Reforms allowing the new Victorian Building and Plumbing Commission to order serious defect repairs after a property is occupied will be a “game-changer”, the regulator’s CEO Anna Cronin says.

The power, starting next year, provides a strong incentive for builders to “get it right the first time”, she told the commission’s industry conference last week.

At present, the commission can use the power only before a new build is signed off and occupied.  

“These reforms are not designed to be punitive – the vast majority of builders do the right thing,” she said.

“The BPC will recognise the difference between a genuine mistake and flagrant disregard for the rules, and we will exercise our judgment accordingly.”

The commission, which launched on July 1, brings regulation, insurance and dispute resolution under one roof.

Other changes include a developer bond scheme to cover non-compliant work in apartments four storeys and above, and expanded domestic building insurance for defects when a builder refuses to fix them. Currently, cover applies only if a builder has gone insolvent, died or disappeared. 

Queensland Building and Construction Commission chief regulator Skye Bowie told the event that returning to fix defects costs builders more in the long run, with the time spent affecting their capacity to work on other projects. 

“Stronger regulation to address defects encourages builders to focus on quality control, which is ultimately good for their reputation and good for their bottom line,” she said.