Building authorities are getting on technology bypass. Thus, project approval could improve.
Companies that have been struggling with problems around the digitization of construction management in recent months could see some relief from February. Thanks to a technological bypass, there should be mutual integration of the proven system with the new digital one. All this is happening at a moment when the construction industry is catching a second wind.
After last year's Prime Minister Petr Fiala dismissed Ivan Bartoš, the head of the Pirate Party, due to botched digitization of construction management, it was unclear how new construction projects would be approved. As it turned out, the new Building Act, which was supposed to be effective from July 1 to allow for faster and less complicated construction approval process, did not work in practice.
According to a survey by the Czech Chamber of Chartered Engineers and Technicians active in construction, the average length of land use proceedings according to the old law for residential buildings was five months, the same as for their construction permits. Joint land use and building proceedings then lasted on average half a year.
According to the Vice-Chairman of the Czech Chamber of Authorized Engineers and Technicians Michal Drahoda, as he told ČTK, it was a mistake that the Building Act was amended without the necessary analysis of the actual length of the permitting process and identification of the main procedural problems. The creators of the new standard then referred to the Doing Business ranking, which, however, the World Bank stopped publishing in 2020 due to the lack of transparent data and misleading methodology.
Bypass brought change
The solution to finding a way out of Bartoš's problem turned out to be the amendment to the building law, which was simply called bypass. In medical terminology, a bypass is understood as a bypass of a narrowed or closed artery section to restore blood flow in the tissue.
Legislative bypass, i.e. the last amendment to the building law, allowed building authorities to work in new and original building management systems, which worked until the end of last June. This mainly includes the mandatory electronic submission of documents via the builder's portal, if prepared by a designer, and also the preservation of the possibility of using existing local systems.
Technology is to connect all building authorities
To restore the original functional model, the new Information System of Building Control is now being connected to local systems, which were commonly used in building authorities in the past. Everything is expected to be fully operational in February, hence in just a few days.
"The connection to the bypass is absolutely voluntary. Likewise, authorities will be able to choose which operations they will carry out in the new or original system of building control. For many of them, it represents a return to an environment they are familiar with, therefore it is possible to expect an acceleration of the processes of building control. To make the new system run as smoothly as possible, we regularly discuss the status of digitisation with all building authorities at our online meetings,"
Minister for Local Development Petr Kulhánek stated in a press release. With this measure, the state primarily aims to bridge the time until a completely new system is prepared in three years. Some developers also praise the current state.
The real estate sector wants a functioning system as soon as possible
"It is great that the bypass was successful. This got us through the worst period. But the question is, what happens next?"
Pavel Sovička, Executive Director of Panattoni, commented on the current situation for LP-Life.
The transition period will last until the end of 2027. The Ministry of Local Development wants to close the contract for the construction of a digitalization system for construction management by this time.
"It's important for the state to stop hindering the construction industry by introducing problematic new building laws and failing digitalization, and to fine-tune the new system as soon as possible to avoid further unnecessary delays,"
The Central Group's executive director, Michaela Váňová, mentioned this for the editorial team. Minister Kulhánek is calming the expert public.
"We are currently working on the so-called business assignment, i.e. we are writing requirements for the future system - what all it has to be able to do. This document will be one of the inputs for the selection process. It is clear that the new government will have to finish the task. That's why I try to inform as wide a spectrum of partners as possible about our steps, both from the coalition, the opposition and from the expert public. It is necessary to ensure the greatest possible continuity in this large and important project,"
explained the minister.
Changes that the new Building Act is expected to bring should help builders and real estate investors shorten the time needed to obtain the necessary number of stamps. The longer a project is prepared, the greater the associated costs. As some experts point out, accelerated preparation could also be reflected in the final price, i.e. the costs for which we purchase new apartments. Will we see cheaper apartments?
Sources: author's article, personal questioning, ČTK
