Working towards a smarter building system National Online Consenting The New Paradigm August 2012 A GeoBuild™ Project An Interoperable Approach

The Building and Construction Sector Today Slide 2 Building and Construction Productivity Partnership, Productivity Roadmap March building and construction contributed ~4% of NZ GDP approximately the same as agriculture $1 spent on construction = $3 of economic activity in NZ Sector employs 1 in 12 workers in NZ. Build $1 Make $3

Building and Construction Sector Challenges Slide 3 Productivity declining vs. other sectors and internationally Inefficient inconsistent consenting Low skill level Fragmented approach to technology Sector dominated by small businesses 90% < 5 staff 21% sole traders High procurement & construction costs

Slide 4 The Programme A national information exchange “framework” that digitises building, geographical and environmental data and information which is available online to users GeoBuild TM is not an IT project, it is a strategy for technology solutions or activities affecting the whole environment to be standards based, open, interoperable and reusable across organisations. Information Technology

Why? The GeoBuild™ Programme takes a holistic, strategic and interoperable approach to the building and construction “system” to encourage the improvement in performance and productivity. 1) Building and Construction Productivity Partnership, Productivity Roadmap March 2012 Holistic Interoperable Standard based Data Reusable Data Open Data = Performance & Productivity Building and Construction System

MCDEM Ministry of Civil Defense & Emergency Management NIWA National Institute of Water and Atmospheric Research LANDCARE Environmental Research MFE Ministry for the Environment NZTA New Zealand Transport Agency MBIE Ministry of Business Innovation and Employment GNS Science Earth, geosciences and isotope research LIFELINES & UTILITIESLINZ Land Information New Zealand Cadastral and Geospatial information PRIVATE SECTOR LOCAL COUNCILS REGIONAL COUNCILS GeoBuild™ – an Interoperable Whole Environment Information Model Slide 6

Slide 7 There are currently three components to the GeoBuild™ Programme: A National Online Building Consent System – led by Building and Housing Acceleration of the use of Building Information Modelling (BIM) – joint Building and Housing / Productivity Partnership An enhanced national and local Geospatial Information Strategy (GIS) – led by LINZ

Slide 8 GeoBuild TM – Reusable data “Kernel” GeoEd GeoHealth GeoCDEM GeoConsumer Interoperable

Slide 10 Building & construction productivity gains from the use of BIM (minimum 5.5% of 2011 non-residential construction) Additional economic benefits from access and reuse of existing national location based information National Online Consenting sector-wide savings Total $730m pa $182m pa 3 $481m pa 4 $67m pa 2 Financial Benefits 2) DBH Online Consenting Business Case ) This broadly aligns with the Allen Consulting report (2003) 4) LINZ website Total projected annual benefits Productivity Partnership goal to increase sector productivity 20% by 2020 $3B pa GDP

Value Proposition Additionality- Generating new opportunities Slide 11

Key Project: National Online Consenting System Slide 12

‘End to end’ processing of consents using standard forms and consenting processes Applicants receive a common experience, regardless of which BCA processes their consent application. It will enable; - faster project approvals, - more predictable outcomes, and - foster improved collaboration between industry professionals. Aligns with the BCO national competency assessment framework Compliment and align with the Building Act review of the consenting system It also aligns with Multi-proof. Key Programme: National Online Consenting System Project Outcomes Slide 13

National Online Consenting – transformational catalyst Infrastructure Modelling Building Information Modelling Built Environment Information Modelling Whole of Environment Geospatial Information Modelling National Online Consenting System Slide 14

Consent Submission Portal Building Information Modelling Consent Submission Tracking Consent Workflow Processing Consent Communications Electronic Onsite Inspections Final Approval Code Compliance Councils Regulatory System

Key Programme: National Online Consenting System Drivers Auckland super city is an opportunity to move the largest BCA to electronic consent processing Earthquake recovery programme in Christchurch requires a new level of consent processing Wellington is evaluating shared services Slide 16

Slide 17 GeoBuild TM – National Online Consenting Interoperability of data underpins GeoBuild TM optimisation Digital Consent Lodgement BIM Residential BIM Commercial Reusable Data Kernel - Interoperability Increasing Data richness and value 2-5 years 5-10 years 2 years $67m pa 1 1) DBH Online Consenting Business Case 2009

Based upon the 2009 Business Case [1] and adjusting for inflation, the revised benefits to applicants and BCAs is a minimum of $52.4 million per annum. Early issue of CCC by one week = $1,600 per week for large builders $1,000 for smaller builders. [2] A saving of just one week for all new houses consented in 2011 would be $14.9 million. No savings have been quantified for time savings for apartments or commercial buildings. Total projected minimum direct benefits arising from a National Online Consent system are $67.3 million per annum. [1] Business Case for Online Building consents Project, Maven International Ltd, March 2009 [2] Study Report SR 259 (2012), Value of Time Savings in New Housing, IC Page, BRANZ 2012 Key Programme: National Online Consenting System Projected Direct Benefit Slide 18

Pilot Programme: National Online Consenting System Plus representatives from: Provincial TAs Rural TAs Slide 19

Develop and confirm GeoBuild™ programme governance structure In conjunction with LINZ, Develop a GeoBuild™ programme paper for submission to the Cabinet Strategy Committee Implement sector engagement and communication plan Undertake sector consultation and finalise Statement of Requirements for National Online Consenting System Finalise GeoBuild™ Programme Plan Finalise National Online Consenting Project Plan Undertake initial Interoperability Standards workshop 28 th August Present GeoBuild™ at Digital Earth Summit 2 nd – 4 th September Present GeoBuild™ at LGNZ workshop 9 th September [1] Business Case for Online Building consents Project, Maven International Ltd, March 2009 [2] Study Report SR 259 (2012), Value of Time Savings in New Housing, IC Page, BRANZ 2012 Key Programme: National Online Consenting System Next steps Slide 20

The GeoBuild™ Horizon Slide 21