Technology helps builders cut costs but change leads to regulatory issues

TRADITIONAL building methods will soon come under pressure as technological change hits the construction industry.

Technological change in the construction sector will put pressure on traditional building techniques.

THE rapid pace of technological change in the construction sector will put pressure on traditional building techniques and authorities’ ability to regulate the industry.

Helix Legal consultant Michael Chesterman said construction was one of the few industries that had not experienced major disruption through technology, but 2018 could be the start.

He said as builders looked to cut costs they would embrace new technologies that would put pressure on Queensland regulatory frameworks, similar to how Uber affected the taxi industry and Airbnb with accommodation.

“We’ll see construction technology and construction-software start-ups make their way further into the Australian market,” Mr Chesterman said.

“From apps to drones and wearables to 3-D printing, innovation is making its way into construction and can provide everything from cost-cutting benefits to companies through to an increased focus on safety.

“So one of the confronting issues for all regulators is how do you get in front of these disrupters? Regulators have to protect consumers and rights but still not impede on innovation and growth.”

This year could be the start of major technological disruption for construction.

Mr Chesterman, who spent 22 years with the Queensland Building Services Authority and Queensland Building and Construction Commission, said research had shown that Australian construction tech start-ups had attracted at least $98 million in investment since the start of 2016.

He said with global construction output set to reach US$15.5 trillion by 2030, the pace of innovation and technology in the construction industry needed government and established industry participants to keep up with the changes to ensure quality and safety.

“One of the really confronting issues we will have over the next few years is how much building and construction work will be done under the old traditional means and how much will be done through new ways, like prefabrication enhanced by technology, like robots and artificial intelligence,” Mr Chesterman said.

“It’s a huge issue and I don’t think a lot of the industry is aware of how much change is coming through.

“Innovation is not just about apps. It’s about a sustainable and workable regulatory framework where new ideas are responded to with a combination of an open mind and responsible regulation and we expect to see more of this in the new year.”