Dáil Éireann Debate, Tuesday - 14 June 2016
247. Deputy Jack Chambers asked the Minister for the Environment, Community and Local Government the cost of the inspection for once-off housing; why this cost is so high; and if he will make a statement on the matter. [15574/16]
View answer249. Deputy Jack Chambers asked the Minister for the Environment, Community and Local Government his views that the high cost of housing is linked to an increase in the cost of assigned certification; and if he will make a statement on the matter. [15576/16]
View answerI propose to take Questions Nos. 247 and 249 together.
The key impact on costs associated with the implementation of the Building Control (Amendment) Regulations 2014 lies in the requirement for the appointment of an Assigned Certifier whose role, in conjunction with the builder and the project team, is to draw up and execute an appropriate inspection plan and to certify the building’s compliance with Building Regulations on completion. In effect, the statutory Certificate of Compliance on Completion certifies that a building is compliant with all relevant requirements of the Building Regulations. While fees for professional services are determined by market forces and are therefore outside the scope of my regulatory powers, as part of last year’s review of the first twelve months of the operation of the regulations, my Department prepared a Sample Preliminary Inspection Plan for a Single Unit Dwelling on a Single Development in order to identify the key stages that would require inspection during the construction of a single unit dwelling on a single development and to estimate the costs associated with such an inspection plan.
The cost calculations published to accompany the Sample Preliminary Inspection Plan demonstrated that the Assigned Certifier role could be achieved at an approximate cost of €3,800 inclusive of VAT. Where additional design work is required the combined cost of assigned certifier duties and additional design work will be of the order of €6,000 inclusive of VAT. These costs relate to the implementation of the inspection plan on a single non-complex dwelling; for example, the costs associated with multi-units dwellings, such as apartments, may be lower due to economies of scale. A copy of this plan and all other documents released as part of that public consultation are available on my Department’s website at http://www.environ.ie/search/archived/archived/archived/current?query=sample%20inspection%20plan.
During the public consultation, a number of respondents confirmed that the assigned certifier services could be secured in line with the Department’s estimates.
Following the review, the owners of one-off houses were given the facility to opt out of statutory certification from 1 September 2015, under the Building Control (Amendment) (No. 2) Regulations 2015.
I am satisfied that these revised arrangements address concerns with regard to the impact of statutory certification on new single dwellings. It is clear from the review that the recent reforms have brought a new order and discipline to bear on construction projects. In this regard, I am confident that as the transition to the new arrangements for the control of building activity continues to progress, these reforms will in time prove capable of transforming the culture of the construction industry in Ireland to one of improved compliance and quality.
In general terms, the cost of delivering housing is dependent on a wide range of factors such as construction costs, land cost, financing costs etc. In this regard, the costs associated with assigned certifier services are far from the most significant element of the overall costs of delivering houses to the market. However, in accordance with the Programme for a Partnership Government, my Department is preparing a new Action Plan for Housing and will continue to liaise closely with other Departments and agencies as well as with industry stakeholders with a view to identifying any reasonable and appropriate measures that may be taken in the interests of reducing construction overheads to facilitate an increased level of housing output.
