New NSW Building Law Passed — What Does It Mean for Strata Schemes?
NSW has passed a major new building law, but most of the broader reforms still await commencement. Strata schemes with defects should keep their current process moving.
The Building (Approvals and Practitioners) Act 2026 has been passed. Limited Schedule 3 amendments commenced on assent, but most of the Act will commence later by proclamation. Building Commission NSW says the broader reforms will come into effect once supporting regulations are developed, with consultation and implementation work continuing through 2026 and 2027.
PASSED is not the same as COMMENCED.
A bill passing Parliament and becoming an Act does not necessarily mean every new rule starts immediately. The Act's commencement section says limited Schedule 3 amendments commenced on assent. The remaining provisions will commence on a later day or days appointed by proclamation.
That distinction matters. Building Commission NSW says supporting regulations must still be developed before the broader reforms come into effect. Consultation and implementation work is expected to continue through 2026 and 2027.
The practical teaching point is simple: PASSED ≠ COMMENCED. Always check which provisions are in force, when they started and whether supporting regulations have been made before changing an existing process.
What are the reforms intended to do?
The new framework is intended to modernise building approvals and strengthen accountability across the building industry. It includes reforms affecting practitioners and certifiers, including clearer rules around independence and conflicts of interest.
The reforms are also intended to support a future structured dispute-resolution process for serious defects in occupied apartment buildings. Important operational detail will sit in regulations that are still to be developed.
These are significant future changes. They should not be confused with the legal and regulatory framework operating today.
What should an Owners Corporation with defects do now?
Do not stop the existing defect-management process simply because new legislation has passed. A scheme should continue to protect its position under the framework and pathways that currently apply.
- Identify and document each defect.
- Obtain appropriate expert advice.
- Notify relevant parties.
- Preserve reports, photographs, correspondence and other evidence.
- Monitor limitation periods, warranty periods, statutory notices and other relevant deadlines.
- Continue using existing Building Commission NSW and defect-management pathways where applicable.
Keep the current process moving.
A future approvals or dispute-resolution pathway does not pause today's investigations, notices, repairs, evidence preservation or deadlines. Owners corporations should keep obtaining scheme-specific technical and legal advice and continue the steps already required to protect the building and the owners.
As further provisions and regulations commence, schemes can then review what the new framework changes for their particular matter. Until then, the safe approach is to understand the future reform without abandoning the current process.
A future pathway does not protect a scheme from today's deadlines.
Stopping or delaying an existing defects process can put evidence, deadlines and legal rights at risk. The passage of the new Act is a reason to stay informed—not a reason to assume the current framework has disappeared.
Review the scheme's live defect register. Confirm the next action, responsible person, expert status, evidence held, notices already issued and every relevant deadline. Check whether an existing Building Commission NSW pathway applies, and record who will monitor the new Act and supporting regulations as they commence.
STRATA IQ takeawayPASSED ≠ COMMENCED. Know what has changed, know when it starts and keep the current defect-management process moving.
Turn the explanation into practice.
Open the linked Guide or Academy pathway when you need the complete checks, official sources and practical learning.