The Queensland Government has announced an extension of the commencement dates for the remaining two phases of the building and construction industry trust account framework by nine months.
This means that, for project trust accounts:
- Phase 3 (eligible private sector, local government, statutory authority, and government-owned corporations’ contracts of $3 million or more) which was to commence on 1 July 2022 – will now commence on 1 April 2023.
- Phase 4 (all eligible contracts of $1 million or more) which was to commence on 1 January 2023 – will now commence on 1 October 2023.
The final phase of retention trust accounts (to apply throughout the contractual chain on eligible projects) will now commence on 1 October 2023.
This extension acknowledges the findings of a late 2021 ‘health check’ of industry readiness, ongoing impacts of the COVID-19 pandemic, market capacity in the industry and, most recently, the significant natural disaster events in South-East Queensland.
It will allow more time for smaller industry stakeholders to prepare and the government to support industry with the transition.
Additional information is available in a Department of Energy and Public Works newsflash released on Tuesday.