ACIF Forecasts have been the industry’s own forecasts, with a reputation as reliable, highly accurate analyses of the demand for work across all types of work. The November Forecasts will deliver the short term and ten year outlook for demand for housing and commercial building, and infrastructure and engineering construction.
Over a five star breakfast, benefit from ACIF’s unique ‘reality filter’, as local industry leaders discuss the forecast and add their insights on the data, the industry and its short term prospects.
Register now for the ACIF Briefings 12-14 November in Brisbane, Sydney and Melbourne, and be first to get the latest information. Breakfast and network with potential clients, partners and competitors plus receive a complimentary copy of the Construction Market Report for your state – valued at $200.
In July and August the Australian Building Control Board (ABCB) conducted a survey, with assistance from ACIF, to obtain information from industry as a whole and by sector, about if and where it believes there are real or potential opportunities to enhance the ‘building control’ supply chain.
The General Manager of the ABCB, Neil Savery, spoke to the ACIF Board at its 5 September meeting, to outline the reasons for the survey, and to give a snapshot of the results. He explained that the building control supply chain used for the survey was virtual, and an attempt to reflect the interdependencies that exist between a number of key building control functions.
In total, close to 700 people responded to the survey, which contained 13 questions that sought both a quantitative rating and comments on the various features of the building control supply chain.
Here are the elements of the building control supply chain.
Education/Training
Registration/Licensing
State and Territory Acts/Regulations
National Construction Code
Standards
State, Territory and Local Government Variations
Product Certification
Alternative Solutions
Building Certification
Contracts (Builders/Sub-trades)
Practitioner Compliance
Monitoring/Auditing of the Building Control System
Mr Savery explained that understanding that there is no one body that oversights the entirety of this supply chain, the opportunity to identify enhancements may be missed and the possibility of introducing productive changes can become random.
As the components of the supply chain have been increasingly de-regulated and administration fragmented the need to monitor the system is imperative, although this is often isolated to specific areas of jurisdictional responsibility.
This means we don’t necessarily get the full picture as to how the system is performing and miss the potential to attend to less obvious risks.
As a general observation, many of the submissions made positive comments about the effectiveness of features within the building control supply chain. Others tended to indicate a degree of confusion about certain aspects, particularly roles and responsibilities, and there were some who feel that features of the system need to be rebuilt from the ground up.
A summary document is attached below for further information on the survey.
ACIF’s joint meeting with APCC enables the building and construction industry to discuss key issues that affect the whole industry. The September meeting included a presentation from the WA Government on its planned changes to security of payment provisions.
The NSW and WA Governments are changing the ground rules on security of payment, following well publicised failures of building companies in those states.
Both are considering the introduction of project bank accounts, on a trial basis, to protect payments to subcontractors. The issue is not easy, and never has been. The use of trust accounts to protect payments has been proposed, and vigorously opposed, for more than two decades. The use of project bank accounts is an alternative to trusts, still removing some control of cash and cash flow from head contractors.
ACIF and Australasian Procurement and Construction Council (APCC) have agreed to build on the relationship they have enjoyed for many years, with a new agenda on key high level issues affecting the industry.
This will begin with the establishment of an executive group to work between annual meetings of ACIF and APCC. It will identify the priority needs of the industry and government in improving productivity and, where appropriate, increased innovation, and the resources available for this to be done.
The executive group will establish working groups to deliver the following outcomes in aid of enhanced project team integration and adoption of BIM.
A procurement guide for project team integration. This will identify the barriers to innovation in procurement and wider adoption of optimal project team integration. It will formulate clear enabling tools, in the form of tools to aid in knocking down those barriers, and simple guides for project team integration and adoption of BIM.
A clear statement of the role of BIM in the Australian context, explaining costs and benefits.
A strategy for a learning program for project team integration and BIM that considers formal learning at tertiary level, as well as on the job learning. It will consider the needs of constructors, designers, trade contractors, and suppliers.
As a first task, ACIF will prepare a conspectus of work being undertaken on project team integration and BIM, in Australia. An example is the ACIF and APCC document The Case for Project Team Integration, that is a useful starting point to develop a value proposition or business case to advance industry, government and community understanding of the benefits of BIM and of optimal project team integration.
Members of ACIF and APCC and other organisations working on technical and commercial aspects of adoption of BIM and project team integration, will be invited to participate in regular (six- or twelve-monthly) summit meetings to review and share information on the projects they are undertaking. These will include BuildingSMART working groups, and the AMCA BIM-MEP initiative.
This meeting will act as a "Knowledge Hub" intended to promote better understanding of who is doing what and so far as possible share that work across the industry. It is not intended to crowd out or take over any work being done. It is intended to avoid duplication and facilitate collaboration.
Engineering construction remains historically high in South Australia
Fri, 09 Aug 2013 00:00:00 +1000
Despite levels of engineering construction work in South Australia falling off from a peak, the state’s engineering construction industry still has plenty of work to do, say industry forecasts from Australian Construction Industry Forum (ACIF).
The short term outlook shows a softening before a return to moderate growth, which remains at historically high levels for the state. Notwithstanding the Olympic Dam setback, there is still strong demand in mining and related engineering over the next nine quarters, as well as telecommunications, pipelines and electricity.
This forecast is something that the other sectors of residential and non residential building would relish, however, as the forecasts show an enduring flat market for these sectors.
“Businesses in South Australia need to keep aware of the work that is coming in order to stave off poor decisions,” said Executive Director of ACIF, Peter Barda.”The outlook for work outside of engineering construction remains soft throughout ACIF’s forecasting term of 10 years, so ACIF Forecasts are a crucial business resource to help businesses shape their plans to make the most of their market.”
The industry reports are developed from data generated by the ACIF Forecasts, industry forecasts of demand that are built on reliable indicators of demand, plus the input of a unique set of industry experts, so businesses and individuals are able to plan effectively.
“ACIF Forecasts have a reputation for accuracy because they are draw together not only high quality data but also infuse the results with the knowledge of our Construction Forecasting Council, a panel of experts who temper the numbers with an important reality filter.”
“South Australian residential and non residential building will remain soft for the remaining of our rolling ten year forecasting outlook,” said Mr Barda.
The chart at right shows the relatively strong outlook for the South Australian engineering construction sector.
Victorian home builders to see fall back in demand
Thu, 08 Aug 2013 00:00:00 +1000
Victorian residential builders have experienced a high level of activity over the past five years, the envy of all other states. Latest industry reports show that this level are set to fall back over the next three years, reveals industry reports. This may leave local home builders in Melbourne and Victoria to lament that their business is in a decline, when comparing with past good times.
The better news is that after a period of moderation, the residential building industry will resume good growth.
“It’s important for the Victorian building and construction industry to see the bigger picture and not to panic – the sky is not falling, however the surging business they have enjoyed over the past period will pull back to a more usual level,” says Peter Barda, Executive Director for Australian Construction Industry Forum (ACIF).
“The ACIF Forecasts point to Victoria returning to pace with New South Wales, with Queensland close behind, cooling back from a surging local industry over the past five years.”
“The Victorian building and construction industry can see the bigger picture of demand for their services by referring to good quality industry data.”
“ACIF Forecasts have are generated with the data facts but also the local knowledge of what is really happening in the economic and social marketplace that drive Victorian building and construction.
Positive prospects for Western Australian building
Wed, 07 Aug 2013 00:00:00 +1000
Building and construction demand in Western Australia remains optimistic, with all sectors set to enjoy positive growth, say industry forecasts by Australian Construction Industry Forum (ACIF).
The flow of demand across all sectors continues in this state, driven by a resources construction boom now passing its peak. Increased industry and population require a built environment to work, rest and play all of which needs to be designed, built and maintained by our industry.
“Businesses in this state are enjoying growth in demand the envy of all other states, however decision makers need to use good quality information to determine how to most effectively use their staff and resources,” said Executive Director of ACIF, Peter Barda.
“ACIF Forecasts are an industry resource that provides businesses large and small with a reliable outlook for planning.”
The industry reports are developed from data generated by the ACIF Forecasts, industry forecasts of demand that are built on reliable indicators of demand, plus the input of a unique set of industry experts, so businesses and individuals are able to plan effectively.
“ACIF Forecasts have a reputation for accuracy because they are draw together not only high quality data but also infuse the results with the knowledge of our Construction Forecasting Council, a panel of experts who temper the numbers with an important reality filter.”
The chart below shows the relatively strong outlook for the Western Australia engineering construction sector.
Queensland building and construction trending upwards
Thu, 01 Aug 2013 00:00:00 +1000
The popular rhetoric that the sky is falling in Queensland building and construction can’t be sourced back to fact, as construction industry data on upcoming demand shows good reason for uplift in sentiment.
Industry forecasts by Australian Construction Industry Forum show that Queensland is one of several states where the overall trend across all building and construction work remains in a positive direction.
Some areas of work will still need to get through some moderation in the short term, however the outlook for the next decade is upwards.
It is true - engineering construction has peaked - however the decline still leaves this sector at a historically high level even beyond 2022, so that there is plenty of work yet to be done.
The rate of growth in Queensland residential building work will outpace all other states, with forecast growth to be considerably higher than the aggregated Rest of Australia results.
Non residential building, which for most states of Australia is forecast to remain flat for the next few years, for Queensland will enjoy sustained growth over the longer term.
“Reading past the headlines is crucial when planning for your business,” said Peter Barda, Executive Director of Australian Construction Industry Forum.
“Business leaders are making decisions that affect staff and stakeholders. ACIF Forecasts give them high quality information draw from reliable data sources, ‘reality tested’ by our Construction Forecasting Council of industry professionals across financing, construction, government, property management and more.”
ACIF's inaugural Construction Market Report for Tasmania shows a variation in demand forecast for the apple isle that will bring some relief from two sectors that outstrips peers in other states.
While much of Australia is set to experience a flat to declining non residential building sector, due to its unique set of factors, Tasmania is set to see an outlying result in demand for non resi work. Chart below shows the significant difference between the forecast for Tas and the rest of Australia.
Demographics play a big part in this, as an ageing Tasmanian population has seen a spike in need for aged care facilities and health services. While the sharp uptick in demand for these assets will moderate when compared with the past decade, it will remain at relatively high levels.
The Tasmanian engineering construction sector too has good news from the ACIF Forecasts. There too are drivers in the local market and demographic that are seeing an increase in the level of engineering work that may make inter state migration an option for some players.
If vitamin D deficiency wasn't enough of a good reason to consider moving to the Northern Territory, ACIF's inaugural Construction Market Report for Northern Territory and Darwin has a reason: The below chart of total construction demand forecasts over the next 10 years.
The ongoing boom in mining and heavy engineering construction in this most remote of regions has seen a sharp rise in demand across all other sectors. It outstrips that of the other big player, Western Australia, and the Rest of Australia.
Why? Because miners need to sleep, eat, play, get patched up when they have done playing - so the need for housing, retail, health and other facilities grows.
The ACIF Board meets with other industry leaders over dinner the evening before its Board meetings. We were delighted to have senior executives from Boral, OneSteel, Rocla and Austral Precast join us for dinner in Sydney in June, and to have Michael Deegan, the Infrastructure Coordinator, speak to us after dinner about the challenges of infrastructure planning (or what has passed for planning in Australia for too long) and of course of funding the infrastructure we badly need if we are to remain competitive.
Michael was an outstanding choice for the role of Infrastructure Coordinator, with extensive experience in the public and private sectors. He takes seriously the business of delivering value to taxpayers and to his high powered Board. Part of that is to insist that his small team all demonstrate that, annually, they have made at least $1 billion worth of value to the community through their work.
The conversation with Michael was doubly interesting because of the release there or thereabouts of the Urban Coalition's "New Deal" recommendations for dealing with the crisis in funding urban infrastructure.
As is the case with all our dinner speakers and guests, what's said stays in the room – Chatham House rules.
Pity really – Michael is one of the few in Australia to have thought deeply about the role of strategic transport planning, and infrastructure investment, in driving wealth creation, productivity, and sustained improvement in the quality of life of all Australians. His informal discussion with us was stimulating and informative. Should be more of it.
BuildingSMART, lead by John Mitchell, aims for Australia to catch up with parts of the rest of the world when it comes to adoption of and encouragement for, wider use of Building Information Modelling (BIM).
In August 2012 the Australian Government and BuildingSMART released a strategic report outlining the support needed to drive the construction industry into a new efficient, low carbon era of BIM.
BuildingSMARTalmost won funding from the Commonwealth Government for a full blooded initiative to match the UK model, however sadly, the answer when it came was "we have no money".
John and his colleagues have been giving the industry the chance to be involved in key parts of an agenda to progress the efficiencies that BIM can deliver, through a series of seminars and workshops over the last two years. Industry support for volunteer task groups has been tremendous. The latest information is at http://buildingsmart.org.au/
In 2011 the UK mandated the use of BIM and supply chains to deliver 20% increases in value from construction - and they are getting spectacular results already. Part of the reason is that there is a properly funded and directed Task Group to help industry deliver the results, and refine and improve the efficiencies that BIM can deliver. Worth having a look at http://www.bimtaskgroup.org/.
Next steps?
Three working groups are driving work on a volunteer basis (Integrated Project Delivery, BIM Guidelines, Object Libraries) and, at a meeting in Sydney in June convened by BuildingSMART, organisations representing large parts of the industry agreed to continue to work together on a national basis to generate more traction for the existing work, and the need to have it properly funded.
ACIF and its government counterpart the Australasian Procurement and Construction Council have agreed to prepare the next business case for the work, as well as finalising work we have been doing together for some time to set out the case for greater use of BIM and project team integration. (more on this in July)
ACIF will be convening the next meeting of the organisations and do what it can, with APCC, to drive a strong strategic focus on this work. We'll also be looking for volunteers to offer pilot projects – watch this space for details.
ACIF Board embarks on policy refresh with one outcome
Wed, 03 Jul 2013 00:00:00 +1000
Originally intended to feed in to the COAG review of productivity originally planned to be completed this year, the ACIF Board has embarked on a wide ranging policy refresh by going back to basics, looking at the chain of activities and decisions that are part and parcel of delivering services from the design and construction and operation of capital assets.
The diagram below gives an outline of where ACIF is heading in its review, and more information on the details of the policy refresh is available here.
The construction industry, and the wider built environment sector, operate to provide other parts of the economy with shelter and social and economic infrastructure.
The designers and constructors and all other disciplines in the industry are wealth creators. As servants of other sectors we enable the creation of wealth for investors, owners and occupiers of assets. That's not just P&L and balance sheet wealth. It's the wealth that comes from many sources.
Enhanced roads delivering fewer accidents and more efficient goods distribution.
Mines and port facilities that enable the profitable export of minerals and energy.
Modern schools that encourage lower absenteeism and more satisfying learning.
Houses that minimise energy use.
Hospitals that make health service delivery more rewarding for clinical staff, and more reassuring for patients.
There are many more examples but what's just as remarkable is the way the industry is expected to, and does, switch itself up or down a notch (and sometimes a lot of notches) depending on investment and confidence in other sectors, and the global markets.
A little more than 2 years ago we had extraordinary demands being put on the industry to deliver unparalleled volumes of engineering construction projects. The mining industry, and concerns over water for our cities, saw demand skyrocket past residential building, historically the biggest sector of the industry. Now, as demand there is abating, the residential sector is accelerating, particularly on the back of demand for apartments in Sydney as well as other major centres.
Our latest ACIF Forecasts of demand point to slowing markets in some sectors and locales, and re-emerging demand in others.
There are quite legitimate and important issues that affect productivity in our industry that deserve our attention. But the one thing that has been and remains a constant is our ability to rise phoenix-like from one big downturn and deliver what is needed whether housing, commercial buildings, or infrastructure.
Our policy refresh is starting with this high level understanding of the entire process of delivering services from assets, and then its component parts. It recognises that every discipline in the industry (and that includes people and organisations in the public sector) have roles to play in doing that, and each should be treated with the respect they deserve.
Individual Board members are championing the review and development of policy in each of the areas picked up in the diagram. Given the breadth of ACIF's Members and the talents of its Board, the policies that will be finalised in the next two months will have been tested by a unique group of people representing the span of the built environment sector. Industry leaders working together as ACIF, with the single focus on achieving quality in the built environment as the outcome.
The ACIF Board has embarked on a policy refresh to look at the chain of activities and decisions that are central to the delivery of design and construction.
This work continues earlier work on industry policies, with ACIF policy areas are further developed than others. Over the next month we will be asking for comment on policy drafts and to suggest improvements.
Below are the high level objectives we see for some of the policy areas that affect each participant in the industry, to one degree or another.
Population and Demographic Change
Objectives
ACIF Members represent the bulk of firms in the construction industry delivering critical assets for the Australian economy. The industry is a servant of the rest of the economy. Its fortunes fluctuate with those of the rest of the economy.
The construction industry in Australia has proved itself time and again to be capable of responding quickly and efficiently to high levels of demand for housing and commercial buildings, and engineering infrastructure. Despite the stresses imposed by economic slowdowns, firms in the industry have been able to maintain the human and technical and commercial capacity needed to deliver world class assets.
A key challenge for ACIF Members, and those in government concerned with the need to maintain an efficient industry, is to enable firms to have access to sound information on the changing shape and face of the Australian population. In addition to the data provided by the ABS, ACIF and its Members produce forecasts of demand for the industry's services.
A key addition to the information that would facilitate much smarter planning by employers, learning providers, and labour market policy makers, would be the establishment of a skills forecasting capability. ACIF urges the Commonwealth and other governments to fund the establishment of such a capability, modelled on the Canadian Construction Sector Council forecasting model.
Strategic Land Use and Planning
Objectives
The plethora of planning and land use instruments across Australia reminds one of de Gaulle's bon mot:
"How can anyone govern a country that has two hundred and forty-six different kinds of cheese?"
Comprehensive planning reform is required right around the nation, with a particular focus on the needs of cities and housing development, including the introduction of a nationally consistent single approval process for detached housing and dual occupancy housing development.
ACIF Members believe that a keener focus by governments on urban design and planning will deliver real benefits to communities. This would be facilitated in part by having a Commonwealth Minister for Cities, and the appointment of a Government Architect, injecting similar rigour to infrastructure planning as the Chief Scientist does to scientific and research matters.
Government Economic Management
Objectives
ACIF is identifying the issues that impede productivity in the construction industry, and that limit investment in economic and social infrastructure and housing. It will propose changes in government policy to facilitate improvements in productivity and encourage investment, and that eliminate or reduce red tape that serves no economic or social purpose. These may include industry standards, licensing issues, local government requirements, red tape and green tape.
On the other hand, ACIF supports the retention of regulations that deliver real benefits to the community. It is producing a set of recommendations for the elimination or reduction of red tape in 7 areas, where there are good reasons for doing so.
Occupational Licencing
Objectives
A genuinely National market for all disciplines working in the industry, with consistent skill training standards and licencing and recognition standards across all jurisdictions.
Individual disciplines working in the industry support the need for more rigorous registration and certification requirements as means to maintain and improve the standards of work delivered to consumers.
Continuing professional education is a key to making sure quality standards are met.
Procurement
Objectives
1.Project sponsors serve their own interests best, and those of their project team members, when they pay as much attention to the ability of team members to work well as a team, as they do to the prices they have been quoted. By encouraging
2.Procurement policies and practices should encourage the selection of design consultants, head contractors, and trade contractors, on the basis of proven performance as team players, as well as their prices.
3.Value for money selection policies and practices should explicitly encourage the selection of other than lowest price firms, when it can be demonstrated that a higher priced firm is likely to deliver a lower whole-of-life cost.
4.Careful allocation of risk by project sponsors to those best able to manage it is a fundamental element of good procurement practice. It facilitates clear and rational allocation of responsibilities whilst delivering the time, cost and functionality required by project users.
So, just a sneak peek at some of the elements of the construction process we're working on. More in coming weeks, and you'll have the opportunity to contribute to the policies.
The May 2013 update the ACIF Forecasts has now been released.
ACIF Forecasts are highly accurate and credible short- and long-term forecasts of demand across all sectors. The Forecasts cover 21 building activity types, including new houses; housing alterations and additions; retail; industrial; health and aged care; roads; telecommunications, and heavy industry. The information is provided as rolling ten year forecasts in nominal terms, giving businesses clarity around market trends for the next decade.
ACIF Forecasts high-quality short- and long-term forecasts cover:
residential building construction activity;
non-residential building construction activity;
engineering construction activity;
construction employment;
profiles of national construction activity for major projects across Australia valued above $50 million for non-residential construction and above $100 million for engineering construction; and
analysis of the factors driving supply and demand, the economic scenarios that underpin the forecasts, and sensitivity analysis of the forecasts based on these variables. A set of leading indicators is provided that will help track movements in economic conditions.
Use ACIF's Customised Forecasts tools to generate your own forecast of demand for the work types and locations of interest to you. This information is available to Website Subscribers, so login or subscribe in order to benefit from this highly valuable information.
ACIF Construction Market Reports outline the big picture for the industry with the impact of international and domestic influencers, then delve into the detail for your state, and your capital city.
Contents include:
The Big Picture - national forecasts across all sectors, the outlook for the macro factors, including interest rates, inflation, unemployment and the $AUD.
Outlook for your state and capital city - with detailed charts and commentary for each sector, comparing your state to the national forecasts
Major projects - where are they, when are they starting and what are they worth?
Mining construction demand has peaked, ACIF Forecasts show
Thu, 16 May 2013 00:00:00 +1000
Building and construction activity in mining has definitely peaked, updated ACIF Forecasts by the Australian Construction Industry Forum will show.
However, before the industry packs up its workboots to go home, decision makers need to take a close look at the facts about upcoming demand across all sectors.
“The ACIF Forecasts and the Construction Market Reports that provide the granular state by state analysis of the Forecasts show the whole picture,” said Peter Barda, Executive Director for Australian Construction Industry Forum. “Statistically, we can confirm that the rate of work has reached its highest point in recorded history, and is set to start falling, however look at the details – it will take ten years for engineering construction demand to fall to a level that is still more than double that of the work available ten years ago.”
The ACIF Forecasts show that it’s not just mining that is driving the growth in this sector, but also large Government infrastructure projects, and much more.
The spill on effect of the mining boom is not limited to engineering construction, either. People moving to live and work in mining regions has brought new demand for residential building, schools, retail space and other commercial building, so non-capital cities are seeing changes to work volume and types that benefit the local industry.
Changing demand in residential building will see the schism between Sydney and Melbourne grow, with one state to fare better over the next few years. While New South Wales can look forward to a long awaited though moderate improvement in demand for residential building, Victoria and particularly Melbourne will see a fall in demand.
“In the medium term, New South Wales will experience a slight increase in activity across several sectors. Changes in social structure, cost of living and aspiration will see the development of apartments and townhouses become an important area of work, especially in Sydney,” said Mr Barda.
“Over the past few years Melbourne has experienced a rate of residential work that is out of step with the rest of the country, and it’s about to move into a cycle of flattening activity that brings in back into line with other states.”
Below is a snapshot of the outlook for each state and territory, from the ACIF Forecasts to be released 27 May 2013. Construction Market Reports with detailed analysis and commentary per state and capital territory are available by clicking here.
The ACIF Forecasts are only possible due to the ongoing support of our sponsors:
ACT - We expect a moderation in construction activity. A key driver is the short term moderation in activity in the residential sector – particularly in the multi-unit dwelling sector. NEED MORE INFO?>>
NSW - We are forecasting a short term moderation in construction activity. A key driver is the short term moderation in activity in engineering construction – particularly in the heavy industry sector. NEED MORE INFO? >>
NT - Construction activity in NT grows from current levels over the forecast period. The short term outlook is for activity levels grow sharply and peak. This is followed by a decline over the medium term. A key driver is the moderation in activity in engineering construction – particularly in the sectors associated with mining following the period of rapid short term expansion. NEED MORE INFO? >>
QLD - Construction activity in QLD grows over the forecast period, although the short term outlook is for activity levels to moderate before rebounding and growing strongly over the medium term. A key driver is the moderation in activity in engineering construction – particularly in the heavy industry sector. NEED MORE INFO? >>
TAS - A short term moderation in construction activity, followed by sustained growth over the medium term. Key drivers are the near term moderation in activity in the water and sewerage sector, and future growth in renewable electricity. NEED MORE INFO? >>
SA - The forecast is for a short term moderation in construction activity. A key driver is the moderation in activity in engineering construction – driven by large project deferrals. NEED MORE INFO? >>
VIC - Construction activity in Victoria grows over the forecast period, although the short term outlook is for a moderation in activity. A key driver is the short term moderation in activity in the residential sector – particularly in the multi-unit dwelling sector. NEED MORE INFO? >>
WA - Construction activity in WA grows from current levels over the forecast period. The short term outlook is for activity levels to grow and peak. This is followed by a sustained decline over the medium term. A key driver is the moderation in activity in engineering construction – particularly in the sectors associated with mining. NEED MORE INFO? >>
Australian Institute of Building (AIB) is a valued member of ACIF, representing building and construction professionals. Using the organisation's skill and experience in interpreting the regulations facing its members, AIB has provided a summary of the new Model Work, Health and Safety legislation.
The framework to deliver realistic visual simulations and models to help assess risks and benefits, and explore alternatives in infrastructure planning, design, and management is soon to be developed across Australia and New Zealand.
The creation of the ‘Virtual Australia and New Zealand’ (VANZ) Framework will formally commence on 10 July 2012 with a meeting of stakeholders, however this project has been in concept and consultation stage since 2010.
The project aims to deliver the Framework for a Federated ‘Statutory’ Virtual World, a highly secure 3D+ ‘true-to-life’ computer model of the natural and built environment (above and below ground, inside and out), including all structures at engineering scale.
A wide and expanding range of stakeholders are involved, from government, research and commercial organisations, with the aim to build a Framework for a Virtual World across Australia and New Zealand.
Once the Framework and the Virtual World have been developed, there will be benefits in many areas including building and construction, such as:
3D models can help engineers to create better designs and reduce the risks, costs and time to deliver assets;
Architects, Engineers, Builders and Trades can more easily and more reliably locate underground services – with improving accuracy over time (as the data quality is improved through built-in correction processes) – avoiding design errors, data duplication and lost time;
Storm, Flood, Fire and Earthquake Risks can be modelled with greater assurance, enabling authorities to better plan and regulate development (including specific building construction x location) and later using dynamic models to assess performance against regulation; and
The virtual world can also be used in asset management and in many other areas such as training.
Creating such benefits requires the seamless integration of Building Information Modelling (BIM) and Geographic Information Systems (GIS), and related data sets - that uniquely represent each ‘property’, ‘legal boundary’ and ‘property related regulation’ in the real world.
Under the VANZ Framework, these unique data sets are referred to as ‘statutory’ data sets - as and when they are lodged with, or held by, the Local Government where the property is situated.
Such ‘statutory’ data sets need to be integrated across sites and local, state and national boundaries (within Australia and New Zealand), in a way that makes the data easily accessible by authorised users – allowing them to create their own 3D+ models of the world, using their own software.
Under the VANZ Framework, all property owners and their delegates (including all utilities and state infrastructure owners, etc) would remain free to source the data that represents their own assets from any provider in the market, on any terms they agree. They would also be free to determine the terms upon which their own data is made accessible under the VANZ Framework, including restricting access.
The VANZ Framework will simply operate at the ‘pre-competitive’ level, to facilitate access and secure integration between the different ‘statutory’ data sets – in a way that respects each data owner’s rights and obligations under the law.
The Senate has set up an inquiry into the nexus between the demand for infrastructure delivery and the shortage of appropriate engineering and related employment skills in Australia. The inquiry will be carried out by the Senate Education, Employment and Workplace Relations Committees.
The committee has been asked to consider the implications of the shortage for infrastructure delivery and the impact on economic development, cost, efficiency, safety and disputation, and the long term outsourcing of engineering activities by government on skills development and retention in both the private and public sectors.
The committee will consider options to address the skill shortage for engineers and related trades, for infrastructure delivery using alternative procurement models, and to consider effective strategies to develop and retain engineering talent in the private and public sectors through industry training and development, at enterprise, project and whole-of-sector levels. Incentives to the private sector through the procurement process to undertake skills development, and the consequences of skills shortage in the construction sector to the public sectors’ capacity to effectively procure and manage infrastructure projects will also be explored.
Submissions should be received by 3 February 2012. The reporting date is 30 June 2012.
Blake Dawson recently presented to ACIF the third in a series of reports, 'Scope for Improvement'. Research into the construction industry over 6 years, the report outlines the key reasons for the project problems such as late dellivery and over budget.
While the report finds that the industry has improved since the first report in 2006, still only 48% of the $55 billion in projects surveyed were delivered on time, on budget or to the required quality - so that means that 52% were not.
A key strategy for improvement is through increased co-operation and communication, achievable with integrated project teams - from the client through to construction to property mangement - working together throughout the project.
The Blake Dawson report Scope for Improvement 2011 is available by clicking here.
Updated ACIF Forecasts have been released on the ACIF website.
ACIF Forecasts give you the most accurate and cost effective market information on where new work is coming from, and how much. In fact, whether you're interested in residential or non-residential building or infrastructure, we provide the industry with its very own compass to the future. ACIF Forecasts have a well deserved reputation for success over the past ten years.
Summaries across all areas of construction are available. In addition, ACIF Website Subscribers can use the Customised Forecast tools to query ACIF's database to generate their own forecast, even down to poscode level.
The information and analysis comes from KPMG Econtech's expert analysts, and ACIF’s own panel of distinguished industry economists, analysts and researchers, the Construction Forecasting Council. ACIF Forecasts answer the key questions:
What will happen to interest rates, GDP, the A$, and employment?
What is happening to demand for residential and non-residential building, and engineering construction?
Where is the new work coming from? What types of work?
What’s the impact of housing shortages and pent up demand for housing?
Where are new dwellings needed most?
The mining industry continues to put huge pressure on skills. Where will the people come from?
The Australian Construction Industry Forum Looks Forward to Working with the Incoming Labor Government
Thu, 26 May 2022 00:00:00 +1000
MEDIA RELEASE – Thursday 26 May 2022
The Australian Construction Industry Forum Looks Forward to Working with the Incoming Labor Government
The Australian Construction Industry Forum (ACIF) today congratulated the newly-elected Labor Government on their election win on the weekend. There are many challenging issues facing the construction industry, and ACIF looks forward to working with the new federal Labor Ministry to address these issues.
Dr James Cameron, ACIF Executive Director stated: “Skills and materials shortages in the construction industry are almost at crisis point, and this needs to be a priority of the incoming government. Otherwise we will see more companies going into administration and subcontractors and consumers getting financially burnt. Consumers require reassurance, confidence and certainty to build and invest.”
“Specifically, it would be good to know if the incoming government will support the $220 million plan announced in April by the outgoing government to increase Australian timber production.”
“The newly-released ACIF Forecasts and suggest that any new infrastructure and building programs should be rolled out with consideration of the current materials and labour shortages, rather than exacerbating them, and ACIF is willing to provide input into that process.”
“Further, the Labor Government can play a key role in improving the poor culture of the construction industry. We would like to see a more collaborative rather than a confrontational environment on construction sites.”
“ACIF is aware that it is Labor Party policy to abolish the Australian Building and Construction Commission (ABCC). If that occurs, we would like to know what mechanisms will replace the ABCC functions of maintaining orderly and productive construction sites, making sure workers are paid what they should, and addressing sexual harassment. Improving the culture in construction is crucial to attracting and keeping women in the industry.”
Dr Cameron commented: “We would also like to see the new government take a proactive approach regarding the implementation of the recommendations of the Building Confidence Report. In 2018, State, Territory and Federal Governments agreed to implement the 24 recommendations, but progress on this has been occurring at a glacial pace in some states. A scan of what has been implemented so far would be a good first step to encourage the States and Territories to stay focused on this.”
“Finally, the incoming government needs to work with State and Territory Governments to address the issue of professional indemnity insurance in the construction industry.”
Dr Cameron added “ACIF Members met with Prime Minister Albanese in the past in his capacity as the Shadow Infrastructure Minister. We look forward to working with Prime Minister Albanese and his team to progress the major issues of the construction industry, which employs around 1.4 million Australians, and contributes around 9 percent of Australia’s GDP. We also pay tribute to the outgoing Morrison Government for its economic handling of the COVID-19 pandemic, and helping to ensure that thousands of building and construction businesses could survive via JobKeeper, HomeBuilder and other stimulus measures.”
About Australian Construction Industry Forum (ACIF)
Australian Construction Industry Forum (ACIF) is the trusted voice of the Australian construction industry. ACIF facilitates and supports an active dialogue between key players in residential and non-residential building, and engineering construction, other industry groups, and government agencies. ACIF’s focus is on innovation, collaboration, equity and sustainability for the industry. ACIF Members are among the most significant associations in the industry, spanning the entire asset creation process from feasibility through design, cost planning, construction, building and management. ACIF harnesses the resources of its Members to research and develop initiatives that benefit businesses of all sizes, from the largest of construction companies to small consultancies. More information on ACIF is available from www.acif.com.au.
For media comment please contact: ACIF Executive Director Dr James Cameron via info@acif.com.au
Combining the forecasting expertise of Kerry Barwise (FTI Consulting), ACIF's Construction Forecasting Council, and key data providers Cordell, our November 2021 Forecasts will provide our most valuable insight into the industry yet.
Available through:
Australian Construction Market Report
A 90+ page report with detailed commentary, data and charts on the economic drivers for our industry, and 10 year forecasts for residential building, non-residential building and engineering construction.
Customised Forecasts Dashboard
A customisable forecasts dashboard with the full dataset for the ACIF Forecasts. This will enable you to query the demand expected for 20 work types across residential and non-residential building or engineering construction, with data on over 6000+ major projects thanks to Cordell Information.
Australian Construction Industry Forum Issues Coronavirus Recovery Proposal - Construction’s Bridge to Recovery
Wed, 03 Jun 2020 00:00:00 +1000
Australian Construction Industry Forum Issues Coronavirus Recovery Proposal - Construction’s Bridge to Recovery
After extensive consultation with member associations over the past twelve weeks, the Australian Construction Industry Forum (ACIF) today issued the document Construction’s Bridge to Recovery, with a number of key recommendations to guide the construction industry out of the coronavirus disruption period.
ACIF Executive Director James Cameron commented, “As the building and construction sector represents almost 10% of the Australian economy, and the industry employs 1.2 million Australians in over 390,000 businesses, it is essential for Australia that we get this right.“
“We are calling on governments to pull forward and re-commit to spending already announced. These measures could raise building and construction activity by $66 billion over five years, which would have a very beneficial and stimulatory effect.”
“This stimulus spending should be spread across residential, non-residential and infrastructure construction, with much of the spending to go to small and medium-sized enterprises, and a focus on Australian-made products in construction. Social housing should be a particular focus of residential stimulus.”
”Further, ACIF calls for regulatory reform and regulatory requirements such as licensing and registration and inspections to continue as normal. The recommendations of the Building Confidence Report should continue to be implemented, and we welcome the most recent Building Ministers’ Forum communiqué stating that this would occur.”
“Fast government payments on projects of 1 to 5 days would definitely assist the industry at this time”, Mr Cameron added.
“ACIF calls for changes to government procurement processes to assist with the economic recovery and support Australian businesses, and endorses the recent announcement by the Minister for Industry, Science and Technology in this regard.”
“Vocational and apprenticeship courses should be further supported, with incentives for apprentices to be retained and more hired. Further, incentives for employers to take on new or out of work apprentices, and bring candidates from outside the industry into entry level roles would all be nation-building.“
“Australia’s epidemiological and fiscal response to the coronavirus pandemic has been world class, and the liaison between industry and government outstanding. We can also have a very positive economic story coming out of this pandemic with the right policy settings”, Mr Cameron stated.
The ACIF report Construction’s Bridge to Recovery can be found on our website here.
The Government is seeking submissions from individuals, businesses and community groups on their views for priorities for the 2020-21 Budget.
As a result of the Morrison Government’s disciplined budget management, the Budget is forecast to return to surplus in 2019-20.
The 2020-21 Budget will continue with this discipline while also reflecting the Government’s plan for a stronger economy and securing a better future for all Australians.
To ensure views can be incorporated into the budget process at an early stage, submissions are due by Friday, 20 December 2019.
Further information on how to lodge submissions is available on the Treasury website.
Workplace Health and Safety Queensland, Department of Justice and Attorney-General. Handbook Building and construction industry Workplace Health and ..
Search Justice and Attorney-General .. As the building and construction industry is project driven, it would be impossible for most workers to accrue enough ..
Attorney-General. Implementation of the Building and Construction Industry Security of Payment Act 2009. 2 August 2011. Minister for Consumer Affairs ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Attorney-General Robert Clark today announced the appointment of Ms Kornelia .. tabled the Building and Construction industry Improvement (Transition to Fair ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
One member is a lawyer of at least 10 years standing with experience in the law relating to building and construction. One member is a person with at least 10 ..
installers of plant such as air-conditioners, building, and construction... Workplace Health and Safety Queensland, Department of Justice and Attorney-General ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Department of Justice and Attorney-General .. In order to understand the workplace health and safety requirements for building and construction, and your ..
Search Justice and Attorney-General .. Home · Law and penalties · Codes of practice · Queensland Code of Practice for the Building and Construction Industry ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
2001-2003: Royal Commission into the Building and Construction Industry in .. Last Modified: Thursday, 1 December 2005 Attorney-General's Department ..
Building and Construction Industry (State) Award ... Crown Employees (NSW Attorney General's Department - Reporting Services Branch) Sound Reporters ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Attorney-General Robert Clark today announced the appointment of Mr Darrin Cain .. and coercion that persist in parts of the building and construction industry. ..
Building and Construction Industry Long Service Payments Corporation; › Lifetime Care and Support ... Home; Department of Justice and Attorney General ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Microsoft Excel="Attorney-General's Department" ="CN165897" ="Design Craft Furniture Pty Ltd" ="95064210037" "3" ="Structures and Building and Construction and ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
.. the Building Commission, this Act provides for the regulation of building and construction standards. .. engaged a lawyer to check the contract before signing. ..
Building and Construction Industry Security of Payment Act 1999 No 46 .. register, jointly with the Attorney General and the Minister for Fair Trading (remainder, ..
Office of the Australian Building and Construction Commissioner .. There are also lawyers, analysts and support staff throughout our offices nationally to ensure ..
Office of the Australian Building and Construction Commissioner ... (a) Other responsibilities and workloads of lawyers within the ABCC - [add comments]. ..
6 days ago – Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice ..
Building and Construction Industry Long Service Payments Corporation; › Lifetime ... Welcome to the NSW Attorney General's Department eTendering Website. ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Inquiry into the Victorian Building and Construction Industry .. of the three practices identified by the Attorney-General's Task Force, recommended in this Report. ..
Microsoft Excel="Attorney-General's Department" ="CN65268" ="Christmas Island Adminstration" ="92661124436" "Power supply" ="Building and Construction and ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Building and Construction, Expand Building and Construction... The department, together with the Attorney-General's Department, have provided advice and ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Solicitors from the Section .. Our solicitors liaise with international authorities in a reciprocal arrangement and conduct ..Building and construction contracts. ..
The body should be staffed by a multi-disciplinary group comprising lawyers, building and construction industry investigators, police investigators, financial ..
Code of Practice for the Building and Construction Industry (Department of Justice and Attorney-General website), August 2000, -, view, yes. This Code of ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Australian Government Solicitor the leading lawyers to government. Marking of successful ....building and construction OH&S accreditation scheme. Training ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Rich Text Format - Australian Building and Construction Commission .. While the Attorney-General's Department is responsible for the Legal Services Directions, any enquiries ..
Search Justice and Attorney-General ... Government is seeking comment from the building and construction industry on the QLeave Scheme Review. For full ..
Attorney-General's Department. 27. Explanation of Variations. Administered. Royal Commission into the Building and Construction Industry. The Government will ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Australian Building and Construction Commissioner (ABCC) .. There are also lawyers, analysts and support staff throughout our offices nationally to ensure the ..
Work Australia for the Building and Construction Industry' (March 2009), and the extensive consultation .. Senior Executive Lawyer. T 02 9581 7569 F 02 9581 ..
6 days ago – Draft minutes of the Building and Construction Industry Forum held on 19 .. Office of the Australian Building and Construction Commissioner ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
With strengths in: building and construction issues, buying and selling .. Our national property network consists of specialist property lawyers who are fully in ..
It renames the Building and Construction Industry Improvement Act 2005 ... deny people their choice of lawyer, provide powers to compel evidence with the ..
Experienced, practical dispute resolution lawyer, operating in the .. Commercial dispute resolution lawyer, focussing on: ..building and construction disputes; ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
by KT MP - 2008 - of union corruption, fraud and other illegality in the building and construction industry. “According to lawyers who closely observed the commission, none of ..
'the very best government lawyers are in AGS' and that we 'provide a real depth of .... disputes arising in a variety of areas, including building and construction, ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
workers and others in the building and construction industry in receiving payment for work done or .. In 1995 the Attorney-General asked the Commission to ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Is the Building and Construction Industry Payments Act 2004 (BCIPA) .... decisions are very promptly the subject of detailed analysis by construction lawyers..
6 days ago – .. investigation and resolution of any complaints against lawyers, as well as .. Office of the Australian Building and Construction Commissioner ..
The new Building and Construction Industry Security of Payment Act 2009 aims to help ... However, parties may use a lawyer to help prepare this information. ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
As a building and construction worker, the income you receive is personal ... be addressed to the Commonwealth Copyright Administration, Attorney-General's ..
The Building and Construction Industry Security of Payment Act 2002 does not .. not significantly); engaged a lawyer to check the contract before they signed. ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Australian Building and Construction Commissioner speech to Australian Labour Law Association Conference,. 19 November 2010. Appendix 3. 124. Australian ..
.. informed on the latest health and safety issues that affect the building and construction sector in Queensland. .. Department of Justice and Attorney-General ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
into contracts for building and construction work. Sometimes disputes arise .. However, either party may use a lawyer to help prepare the material. Is there an ..
Mediator, Commonwealth Attorney General's Native Title Practitioners Panel .. Adjudicator, Building and Construction Industry Security of Payment Act 1999 ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
.. Queensland Code of Practice for the Building and Construction Industry · Queensland .. The Queensland Department of Justice and Attorney-General (JAG) ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
7.1 Code of Practice for the Building and Construction Industry and Code of Tendering. .. certificate, issued by the Department of Justice and Attorney-General. ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
A reference to a registered power of attorney (book and page number). ... Service Levy payable under Section 34 of the Building and Construction Industry Long ..
The new Building and Construction Industry Security of Payment Act 2009 aims to help ... However, you may use a lawyer to help prepare this information. ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
the problem of security of payment in the Building and Construction Industry for a ... existence of such funds as the Solicitors Guarantee Fund and previously the ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Departments and agencies
Commonwealth Parliament; Agriculture, Fisheries and Forestry; Attorney- .. Office of the Australian Building and Construction Commissioner · Office of the ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
- Attorney General's Department. Russell Cox, Director, Finance and Strategic Services. 9228 8334. Building and Construction Industry Long Service Leave ..
building and construction work with residential home owners. .. The new Building and Construction Industry Security ... However, you may use a lawyer to help ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Section 52 of the Building and Construction Industry Improvement Act 2005 (BCII Act) .. a section 52 examination has a legal right to be represented by a lawyer. ..
If you are employed as an articled clerk or other paralegal, lawyer or solicitor, this ..Building and construction employees - claiming work-related expenses ..
from the Attorney-General's Department. Requests and inquiries .... Safe Use of Cranes in the Building and Construction Industry (No. 11,. 1990). ▪ Safety in ..
.. and rights should be addressed to Commonwealth Copyright Administration, Attorney-General's .. 50000 short and medium term building and construction projects. ..building and construction projects were designed to support the building, ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Australian Government Solicitor the leading lawyers to government .... fitouts, building and construction matters, tenders and advice in relation to tender ..
.. (Social and Community Services, S.A.), South Australian Salaried Lawyers Association) .. Australian Building and Construction Workers' Federation, The ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
The commentary is prepared by AGS commercial lawyers and covers areas such ... application of state building and construction laws to Australian Government ..
The structure of the building and construction industry ... contractors in the building industry: Media Statement of the Attorney General 8.5.1985. A report has not ..
The Office of the Australian Building and Construction Commissioner is responsible for ensuring that building and construction work is carried out for the benefit ..
submission to Discussion Paper: Proposed Building and Construction Division ....lawyers. It is described in the following terms: “Basically, this means that the ..
Submission to the NSW Attorney General on the. Review of the .. The building and construction industry is a major contributor to the economic wellbeing ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
.. appointed by the Governor-in-Council on the advice of the Attorney-General. .. banking and finance; building and construction contracts; constitutional law; ..
- Attorney-General's Department. Australian Commission for Law .. Office of the Australian Building and Construction Commissioner. Parliamentary Secretary for ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Rich Text Format - Attorney General's Department, Russell Cox, Director, Finance and Strategic Services, 9228 8334. Building and Construction Industry Long Service Payments ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Rich Text Format - The building and construction industry makes a critical contribution to the .... the Commonwealth Attorney-General made only 98 referrals to prosecution ..
Australian Government Solicitor the leading lawyers to government .... to manage disputes arising in a variety of areas, including building and construction, ..
Administration, Attorney-General's Department, Robert Garran Offices, National. Circuit .... concluded that 'From the perspective of the building and construction..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Attorney-General's Department. 27. Explanation of Variations. Administered. Royal Commission into the Building and Construction Industry. The Government will ..
Building and Construction and Maintenance Services (14). Building and... Issued by Department of the Attorney General, est. advertising date 13 Feb, 2012 ..
fact sheet. Australian Government Solicitor the leading lawyers to government ... Australian Government Building and Construction OHS Accreditation Scheme ..
the powers of the Australian Building and Construction Commission (ABCC), the ... questioning to consult and be represented by the lawyer of their choice. ..
Microsoft Powerpoint - Building and Construction Industry Security of Payment Act ...Lawyers are often experts in contract law, but this is a specialist field and they need to understand ..
by D Peetz - building and construction industry within the inspectorate of Fair Work Australia ..lawyer. If they refuse to attend an interrogation, or refuse to answer questions ..
.. Queensland. Department of Justice and Attorney-General ..Building and Construction Industry Workplace Health and Safety Guide (pdf, 179 KB) Description: ..
- Building and Construction Industry (Portable Long Service Leave) Authority Board .. Acts Administered by the Deputy Premier and Attorney-General, Minister for ..
Department of Justice and Attorney-General .. a bi-monthly enewsletter providing information to subscribers on activities in the building and construction sector. ..
Microsoft Excel - ="Office of the Australian Building and Construction Commissioner (ABCC)" .. ="Clayton Utz Lawyers" ="GPO Box P1214" ="Perth" ="6844" ="AUSTRALIA" ..
section 43, 44, and 45 of the Building and Construction Industry. Improvement Act 2005 have .. person's choice of lawyer. HIA agrees. HIA does not support ..
Rich Text Format - Trevor Sharp has worked in the building and construction industry for forty years as a .. having practised extensively as a workplace relations lawyer since 1995. ..
Similarly, labour lawyers Peter Punch and Mick Sheils doubted that there ...Building and Construction Industry Improvement Amendment (Transition to Fair ..
.. all other rights are reserved. Requests for further authorisation should be directed to: Commonwealth Copyright Administration Attorney-General's Department ..
The Chief Examiner may prevent a particular lawyer from appearing under the general .. Australian Building and Construction Commissioner) (2006) FCA 1334. ..
Office of the Australian Building and Construction Commissioner .... to the Attorney-General entitled "The Coercive Information-gathering Powers of Government ..
Office of the Australian Building and Construction Commissioner .. All staff engaged in client legal advice services are qualified lawyers and registered migration ..
Rich Text Format - .. consider careers in the building and construction industry by offering apprenticeships .. The Department of Justice and Attorney-General has considered the ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Personal services income for the building and construction industry. Specific information about PSI and the PSI rules for building and construction workers. ..
BUILDING AND CONSTRUCTION, HOBART 24/1/11 ....lawyers and the like; the fact that you hold a degree or a qualification does not guarantee an outcome. ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Rich Text Format - Mr Stephen Creese is a lawyer by profession and a graduate in Arts/Law ... is the centre of excellence for the building and construction industry in Queensland. ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
As the building and construction industry is an important part of the Australian economy ... In a Media Release dated 4th June 2008 the Attorney General stated; ..
building and construction workplace in compliance with statutory requirements of the .. and Training, Department of Justice and Attorney-General) and statutory ..
implementation of the Building and Construction Industry (Security of .. Will be required to liaise with a variety of clients internal and external to the Attorney- ..
Building and Construction Industry Improvement Act 2005 (BCII Act) has applied .... contained 92 separate incidents that were ultimately referred by the Attorney..
There are three key regimes affecting the building and construction industry that .. the legislated Building and Construction OHS Accreditation Scheme (the OHS ..
Attorney-General's Department. AusAID. Peter Baxter Australian .. Office of the Australian Building and Construction Commissioner. IGT. Ali Noroozi Office of the ..
.. include appeals under the Building and Construction Industry (Portable Long .. Members of the Commission are not required to be lawyers but are required to ..
Rich Text Format - You should seek professional advice from your accountant, lawyer or other .... of the Australian Government Building and Construction OHS Accreditation ..
24 August 2003, The “Most Wrong” Equity Cases 1990 – 2003: Attorney.... Out Of The Building And Construction Industry Security Of Payment Act 1999 (NSW) ..
Holman Webb Lawyers. Solicitors for the Respondents: Tony Vella Solicitors. ORDERS ..Building and Construction Industry (State) Award (“Building. NAPSA”) ..
90+ items – Australian Government Twitter sites. follow us on Twitter.
JuliaGillard
The official Twitter account for Julia Gillard ..
ABCC
The full service workplace relations regulator for ..
Published by The Attorney-General's Department. ISBN 978-1-921152-15-3 .. The design, building and construction industries. 11. Infrastructure providers. 12 ..
.. and make recommendations to the Attorney-General concerning the workings of .. accreditation scheme for Australian Government building and construction..
330+ items – 2011 disallowable instruments as notified. Year and No, Name.
DI2011-1
Health Records (Privacy and Access) (Fees) Determination 2011 ..
DI2011-2
Food (Fees) Determination 2011 (No 1)
Energy Efficiency in Commercial and Residential Buildings:
significant change for the building and construction industry. .. electricians, real estate agents, facilities managers, lawyers and accountants could all require ..
UNSPSC: Building and Construction and Maintenance Services - (100%), released ... and Resource Management, Department of Justice and Attorney-General ..
by H Addison - Australian Government Solicitor the leading lawyers to government .... was a solicitor assisting the Royal Commission into the Building and Construction..
The OPC suggested that the matter be referred to the Attorney-General of .. Royal Commission into the Building and Construction Industry (2003); E Johnstone, ..
The building and construction industry in Australia requires significant cultural .... experience and tenacity of the lawyers, accountants and industry experts who ..
The Building and Construction Industry Improvement Act 2005 (BCII) was .. juridification of industrial relations where corporate lawyers dominate and courts use ..
the Government Building and Construction Contracts Structured Training Policy administered .... associated with recourse to lawyers and the courts. There are ..
Building and construction: Anne has been the probity auditor (or adviser) on many building and .. Government Lawyer and as an adviser in Probity projects. ..
The lawyer for an Alice Springs builder accused of forgery has told a court his client will defend the charges... Building And Construction. Tuesday 10 May 2011 ..
Profile of the building and construction industry in Australia and the .... easy for a non lawyer (and probably many lawyers) to tick the boxes in a ..
Building and Construction Commissioner (ABCC). 2. .. exceptional circumstances will a particular lawyer not be allowed to represent multiple witnesses in the ..
leave is available to building and construction industry employees (apprentices ... you, the Department of Justice and Attorney-General and its inspectors and ..
Mr Corbell (Attorney-General), by leave, moved—That this Assembly: ....Building and Construction Industry Training Levy Act and Financial Management. Act— ..
the intention to narrow the definition of the building and construction industry .... representation by a lawyer of their choice, the right to refuse to provide ..
Department of Justice and Attorney-General . .... QLeave (Building and Construction Industry (Portable Long Service Leave) Authority). Queensland Audit Office ..
Administration, Attorney General's Department, Robert Garran Offices, ... the Final Report of the Royal Commission into the Building and Construction Industry ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
by AC TERRITORY - 2003 - Agents Bill 2003 – Mr Stanhope (Attorney-General) – 13 March 2003 .... Bill introduces significant reforms to the regulation of building and construction industry ..
building and construction industry? The SafeWork ... Workplace Health and Safety Queensland, Department of Justice and Attorney-General. Silicosis and the ..
.. Code of Australia. The Australian Building Codes Board, the Attorney.. our community, while providing consistency for the building and construction industry. ..
proceedings. The body should be staffed by a multi-disciplinary group comprising lawyers, building and construction industry investigators, police investigators, ..
industrial relations in the building and construction industry, over many years. .... hire workers, Department of Justice and Attorney General, Queensland ..
.. in relation to the UN Oil-For-Food Programme (Attorney-General's Department, .. The Royal Commission into the Building and Construction Industry site ..
The Building and Construction Industry Improvement Amendment (Transition to ... The Court has discretion to allow a person to be represented by a lawyer but ..
Microsoft Excel - 9, ABCC Newsletters, Office of the Australian Building and Construction.... 207, Media Releases - Attorney-Generals, Department of Finance and Deregulation ..
Rich Text Format - Nonetheless, law reform remains very much the province of lawyers. ... the Building and Construction Industry recommended legislation to create an Australian ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
The employment of young workers in the building and construction industry .... advice from the legal panel, that the Minister for Commerce apply to the Attorney..
- .. it administers the provisions of the Building and Construction Industry Training ... statutory responsibilities of the Attorney General in relation to human rights. ..
Minister: The Minister for Justice and Attorney-General. Agency: .... Name of the Act: Building and Construction Industry Security of Payment Act 2002. Name of ..
by S ASSEMBLY - Agents Act and Court Procedures Act—Attorney General (Fees) Amendment ... ACT Building and Construction Industry Training Fund Authority, dated ..
After Labor's victory in the 1965 election he served as Attorney-General, .. workers compensation, building and construction regulation, women's rights, sex ..
Department of Justice and Attorney-General. •. Work Cover Queensland .. that specifically apply to the building and construction industry. 7. The Registrant ..
Commonwealth Copyright Administration, Attorney General's Department, .... South Australian building and construction activity increased strongly over the year ..
Search Justice and Attorney-General .. Queensland Code of Practice for the Building and Construction Industry · Queensland Code of Practice on Employment ..
Profile of the building and construction industry in Australia and the incidence of ....Law Association Conference, Adelaide, 19-20 November 2010), 8-9. ..
Department of the Attorney General. Public Transport Authority. Department of ..Building and Construction Industry. Training Fund. Department of Training and ..
is familiar with building and construction practices to .. Workplace Health and Safety Queensland, Department of Justice and Attorney-General. Identifying and ..
+ Department of Justice and Attorney General ..Building and Construction Industry Long Service Payments Corporation; › Lifetime Care and Support Authority ..
College of Law (Sydney, N.S.W.). Continuing Professional Education Dept. 2010 Building and construction essentials / [presenters: Philip Bambagiotti .. [et al.] ..
- The Attorney-General declared the Royal Commission into the Building and Construction Industry an “eligible Commonwealth authority” under section 5AA of ..
Robert James Lawyers. DOC: MARSIPRISM: Our Ref: ACP:SM:I 14868- ....building and construction industry in Australia. 4.2 Based on investigations made by ..
2007 - date: Honorary Fellow, Canadian College of Construction Lawyers.. Author of Building and Construction Claims and Disputes, Construction Publications ..
by P Gerber - In Australia and New Zealand, the term 'bush lawyer' is used to refer to .. of teaching construction law to engineering, architecture and building..
Melbourne Law School's graduate program in construction law has been tailored to give construction lawyers and professionals in building, construction, ..
Melbourne Law School's graduate program in construction law has been tailored to give construction lawyers and professionals in building, construction, ..
Melbourne Law School's graduate program in construction law has been tailored to give construction lawyers and professionals in building, construction, ..
Melbourne Law School's graduate program in construction law has been tailored to give construction lawyers and professionals in building, ..
Jeremy Coggins Home Page
Graduate Certificate in Building & Construction Law, University of Notre Dame, .. of construction lawyers', AUBEA Conference, Bond University, Queensland. ..
by MJ Hills - 2006 - Department of Building & Real Estate, The Hong Kong Polytechnic University. 2 .. suppliers, construction lawyers, trades unions, and politicians. Results ..
Commencing as In House Legal Counsel in a multi-national construction .. to be some of Australia's more respected construction lawyers with both academic ..
a) Strongly recommended for construction law students without a law degree from .. prior study in construction law or practised as a construction lawyer for more ... Australian Building and Construction Commissioner (day 3) * NEW 7/8 * (.ppt) ..
Designed primarily for construction lawyers, and recommended to be taken early ..building, programming and planning, cost management and costing issues. ..
CL is our foundation subject for construction lawyers (and an intermediate option .. (including structural and geotechnical), sustainable building, programming ..
In turn, construction lawyers need an advanced and detailed knowledge of the .. of the seminal Brooking on Building Contracts) and many years of teaching. ..
by B Ong It is clear that ADR is now widely accepted and embraced by construction lawyers as a normal and natural part of dispute resolution. In contrast ..
law-building. MLM student wins Young Construction Lawyer of the Year 13 Dec 2011. law-building · Lecturer Peter Harcourt comments in The Age about football ..
When I started my Master of Construction Law, I was a commercial and construction disputes lawyer wanting to build on my industry knowledge and front-end ..
Building and Construction Law. Thursday 15 .. Topic 1: Litigation of Variations and other Building. Claims .. Local Authority and Government lawyers. Architects ..
building. Lecturer Peter Harcourt comments in The Age about football medical tests 13 Dec 2011. 3044 · MLM student wins Young Construction Lawyer of the ..
Advanced Construction Law (formerly Advanced Construction Claims) ... range of issues of interest to practitioners, and is a valued reference for construction lawyers, .. The looseleaf version of Building and Construction Contracts in Australia, ..
Building and Construction specialists • Litigation Solicitors • Solicitors in general practice • In house lawyers in building & development firms • Building and ..
Lawyers are used to the idea of fault as a pre-requisite to liability. .. Concrete Constructions (NSW) Pty Ltd v Nelson (HPH 1104) .. was injured after he had been told incorrectly that it was safe to work in a certain place on a building site. ..
by MJ Hills - 2006 - Construction industry development has drawn attention for decades. .. material and plant suppliers, construction lawyers, trades unions, and politicians. .. BUILT ENVIRONMENT AND DESIGN (120000) > BUILDING (120200) ..
MR MATTHEW BELL (Law) Construction Law. .. several years in practice as a solicitor, primarily as a non-contentious construction lawyer. .. Member, Building Dispute Practitioners' Society of Victoria, Member, 01-May-2006 ..
While the functions of the FWO do not exclude the building industry, it is .... The reference to a lawyer of "the person's choice" is intended to make clear that ..
Melbourne Law School's graduate program in construction law has been tailored to give construction lawyers and professionals in the building, construction, ..
The Australasian Legal Business Building & Construction review for 2009 named Keith as one of the country's top 20 “leading lawyers”. His work on major ..
Dr Evans, who is the course coordinator of the Graduate Certificate in Building and Construction Law, is the only academic lawyer among the 19 persons ..
by M Bell Upon the granting of Royal Assent to the Building and Construction Industry .. They are a builder's minefield; but often a lawyer's delight”. ..
About the Building · Law School Web Site · The Melbourne .. 8:00 AM, MLM student wins Young Construction Lawyer of the Year Full Details. Tuesday 13-Dec- ..
Many construction disputes are time-related and construction lawyers need grounding .. A fundamental function of building contracts is the allocation of risk and ..
Construction Law, Melbourne Law School, The University of Melbourne; ... (1999) 15 Building and Construction Law 2; Jocelyn Winterton, 'The Use of Damages ..
.. of land and buildings, and the design and construction of buildings; to make ... Environment and Planning Law Association: Publications available include ..
the Principal of Lenz Moreton Engineering and Construction Lawyers, Chris .. funding guidelines for building an internationally competitive production industry. ..
.. it In-House: Ethics in the Relationship Between Large Law Firm Lawyers... (2008) 24 Building and Construction Law Journal 82-93. Thomas, T, 'Collateral ..
Solicitors in General Practice. • Property Law Accredited Specialists. • Building and Construction specialists. • In-house lawyers in building & development firms ..
by P Dwight - 1989 - - There is also a need for lawyers who know how to use the various processes .... See Smart J, 'Resolution of Construction and Associated Disputes' Building & ..
Fellow, Australian Institute of Building ( Past State President and National .. Member National Education Committee, Society of Construction Law Australia. Member ... and Resolving Commercial Disputes, Legal Skills and Ethics for Lawyers", ..
This course is designed to give participants an overview of the building design .. will grow your already existing knowledge of the building & construction industry. .... safety personnel, educators, and attorneys will benefit from this course. ..
The Building and Construction Industry Improvement Amendment (Transition to Fair .. persons summonsed to interview may be represented by a lawyer of their ..
by P Davenport - 2010 - Philip Loots is an international construction lawyer who has been closely involved with .. arbitrator and mediator practising in building and engineering disputes. ..
Building and Construction specialists. • Litigation Solicitors. • Solicitors in general practice. • In house lawyers in building & development firms. • Building and ..
by J Coggins - - the „Victorian Act‟, Building and Construction Industry Payments Act 2004 .... the point at a lunch table in London consisting of senior construction lawyers; the ..
Careers for Architecture, Building and Planning graduates 13.1. Architecture 13.2. Landscape Architecture 13.3. Property and Construction 13.4. Urban Planning ..
Building Act (1993) .. Responsible Officers: Vice-Chancellor and University Lawyer. 12. .. Manufacturing and Construction and Director, Facilities Services. 17. ..
construction, building and maintenance, with the opportunity to specialise within ... weather. Finally it addresses the role of the lawyer in drawing up contracts ..
by MJ Fleming - 2009 - Building Information Modelling (BIM) is evolving in the Construction Industry as a .... [13] Lesser, S. B. and Bacon, B. A. (2007) Construction lawyer's guide to the ..
In house lawyers in building & development firms. • Building and Construction Barristers. • Local Government lawyers. • Architects and engineers who act as ..
In turn, construction lawyers need an advanced and detailed knowledge of .. (which include the second edition of the seminal Brooking on Building Contracts) ..
Gerber P, 'The teaching of construction law and the practice of construction.. Ong B and Gerber P, ' Dispute boards: is there a role for lawyers? .. 'Construction Law and Human Rights Law: Building a Bridge Between Two ..
This program offers lawyers, business people and professionals an opportunity to .. This course deals with the relevant rules used in construction and building..
Builders plan building constructions for buildings such as houses, hotels, .. with lawyers and banks on matters relating to loans and contracts for building..
Prior to this he was Dean of the Faculty of Design, Architecture and Building at the ... A Fairer Allocation of Uncertain Risks, Doyles Construction Lawyers; ..
WHEREAS Estates Buildings Pty. .. marked Viaduct on the said sketch plan to connect the said lands and the buildings constructed and about to be constructed thereupon respectively. ... COMPANY LIMITED by its Attorneys, ) its Attorneys. ..
Construction of expressions used in deeds and other instruments 8A. .. Lease to continue in force until issue decided PART VIII -- Powers of attorney 84. ..
Civil engineers plan, design, develop and manage projects such as the construction and repair of buildings, airports, and ports. Roads, railways and bridges are ..
by S Guy - 2010 - Attorney-General and Minister for Customs. Finally, on 10 .... Further, in Victoria v The Australian Building Construction Employees' and Builders'. Labourers ..
The Builders' Lawyer is a long established litigation law firm, specialized in building and construction law, located outer CBD. We have two graduate lawyers..
The Board members were senior practising barristers and senior solicitors. .. In about 1924 Crawcour had an office building constructed for his firm between ..
by L Browning - 2011 - Lawyers are employed within many industries - commerce, politics, media, health, building construction, IT, property, art, sport, design, and ..
by J Tsutsumi - - City Council (MCC), the boom in high-rise building construction (over 20 stories) occurred in the 1970s ... business services (lawyers, solicitors, accountings etc.) ..
National Association of Women in Construction Foundation Award recognising .. Senior Fellow, Faculty of Architecture, Building & Planning, .. 1995-97: Senior Associate, Mallesons Stephen Jaques Solicitors, Melbourne ..
Archive · law@melbourne Archive .. He is the senior partner in the Construction and Engineering Division of Deacons (now Norton .. In 1981 he co-authored Building and Construction Contracts in Australia (Law book Co.). ..
.. engineers, doctors, lawyers, surveyors, and professionals involved in the construction, building, finance, insurance, mining and real estate industries. ..
of the Supreme Court of New South Wales, Attorney-General of New South Wales, ... advices and infrastructure projects, construction and building contracts as ..
Build on your career in construction. You can apply for this course if you are a qualified lawyer, or another professional with relevant qualifications and industry ..
by OD Wilson - 1998 - In 1992, the Queensland Building Tribunal was established with the specific .. that "duty lawyers" are made available for consultation with the parties, .. AND DESIGN (120000) > BUILDING (120200) > Building Construction..
Finally it addresses the role of the lawyer in drawing up contracts, including ..building construction on the environment; methods of dealing with objections from ..
by C Weddikkara - 2003 - - Respondents were of the opinion that the third party outside of the construction team could be a lawyer. This type of research is still new within the field of ..
Rich Text Format - Details of person supervising and managing building work constructed by company ...lawyer means an Australian lawyer within the meaning of that term in the ..
He is also the principal of PJ Evans and Associates Lawyers Arbitrators Adjudicators .. Coordinator of the Graduate Certificate in Building and Construction Law. ..
Peter Merity Principal, Peter Merity Building and. Construction Lawyers and Accredited Specialist -. Commercial Litigation, Building and Construction. Law ..
by K London - 2006London, Kerry (2006) Adopting eBusiness in Building and Construction. .... This is uniform legislation developed by the Commonwealth and state attorneys- ..
by ME Lawyers - 2007 - Minter Ellison Lawyers.. Innovation (CRCCI) 2003 a, 'Sustainability and the Building. Code of .. within the building and construction industry', viewed 20 April ..
by M Williamson - 2004 - - in which tendering is conducted within the building and construction industry to ensure ... of contract which are drafted and prepared by the client's lawyer. ..
Subjects: Building Laws Australia .... Otherwise, confronted with a suggested new category [of liability], lawyers in their offices and courts in Australia would have ..
Building and Construction Law .. Early Dispute Resolution (with Webcast) (ID220); Rule 42.1.6.3 - Negotiation Skills for Family Lawyers (with Podcast) (ID218) ..
by DRA MCGEE - Parties' (1996) 17 Queensland Lawyer 31 provides a useful summary of the law in ....construction of the building – but no damage is caused by that defect, the ..
by JKS Leung - 2010 - (Lidcombe) branch of Australia‟s Construction Forestry Mining and Energy Union .. rebuild its influence on building sites in Sydney and win further favourable .... team at the two site visits included Ferguson, two full-time organisers, a lawyer..
Accounting for Commercial Lawyers LAWS70140 · Advanced Civil .. Advanced Construction Law (formerly Advanced Construction Claims) .. Post-Conflict State-Building LAWS70313 · Principles of Construction Law ..
Construction of conveyance etc of any property beneficially to two or more persons together 27. Tenants in .. General words in conveyances of land or buildings 68. ... Protection of solicitors, licensed conveyancers, trustees etc PART 22 ..
by N Stoeckl - 2007 - - Construction and trade services. e.g. building construction, trade services etc. Property and business services. e.g. cleaning services, accountants, lawyers etc ..
Construction Project Manager. As a Construction Project Manager you will be undertaking duties such as: coordinating large building project constructions; draft ..
by M Nesic - 2001 - - This view has been weakened by the House of Lords' decision in .... Technology and Construction Solicitors' Association has published an ADR Protocol ..
Butt, P, 'Plain Language in Building and Construction Contracts', invited presentation to the Society of Construction Lawyers, Hong Kong, April 2009. Butt, P ..
Justice of Tasmania), Mr Paul Turner (appointed by the Attorney-General), .. status of the land and buildings on it cannot usually be determined by the usual .... indeed a positive disincentive, to disclose any illegally constructed structures on ..
A Bus L, Australian Business Lawyer (Law Council of Australia) .. ABLD, Australian Building Regulation Reporter 1991- .. ACLN, Australian Construction Law Newsletter (Construction Publications, Crows Nest NSW 2065) ..
Bigge prepared three reports which were printed by the House of Commons: The .. and to make changes in the construction and intended use of other buildings. .. He merely sponsored submissions of the colonial lawyers, and especially the ..
This Act may be cited as the Building and Construction Industry. 6. Improvement ...lawyer means a person who is admitted to the legal profession by a. 14 ..
role of lawyers in Malaysia and Sarah Biddulph who will research police detention in ... a clearing house for construction law discussion around the world, and ..
The Melbourne Law School's construction law programs have been tailored to give professionals in building, construction, engineering and associated .. Your fellow students will be lawyers, project managers, engineers, ..
SHELTER know-how .. a grass-clad dome house in northeast South Australia .. year, people built domes out of lawyer cane with palm leaf thatching,” he said. ..
by C Widely - Anglo-Australian Approaches to Construction of a Patent Specification Prior ... [19] The House of Lords found the defendant's variant infringed the patent. ... the art, rather than with the meticulous verbal analysis of the lawyer alone (at 381-82). ..
by C Vee - 2003 - - asbestos was fatal, the usage in the building industry remained very high ... were rated superior in ethical behaviour to lawyers, some doctors and almost all ..
Auyeng Hencent & Day, a boutique law firm with four lawyers has vacancies for at .. with particular specialty in infrastructure projects, building and construction, ..
The Building and Construction Vocational Pathway is designed for students who .... Doctor. > Lawyer. The following items are not acceptable in this workplace: ..
Professor Carter is a consultant to Freehill Hollingdale & Page, solicitors. ... Carter, J, 'Commercial Construction and Contract Doctrine' (2009) 25(1) Journal of ... Carter, J &Hunter, H O, 'Quantum Meruit and Building Contracts Part II' (1990) 2 ..
.. or de facto partner; "lawyer" means a legal practitioner or conveyancing agent; .. or there is under construction, one or more residences; or (c) a building lot, ..
as a trainee in-house counsel before returning to Melbourne at the ... Tom Yuncken, a renowned and highly regarded construction lawyer from. Allens Arthur ..
Graduate Certificate in Building and Construction Law .. to develop a focused and clear understanding of legal issues and practical approaches relevant to legal practice in the area of building and construction. ..Lawyer · Quantity Surveyor ..
Results 1 - 50 of 90 – Building and construction contracts in Australia : law and practice .. Property and commercial lawyers : Trade practices - unfair contracts ..
it is expected that lawyers' salaries will not increase .. The very strong demand for in house lawyers..lawyers in insolvency, insurance and construction as firms ..
by G Edmond - 2003 - reply: 'Medics, Lawyers and the Courts' (1997) 16 Civil Justice Quarterly 302. .. (1987) 3 Building & Construction Law 18; Justice Miles, 'Forensic Science: In the ..
by WM Dixon - 2005 - The Queensland Lawyer, 26(3), pp. 118-121. This file was .. The applicant purchased land with a two storey commercial building built along the only street .. the respondent took no objection to the construction of the car park and the use ..
The building & construction industry in WA is experiencing acute skills shortages & demand for many skills in this .. paralegals/lawyers for writing contracts. ..
Rod Welford MP, Attorney-General and Minister for Justice .. iv. Foreword. The Brisbane Magistrates Court building and its public art collection not only pay ... WALTER Construction Group is proud to have played a part in integrating the major ..
Building God's temple: Local planning regulations, places of worship and .. Gerber P, 'The teaching of construction law and the practice of construction law: .. Ong B and Gerber P, ' Dispute boards: is there a role for lawyers? ..
by D Manderson - 2006 - - not an abstraction but a socially constructed lived form (Lefebvre 1991). To think ... in the midst of a particularly noisy coffee house, “No, I mean if the lawyer's..
Venue: The College of Law, Sydney CBD. Level 7, 111 ..Building and Construction: The Emerging Trend of Dispute Resoslution Boards. Click to view/hide ..
Canadian green bag; an entertaining magazine for lawyers. ....Construction law international . ... report submitted to the Committee on Foreign Affairs, U.S. House of Representatives and Committee on Foreign Relations, U.S. Senate by ..
Jim Doyle is a partner at Doyles Construction Lawyers. ... Thomas Mills is an Associate Professor of Building Construction at Virginia Tech University, USA. ..
by GT Pagone - litigation and ADR in construction disputes and in commercial disputes generally. In the short time that I have been the Judge in Charge of the. Building Cases ..
by MJA Hodge - Subjects: Building Laws Australia .... Otherwise, confronted with a suggested new category [of liability], lawyers in their offices and courts in Australia would have ..
of Tasmania), Mr Paul Turner (appointed by the Attorney-General), Mr Philip Jackson (appointed by the Law .. This may be done by making a disclosure statement, giving .... the construction of a dwelling on land outside the metropolitan area; ..
by P Fox - 2003 - - building services works, and/or of civil engineering works and/or or process engineering ...construction lawyer to make recommendations for changes in the HK ..
by S CHRISTENSEN - - Gadens Lawyers, Brisbane. †. Professor, Faculty of Law, ....constructed there is no warranty that the building is fit for human habitation.47. At common law, the ..
Understanding of the legal compliance of building, contract .. who coordinates the construction of a building, taking ... Engineer, Plaster, Painter, Lawyer. 2. ..
Form 1—Notice under section 28(1)(f) of Building Work Contractors Act 1995 .. then seek advice from a lawyer or from the Office of Consumer and Business Affairs. .. (e) if your contract is for the construction of a house—the house will be ..
'Construction Law' (undergraduate – Architecture, Building and Planning Faculty): subject .. 'Principles of Construction Law' (Melbourne Law Masters): subject ..
by ME Lawyers - 2007 - Share by type oF application in the building and conStruction induStry For non-reSidential ...lawyers) co-ordinated by The Warren Centre Framing the Future ..
Australian Steel Smarts Transforming Building Industry Locally and Internationally .. and moves towards a “one stop shop” for steel framing are generating a very competitive new role for steel in the building industry. .. Minter Ellison Lawyers..
Legislation specifically applicable to residential construction; Legal .. Means by which an off-plan buyer of a new residential house or unit may be ... ADR at VCAT and the practices of effective lawyers (Senior Member Lothian ..
who coordinates the construction of a building, taking responsibility .. skills when managing a building and construction... Engineer, Plaster, Painter, Lawyer. 2. ..
Lawyers Crossing Borders ..Building and Construction Seminar Papers .. Essentials of Building and Construction Contracts - Keith Redenbach; Liquidated ..
regarding the suitability of design, location and construction of buildings. ...Lawyers have a duty to protect their clients from any real and foreseeable risks by ..
Lawyers and other professionals will gain an understanding of many aspects .. law, dispute resolution, tax and intellectual property as well as construction law, .. Professor Paolo Tombesi, Faculty of Architecture, Building and ..
But the University's new law school, which will bring the lawyers back to the .. of the Stephen Roberts lecture theatre and the Edgeworth David building. Construction work is expected to last until the end of 2007, with the new ..
Graduate House welcomes all University of. Melbourne Law .. published in Issue 15 of law@melbourne ....construction lawyers, students and other industry ..
Graduate House welcomes all University of. Melbourne .. on Level 10 of the Law School building. (access ....construction lawyers, students and other industry ..
by OD Wilson - 1998 - International Council for Building Research Studies and Documentation (CIB). World Congress: Construction and the Environment, pages pp. 1685-1691,. Gavle ..
Legal Practice Management Courses · LAW 9000 · Lawyers Crossing Borders .. The Home Building Act contains complex issues particularly in relation to the .. tort disputes, Building & Construction (including Home Building Act matters) ..
by T Sidwell - 2004 - - The Participants of the CRC for Construction Innovation have delegated authority to the CEO of the .. tools and recommendations for reform of project delivery in the building and .... Alchimie Pty Ltd and Phillips Fox Lawyers, March. Ireland, V. ..
by G Arbitration List - The building and construction industry is well placed to take advantage of the .. and lawyers all parties should benefit from improvements to arbitration law. ..
Housing & Construction Awards. 6.30pm for 7pm. Tuesday 10. Lawyers in house. Wednesday 11. Cert IV module on-site supervision. 6pm to 8pm. Saturday 14 ..
by J Andersen - 2011 - - Design Management is an increasingly important function in the construction.. From the 1900's to the 1980's preferred method of project delivery was design-bid-build and .... of the 44th Annual Meeting of Invited Attorneys, June 2-4, (2005). ..
This Act may be cited as the Building and Construction Industry. 6. Improvement ...lawyer means a person who is admitted to the legal profession by a. 14 ..
by PA Davies - 1998 - In 1992, the Queensland Building Tribunal was established with the specific goal .. on the mediation process, that "duty lawyers" are made available for .. AND DESIGN (120000) > BUILDING (120200) > Building Construction..
So why is the incidence of steel framing in multi storey buildings so much higher in the USA and UK than in Australia? Indeed .. Consolidation of a range of design through construct services into a single package can .. Minter Ellison Lawyers..
He is also the principal of PJ Evans and Associates Lawyers Arbitrators Adjudicators .. Coordinator of the Graduate Certificate in Building and Construction Law. ..
by J Hadaway - 1993another country in connection with a building site, or construction, installation or ... interpretation recognised by international lawyers. Those roles have now ..
by MJ Hills - 2008 - The employment level for the broader building, construction and real estate sectors .. bodies, lawyers, material suppliers, educators/trainers, researchers, trade ..
Legal Practice Management Courses · LAW 9000 · Lawyers Crossing Borders .. June 11, Building and Construction: Managing Experts and their Reports in Construction.. Nov 10, Liability of Building Professionals - Your Essential Guide ..
This programme offers lawyers and other professionals .. numerous construction and building arbitrations. .. and dispute resolution lawyer and a partner in the ..
by J Wallace - - expertise of land administration and lawyers and investigates markets from of ...constructed systems, citizens) in relation to areas of, activities on and products ..
Expert advice, cracked house, Newton, Tolis & Co. Lawyers. CPT testing, Northfield, Broad Construction. 2002. Development of CPT data acquisition system and ..
Legal Practice Management Courses · LAW 9000 · Lawyers Crossing Borders .. The Home Building Act contains complex issues particularly in relation to the .. tort disputes, Building & Construction (including Home Building Act matters) ..
This paper presents an approach for building a legal case knowledge base. ... The construction of the conceptual structure is a step that includes extracting .. such as case title, jurisdiction, legislation, decision, citation, judge, lawyer, plaintiff, ..
by P Ward - The Australian Building and Construction Industry Security of Payments Act 1999 ... PART1. A lawyer and arbitrator who is a partner in a leading Australian law ..
by PJ Evans - It provides for security of payment in the construction industry through the use of rapid adjudication .. Act 1999 (NSW); Building and Construction Industry Security of Payment ....House Counsel, Kott Gunning Lawyers Perth for his comments ..
UTS: Design, Architecture and Building Research Recognised as World Standard .. 'Network perspective of decision processes in complex construction projects'. ... at a packed Forum held at Corrs Chambers Westgarth lawyers on 19 May. ..
CLE runs seminars for New South Wales solicitors and other professionals .... This seminar provides Building and Construction Law practitioners with an update ..
Administrative Law · Building and Construction · Commercial Practice · Criminal Practice ... Property and Commercial Lawyers: Focus on Trade Practices ..
Asset Management & Building Works - Environmental Sustainability - Purchasing .. Proposed building works and construction projects are subject to a raft of ..Lawyer - Compliance; Email: compliance-info@unimelb.edu.aul ..
by LLB Michael PendletonAnglo-Australian Approaches to Construction of a Patent Specification Prior ... In delivering the unanimous decision of the House of Lords, Lord Diplock ... the art, rather than with the meticulous verbal analysis of the lawyer alone (at 381-82). ..
Civil engineers plan, design, develop and manage projects such as the construction and repair of buildings, airports, and ports. Roads, railways and bridges are ..
Civil engineers plan, design, develop and manage projects such as the construction and repair of buildings, airports, and ports. Roads, railways and bridges are ..
Building owners and ratepayers in the block are already claiming that an ambiguous future is .. Loop but it was not until the passing of a further Act in 1970 that a construction program was undertaken. .... Helen Gibson, Chairman (a lawyer) ..
Legal Practice Management Courses · LAW 9000 · Lawyers Crossing Borders .. A fresh look at the more unusual and complex issues arising in building law today. .. Complex Machines - Legal Issues Arising in the Construction of Modern ..
Building and Construction Industry Security of Payment Act 1999 .. The Lawyer's Role in Risk Managing Franchisee Clients: Structuring and Finance Issues ..
by JR Elder - 1994representative of builders from all sectors of the building and construction.... “like may Victorian unionists”, relied on the advice of Ted Hill, a lawyer and then the ..
by KL Stehbens - 1999 - - Q-Build as Superintendent's Representative;. • Consultants; and. • Subcontractors. This project was procured via a design and construct contract. Collectively the ..
Christopher Farrell of Darvall McCutcheon Solicitors, for their guidance and assistance .. engineering and building construction contracts in Australia. ..
Barbara is a consultant to Freehills lawyers. ... Reforms to Liability in the Construction Industry (1994) 2 Torts Law Journal 285-293 .. economic loss -negligent building – liability of local councils” (1992) 66 Australian Law ..
by ME Lawyers - 2007 - Minter Ellison Lawyers. •. Evans and .. greater use of more efficient steel-framing construction, the entire .. storey building construction will help to overcome ..
Mr Cohen has had an extensive and distinguished career as a labour lawyer, .. The Centre is holding a Forum on the Proposed Building and Construction..
by R Quick - 2003 - Gadens Lawyers outlines the requirements for .. upon which the parties can build their relationships. ..construction industry suggests the model framework.2 ..
Change between acting in person and by lawyer 9.02. ... Relations Act, the Fair Work Act and the Building and Construction Industry Improvement Act 45.03. ..
Building and Construction specialists. • Litigation Solicitors. • Solicitors in general practice. • In house lawyers in building & development firms. • Building and ..
As an example, in the Queensland building and construction industry the ... the Queensland Law Society, the Australian Plaintiff Lawyers Association, the ..
.. owned manufacturing and distribution company in the building and industrial market . .. A commercial lawyer since 1983, he is a Partner of Gadens Lawyers, a national firm, mainly dealing with construction and property projects and ..
by BAS D’Hagé - 1997 - Lawyers On Warships: Oxygen Thieves or Weapons. Systems? ... purpose is building esprit de corps leading to very high levels of .. provision of trained lawyers on board warships or .... to re-establish a major warship construction capability ..
Building 5 cnr Quay St & Ultimo Rd, .. Blackstone Waterhouse Lawyers Award .. which include: commercial dispute resolution, construction, corporate and commercial, environment and planning, general counsel, insolvency, ..
as a result of latent defects in the building's construction. Recently ... tralian Plaintiff Lawyers Association National Conference, Melbourne, 21–23 October 2004. ..
by ME Lawyers - 2007 - of the lawyer participants during his research prior to the workshop. .. framed buildings under construction in Melbourne, both the subject of case studies by The ..
by A Cusins-Lewer - 2002The body of the child, and the metaphorical 'bodies' of building, city and nation .. congruent construction of childhood environments. ....Lawyer F A De La Mare ..
constructing roofs in buildings using steel. Temporary power to .. power to a building site in preparation for .... interviews with the attorneys, the prosecution, and ..
which is now under construction. Contributions to .. In the early 1960s in RMIT's Building 2,. Mr Zmood put the .. AB Natoli, Barristers & Solicitors. ABB Australia ..
hosted a symposium, Build it and They Will Come: The First Anniversary of Law .. The symposium was an opportunity for scholars and lawyers involved in the design, construction and operation of Japan's new law schools to reflect on the ..
by S Enemark - - The basic building block in any land administration ...construction planning and change of land use .... insufficient skilled professionals (surveyors, lawyers..
Every lawyer has a favourite example of a statute which does not mean what it .. Â The FINDER system uses a simple but effective model for the construction of legal .... the wall of the old building, the safe formed part of the demised premises. ..
by ME Lawyers - 2007 - Minter Ellison Lawyers. •. Evans and Peck .. existing core to 'jumpstart' building construction and therefore constructing the building on 2 fronts. Steel beam ..
by JS SHIN - - Building Workers' Industry Union (BWIU) (now known as the Construction, Forestry, .. His case was brought to a workers' compensation lawyer in July 2006. ..
of the steel construction industry over two and a half years has revealed a sector that is well behind its counterparts ..building construction significantly lags that of the UK (70 per cent) and US (50 ... Minter Ellison Lawyers. •. Evans and Peck ..
by W DUNCAN - stand alone leased premises as compared to multi-tenanted buildings and the back .. University of Technology and Consultant, Allens Arthur Robinson Solicitors. .. matter for the court, upon a reasonable construction of the lease, to determine ..
by A Powl - 2005 - - The construction industry (CI) makes a significant contribution to the economy of .... Jassawalla, A.R., Sashittal, H.C. 1999: Building collaborative cross-functional new product teams. The Academy .. The American Lawyer 12(4), 40. Nicolini, D. ..
He commenced his career as an in-house lawyer at a major oil company specialising in offshore construction projects, joint ventures and acquisition of resource ..
Accounting for Commercial Lawyers. # Administrative .. Advanced Construction Law (Formerly Advanced Construction Claims) # ... Post-Conflict State-Building..
by P GERBER - the claim was a problem identified in a recent survey of construction lawyers.. was) delivering the leading judgment, held that where an expert building surveyor ..
by M Gunn - 2007 Sentencing of Indigenous Offenders in the Lawyer Courts: A Study of ... OCS Research Services for the Building and Construction Industry ..
The DataLex Project has experimented with methods of building legal advice machines based on knowledge bases constructed only from the decided cases. .. such rules, but that it is not the natural way in which lawyers reason with cases. ..
by MJ Ball - 2008 - - practices, which can lead to the construction of skilled legal professional identities as well as ethical lawyer-citizens that hold an interest in justice. .... humour and house-sitting horror stories made this journey more colourful than it might have ..
by SNF Leong - 2010 - With the growing importance of sustainability assessment in the construction industry, many green building rating schemes have been adopted in the building sector of Australia. However ....Lawyers/ legal advisors. Insurance specialists ..
Joellen is a Fellow of the Commercial Law Association. .. Essays on the Construction, Constitution and Regulation of Labour Markets and .... J, 'The Impact of Industrial Relations Reform on Employers', Building a Sustainable ..
UTS: Design, Architecture and Building Research Recognised as World Standard .. 'Network perspective of decision processes in complex construction projects'. .... at a packed Forum held at Corrs Chambers Westgarth lawyers on 19 May. ..
a lawyer at the registry of the European Court of Human Rights (ECHR) in Strasbourg, France. .. investment treaty in relation to a ship-building contract ..
by TA O’Callaghan - 2003 - - a lawyer reason?” The answers or discussion on these questions must surely provide a more sturdy ground to begin the construction of a legal ..
Articled Clerk and Solicitor, Messrs Barker Gosling, Solicitors, Brisbane, 1993-1995. .. the Sydney Opera House, the Sydney Cricket Ground, Old Parliament House.. Lonsdale Street, Melbourne (construction of a 39 level A-Grade office tower ..
Arthur Hill Griffith (1861-1946), teacher, politician and patent attorney, was born .. pipe works, quarries, an engineering works and a building construction unit; ..
6 days ago – .. Computer Science; Bachelor of Construction Management (Building); Bachelor ... Industrial/Production Chemist · Industrial Relations Lawyer..
its new building, the Dean, Professor Michael. Crommelin, told the .. Attention literary lawyers. 10. Celebrating .... Advanced Construction Claims. Mr Ian Bailey ..
Building and Construction Manager. Bachelor of Construction Management ... Bachelor of Arts; Bachelor of Professional Communication. Lawyer. Bachelor of ..
by P GERBER - - However, the House of Lords was of the opinion that to continue protecting barristers and solicitors in this way was 'burning down the house to roast the pig; .... owe no duty of care to subsequent purchasers for negligent construction;[41] and ..
Interpretation Division 2-Making an enduring power of attorney 115. What is an enduring power of ..Construction and jurisdiction 135. Owners of ships not to ..
by R Mortensen - 2002 - - reveal, the social construction of the lawyer's role brings a powerful claim on how .... grace.74 Autonomy must therefore build on this comprehensive picture of ..
'The Investigatory Powers of the Australian Building and Construction... Sarah Sharples, 'Attorney-General announces terror reforms', Lawyers Weekly, ..
by A Shirazi - 1999 - our research is to identify project managers' competencies in the building industry, it is logical to limit our ... In figure 1, others may refer to specialists, lawyers or ..
We are acting on written instructions from Elliott & Harvey (Solicitors & Attorneys, ... prepared by Sinclair Knight Mertz calculates total construction and .. financing costs, infrastructure development costs of $59m, and building costs of $177m. ..
europe: construction and perception. - can lawyers change the world? .. Director of International Human Rights Advocacy, Senior Lawyer at the Human Rights .. Where: Copland Theatre, Economics and Commerce Building..
by ME Lawyers - 2007 - Minter Ellison Lawyers. •. Evans and Peck ..construction and project management capacities before .. Steel Buildings Division of Henry Barrett Group Plc, a ..
12.00pm in Moot Court, Law and Commerce Building. Professional socialization and the construction of professional identity: Educating lawyers for the 21st ..
Building and Construction.. ID11-240. Building and Security of Payment Update + Podcast. Presented ... Presented by Stephen Booth, Coleman Greig Lawyers..
Certificate I Engineering is worth 2 points while Certificate I in Construction is .... Diploma of Building Design & Technology .... Forces, Entrepreneur, Foreign Affairs and Trade Officer, Historian, Journalist, Lawyer, Librarian, Museum curator, ..
by J MCCOMISH - - French law draws a distinction between in-house lawyers (juristes d'entreprise) .. Pal 1997, 183 note Damien (reinstating a broad construction of 'droits de la ..
Construction manager must ensure building work is personally supervised 43C. ... hold and dispose of property; and (c) appoint agents and attorneys; and (d) ..
Stephen Hay's Testimonial · PG Certificate in Construction Law Call for Papers: .. The grounds surrounding the University buildings have been landscaped to .. the Murdoch School of Law and Freeehills Lawyers (Perth) from 25 November to ..
by R Apelt - 2007expert knowledge from architects, landscape architects, lawyers, engineers, building..Construction Innovation's future research activities will build upon our ..
Construction Engineering (CIVIL ENGINEERING) (290804) · Civil .. Customer: Minter Ellison Lawyers.. Event name: Advancement in design, construction, construction management and maintenance of building structures ..
by OP Session Framing the questions in terms of lawyers immediately brings my ... nothing undermines the construction of a case for change, or indeed one's ... area of the law by participating in or making a submission to some official or ..
by K Manley - 2006The Participants of the CRC for Construction Innovation have delegated authority to the CEO of the CRC ..Building Research Innovation Technology Environment. THE BRITE .. Taiyo Membrane Corporation, Finlaysons Lawyers and Connell ..
Information Gap in the Building Industry. DDAA Presentation Dominik ...Lawyers. Contract Officers. Sub-Contractors. Fabricators. Code Officials. Operators ..
by J Elder - 2007 - structure of the award covering members of the Building Construction.... John Wilson Twyford, a lawyer, replaced the Housing Officer in 1970 under the ..
Building, Ligertwood Building.. She is an active member of the Australian Labour Lawyers Association and has been a member of the National Executive. .. She is particularly interested in the legal construction of women at ..
original building and once housed all its activities in its lecture .. Graduates not only practice as lawyers, but also ....building, Illumin8 15 under construction. ..
by D Howard-Wagner - litigants, lawyers and judges are constructed as a deviant population; references are .... I began to 'build a story', connecting the different categories. At this point ..
Minter Ellison Lawyers was originally located only in sections of the north tower of the Rialto Building in Collins Street until an expansion of services required an .. materials in unusual methods of construction, requiring intricate detailing. ..
A construction which results in different criminal sanctions applying to different .... economic context of law professing as race-crits continue their theory building. ... police officers, prosecutors, defence lawyers, magistrates, judges and juries. ..
For over 18 years, we have been recruiting lawyers across the globe and ....Construction. • Energy. • Dispute Resolution. • Funds. In-House. Hong Kong is ..
The Discursive Construction of the Male Heterosexual Body in the HAD ... the 'acute homosexual panic' disorder by criminal defence attorneys anxious to fashion ... of the body, the body is the basic biological building block of human society. ..
by LLB Michael PendletonMethods of patent construction and statutory construction have tended to .. "My Lords, in their closely reasoned written cases in this House and in the ... in the art, rather than with the meticulous verbal analysis of the lawyer alone (at 381-82)." ..
of the phrases 'A living building; a pedagogical building' ....CONSTRUCTION OF A NEW BUILDING FOR THE FACULTY .... engineers, developers, to lawyers, ..
Lawyers are trained to understand the practical implications of the .. Becoming a lawyer in private practice is a three-step process: ...Building and Construction..
developments for lawyers engaged in state administrative law, but before .. 8 Building Construction Employees and Builders' Labourers Federation of New ..
Federation Square is a complex of associated buildings adjacent to Melbourne's .. environmental architecture, structural innovation, and steel construction. .. Minter Ellison Lawyers was originally located only in sections of the north tower of ..
International student building strong reputation in UTS construction degree .... at a packed Forum held at Corrs Chambers Westgarth lawyers on 19 May. ..
Essentials of Building and Construction Contracts - Keith Redenbach; .. The Lawyer's Role in Risk Managing Franchisee Clients: Structuring and Finance ..
by P Davenport - 2010 - - Australasian Journal of Construction Economics and Building. Davenport, P (2010) .... The parties usually use lawyers for the larger claims but countless small ..
Baldwins, Australian Lawyers & Consultants - Taxation law, Media, Entertainment & Sports law, Franchise .. Ohlson & Associates - Building & Construction Law ..
We Speak Your
Language
Looking for a specialist lawyer or legal information?
Please complete our fast and
free legal enquiry form or
.png)
.png)
"Australia's success in the construction sector drives employment and productivity, which in turn encourages government investment in quality infrastructure. As Australia's population continues to grow at above trend levels, now more than ever, we need quality infrastructure and buildings.” said Adrian Harrington, Chair of ACIF’s Construction Forecasting Council, which oversees the production of the ACIF Forecasts. 
Kerry Barwise, ACIF’s Head Forecaster, stated “This ‘two speed economy’ looks like a tightrope act. The south eastern states are largely ‘holding the line’ while bigger declines in Western Australia and Queensland mean these states are hanging off the line, pulling it down. We do however predict resurgent investment in roads, rail, energy and water infrastructure will be large enough in the next few years to offset the falls in construction activity that will follow the completion of the ‘mega projects’ that drove the recent mining boom.”
About the Presenter - .jpg)
Eliza Owen joined CoreLogic with the acquisition of Residex in mid-2016. She graduated with a first class honours economics degree from the University of Sydney in 2014, while working as a researcher and writer on the residential housing market.
The new technologies and processes in Building Information Modelling (BIM) can lead to increased productivity and improved asset management across Australasia. As developments continue in the digital built environment, the BIM Advisory Board continues to provide a coordinated approach to development of BIM practices, standards and requirements through collaboration, education, innovation and simplification.
Australian Institute of Building Surveyors
Featured contributors include quantity surveyors Rider Levett Bucknall (RLB), a long term contributor to the Australian Construction Market Reports since they were first published in 2012. In the May 2017 report, RLB has contributed a wealth of information including the Tender Price Index and the Crane Index, as well as information on anticipated construction costs in nine locations around Australia.
Despite insufficient work planned, there still is a lot of infrastructure work forecast to be done. In this edition, Andrew Scott, Basic Materials and Industrials Analyst for RBC Capital Markets explores the infrastructure boom that is “finally” happening. Andrew’s analysis explores the increasing level of work to be done, and the positive trajectory ahead for this sector.
The 
Synchronisation of the dominant cycles in the construction market is clear when you look at the change in work done,” said Kerry Barwise, Head Forecaster for ACIF. “Growth in Engineering Construction spiked in 2012-13, about the same time that Residential Building bottomed out. The ACIF Forecasts for May 2017 show growth in Residential Building will peak this year (2016-17), close to the time when Engineering Construction is reaching is lowest point in contraction.”
The ACIF Forecasts team are currently finalising the May 2017 industry forecasts for the building and construction sector in Australia. Already it is clear that the market is rapidly changing so it’s more important than ever to know what changes that are coming, and which types of work will be most affected.
Customised Forecasts Dashboard
Nerida Conisbee is the Chief Economist for REA Group and one of Australia’s leading property market experts. Nerida has more than 20 years of property research experience throughout Asia Pacific and she has held senior positions within commercial agencies and major consulting firms during this time. Her experience covers residential and commercial property from both an investor and occupier’s perspective. Nerida appears every Saturday on SkyNews Real Estate program, writes a fortnightly column for The Australian covering off real estate issues impacting Australia and is the property commentator for Eureka Report. Nerida presents on property market conditions to investors, occupiers and industry groups and is also an adviser on property market conditions to major Government bodies. She has been listed in the “Who’s Who of Australian Women” since its inaugural issue.
Andrew Scott is the Basic Materials and Industrials Analyst for RBC Capital Markets, with over a decade of experience as an equity analyst following listed Australian companies in the Building Materials and broader Industrials sectors. As part of this work Andrew has been a keen observer of trends in the Australian construction sectors, including conducting a regular survey of a number of Australia’s largest homebuilders. Andrew joined RBC in July 2015 as a Director with primary responsibility for RBC’s coverage of Australian building materials, chemicals and other industrial companies. Prior to joining RBC, Andrew worked as a Basic Materials Analyst with a range of domestic and international investment banks and in 2011 was rated as the #1 building materials analyst in the 2010 SMH East Coles survey and lead the Number 3 ranked team in the 2013 Peter Lee survey.
Mike O’Shea is an Associate Director of MBM and leads Infrastructure projects on a national basis. Mike is a Chartered Quantity Surveyor (RICS), Certified Quantity Surveyor (AIQS) and a Senior Commercial and Risk Manager and is one of MBM’s most senior people. Mike has been a director and principal for over 25 years and has over 35 years’ practical experience in cost estimating/planning, contract management, risk management and project controls of capital works and maintenance.
The new expert panel has been announced for upcoming 
Australian Construction Industry Forum (ACIF) is pleased to welcome PrefabAUS as an ACIF Member, bringing to the industry table one of the newest and fastest growing sectors in building and construction – prefabrication.
As shown in the chart at left, PrefabAUS membership includes a cross section of the construction industry; architects, builders, engineers and other technical consultants, manufacturers of prefabricated buildings and modules, flat packs, bathroom pods and sub-assemblies, component suppliers, project managers, client organisations, allied Industry associations, government agencies as well as the academic/research community.
Built Offsite - The 2016 Conference also marked the launch of Built Offsite, a new bi-monthly magazine dedicated to offsite construction and expertly produced by Boston Publishing. The inaugural and second editions are available in digital format at www.prefabaus.org.au/, with the third edition about to be released.
Registrations are open now for the 
There are ten key things to consider when you look forward to the demand for building and construction in the new ACIF Forecasts.
Australian Construction Industry Forum (ACIF) is pleased to present the November 2016 
To illustrate the uneven impact of the transition that is underway it is notable that New South Wales, Victoria and Tasmania saw growth in Non-Residential Building last year and are projected to see growth again in 2015-16 whereas the mining related states of Queensland and WA are expected to see subdued levels of activity in the next few years.
Australian Construction Industry Forum (ACIF) today released the latest ACIF Forecasts, revealing how the sector is coping with another double digit fall in engineering construction plus the impending peak of residential building.
The early release of the ACIF Forecasts to guests at the 
“Residential housing is the focus of industry and general media comment at the moment, as it is clear that the frenzy for homes, both detached and attached, is running out of puff. However, commentators spruiking a crash today or tomorrow are out of touch with what is actually happening, as there is a lot of work yet to come and buyers lining up to buy given still low interest rates.
If you have attended an ACIF Briefing in the past, you will know how valuable it is to hear first hand the latest information on the state of building and construction in Australia.
by James Cameron New year is always a good time to set goals. For Australian Construction Industry Forum (ACIF), the bloom of new year is even more so as I begin as Executive Director, after waving off Peter Barda to the many joys of retirement amongst his wine vines.
2015 was a year of significant challenges, so how will you make sure that 2016 is a better ride? A crystal ball, perhaps?
The Australasian Procurement and Construction Council (APCC) has released the second edition of the Procurement of Construction Products: A Guide to Achieving Compliance.
It’s been a challenging year for ACIF and, in many ways for the industry, but I can’t help but feel optimistic about the future.
Kristian Fok - E
Tim Ridley - Investmen
Australian Construction Industry Forum (ACIF), the building and construction industry’s peak collaborative body, is pleased to announce the appointment of new Executive Director, James Cameron.
It is based on the TRYM model, originally developed by the Australian Treasury. AUS-M builds on TRYM by incorporating input-output based demand systems and more industry and commodity detail. In terms of common labels, AUS-M is a modern Keynes-Klein-style model, to which CGE features have been added.
.png)
.png)
Latest ACIF Forecasts shows that while a decline in mining construction activity dominates headlines, it is clear that many large mining and resource development construction projects dominate the list of projects that are still being considered or are currently underway in Australia.
Latest 
Non-residential building activity has been relatively subdued over the years following the GFC. This type of construction activity achieved growth of 5 per cent in 2013-14 to $35 billion, as per the l
ACIF
In a construction software system, an integrated project costing and financial model is a given. But how easily and how well are contractors utilising this project and financial information to get the ‘big picture’ of their company?
Can a different approach to procurement make a big difference to project outcomes? What impact will it make on productivity, profitability - and how well the team works together?
Collaborative work practices, including different project teams working together from Day 1, are part of the ‘new way’ of project work. But how do you make it work in reality?
Ian Pedersen is a strategic management planner and manager, and a structural engineer with more than thirty years’ experience in engineering, project and general management, business development, finance, and government and media liaison.
John Held is a director of Russell 
Robert Hunt has been CEO of the Australian Institute of Building for 6 years. He is a former Director of Corporate Services for the Australian Medical Association, after 6 years spent working in senior roles for the Heart Foundation.
Scott Williams has been CEO of Fire Protection Australia for 6 years. He has extensive experience in business management, business development, and finance, across several sectors including telecommunications and global logistics.
ACIF Briefings - where Australian Construction Industry Forum releases the next 
“In terms of total construction activity, New South Wales has had strong growth over the past six months, and is predicted to overtake Queensland as the state with the most construction spending by 2016-17. Residential spending in New South Wales is projected to be particularly strong whilst engineering construction declined in Queensland, leading to this shift in spending profile. As foreshadowed in our May forecast, construction activity in Victoria and Western Australia is already showing signs of subdued activity”.
The ACIF and APCC have identified the key elements, underpinned by objectives and actions, that require a ‘BIM partnership’ approach between government and industry to encourage and support increased adoption of 
The Demand Drive Forecasts include charts for population projections to 2050, and the forecasts supply and demand for seven asset types to 2020. Matching the projected demand and supply for each asset is a ‘traffic light’ chart, highlighting the gaps.
.jpeg)
.jpeg)
.jpeg)
The employment story was at first glance perplexing. Remember the skills shortage we had before the world crashed with the collapse of financial markets? And then the very real concern of a jobs blood bath as more than $60 billion worth of committed projects were canned.
ACIF’s new Customised Forecasts Dashboard
MySuper is a new, simple and cost effective super product that super funds will be offering to employers for use from 1 January 2014.
Non residential building, which for most states of Australia is forecast to remain flat for the next few years, for Queensland will enjoy sustained growth over the longer term.
