The document is the May/June 2005 issue of Building Australia magazine. It contains several articles about recent government budgets that include funding for infrastructure, skills training programs, and housing initiatives. The federal budget commits to expanding apprenticeships and skilled migration. State budgets provide funding for projects outlined in their strategic plans such as Melbourne 2030. The budgets aim to address skills shortages and support the building and construction industry.
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BA May/June 2005 31/5/05 17:22 Page 1
4. news
4 BuildingAustralia. May/June2005
A
number of government budgets
handed down in May each contain
measures that will impact the building
and construction industry.
The major announcement was the Federal
Government's commitment to a national
apprenticeship scheme and expansion of the
skilled migration program which would help
offset labour shortages within the industry.
Trades such as bricklaying, cabinetmaking,
plumbing and carpentry were already in
short supply and new apprentices were
needed to mitigate the effects of an ageing
workforce on the industry.
Budget briefs
Federal:
The 2005-06 budget contained a raft of
measures to attract young people to
professional trades including an extra 4500
pre-vocational training places and the
creation of 7000 new school-based
apprenticeships; the establishment of the
Institute for Trade Skills Excellence; and
investment in 24 technical colleges that
would facilitate the enrolment of 7200 Year
11 and 12 students.
Other youth oriented incentives included
the extension of the Commonwealth Youth
Allowance to new apprentices and a $27.5
million Australian Network of Industry
Careers Advisers to help students with career
choices as they make the transition to work.
The Government also pledged to increase the
nation's skilled migration intake to 97,500 in
the coming year - a boost of 20,000 places.
Australia's points-based immigration system
rewards applicants with skills in demand.
Recent additions to the Migrant Occupations
in Demand List included civil engineers;
bricklayers; carpenters and joiners; electricians;
plasterers and plumbers.
A new Trade Skills Training Visa would
also channel eligible migrants to regional
areas to undertake apprenticeships in trades
that were in short supply. For businesses,
changes to taxation provisions for foreign
sourced income applying to temporary
residents would provide greater incentive for
employers to hire skilled workers to fill
short-term vacancies.
Master Builders Australia has launched a
campaign to promote the benefits to
employers of skilling and training
apprentices. CEO Wilhelm Harnisch said the
Federal Government funded campaign would
specifically target small businesses in the
building and construction industries.
Harnisch said the estimated annual cost to
the Australian economy of skills shortages
was $735 million - a figure the construction
industry, as one of the nation's biggest
employers, could not afford to ignore. He
said there were many financial incentives for
employers to hire apprentices including
support services and resources for employers;
flexible training arrangements; savings on
material costs and capital costs; and
government subsidies.
Other industry-related announcements
included an additional $15 million to the
National Heritage Investment Initiative and
$2 billion to establish the Australian Water
Fund to bolster water infrastructure, improve
environmental knowledge and invest in better
water management.
Victoria:
The State Government committed $53 million
in the 2005-06 budget to kick start key
Melbourne 2030 projects. Public works slated
for development in the coming year included
nine Transit Cities and activity centres for 118
urban centres. Funding would also be directed
to The Office of the Development Facilitator
and the Priority Development Panel; and the
Urban Development Program. Other major
infrastructure projects included: $300 million
for the development of the Melbourne
Wholesale Markets; $11 million to upgrade 13
local ports; and $11 million for Melbourne
Olympic Park precinct. The Government
would also invest $12.5 million in pre-
apprenticeship training and commit $10
million to the Regional Infrastructure
Development Fund. Property owners stood to
benefit from a reduction in the top land tax
rate next year to 3.5 per cent (with a further
0.5 per cent cut foreshadowed for 2007-08)
and the first home buyers bonus will be
extended beyond June 30 this year but reduced
from $5000 to $3000.
NSW:
The State Government has allocated $34.7
billion in the 2005-06 budget to
infrastructure development. It represented an
increase of $4.7 billion on capital works
spending on the previous years’ budget. The
Government would increase public
borrowing (for the first time since it took
office 10 years ago) to fund one-quarter of
the projected expenditure for this sector. Of
that sum, $8.2 billion would be spent on
capital works including upgrades to
metropolitan hospitals; redevelopment of
regional hospitals; new mental health
facilities; new schools for Sydney’s outer-
western suburbs; and ongoing funding for
existing road and rail projects such as the
North West Transitway network and the
Chatswood to Epping Rail Link project.
Despite the big spend on infrastructure, the
Property Council of Australia expressed
dismay about the retention of the 2.25 per
cent vendor duty and increase in stamp duty
on general insurance from five to nine per
cent. Meanwhile, the land tax free threshold
of $330,000 was reinstated along with a
marginal rate of 1.7 per cent on the
unimproved land in excess of the threshold.
The changes would take effect from
January 2006.
ACT:
An additional $100,000 was allocated in the
2005-06 budget to reform the ACT's planning
and land administration system. ACT Planning
Minister, Simon Corbell said the reforms would
deliver a more streamlined development process
by removing duplication and providing a 'one-
stop-shop' for development approvals. The
Minister said the aim of the planning shake-up
was to create an environment that would
encourage (appropriate) development of urban
centres. Over the next two years, the
Government would explore avenues for further
reform including: an incentive-based planning
scheme to remove duplication in statutory
documentation and administrative processes; a
fully integrated policy setting to promote more
accountable planning outcomes; the provision
of simplified design guidelines for new
development including sustainability
Budget review >>
BA May/June 2005 31/5/05 17:22 Page 4
6. news
6 BuildingAustralia. May/June2005
requirements; whole-of-estate strategic
development assessments and improved master
planning for greenfield areas which would
reduce the need for full-scale planning
assessment of individual developments in those
zones; and a revised framework for granting and
administering concessional leases. Meanwhile, a
number of new public works were approved
including a new recreational area at Stromolo
Forest Park, a new pre-school and primary
school in East Gungahlin and replacement of
the Quamby Youth Detention Centre.
Tasmania:
In step with the Federal Government's policy to
increase the national supply of skilled labour,
the State Government announced its own $12.6
million Skills for Growth package. Funding
would be directed to programs which target
skills training including apprenticeships and
training for migrants and refugees; accelerated
trade recognition for mature-aged workers and
new workforce entrants; and short courses to
met labour shortfalls in key industries. Housing
was another budget priority with $45 million
directed to Housing Tasmania capital projects.
Funds would be allocated to: completion of
stage 1 of the Government's $90 million
Affordable Housing Strategy including purchase
or construction of 441 new homes and upgrade
to 317 existing residential properties; $8.75
million to complete construction of 53 units at
Walford Terraces; $6.5 million for the
construction of 59 units at Launceston, East
Devonport and Warrane; $6.5 million for new
and replacement group homes and 24-hour
supported accommodation for clients with
disabilities and mental health problems; and
$1.8 million to replace emergency housing for
people in crisis including new youth shelters in
the north and south of the state and a new
Hobart Women's Shelter. Significant public
works included $50 million for the
redevelopment of the Royal Hobart Hospital;
$53.4 million for the Prison Infrastructure
Redevelopment project and $9 million to
improve visitor facilities at Cradle Mountain
and Wineglass Bay national parks. BA
A
ustralians love
building their
own homes
and are very good at
it. Impressive and stylish houses can be seen
everywhere, and this is testament both to the
nation's desire to create their own space and the
skills of house building professionals who make
this happen.
Putting the right team together, whether to
build a home or renovate an existing property
can require considerable thought and effort.
Indeed, for people not familiar with the
processes and issues involved in residential
building, speaking to builders, contractors,
designers and suppliers can be a daunting
prospect. In many cases, reassurance and
guidance is needed.
In addition to ensuring that pricing
structures and timing projections are clearly
understood, consumers also need to feel
confident that the products and services they
receive will be the best on offer. Quality must
be assured across the board.
To meet these objectives, the Housing
Industry Association (HIA) has launched a
'Best in the Business' initiative to promote its
members as the manufacturers, suppliers,
builders and tradespeople to trust.
Members of the HIA abide by a strict code of
ethics which includes the use of clear and fair
working contracts and a pledge to service
customers to the best of their ability. They have
access to the latest products and techniques,
and are frequently informed about new
developments and innovations they can adopt.
BlueScope Steel is actively involved with the
HIA and its members and sees the value of trust
as a key principle to all building activities at all
levels. We look forward to seeing this initiative
roll out and applaud the HIA and its members
for their efforts to help Australians build their
dream homes with as much confidence and help
as possible. BA
Promoting industry
best practice >>
By Manu Siitonen, specifier market manager, BlueScope Steel
Electrolux
revisited >>
M
ore than six months after the
High Court ruling on
Electrolux, the Full Bench of
the Australian Industrial Relations
Commission (AIRC) offers guidance
on the types of matters which can
legally be included in a certified
agreement (CA).
Last year's High Court decision
found that only matters 'pertaining to'
the relationship between employer
and employee could be the subject of
a CA. Moreover, the existence of just
one 'non-pertaining' clause would
invalidate an entire agreement. Since
the ruling, the poorly defined clause
has caused considerable confusion
within the industry.
But recently the AIRC clarified that
salary packaging; labour hire
arrangements; right of entry and
recognition of union representatives do
pertain to the relationship between
employer and employees and therefore
can be included in a CA.
The AIRC further stated that
payroll deduction of union dues and
an unqualified right of entry provision
were not legally permissible and
therefore could not be
included in a CA.
Grey areas such as machinery
provisions (indexes and tables of
contents); provisions that were
incidental or ancillary to a matter
that pertains to the relationship of
employer and employee; and
provisions that do not pertain to
the relationship, but were so trivial that
they can be disregarded (such as
'aspirational' provisions) could also
be contained in a CA, according to
the AIRC. BA
BA May/June 2005 31/5/05 17:22 Page 6
8. news
8 BuildingAustralia. May/June2005
A
t the CRC for Construction Innovation
we're continuing to move ideas into
practice for the property and
construction industry.
Building industry stakeholders and
manufacturers are seeking whole-of-product-
life eco-profiling tools, especially as
increasingly stringent sustainable building
codes and demands for eco-efficiency
assessment come into effect over the next
few years.
Recognising the lack of objective
information about the environmental impact
of building products, two user-friendly tools
are being readied for market entry-
LCADetail and LCADesign.
LCADetail provides user-friendly and rapid
eco-profiling of common building products
used in residential, commercial and industrial
property and construction market segments.
For the first time, stakeholders will have
tools that calculate the environmental and
economic costs of real products. Both tools
are based on software using the latest global
industry foundation class (IFC) data transfer
protocols for drafting intelligent three-
dimensional (3D) computer models.
Users will work from product specifications
already in the software where previously they
used MS Office-type spreadsheet software.
Two-dimensional work-ups just do not show
how things interact the way 3D does. For
example, a line drawing cannot be tagged
with specifications automatically so most have
to be done manually. But with these 3D tools,
users can visualise all drawn components and
drill down to find and interrogate eco-
hotspots and compare alternatives.
And there is more when it comes to whole-
of-building design. The second tool,
LCADesign is being tested now, in readiness
for market release this year. It assesses
environmental and economic costs of building
models drawn in intelligent 3D CAD.
Both tools contain results from a national
environmental inventory database, derived in
part from the one originally compiled for the
Sydney Olympic (Green) Games in 2000.
Construction Innovation was given access to
this master database which, unlike previous
inventories, was based on Australian rather
than European information. A data-trading
scheme with other sectors such as
manufacturing will help to ensure it remains
up-to-date and national in coverage.
This 3D building software and database
combination will certainly enable the
Australian building industry to become
smarter as well as more eco-friendly. For
example, in future building product
manufacturers with their own LCADetail
extranet will be able to submit data directly to
the national database for accreditation and
automated creation of their own eco-profiles.
Also, a builder who runs short of materials
on a job may check options that meet the
contract by logging onto the project-building
model through their palm pilot. They then
select and log the best option and access the
supplier chain LCADetail extranet to order
more stock.
For the first time, manufacturing,
construction and facility management
stakeholders will have tools that directly
calculate the environmental costs of products,
buildings, and entire facilities based on three
real-world dimensions and visualisation
technology. In future, they will be able to add
their own information to their models for
security or occupancy, for example.
Given the steady uptake rate of 3D-
intelligent CAD software and the effort in
recent years to bring the property and
construction industry up to speed in
computer literacy, LCADetail and LCADesign
are both timely applications for the industry
to exploit to their full potential now and
increasingly in the future.
Partners collaborating on the project are
Arup Australia, Bovis Lend Lease, Woods
Bagot, ABCB, Building Commission,
Queensland Department of Public Works,
CSIRO, QUT and RMIT. BA
The CRC for Construction Innovation is a
national research, development and
implementation centre focussed on the needs of
the Australian property, design, construction
and facility management industry. Construction
Innovation undertakes applied research to
produce industry-relevant results for our
partners and the whole industry. For more
information see www.construction-
innovation.info
Profiling in 3D >>
By Dr Keith Hampson, CEO for the Cooperative Research Centre for Construction Innovation
BA May/June 2005 31/5/05 17:22 Page 8
10. news
10 BuildingAustralia. May/June2005
Formaldehyde - could it be the next asbestos? >>
By Maria Atkinson, executive director, Green Building Council of Australia
The Green Building Council of Australia has called on government and industry to phase out formaldehyde-based
glues commonly found in composite wood products such as MDF and particle-board. Formaldehyde is a known
human carcinogen and has the potential to impact on all Australians with MDF in their home or workplace.
Sunshine State
raises its
ESD profile >>
I
n a bid to boost the design,
construction and management of more
energy efficient buildings in south-east
Queensland, Australian energy company,
Energex will reward innovators with a
$25,000 solar energy system.
The inaugural ENERGEX Sustainable
Building Awards (scheduled for
September) aimed to encourage
developers, landlords and businesses to
maximise energy efficiency, minimise
waste and reduce the environmental
impact of their buildings. There are
two categories – one for property
developers and another for building
owners and tenants.
The company said the prize – a two-
kilowatt solar energy system from
Kyocera Solar – would reduce user
reliance on coal generated electricity
and any excess power generated could
be sold back to Energex. It had the dual
benefit of reducing the winners’
electricity bills too.
The judging panel for the awards
included Australian Conservation
Foundation President Emeritus Professor,
Ian Lowe; Queensland University of
Technology professor, John Bell; the
Environment Protection Authority
Sustainable Industries Division’s
executive director, Dr John Cole; and the
Property Council of Australia’s executive
director, Robert Walker. BA
For more information see
ww.energex.com.au/environment
F
ormaldehyde is commonly used in a
number of building materials. It is
widely used in glues in
composite wood products
such as medium density
fibreboard (MDF) which is
generally recognised as being
the highest formaldehyde-
emitting composite wood
product (used for kitchen and
bathroom cupboards and
drawers, and wardrobes);
particleboard (used as sub-
flooring and shelving and in cabinetry and
furniture); and plywood panelling (used for
decorative wall covering and used in cabinets
and furniture). International research
indicates ceiling tiles can also be significant
emitters of formaldehyde.
For a long time we have known that
formaldehyde can have short-term health
effects, including burning sensations in the eyes
and throat, nausea, and difficulty in breathing.
But in June 2004, 26 scientists from 10
member countries of the World Health
Organisation's International Agency for
Research on Cancer (IARC), of which Australia
is a member, went a step further - determining
that formaldehyde is a human carcinogen.
We ignore the expert advice of the IARC at
our peril, especially when there are already
alternatives to formaldehyde emission wood
products being made in Australia.
The MDF on the Australian market - known
as E1 board - which is manufactured locally,
contains 0.1 parts formaldehyde per million.
Yet the same manufacturers also produce
boards with half and even a third that
emission level - to supply the more strictly
controlled Japanese and European markets.
But while Australian designers are
increasingly seeking non-formaldehyde based
alternative products, according to
Ecospecifier.org, the Australian database of
innovative and environmentally preferable
building products, they get frustrated because
suppliers are not making these
readily available on the
Australian market.
The majority of the Green
Building Council's Green Star
environmental rating tools
already award credits for
formaldehyde minimisation.
The Green Building Council
has also recently commissioned
an industrial specialist to
conduct more research into formaldehyde
emissions from products on the Australian
market to help the industry make sensible
choices regarding alternatives. But there is also a
role here for industry and government.
We call on government to tighten the
acceptable levels for formaldehyde emissions
and ultimately to phase out formaldehyde-
based glues altogether.
After all, the MDF on the Australian market
(E1 board) doesn't meet allowable emissions
standards in Japan and a number of European
countries, so why should it be good enough
for the Australian market?
Government also has a role in increasing its
support for the timber industry to invest in
R&D and new technology to deliver a better
and safer product to the market.
As an industry, we must increase the demand
for low emission products and support the
transition of the timber industry to change
current practices so that non-toxic products
are readily available on the Australian market.
We need to take responsibility for the
buildings we design and construct and avoid
harmful formaldehyde emission wood
products all together or, at the very least, use
ultra-low emission formaldehyde composite
wood products.
Unless we want formaldehyde to become
the next asbestos it's time to act. BA
BA May/June 2005 31/5/05 17:22 Page 10
12. legaliiis
12 BuildingAustralia. May/June2005
A
mendments to the Home Building
Act 1989 (the "Act") over the last
few years have changed the
procedures for notifying and resolving home
building disputes. It is important that
builders are conscious of the process of
dispute resolution under the Act so that they
are aware of the jurisdiction within which a
dispute may fall and what orders they must
comply with.
Responsibility for home building disputes
no longer remains solely with the Consumer,
Trader and Tenancy Tribunal (CTTT). This
responsibility now also exists with the New
South Wales Office of Fair Trading (OFT)
and its department specializing in this
particular area of disputes, namely, the
Home Building Service.
These changes have meant that there is an
overlap between the powers of the CTTT and
the OFT. It is for this reason that contractors
should be aware of the jurisdictional
implications of their dispute in order for
them to be able to respond appropriately.
Below is a summary of the processes and
procedures for resolving building disputes
under the Act as amended.
The purpose of dispute
resolution through the Office
of Fair Trading
Home building disputes must initially go
through the dispute resolution process at a
Fair Trading Centre.1
This change occurred
due to the perceived public advantage of being
able to regionalise and make dispute
resolution procedures more accessible to
disputing parties. As previously mentioned the
Home Building Service is the division of the
OFT that deals with administering disputes
that fall within the scope of the Act, which
includes disputes relating to incomplete
and/or defective home building work.
The Office of Fair Trading
dispute resolution process
Once a dispute is reported to the OFT, a local
officer of the Home Building Service will be
assigned to review the case and will attempt
to resolve the matter expeditiously.
If the dispute cannot be resolved by the
local officer, any of the following options may
be available:
a) refer the dispute to an Inspector who will
conduct an on-site investigation. Once the
on-site investigation has been completed,
the Inspector must cause a written report
to be prepared on the results of the
investigation with copies of that report to
be given to each of the parties. The
Inspector has the power to issue a
Rectification Order if there is incomplete
or defective/damaged work.2
The powers
of the Inspector operating under the
Office of Fair Trading are provided
pursuant to Section 48D of the Act;
b) refer the dispute to the CTTT in
appropriate cases (this will to a large extent
depend upon the nature of the dispute); or
c) if the claim exceeds the CTTT's
jurisdiction of $500,000.00, recommend
that the dispute be referred to the courts.
Rectification Orders
Where defective or incomplete work exists,
the Inspector may issue a Rectification
Order. The Rectification Order must be
complied with.
Section 48E of the Act, provides that the
Inspector may make a Rectification Order if
having completed his investigation under
Section 48D, he is satisfied inter alia:
"that any residential building work or
specialist work done by the contractor
is defective...".
The Rectification Order may set out the
work to be rectified and/or completed and
any conditions that may apply, including the
date on which the work, the subject of the
Rectification Order, is to be completed
(subject to any requirement for payment as
discussed below). However, a Rectification
Order cannot be issued in relation to a
building claim over $500,000.
Furthermore, a Rectification Order may
specify conditions including the payment of
money by the complainant, before the
requirements of the order are to be complied
with by the contractor.
Breach of Rectification Orders
Any breach of the Rectification Order can
then be the subject of further action by the
Home Building Service's Investigation's
Branch and if necessary made the subject of
an application to the CTTT.
Appealing Rectification Orders
An appeal against a Rectification Order can
be lodged with the CTTT. This appeal must
be lodged with the CTTT before the date set
out for compliance in the Rectification
Order.3
However, Section 48F of the Act
does not apply to circumstances envisaged by
Section 51, which relates to improper
conduct of a contractor, who without
reasonable cause fails to comply with the
requirements of a Rectification Order.
As a consequence of this appeal process, the
dispute then becomes subject to the
jurisdiction of the CTTT. 4
The dispute resolution process
within the CTTT
Before an application can be lodged with
the CTTT, a dispute must first follow the
dispute resolution process stipulated by
the Act, namely, dispute resolution through
the OFT.
Other orders and / or
directions issued by the Office
of Fair Trading
Orders and/or directions, other than a
Rectification Order which are issued by the
Resolving disputes under the
Home Building Act 1989 (NSW) >>
By Peter Murphy, Edith Bocaz and Sharon Goldstein*
BA May/June 2005 31/5/05 17:22 Page 12
13. news
13BuildingAustralia. May/June2005
news
Brunswick Sales
OFT are not binding on a contractor, as
such orders and/or directions are not
contemplated by the Act and thus are not
enforceable by the OFT:
"The complainant should bear in mind that
the Office of Fair Trading cannot order or
direct a trader to a particular course of action.
Such orders may only be made through a
court or the CTTT."5
In the event that a contractor becomes a
party to a home building dispute, then
under the Act, a Rectification Order issued
by an Inspector from the OFT (or
orders/directions made by the CTTT) must
be complied with. Any other
orders/directions issued by the OFT, while
requiring close examination, have the status
of being advisory only and are not binding
on the parties to the dispute. BA
* Peter Murphy is a Special Counsel,
Litigation at Crisp, Edith Bocaz is a Junior
Solicitor at Crisp and Sharon Goldstein
is a paralegal.
11
www.fairtrading.nsw.gov.au
2
Section 48D of the Home Building Act
1989 (NSW)
3
Section 48F of the Home Building Act
1989 (NSW)
4
Section 48E of the Home Building Act
1989 (NSW)
5
Office of Fair Trading Department of
Commerce Information Sheet:
"Complaint Handling Service".
T
he NSW planning system faces the
biggest reforms in 25 years. The overhaul
was foreshadowed in September last year
when the State Government announced its
intention to make the planning system
"simpler, more efficient and more effective".
The Government's reform agenda included
plans to revise the number of local
environment plans (LEPs) from 5,500 to 152
- just one LEP for each local government area
- and further reign in councils' discretionary
powers on local planning issues by mandating
a standard template for LEPs. According to
the Government, standardised LEPs would
reduce the "unwieldy" number of zoning
categories and definitions currently in
existence throughout the state. The draft
policy went on public exhibition in June.
Proposed amendments to the Environmental
Planning and Assessment Act (EP&A) would
empower a new State Environmental Planning
Policy (SEPP) to identify 'state significant'
developments. Projects deemed 'state
significant' could include major public and
private infrastructure, strategic matters and
construction projects of major importance
valued at over $50 million.
A Planning Reform Bill was scheduled to go
before Parliament in early June. The reforms
herald a major shake-up to the development
approval process. A 'one assessment - one
approval' approach for all major projects
assessed by the State Government would replace
the 31 separate and overlapping approval
requirements for investment proposals currently
in place. Furthermore, a new 'concept approval'
option would provide developers with an up-
front decision on the broad parameters of a
project before embarking on environmental and
other impact assessments that can be time
consuming and costly to the investor. 'Stop the
clock' provisions would also be removed from
the assessment of all major projects.
A statement issued by the NSW
Department of Infrastructure, Planning and
Natural Resources (DIPNR) estimated that
under the current system, typical assessment
costs range from:
■ $0.5 million to $4 million or more for an
environment impact statement;
■ up to $6 million where a commission of
inquiry is held on a major proposal;
■ $2 - $3 million for mine proposals; and
■ $3 - $4 million for major road projects.
As part of the streamlined approach to
planning, 60 per cent of state significant
development assessments (DAs) currently
reviewed by DIPNR would be handed back to
local government.
Major projects would be reviewed by an
Independent Hearing and Assessment Panel
made up of technical experts from a range of
disciplines. According to DIPNR, this system
would ensure "key issues" were rigorously
scrutinised at the concept stage. The
Department stressed the panel would not take
the place of community consultation -
environmental, community and other
concerns would be addressed early in the
assessment process. BA
Planning in NSW gets a shake-up >>
BA May/June 2005 31/5/05 17:22 Page 13
14. O
utgoing national
president, Warren Kerr,
along with other recent
national presidents such as
David Parken and Graham Jahn,
have set enormously high
benchmarks for this role. The profession has benefited enormously
from their endeavours.
"With this in mind, I am keen to focus over the next year on a
number of key achievable goals that will be of lasting benefit to
members. Some are initiatives introduced by my predecessors that must
be completed, others are new programs representing a fresh way
forward for the RAIA.
"Overall, my vision is for an RAIA that is more fully engaged - with
existing and potential members. An RAIA that is more outward looking.
And an RAIA that is internationally active. A project which is of
particular importance to me, and possibly the biggest project I will tackle,
is the establishment of an international presence for the RAIA offshore."
Re-brand on the cards
While the Institute faces a number of key challenges going forward this
year, none is more pressing than continuing education. It will require the
most focus and energy for the organisation and hopefully result in a
seamless and professional delivery. Continuing education is critical for us
nationally, particularly as mandatory CE is now applicable in NSW and
in Western Australia from 2006.
news
14 BuildingAustralia. May/June2005
T
he conference, titled 'exchange 2005', was headlined by a well-
considered mix of international and national architects,
including Peter Cook from the UK, co-founder of Archigram
and the architect behind the extraordinary Graz Musuem.
Complementing the international line-up was an impressive gathering
of key Australian speakers - such as Ian McDougall (Ashton Raggatt
McDougall), Ian Moore (Ian Moore Architects), Gerard Reinmuth
(Terroir), Kevin O'Brien (Merrima Design), Peter Davidson (LAB
Architecture), Rob McBride (McBride Charles Ryan) and Timothy
Hill (Donovan Hill Architects).
RAIA events manager, Amanda Beal says feedack indicates the
conference's success was due in part to its co-location with the
inaugural form and function tradeshow, designex, along with the new
'exchange' format pioneered by creative director, Kerstin Thompson.
Thompson's model saw formal presentations by a 'tag team' of one
local and one international speaker followed by an informal 'on the
couch' discussion with an extended panel before opening for audience
questions. The format allowed a smooth transition from formal to
informal discussions. So much so, that two of the 450-seat sessions
were booked out, with spill-over room also nearing capacity.
Discussions revolved around key issues such as how to work and
collaborate effectively on major projects that are increasingly being
planned, designed and built simultaneously; and whether the built
outcomes of this new approach differs to those procured via more
conventional methods such as the masterplan process. Consideration
was also given to the impact compressed timeframes have on
architectural thinking, and what Australia can learn from rapid
building development in China.
Beal says event highlights include the conference opening night party
at BMW Edge, Federation Square during which Victorian Planning
Minister, Rob Hulls announced plans to assess the feasibility of
establishing a Victorian Government Architect; and the cross-
pollination of ideas achieved through the right mix of top speakers,
academics, students and practicing architects.
Outgoing RAIA national president, Warren Kerr gave an overview of
the Year of the Built Environment and key achievements during 2004-
2005, before introducing the organisation's new national president,
Bob Nation, who outlined his goals for the year ahead.
Sydney-based architect, Stephen Varady was announced creative
director of the RAIA 2006 national conference, to be held in
Sydney from Thursday 6 April to Sunday 9 April. Following the
success of this year's format, the conference has been booked to co-
locate with designex and form and function, which will run from
April 6 to 8.
Highlights: RAIA National Conference 2005 >>
With more than 880 registrations and sell-out sessions on all three days, the Royal Australian Institute of Architects
(RAIA) national conference in Melbourne in April has proven to be one of the profession's most successful events to date.
New president, new focus >>
On Tuesday 3 May, Bob Nation became the 66th national president of the Royal
Australian Institute of Architects (RAIA). Following is an edited extract of his handover
speech, delivered in Sydney at the RAIA AGM and outlining his vision for the year ahead.
BA May/June 2005 31/5/05 17:22 Page 14
15. 15BuildingAustralia. May/June2005
"At an internal level, the Institute needs to engage more positively
with its members across metropolitan and rural Australia - especially
those members in small to medium size practices that may currently
feel little benefit in being part of such a worthwhile organisation, or
those who may feel we're very much an 'East Coast' type outfit, or that
we're an organisation catering specifically for the large 'big name'
practices. As a first step, the RAIA national executive will visit each of
the chapters during the year to ensure that we have a real two-way flow
of communications going with members.
"Importantly, we will be reviewing the RAIA 'brand'. Our intention
is to re-brand after considerable consultation with our members and
key stakeholders.
"Nationally, we will be working to foster and upgrade the design
culture of the RAIA to ensure we have a broader voice in design issues.
As part of this process, I would like us to review our chapter and
national awards system to assess their continuing role within the
organisation and profession generally.
"Elsewhere, I would like the RAIA to engage more fully with the
Federal Government to pursue broader urban design issues. These
issues must be brought back to the table at a Federal level if we are to
make a difference to the Australia of tomorrow.
"Immediate past president, Warren Kerr and I have already met with
Federal MP Malcolm Turnbull to this end. Mr Turnbull has expressed
his keen interest in this matter, and we will continue to work with him
to benefit the profession, and importantly to increase the level of
national debate about urban design. We will also meet with other
politicians covering all political parties."
Membership goes global
The RAIA currently has more than 800 members working outside
Australia. Some of these are architects working for Australian firms on
overseas projects. Others are Asian-born architects who studied in
Australia before returning home, but who want to retain their links
with us. This is fantastic, and tremendously mutually beneficial.
"It's very clear that the number of overseas members will continue to
grow. It's also apparent that we are not providing them with the level
of service and support they should get as members, and that they need
to work to their full potential. I'd like to rectify that. The National
Council and I will advance this thought and ideas during the year in
an effort to implement such a proposal as soon as feasible.
"This greater engagement overseas is not limited to our members.
We are also going to engage more fully with the family of architecture
institutes and associations outside Australia, and particularly in Asia.
We already have a number of memorandums of understanding with
other countries. We will now look at pursuing similar arrangements
with countries in which Australian architects are working on major
projects, such as China, and our other close neighbours.
"Our international efforts will also focus on providing ongoing
support for the tsunami relief effort, in collaboration with local
institutes. We will continue to grow our relationship with the
governments and architectural bodies in all affected countries.
And we will also work domestically with relevant agencies to
ensure that our members' expertise is put to best use when and
where appropriate. BA
"All up, it's going to be a big year and an interesting ride."
Article courtesy of the RAIA
news
With more than 40 years’ experience as an architect in Australia
and overseas under his belt, Bob Nation is best known for projects
such as Sydney's tallest residential building, the 85-storey World
Tower; the Asia Centre at Melbourne University; and the new city of
Muang Thong Thani in Thailand, which involved the largest
construction contract in the Southern Hemisphere.
Nation is also known for his leading role in top architectural design
firms including Sydney-based Nation Viney Architects; Melbourne-
based Nation Fender Katsalidis; and in Hong Kong, Yuncken
Freeman Hong Kong, and Nation Fender Architects. In June last
year, Nation was appointed the Northern Territory's first official
Government Architect.
OPPOSITE PAGE: RAIA new national president, Bob Nation
ABOVE: RAIA National Conference 2005
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16. project review C H2 (C O U NC IL HO U S E 2)
16 BuildingAustralia. May/June2005
CH2: Australia's greenest building
When Melbourne City Council needed a new building to accommodate staff, the council asked a Zimbabwe
architect with expertise in ESD to lead the design project. Lucinda Dean talks to Mick Pearce about termites, plant
ecology and how 'bio-mimicry' has shaped CH2.
T
he idea of a 10-storey city office building
relying entirely on nature to cool and
ventilate is a relatively new concept in
Australia. 30 The Bond at Millers Point, Sydney
is the first Australian building to employ a
chilled beam, passive air-conditioning system
in a large-scale commercial development. But
while Ecologically Sustainable Design (ESD)
principles are gaining the attention of
Australian property developers, the trend so
far has been slow to take off.
In Zimbabwe however, escalating energy
costs is forcing innovation. Pearce is credited
with designing a number of landmark 'green'
buildings in Southern Africa, the most famous
example is the Eastgate office and shopping
complex in Harare, Zimbabwe. According to
Pearce, inspiration for Eastgate's passive air-
conditioning system came from a study of
termite mounds. Pearce says termites use
thermal mass to create extremely
sophisticated natural air-conditioning systems.
"They [termites] are extremely conscious
about the quality of air and CO2 levels, and
also temperature and humidity," says Pearce.
A major difference however, between a
termite mound and a building using electricity-
generated air-conditioning is the function of
the duct. In a building, airflow is directed into
a room through a duct in the ceiling; but in a
termite mound, the duct is the nest, so it is
inhabited, Pearce explains. Apply this concept
to an office building, and it's an entirely new
ball game.
"It's quite a different concept, people are
now participating in the air-conditioning
system," says Pearce.
"In CH2, the people and office machines are
the radiators - they radiate their own heat to
cold surfaces."
Fresh air will be delivered through an access
floor at comfort level (20 degrees Celsius) and
cooled by a chilled ceiling system. Unlike a
variable air volume (VAV) air-conditioning
system, no air will be recycled. Filtered air will
be channelled into the building via a south
duct on the rooftop, and expelled via a north
duct. Inside staff will be able control the
direction of airflow through vents in the floor.
This passive cooling technique is just one of a
number of sustainable technologies incorporated
in CH2 (Council House 2). Lord Mayor, John So,
says the decision to build 'green' was an easy
one for council to adopt. Construction of CH2 is
well underway on the council-owned Tivoli
carpark site in Little Collins St, next to Council
Chambers. When completed at the end of the
year, it will provide a healthy work environment
for council staff and help to revitalise the Little
Collins commercial precinct. Over 80 per cent of
the building is "active frontage", says the Lord
Mayor. CH2 has an arcade linking it to the Tivoli
Arcade and Bourke St and the ground floor will
be retail space.
The building also has an educative function.
Working displays such as the 'shower towers'
on the south side demonstrate the building's
environmental features.
CH2 is now leading the field in sustainable
building design. In April, it was awarded 6 stars
for office design by the Green Building Council
of Australia (GBCA) - the highest environmental
rating of a commercial building in Australia.
The GBCA rating scheme evaluates the
environmental performance and design of
commercial buildings on a number of criteria
including management; indoor air quality;
energy; transport; water; materials; land use
(site selection, ecology); and emissions.
The Lord Mayor describes CH2 as a
'lighthouse', which he hopes will guide future
sustainable development in the city. The green
office concept also squares well with the
council's sustainability vision and is another
step along the way to council achieving its goal
of zero greenhouse gas emissions by 2020.
CH2 showcases a number of 'firsts' for green
building in Australia including sewer mining to
extract water for an evaporative cooling
system; Phase-Change Material (PCM) to
harvest and store 'coolth' (cool energy) from
the atmosphere; and wind turbines on top of
vertical chimneys to create a 'stack effect' to
flush air out of the building at night.
Pearce says while some of CH2's sustainable
technologies are not new (for example, solar
hot water collectors, photovoltaic cells,
electricity from co-generation) never before
have they been assembled in one building in
such a highly integrated fashion. He describes
the design and its conception as 'holistic',
crossing a number of disciplines ranging from
physiology, chemistry and physics to design,
shape and form.
At the outset of the design process, Pearce
assembled a team of green building experts who
collaboratively devised a conceptual framework
for CH2 during a two-week workshop. The
design was further refined over the next eight
months during weekly team meetings.
Project: CH2 (Council House 2)
Land owner &
project director: Melbourne City Council
Principal consultants: DesignInc (Architectural Design and Documentation);
Lincolne Scott (Services Engineering); AEC (Advanced
Environmental Concepts); Bonacci Group (Structural and Civil
Engineering); Donald Cant Watts Corke (Quantity Surveying);
Hansen Yuncken (Building Contractor)
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17BuildingAustralia. May/June2005
PRYDA
The team realised early on that the big
challenge would be how to cool the building.
Body heat and heat generated by office
equipment would keep the interior warm in
winter, but the trick was how to store the coolth.
"That was the driving principle that lead us
to the design we have today," says Pearce.
Bio-mimicry - when
design imitates nature
While Melbourne's variable climate is often
the brunt of jokes, Pearce says the weather
patterns are actually quite predictable.
"It's important to understand the weather,
because that's our energy source," says Pearce.
Orientation isn't such a vital consideration in
a conventional, air-conditioned office powered
by electrical plant - it can have a glass façade
and face any direction. But to harness nature's
energy, the team had to adapt the building
design to the site and the city’s ecology. The
site's boundaries - 22-metres (facing
Swanston street) by 60-metres (bordering
Little Collins St) - presents some restrictions
to construction. Precast concrete panels had
to be manufactured off-site and positioned by
crane. But where setbacks are experienced in
construction, bio-energy advantages are
gained from the north-south axis which
maximises solar access.
While Pearce was able to apply the passive
cooling principles he'd learned from the study
of termites to CH2, it wasn't simply a case of
replicating the Harare buildings in an
Australian context. Pearce uses the analogy of
a tree to describe CH2's mechanisms.
"We wanted to convey the idea that a city is
the same as any eco-system, such as a coral
reef or a rainforest," says Pearce.
"The building, like the tree in a rainforest,
has to respond to it neighbours. It has to
harvest light and water and it [the building]
has the same problem [as the tree]- light falls
off as it goes down the canopy.
"CH2 responds to that fall off of light by having
smaller windows at the top than the bottom. The
equivalent can be observed in the leaves of a
tree - there are big leaves at bottom and small
ones at the top for the exact same reason."
He says the tree is an appropriate analogy
for CH2 because it is a living system. A tree
puts down roots and gathers water from
wherever it can get it. In a similar vein, CH2
will draw approximately 100,000 litres of black
water from the public sewer for recycling.
The recycled timber window shutters and
metal 'bark' shielding the outdoor toilets are
another symbolic reference to the tree, says
Pearce. The wooden louvres on the Western
façade facing Swanston St are powered by
photovoltaic cells on the rooftop. The slow
moving shutters open in the morning and
close at dusk, responding to the movement of
the sun across the sky.
CH2 will have evergreen vines running up the
north elevation and across the rooftop to
convey the idea of a "living façade". Plants not
only provide a natural cooling effect and shield
sunlight, but help to break up glare reflected
by the windows.
Pearce says the greenery also has an
important psychological impact on office
workers by keeping them in touch with the
outside world.
"We spent two million years inhabiting the
African Savannah - our eyes weren't formed
by computer screens," he says.
Healthy work environments,
happy workers
Council project manager, Rob Adams says he
hopes CH2 will help dispel the myth that it
costs more to build green. The base building
cost $29.9 million and the council invested an
additional $11.3 million in CH2's sustainability
features which are expected to deliver a
payback within 10 years.
Despite the 85 per cent reduction in energy
consumption, subsidised energy pricing in
Australia means council will only save
$700,000 on its annual energy bill, says
Adams. The energy savings weren't
substantial enough to justify the cost of
the sustainability features, so Adams
approached the problem from a
different angle.
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18 BuildingAustralia. May/June2005
Environmental savings
Compared to the existing council house of roughly equivalent size, CH2 will:
■ reduce electricity consumption by 85 per cent
■ reduce gas consumption by 87 per cent
■ reduce mains water supply by 72 per cent
■ meet 60 per cent of the demand for hot water (generated on site by 48-square metres of
solar panels)
■ generate 3.5kW of solar power via 26-square metres of photovoltaic cells
■ meet 40 per cent of energy demand via a gas-fired co-generation plant; and
■ expel 64 per cent lower greenhouse gas emissions than a 5-Green Star building
Source: Melbourne City Council
He calculated that a 4.9 per cent
improvement in productivity and absenteeism
would save the council an estimated $1.2
million per year by providing employees with
a healthy work environment.
Pearce says the office is the factory of
the new millennium, and there is no doubt
that indoor pollutants and poor air quality
affect worker performance. Productivity is
difficult to quantify, but according to Pearce,
recent Danish studies of sick building
syndrome indicate that productivity can be
improved by 1.7 per cent through better
ventilation rates.
CH2 will deliver air at 22.5 litres per
second, per person (almost triple the
Australian Standard) and there will be twice
hourly air changes.
Low VOC (volatile organic compounds)
products have been selected for the interior
fit-out and a conscious decision made to
leave interior building surfaces exposed.
A lot of furniture will be recycled from the old
council office which will undergo a retrofit once
vacated with the aim of achieving a 6-star,
Green Star - Office Interior rating. Recycled
products and products with low embodied
energy are used in the building fabric and 80 per
cent of rubbish generated on site is removed for
recycling. Complying with the Green Star criteria
has lead to innovation in many areas - one
unexpected result was a stronger grade
concrete made from cement substitute, fly ash
(a by-product of power stations). According to
Pearce, cement production alone accounts for
10 per cent of total CO2 in the atmosphere.
The sustainability philosophy is not limited to
the physical dimensions of CH2 - it extends also
to considerations about how staff will travel to
and from work. In the basement carpark, the
ratio of bike stands to car spaces is 80:20.
Lockers and showers are immediately adjacent
to the bike stands. Adams says the carpark is
designed so it can be converted into a staff
training facility or an extension of the bike
parking space if car access to the city is
curtailed in the future. He says it is important for
local government to take a leadership role in
getting not only industry, but the public also, to
think about the future sustainability of cities.
"I don't think the lead is coming as strongly
from the other levels of government,"
says Pearce.
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Crisp
"I don't think the Commonwealth Government
has yet realised just how important energy
savings and the whole environmental issue is ...
there is no commitment to Kyoto for instance.
"There is consistent talk about how it impacts
on our economy, and therefore we won't sign up
for it [Kyoto], which I think is unfortunate,
because what has been shown elsewhere in the
world is that if you move to green solutions, the
economy improves as a consequence."
A draft report on Energy Efficiency by the
Productivity Commission (published in April)
suggests one impediment to green building in
the commercial sector is split incentives
whereby the developer / landlord is unlikely to
invest in sustainability features without
guarantee of a financial return. But Adams
predicts future demand for green buildings
will be driven by the rental market.
"I think the push will come from the
consumers and I think people who actually
inhabit commercial buildings will very quickly
start to demand things like good indoor air
quality and 100 per cent fresh air, because
there is a lot of information at the moment
about the negative impact working in an
airconditioned environment has on people’s
health," says Adams.
100 per cent natural ventilation
Harvesting fresh air from a city environment
might seem like a tall order, but Pearce says
the air in built-up areas like Melbourne's CBD
is generally richer in oxygen and less polluted
than inside many buildings.
"We are keen to deliver 100 per cent fresh
air in order to keep the oxygen levels up
because, like termites, we know we need high
oxygen levels for thinking," says Pearce.
"We're bringing the air in at 40-metres above
street level where there are very few
contaminants. The higher you go, the cleaner
the air gets."
Like the termite mound, CH2 uses thermal
mass to maintain a constant indoor
temperature. Pearce says it is important to
expose the as much of the building's thermal
mass to the interior as possible because this
is where the 'coolth' is stored. The 'wave-like'
exposed concrete ceilings create vaulted
spaces between the ceiling and the upper
floor which helps to contain the rising hot air.
But because the interior space heats up while
occupied during the day, it is necessary to
flush the warm air out at night. This is done
via automated windows on the north and
south facades. Cool air drawn inside from
night purging is stored in the concrete mass
(at roughly room temperature) and radiated
back into the office space during the day,
creating a similar effect to inhabiting a cave,
says Pearce. The vaulted ceilings also act as
light shelves. The height of the vault is
contiguous with middle of each window,
maximising the amount of natural light
delivered into the office interior.
Melbourne's daytime temperature is fairly
mild and constant year-round, however the
building has to make allowances for random
hot spells in summer. The outside air
temperature during these hot spells is way
above comfort level, even at night, says
Pearce. This presents a problem for storing
coolth. Again like the termites, CH2 will use
evaporative cooling to store cold energy in
reserve for the really hot days. The cold
energy is generated by dropping water
through the air from a height of 17-metres.
The shower towers cools the water to about
12 degrees Celsius. The cooled water is then
pumped to the basement where it is converted
to latent energy by the Phase-Change
Materials and stored in tanks. The PCM tanks
are much like batteries - each tank will house
10,000 stainless steel balls containing the
PCM (utectic salts) which freezes at 15
degrees Celsius.
"When cold energy is required, we unfreeze
the phase change to cool [a separate stream
of] water which we pump through pipes to the
radiators (or chilled ceilings)," Pearce explains.
The cool water is then recirculated through
the building to the PCM tanks to begin the
process again. It's much like the regenerative
nature of all livings systems which inspired
CH2’s design. BA
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