The NSW Government is progressing what is expected to become the most significant reform of the State’s building approvals framework since the 2010s. Through the proposed Building (Approvals & Practitioners) Bill 2026, several existing pieces of legislation will be consolidated into a single legislative framework designed to simplify approvals, improve productivity and strengthen accountability across the construction industry. The reforms don’t simply replace one Act, they consolidate and redistribute provisions from several existing Acts into a single building approvals and practitioner framework. The Government’s intention is to separate planning from building regulation, with planning remaining under the EP&A Act and building approvals being administered by Building Commission NSW.
While the legislation has not yet been enacted, its direction is now sufficiently clear that organisations planning projects over the next 12 to 24 months should begin considering how the reforms may affect future developments.
Why is the Government changing the system?
The proposed reforms are intended to modernise NSW’s building approval framework by bringing together several existing Acts into a single, more streamlined legislative structure. The objectives are to simplify the approvals process, improve coordination throughout construction, strengthen practitioner accountability and support more efficient project delivery without compromising building quality. For developers, contractors, project managers and consultants, the reforms represent an evolution of the current system rather than a complete departure from it.
A simpler approvals framework
One of the most noticeable changes is the proposed replacement of the familiar Construction Certificate (CC) and Occupation Certificate (OC) with Building Approval and Completion Approval. Although these changes may initially appear to be a change in terminology, they form part of a broader effort to create a more intuitive approvals framework. The reforms also introduce the concept of an Approval Authority, intended to provide clearer oversight and accountability throughout the construction process.
What could this mean for your projects?
For projects already under construction or operating within the current approvals framework, there is no immediate action required. Transitional provisions are expected to ensure that existing approvals continue under the legislative arrangements that applied when they were issued.
However, organisations commencing new projects over the coming year should anticipate changes to approval terminology, project documentation and administrative processes as the reforms are progressively implemented.
The proposed framework is expected to support:
- clearer approval pathways
- greater flexibility for staged building approvals
- improved coordination throughout construction
- increased use of digital approvals and compliance records
- stronger regulatory oversight of practitioners and building work.
Collectively, these measures are intended to reduce unnecessary delays while maintaining confidence in building quality and compliance outcomes.
Opportunities for complex projects
One of the more practical benefits proposed by the reforms is a clearer framework for staged approvals.
Large and technically complex developments, such as hospitals, schools, universities, data centres, industrial facilities and major commercial projects, often require early works to commence while detailed design continues to develop. A more structured staged approval process has the potential to improve program certainty by allowing construction to progress in carefully managed phases without compromising regulatory oversight.
For many project teams, this could improve procurement flexibility, support Early Contractor Involvement (ECI) and reduce program risk on fast-tracked developments.
Modern Methods of Construction (MMC)
Another significant feature of the proposed reforms is the recognition of Modern Methods of Construction (MMC), including modular and prefabricated building systems.
As the construction industry seeks to improve productivity, reduce waste and address skilled labour shortages, off-site manufacturing is expected to play an increasingly important role across many sectors. The Bill introduces a regulatory framework intended to better support these construction methods while maintaining appropriate quality assurance and compliance standards.
For clients, this should provide greater confidence that modular and prefabricated elements can be incorporated into projects within a clearer approval framework. It also reinforces the importance of engaging compliance specialists early, ensuring that factory-manufactured components and on-site works are considered as part of a coordinated approval strategy.
Compliance remains central
While the approval process may become simpler, the expectation for demonstrating compliance will continue to increase.
The reforms reinforce the importance of comprehensive compliance documentation, clear practitioner accountability and effective project governance throughout design and construction.
For owners, developers and contractors, engaging experienced compliance consultants and certifiers early in the design process will remain one of the most effective ways of reducing approval risks and avoiding costly delays later in the project lifecycle.
When are the changes likely to happen?
The Bill is currently progressing through the NSW Parliament and, while the exact commencement dates are yet to be confirmed, the reforms are not expected to take effect immediately following Royal Assent.
We anticipate that the legislation will commence in stages, allowing time for supporting Regulations, Planning Portal updates, industry guidance and practitioner training. Based on the current legislative process and the scale of the reforms, we would expect implementation to occur progressively during 2027, with transitional arrangements applying to existing projects.
While these timeframes remain subject to the final legislative process, the direction of travel is now sufficiently clear that project teams can begin preparing for the transition.
How MBC Group is preparing
At MBC Group, we are actively monitoring the progress of the legislation and assessing its impact across Building Certification and our consultancy services. Our internal preparation includes reviewing quality management procedures, project documentation, proposal templates and client guidance so that we are ready to support a seamless transition once the legislation and supporting Regulations commence.
As further details become available, we will continue to provide practical updates to help our clients understand the reforms, plan with confidence and minimise disruption to project delivery.
The proposed legislation represents an important step in the evolution of NSW’s building regulatory framework. While implementation will occur over time, organisations that begin understanding the changes now will be well placed to navigate the transition efficiently and continue delivering successful projects under the new approval system.