7 Dec 2024

Australian company delays plan to end support for building consent software

3:37 pm on 7 December 2024
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The software upgrade would increase the cost of building consents. Photo: 123rf

A technology upgrade that could have pushed up the cost of many building consents has been delayed.

Market heavyweight Objective had been fined over a million dollars linked to market takeovers in New Zealand.

The Commerce Commission had been investigating the Australian company's plan to end support for its current software in early 2026, with new software coming in.

The commission has been investigating Objective's plan to end support for its current software in early 2026, with new software coming in.

It raised concerns with Objective that this gave customers insufficient time to find an alternative, "based on evidence provided from other software providers, government agencies, and a large number of BCAs [consenters, mostly councils]".

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Councils would have an additional full financial year to assess their options, "ensuring they realise the full benefits of competition between solution providers".

Objective had been constructive and cooperative in an investigation that took place under amended laws that prohibit misuse of market power, according to the commission.

It had not formed a view of whether there had been a breach of any law, it said.

RNZ previously reported on Objective's moves, and a request to councils for more information revealed the potential cost increase for a consent, as well as some internal communications.

Objective objected that this included confidential or commercially sensitive information.

RNZ expects to report on this further shortly.

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