Plumbing and Drainage Bill 2011

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Plumbing and Drainage Bill 2011 (Proof)
About this Item
Speakers - Burton Ms Cherie; Spence Mr Chris; Torbay Mr Richard; Speaker; Baumann Mr Craig; Lalich Mr Nick; Issa Mr Tony; Rowell Mr Jai; Patterson Mr Chris; Williams Mr Ray; Sage Mrs Roza; Roberts Mr Anthony
Business - Bill, Message, Agreement in Principle, Passing of the Bill, Motion

PLUMBING AND DRAINAGE BILL 2011
Page: 1

Agreement in Principle

Debate resumed from 13 October 2011.

Ms CHERIE BURTON (Kogarah) [10.00 a.m.]: I lead on behalf of the Opposition on the Plumbing and Drainage Bill 2011. At the outset I inform the House that New South Wales Labor supports the intent of the bill; however, it considers that some minor amendments need to be made. The main objects of the bill are to transfer responsibility for regulation of on-site plumbing and sanitary drainage work from water utilities and councils to NSW Fair Trading and to require compliance with the prescribed standards for plumbing and drainage work with the Plumbing Code of Australia.

I congratulate the Government on continuing the consultation process started under the previous Government to improve the oversight framework of this important industry and on adopting some of the key concerns of those involved in the industry. Opposition members support moving towards a national standard for the regulation of plumbing but we must ensure that no unintended impacts are associated with that transition. Minister Roberts has indicated that there are no plans to change the licensing arrangements for the plumbing sector—the bill has minimal impacts in that regard—and I urge him to not renege on that promise in the future. The Master Plumbers Association of New South Wales has raised further concerns. I thank the Government and the Minister for the ongoing negotiations that have occurred in an endeavour to accommodate those concerns, but the Opposition reserves its right to move amendments to the bill in the other place.

Some of the proposed amendments are intended to ensure that the relevant Acts contain consistent definitions in home maintenance and construction. Other amendments are intended to ensure that adequate training is undertaken by those who perform plumbing works. Importantly, the Opposition seeks to introduce an amendment to create an advisory council to ensure that a formal framework is in place for industry members to raise their views with government. It is my understanding that the Government is open to discussions on that but how it will work is still a matter for negotiation. The Opposition has consulted with the Minister about the proposed amendments and he has agreed to consider them before the final passage of the bill through the other place.

Achieving the best possible outcome for the industry is what matters most. I congratulate Minister Roberts on his consultation with the Opposition on this extremely important legislation for plumbers. As the stakeholders want to have an input into the operation of the legislation, agreement has been reached with the Government that a roundtable of plumbers will held in six months time to review the effect of the legislation and to determine whether any changes need to be made. Refreshingly, Minister Roberts has put this matter above politics. This is an example of sensible government endeavouring to find the right public policy response in consultation with key stakeholders and other members of Parliament. Hopefully, the industry will benefit from any agreement reached.

Mr CHRIS SPENCE (The Entrance) [10.05 a.m.]: I support the Plumbing and Drainage Bill 2011. The bill will reform the New South Wales on-site plumbing and sanitary drainage regulatory framework. The current regulatory framework for plumbing and drainage work is overly complex and fragmented. It is regulated under seven separate legislative frameworks, with more than 100 separate regulatory bodies including local councils and the Sydney Water and Hunter Water corporations. The framework allows each regulator to impose different technical requirements. Each regulator has a specific set of different technical requirements based on the New South Wales Code of Practice for Plumbing and Drainage, but with his or her own local variations. This creates inconsistency and uncertainty, leading to unnecessary costs for business, consumers and government.

The reforms proposed in the bill were initially suggested by the Better Regulation Office, which undertook a comprehensive review of on-site plumbing and drainage arrangements in 2009. The Better Regulation Office found that current arrangements in New South Wales are unnecessarily costly, complex and inconsistent and that they have not kept pace with the introduction of competition or developments in the water industry. It recommended that NSW Fair Trading become the single regulator in on-site plumbing and drainage in New South Wales and that New South Wales adopt the performance-based Plumbing Code of Australia as the single and consistent plumbing standard across the State.

Multiple regulators mean high administrative and compliance costs. Industry must bear the cost of duplicative reporting. Unnecessary compliance costs also arise as businesses work under different requirements and interpretations of requirements in different areas. Cost to users include navigating a complex framework and dealing with a number of different regulators. Government also bears the cost of coordinating and administering a multi-regulator system. Inspection and compliance processes also vary widely from one area to another under the current arrangements. Each local council water utility has its own inspection and compliance processes. One might have a risk-based inspection system focusing on inexperienced plumbers and complex installations, while another might focus primarily on new developments. Consolidation of regulatory power and the adoption of a single technical standard will result in a more effective inspection regime and consistency applied across all water areas. It will remove the problems of duplication, overlap and gaps that currently occur.

Under the model of the single regulator, compliance efforts will be targeted to those plumbing activities that pose the most risk to consumers and public health and safety, and the requirements for plumbers undertaking work anywhere in New South Wales will be applied consistently. In practice this means that plumbers will be able to work across the State more easily, knowing that the same compliance regime will be applied wherever they work and without having to worry about local-based variations to the standards for plumbing and drainage work. This will reduce red tape for industry, consumers and government. I commend the bill to the House.

Mr RICHARD TORBAY (Northern Tablelands) [10.10 a.m.]: I support the Plumbing and Drainage Bill 2011. My research showed that a similar bill introduced in the last Parliament highlighted some of the issues. At the outset I congratulate the Minister for Fair Trading. The Master Plumbers Association raised some concerns late in the debate, and there was a series of negotiations, including last night and this morning. I commend the Minister for adopting a hands-on approach to get these matters resolved. Within the conversations the Master Plumbers Association advised me that the Minister has agreed in principle to a range of matters, including the creation of a ministerial advisory council for plumbing, implementation of amendments agreed upon with the Master Plumbers Association and as outlined in the response document—the Master Plumbers Association sent me a list of the amendments; as I said, it has in-principle agreement so the details have to be worked through—and to create better liaison with industry, especially in relation to the preparation of regulations. I commend the Minister for taking such a good faith approach to these discussions.

When I originally received the briefing note I did what I always do—I had my office contact the stakeholders to ensure that there is in-principle support on the ground. There is overwhelming support for the bill. When I was doing my research I found that fundamentally this bill is the same as the one introduced by the previous Government last year. I acknowledge that there have been some changes of a minor nature, but the bill is worthy of support. During debate on the 2010 bill the then shadow Minister, the member for Albury, said that the Master Plumbers Association criticised that bill because it was a bureaucrats bill—we have had some discussion about that today. Ironically, he said:

This bill is driven by the needs of the bureaucracy.

So much for consultation with industry. Last year in debate on the Plumbing Bill, which is fundamentally the same bill, the member for Hawkesbury said:

This is the most moronic piece of legislation I have seen in the time that I have been in this Parliament.

Mr Ryan Park: Where is he?

The SPEAKER: Order! The member for Hawkesbury is not here, luckily. He has gone home.

Mr RICHARD TORBAY: There is a bit of a division so we will not see him. The member for Hawkesbury said that the 2010 bill was moronic because it proposed to establish a regulator and that the establishment of Fair Trading as an industry regulator was "another level of unnecessary bureaucracy". I am glad he has seen the light. Different Government, same briefing note. Opposition for opposition's sake is not a good thing for parliamentary democracy. If legislation is good and in the public interest it should be supported by all sides. Having read the bill, I wanted to make a couple of points. I could have made some points about the member for Davidson, but I decided to let those go in deference to his great chairing skills in the Public Accounts Committee. If the arrangements with the Master Plumbers Association are taken on board in good faith, as the Minister has indicated, the bill should be commended to the House, which I do.

Mr CRAIG BAUMANN (Port Stephens—Parliamentary Secretary) [10.14 a.m.]: I will make a brief contribution to the Plumbing and Draining Bill 2011. As I have said in this House on numerous occasions and as I indicated on my member's return, I have been in the building industry for 30 odd years and I have a couple of building companies. Over the years I have met both good and bad plumbers and I have worked closely with them. I think this is a great bill. The member for Northern Tablelands quoted debate on the 2010 bill. That bill is completely different to the bill before the House today, which will fix most of those problems. This bill incorporates some important new provisions that stakeholders have told us will make it better legislation from the bill that was put forward by the former Government last year.

The 2010 bill included a requirement for plumbers to provide the owner of a property with a certificate of compliance after completing a job. The bill before the House today now includes a requirement for the plumber to provide this certificate to the person who contracted him or her to undertake the work, in other words, either a head contractor or the owner. Stakeholders have advised that it is vital that a builder is able to answer the question of whether work on his or her site complies with relevant legislation and standards as it is the builder who has ultimate responsibility for the job as a whole. Earlier I mentioned working with bad plumbers. There are always good plumbers who can fix the problems caused by bad plumbers, but it is the builder's responsibility. The new provisions provide that assurance to builders.

It will be the builder's responsibility to ensure that a copy of the certificate of compliance is provided to the owner of the site or the owner's agent. The bill also addresses problems that can occur when a new plumber takes on a job part way through. In these circumstances new plumbers could be held responsible for substandard work undertaken by their predecessor. This does not normally happen in residential instruction; it is something one tries to avoid but when a plumber abandons work or has done shoddy work the new plumber should not be held responsible for that, although it is usually fixed by him. To ensure that the work of each plumber is properly identified and inspected, a new notice of work will be required if there is a change of plumber undertaking the work or if the scope of the work changes substantially from that described in the original notice of work.

Another change from the 2010 bill is that a broader exemption power is now granted to the regulator. This power will allow NSW Fair Trading to identify, by regulation, minor works to be exempted from the pre-notification, inspection and other administrative requirements of the Act. Under the current regulatory framework, there are no specific exemptions for work that does not pose a serious risk to the health and safety of the community. This means that plumbers are technically supposed to have all their jobs inspected, even if they are simply installing a water-saving shower head or fixing a leaky tap. This amendment provides an assurance to plumbers that when they undertake a small, simple job they do not have to comply with all the legislative requirements that are designed to protect the community from poor work that has a high risk of affecting public health and safety.

This does not mean that anyone can do the work. The bill still requires that a licensed plumber undertake these jobs, that the work meets the requirements of the Plumbing Code of Australia and that authorised fittings are used. The kinds of works that might be excluded include replacement of tap washers and fitting of water-saving devices, minor repairs such as fixing a broken pipe, like-for-like replacement of a fixture such as a toilet or a basin and home renovations where no plumbing has been changed. The bill has been substantially redrafted to ensure that the functions and powers of the regulator are clearly set out. The bill is much improved from the rushed job that was put forward by the former Government at the end of the last year. Some parts of the bill are excluded, and I refer to things such as stormwater drainage or roof plumbing.

Stormwater drainage is the responsibility of local councils. On most sites the plumber would carry out that work. Roof plumbing, such as metal roofs, gutter and fascia and downpipes, do not need a plumber to do that work. Other types of work that are not within the scope of the plumbing bill include fire suppression systems, which are installed by specialist contractors, domestic and commercial irrigation systems that cause no risk to public health and plumbing on vehicles, boats and aircrafts, as one would expect. I congratulate the Minister on introducing good legislation. I am sure New South Wales plumbers will be happy with it.

Mr NICK LALICH (Cabramatta) [10.19 a.m.]: I support the Plumbing and Drainage Bill 2011 which has as its objects:

(a) to regulate the carrying out of plumbing and drainage work, including by prescribing the standards and requirements that must be complied with in carrying out such work, and

(b) to provide for a single plumbing regulator to oversee the regulation of plumbing and drainage work regardless of where the work is carried out in the State.

This bill builds on legislation that was introduced to the Parliament under the former Labor Government. I also commend the Minister and the Government for continuing the consultation process. It is no surprise to those in the plumbing and drainage industry that the current system could be improved as it is highly complex and at times confusing and costly for industry. From my experience as a former tradesperson working as an electrician for Prospect Energy it is important to get right the legislative framework for such work. Trades men and women have a difficult enough job and do not need the added headache of having poor legislative frameworks hanging over them.

I applaud the move towards a national standard for the regulation of plumbing. The Opposition supports this proposal, but needs to ensure that no unintended impacts are associated with that transition. The Minister said that there are no plans to change the licensing arrangements in the plumbing sector. I urge him to stick to that promise and not go back on his word. The Master Plumbers Association, the lead plumbing industry organisation, has raised some concerns with the bill, which the Opposition will address through amendments. The object of the amendments is to make sure that the various Acts affecting home maintenance and construction have consistent definitions. Other amendments will ensure that people undertaking plumbing works undergo adequate training.

The New South Wales Labor Opposition will move an amendment seeking the creation of an advisory council to ensure that a formal framework operates through which plumbing industry members have appropriate channels to raise issues and views with the Government. I understand that the Minister is currently considering this proposal and our foreshadowed amendments. It is not often that I speak well of members sitting opposite, but on this occasion I congratulate the Minister on his consultation with the Opposition on this bill. I applaud his agreement with the shadow Minister to convene a roundtable of plumbers every six months to review and finetune the legislation. This is sensible government legislation following appropriate consultation. I congratulate the Minister for Fair Trading on his compassion and farsightedness. I encourage other Ministers to follow his good example.

Mr TONY ISSA (Granville) [10.22 a.m.]: I am pleased to support the Plumbing and Drainage Bill 2011. I commend the Minister for Fair Trading for his hard work on this bill, especially in respect to the consultation process. From my knowledge of and involvement in the building industry, I was surprised to learn that of the seven or eight plumbers I approached after the introduction of the bill, probably six were not members of the Master Plumbers Association. They support the Minister and expressed concern about the comments of the association. They believe this bill is the best way to move the industry forward. One of the major reforms recommended by the Better Regulation Office and contained in this bill is the adoption of the Plumbing Code of Australia as the technical standard for on-site plumbing and drainage work in New South Wales.

The current New South Wales Code of Practice for Plumbing and Drainage is inflexible and unnecessarily complex. It includes more than 100 variations and additions to the Australian standard with many variations applying only to plumbing work in a single area of the State. Examples have been reported where a plumber has been required to install a specific type of tempering valve on a hot water system on one side of a street but no valve at all was required on the other side of the same street. Obviously, this is confusing not just for plumbers but also for builders, home owners and regulators. Adopting the Plumbing Code of Australia will do away with this confusion and put in place a single, nationally consistent set of technical plumbing standards across the State. The Plumbing Code of Australia is a performance-based standard that allows for a greater degree of innovation than the prescriptive standards under the current New South Wales code in the introduction of new processes and new technologies.

For example, use of alternative water sources, including recycled water, is encouraged where technical requirements provide for a flexible approach. This is expected to contribute to significant environmental benefits as new plumbing technologies contribute to more efficient and effective use and reuse of water. Developers, builders and home owners are increasingly seeking out new, smarter plumbing and drainage solutions, and consumers are demanding more environmentally friendly approaches. Continuing with the New South Wales Code of Practice for Plumbing and Drainage would leave New South Wales out of step with an industry that seeks a more flexible and innovative standard and with other jurisdictions that have recognised the benefits provided by a national approach.

The Council of Australian Governments recognised that national consistency across building and construction standards should be a priority for all jurisdictions, and agrees that all States and territories will adopt a National Construction Code by October 2012. The National Construction Code will, for the first time, provide a single national set of technical standards for both building and plumbing work by bringing together the Building Code of Australia and the Plumbing Code of Australia under one standard. Adopting the Plumbing Code of Australia now will make sure that New South Wales is ready for this change. I commend the bill to the House.

Mr JAI ROWELL (Wollondilly) [10.27 a.m.]: The Plumbing and Drainage Bill 2011 will establish New South Wales Fair Trading as a "one-stop shop" on-site plumbing regulator. It will create a single point of contact for plumbers, builders and home owners, and streamline administrative and regulatory processes. It will also leverage the existing industry regulation roles of NSW Fair Trading, which include licensing plumbers regulating home building, and investigating and resolving building disputes. Consolidating all these roles, including standard setting, on-site inspection and licensing, into one authority will provide consistency, fairness and accountability while also reducing duplication and complexity. As both licensing authority and regulator, NSW Fair Trading will be able to directly link information from the inspection process to a plumber's licence profile, making it easier to identify poor-performing plumbers and improving compliance and enforcement.

The new regulatory arrangements will also create a one-stop shop for both the plumbing industry and consumers. Plumbers will be able to access information, renew their licences, book inspections and address complaints all in the same place. Consumers will be able to check licence details, have their plumber's work inspected and lodge complaints on residential building and plumbing matters all with NSW Fair Trading. The transfer of regulatory responsibility from water utilities to NSW Fair Trading also removes potential conflicts of interest. Under the current framework, water utilities are both regulators and service providers. The new framework will ensure competitive neutrality in situations where there is the potential for the entry of competitive providers of water, sewerage or recycled water services.

NSW Fair Trading will take direct responsibility for all plumbing inspection and regulatory activities in the Sydney, Blue Mountains, Illawarra and Hunter regions. In regional areas, NSW Fair Trading will be able to delegate specific functions to local councils that already have the expertise required to undertake regulatory activities. NSW Fair Trading will provide support and advice to local councils and will have ultimate responsibility for coordinating regulatory matters.

This will allow for local expertise to be retained, while at the same time ensuring that a consistent interpretation of requirements is applied across the State. Consolidating all regulatory power into one body means a more effective inspection regime with consistent application across all areas, and the ability for the inspection regulator to immediately suspend the licence on the basis of non-compliant work. It also removes the problems of duplication, overlap and gaps that currently occur with a system of over 100 regulators. The regulatory framework outlined in this bill will improve certainty, reduce costs and ensure the integrity of the plumbing and drainage network. It is the best way to protect the health and safety of the community and to ensure fairness, consistency, and accountability for the industry.

This will specifically benefit the residents of the Wollondilly townships that will be receiving sewerage following the recent release of the State's budget. This Government has allocated many dollars to provide sewerage services, which is essential yet overdue infrastructure. These townships will be requiring the services of the plumbing and draining industry and will be demanding excellence in service provision. I am pleased by the implementation of this bill as it will ensure a high quality of infrastructure is constructed within Wollondilly for the betterment of residents and the region as a whole.

The plumbing and drainage industry represents an integral component of the trades industry which supports the maintenance and development of the State's infrastructure. The Government has already demonstrated its commitment to strengthening the State's infrastructure through Infrastructure NSW. This Government will continue to work towards improving the State's infrastructure by supporting key industries, such as plumbers, to ensure a productive and efficient State. Make no mistake, we are addressing the infrastructure deficit. To ensure such improvements to the industry are effective, the Government ensured that an in-depth consultation process was held in order to gather insight and expertise from key industry and government stakeholders. This process has enabled a comprehensive reform of the current system. I welcome these initiatives of the Government and commend the Minister for Fair Trading for his commitment to ensuring the positive reform of the current legislation. I commend the bill to the House.

Mr CHRIS PATTERSON (Camden) [10.31 a.m.]: I wish to speak today on the Plumbing and Drainage Bill 2011. For years the plumbing industry has dealt with more than 100 separate regulators of on-site plumbing and drainage work in New South Wales. Unlike the previous Government, the O'Farrell Government listens to small business people. With the regulations placed upon tradesmen these days, running a business is almost impossible. Businessmen are working longer hours and needing to employ office workers to negotiate their way through the unending paperwork required to be completed by government bodies. This bill seeks to address these anomalies and, with true consultation with industry stakeholders and government bodies, the regulatory burden and numbers of Acts has been reduced from five to one. This will reduce the complexities which created additional costs for plumbers, homeowners and businesses. The plumbing industry has been frustrated for years with the red tape of regulations they have had to deal with. This has only reduced the industry to doing more paperwork, rather than getting on with business.

As a local government councillor in one of the fastest growing regions in New South Wales, I have often been approached by constituents who are building a home in one of our beautiful housing estates and who have found inconsistencies in one home or another with the multitude of regulations and rulings regarding the plumbing and water industries. In a move to improve regulation of the New South Wales plumbing industry, the New South Wales Government has announced that Fair Trading, under the stewardship of the wonderful Minister for Fair Trading, will become the State's single plumbing and drainage regulator.

Mr Nick Lalich: He is good. I do not know about wonderful—but good.

Mr CHRIS PATTERSON: I am happy to acknowledge that point of order—the good Minister for Fair Trading. This decision followed a 2008 review of the New South Wales plumbing and drainage regulatory framework and recommendations for reform by the Department of Water and Energy and the Better Regulation Office. Under the new-look plans, standard setting, on-site regulation and licensing for the plumbing industry will be consolidated, providing a more effective and consistent regulatory framework across the State and enabling a greater focus on compliance by linking licences to plumbing and drainage work. This bill will integrate functions, reduce administrative inconsistencies for industry and consumers, and provide a one-stop shop to access information and address issues or complaints. Consolidation of all plumbing and drainage regulatory power in one agency will ensure a more effective inspection regime, with consistent application across all water supply areas, and will provide the inspecting regulator with a range of measures when investigating non-compliant work.

Problems of duplication under a multiregulatory system will also be avoided, with the adoption of the performance-based Plumbing Code of Australia as the technical standard in New South Wales for plumbing and drainage work, in place of the New South Wales Code of Practice for Plumbing and Drainage. The Plumbing Code of Australia will provide a more flexible, outcomes-based approach and allow for new and innovative alternative plumbing solutions. This in turn will enable the industry and its workers to provide a service to the community and others that the industry has not been able to provide for years.

Finally, the plumbing industry will have clear guidelines to enable the industry to do the work it is supposed to do, and take away the red tape and bureaucracy that was stalling the progress and expansion of a well-respected trade in New South Wales. The Government has made a commitment to make the New South Wales economy number one again and to do that we need to support all sectors of the building industry, of which plumbers play a major part. I commend this bill to the House.

Mr RAY WILLIAMS (Hawkesbury—Parliamentary Secretary) [10.35 a.m.]: It gives me great pleasure this morning to discuss the Plumbing and Drainage Bill 2011. At the end of last year, I made the comment that the plumbing bill introduced by the former Government was the most moronic piece of legislation ever to come before Parliament. I stand by that comment, because that is exactly what it was. However, I am very proud to say that this pro-active Government has sought to consult extensively with all the key stakeholders in relation to the Plumbing and Drainage Bill 2011. I also want to heap credit on the Minister and on the Minister's staff. We are pretty quick to pat ourselves on the back—there is a lot of one-upmanship in politics—but the hardworking staff members in the Minister for Fair Trading's office have worked hard and tirelessly on bringing this bill to Parliament.

One of the features of this Government is that we will always consult broadly with the community. I am sure the many people in the gallery this morning are overwhelmed that we are discussing the Plumbing and Drainage Bill 2011 here today. It is one of those in-depth debates that we have to have. We are certainly happy to do the heavy lifting on behalf of the people of New South Wales. However, as I said, one of the key features of our Government is the fact we will always be happy to consult broadly with the community, as we should. We have to be sure the legislation we bring into this place will improve the lives of the workers in New South Wales.

One of my great criticisms of the bill that was rushed into Parliament in the last two days of the previous Government, was the fact that it was going to impose so much more regulation and so many more obligations on to normal tradesmen. Just to give members some idea, under that bill, a tradesman called to fix a leaky tap washer would have to apply to the Department of Fair Trading and then fill out some huge number of documents, some 32 pages, in order to undertake that work. It was absolutely ludicrous that we should be imposing this type of red tape and bureaucracy on ordinary tradespeople. As I have said many times, I am a tradesperson some four or five times over, so I understand the complexities of small business and certainly the complexities and red tape that tradespeople have to go through. That was my major criticism of that bill.

However, I am very proud that this bill does what it was intended to do—to bring in national standards across Australia. It is important that we have planning regulations that are very similar right across the board. We have that sort of regulation right across New South Wales. From Albury to Tweed Heads we have planning regulations in place that are very similar. That is good, because people change jobs from time to time, and they need to know the same standards apply in the various areas to which they travel.

The purpose of the bill is to reduce regulatory burden and consolidate the number of Acts regulating plumbing in New South Wales from five to one by establishing New South Wales Fair Trading as the single plumbing regulator of on-site plumbing and drainage work in New South Wales and to adopt the Plumbing Code of Australia as the technical standard for the work. Currently more than 100 separate regulators of on-site plumbing and drainage work operate in New South Wales including Sydney Water, Hunter Water and more than 100 council and local water utilities. Each of these regulators has imposed multiple and often differing requirements on top of the New South Wales code of practice for plumbing and drainage. That is why we have introduced the one national standard across the board which will reduce a lot of that regulation.

In June 2009 the Better Regulation Office and the New South Wales Office of Water published the report reforming arrangements for regulating plumbing and drainage in New South Wales. That report found the current system was complex, fragmented and inflexible, creating additional cost for plumbers, home owners and others. Any costs or red tape that is created for business, plumbers, or any tradespeople will be passed on to the consumer. It is important that as a responsible Government we try to reduce the cost of living as much as we can. In 2010 the former Government's plumbing bill was withdrawn—and no wonder, after my comments. I thought it was the most moronic piece of legislation that had ever entered Parliament and very short sighted. Absolutely no consultation had been undertaken. This Government has sought to consult broadly. I am aware that consultation with the Master Plumbers Association has continued up to the last 24 hours as it still had some minor concerns. Those concerns have been addressed and attended to. It is a pity that the former Government did not consult on the bill prior to presenting it to Parliament in December 2010.

We will continue to consult broadly on this legislation. The Minister has set up a ministerial advisory council. That means as work practices and business codes change we will be able to consult at all times with the major stakeholders across New South Wales. One of the features of this Government will be that we will always consult broadly, and will continue to consult. Even though the legislation is going through the House at this time, we have put instruments in place, such as the ministerial advisory council, that will ensure that the Minister will be able to discuss face to face with the Master Plumbers Association and any other stakeholders on the advisory council any issues that come up in the future.

I have covered the majority of things in the bill that I wanted to. The legislation will deliver historic reform and cut much of the red tape for plumbers across New South Wales. Relevant stakeholders have been consulted broadly. The Master Plumbers Association has agreed to terms in the last 24 hours. Other members who have spoken, including the Minister, have covered the bill in detail and I do not need to go back over any other aspects of the bill. I greatly appreciate the fact that we have a new Government in New South Wales and it has picked up this bill, talked to the people that needed to be consulted and it will now bring the legislation up to national standards for the benefit of everybody. I am more than happy to commend the bill to the House.

Mrs ROZA SAGE (Blue Mountains) [10.44 a.m.]: I support the Plumbing and Drainage Bill 2011. The bill has a threefold aim: to decrease the regulatory burden on the plumbing industry by establishing New South Wales Fair Trading as the single plumbing regulator; to adopt the Plumbing Code of Australia as the technical standard for plumbing and drainage work in place of the New South Wales Code of Plumbing and Drainage; and to adopt a risk-based inspection regime targeting those plumbing activities that pose the greatest risk to consumers and public health and safety. Reform of the regulation of plumbing and drainage in New South Wales was initiated by the Better Regulation Office and the Office of Water in November 2008 in a discussion paper examining the current arrangements. Submissions were received from stakeholders from industry and local government and a review report was published in 2009.

Further extensive consultation has been undertaken with key industry stakeholders that include the Office of Water, Hunter Water, Sydney Water, Department of Health, Department of Planning, the Division of Local Government, Master Plumbers Association and the Housing Industry Association. A series of forums for plumbers and local councils were also held. All possible stakeholders have been listened to over an extensive period. This bill addresses one of the Liberal-Nationals Government's commitments of reducing red tape and regulation. As the current regulation stands there is significant non-compliance in the industry, unnecessary cost for business consumers and Government. There are inconsistent standards for compliance across the State. These reforms will streamline the regulatory framework and apply consistent standards across New South Wales.

Currently the plumbing and sanitary drainage framework covers plumbing work that poses a particular risk to consumers or public health and safety and is regulated by seven legislative frameworks. As a result, more than 100 bodies regulate on-site plumbing and sanitary and drainage work across New South Wales. This bill would consolidate this to one Act and establish New South Wales Fair Trading as the single plumbing regulator of on-site plumbing and drainage work in New South Wales. This fulfils one of the key recommendations of the 2009 review by the Better Regulation Office. This will, in effect, create consistency in regulation across New South Wales. The plumbing regulator, New South Wales Fair Trading, may delegate these responsibilities to local councils where appropriate, but ultimate responsibility rests with New South Wales Fair Trading. Current licensing regimes will remain unaffected. One of the reforms of this bill is adopting the Plumbing Code of Australia to replace the current New South Wales Code of Practice for Plumbing. The Plumbing Code of Australia provides a more flexible, outcomes-based approach. This code is part of the Council of Australian Governments National Construction Code which the New South Wales Government is committed to implementing in late 2012. The Plumbers Code of Australia will ensure nationally consistent technical standards. The Plumbing and Drainage Bill 2011 proposes sensible reform to the regulatory framework. I commend this bill to the House.

Mr ANTHONY ROBERTS (Lane Cove—Minister for Fair Trading) [10.48 a.m.], in reply: As honourable members have heard, the primary aim of the Plumbing and Drainage Bill 2011 is to establish New South Wales Fair Trading as the single regulator for on-site plumbing and drainage and to apply national consistent performance standards across State. This will replace an ad hoc and complex system that currently has over 100 regulators and numerous local variations to the plumbing standard. I now turn to some specific issues raised by the member for Kogarah and shadow Minister. I reiterate the point that this bill proposes common sense reforms to the regulation of plumbing in this State, to reduce red tape for industry and update the technical standard that applies to work done under the Plumbing Code of Australia. The bill contains reforms that are good news for plumbers on the ground and will make their daily duties more streamlined.

I have agreed with both the Opposition and the Master Plumbers Association to establish a ministerial advisory council which will advise me on issues surrounding the regulation of plumbing in New South Wales. The council will have broad cross-sectional representation from across the industry. I will work with stakeholders towards specific terms of reference for the council. I also confirm today my earlier commitment to sit down with all relevant stakeholders at a round-table discussion six months after commencement of this legislation and conduct a comprehensive review of its implementation. This will give all interested parties the opportunity to provide valuable feedback on how this legislation is being implemented on the ground, including considering any issues or problems that plumbers on the ground are experiencing. This will provide an important opportunity for us to take stock of the bill's implementation and allow us to triage any emerging problems and nip them in the bud. The bill will streamline and enhance the regulation of on-site plumbing and drainage in New South Wales.

I thank all members representing the electorates of Kogarah, New England, Cabramatta, The Entrance, Port Stephens, Granville, Wollondilly, Hawkesbury, Camden and Blue Mountains for their contributions. Importantly, I also thank all the stakeholders who have contributed to the development of this bill. I particularly thank the member for Kogarah for her positive contribution to this process and her willingness to work with me to deliver the best piece of legislation possible for those tradespeople on the ground. I make particular mention of and acknowledge Susan Dixon, Madeleine Boulton, Emily McKosker, Stuart Smith, Tim James, Belinda Russell, Shane Evans, Kurt Graham and Toni Dickson for their hard work in putting this bill together. I commend the bill to the House.

Question—That this bill be now agreed to in principle—put and resolved in the affirmative.
Motion agreed to.

Bill agreed to in principle.


Passing of the Bill

Bill declared passed and transmitted to the Legislative Council with a message seeking its concurrence in the bill.