Under this Act, 0.1% of the contract value (above $20,000) of every construction project put forward for building consent in New Zealand is payable by the builder to BRANZ.
In practice, the Levy is charged and collected by building consent authorities and then paid to BRANZ.
How BRANZ uses the Levy
Money raised by the Levy is used by BRANZ for:
- conducting construction industry-related research and other scientific work
- allocating grants to individuals or organisations carrying out construction industry-related research
- publishing information
- establishing and maintaining a library
- holding lectures, seminars, exhibitions and public meetings to disseminate information about building research
- providing an advisory service
- acquiring land and premises for the purposes of BRANZ
- paying staff salaries and honoraria to directors.
Income from the Levy
The amount of Levy funds collected each year can vary significantly depending on the level of building activity. To account for these annual variations, BRANZ sets aside funds in high Levy income years to be used in times of low Levy income.
Read about BRANZ's approach to Levy stewardship: Investing the Building Research Levy.