Audit of Yuanda building products

The Building Commissioner commenced an independent audit of Yuanda-supplied building products in the WA construction industry, beginning with the Perth Children's Hospital (PCH) and products that may contain asbestos.

Announced by Building Commissioner Peter Gow on 15 July 2016, the audit follows the discovery of Yuanda building products containing asbestos in the under construction PCH building. The focus of the audit was on high-risk building products in the first instance.

The audit scope was extended to include other building products or areas of concern as they arose, including those relating to plumbing, fire safety and others.

A final report on the PCH audit was released in April 2017 and followed the release of an interim report in September 2016. A separate audit is assessing all Yuanda-supplied products and materials installed in other WA buildings.

General inspection report

Final report – A general inspection into Yuanda-supplied products in the Western Australian building industry – August 2017

Media statement: A general inspection into Yuanda-supplied products in the Western Australian building industry – August 2017

Final audit report

Final report – Perth Children's Hospital audit – April 2017

Media statement: Final report on PCH released – April 2017

Summary of final report – Perth Children's Hospital audit – April 2017 

Test results – Perth Children's Hospital lead level patterns

Interim audit report

Media statement: Interim report on PCH asbestos released – September 2016

Interim report – Perth Children's Hospital asbestos – September 2016

Summary of interim report – Perth Children's Hospital asbestos – September 2016

Audit update 1 – 1 August 2016

Media statement: Independent WA audit of Yuanda building products announced – July 2016

About the audit

The initial focus of the audit is the safety of the PCH site and the risks to public safety.

The audit will examine the building work and building records at the PCH for evidence that the building has been completed in accordance with the plans and specifications; whether the building laws have been complied with; and how the building standards have been applied.

The audit will also examine other buildings that contain products supplied by Yuanda for evidence that the products conform to the plans and specifications and the applicable building standards.

How long will the audit take?

There is no set time limit, the audit will continue for as long as it takes to be satisfied that the PCH building is suitable and safe to be used.

What parts of the PCH building will be audited?

The entire PCH building is covered by the audit, which will focus on high-risk building products in the first instance. Depending on what is found, the audit may extend to other building products or areas of concern.

What else will be looked at?

The audit of building products used in the construction of the Perth Children's Hospital is the first step in a wide-ranging investigation that will be carried out in association with WorkSafe and other relevant agencies. The Commissioner will determine where other products supplied by Yuanda have been used across the State and that those buildings are suitable and safe to be used.

The relevant regulators are also working to identify how this product containing asbestos was able to enter the country. If during the investigation there is any evidence of inappropriate or improper conduct, it will be dealt with accordingly by the relevant regulator.

What action can the Building Commissioner take?

Building and Energy (through the Building Services Board) registers builders and audits building work. Should a builder be found to have failed to meet their obligations under the Building Services (Registration) Act 2011, the Building Commissioner or State Administrative Tribunal have a range of disciplinary actions/outcomes available to them, which include a caution, reprimand, fines, requiring further training to be undertaken, placing conditions on a builder’s registration or deregistering the builder. There are also offences under the Building Act 2011 for failure to comply with applicable building standards, which may result in fines or imprisonment for repeated offences.

How many buildings will be checked?

Building and Energy is undertaking a thorough investigation to determine which WA buildings other than the PCH contain Yuanda products. Any buildings found to contain Yuanda building products will be audited as part of the investigation.

What is being done to address issues around non-conforming and non-complying building products?

Through the national Building Ministers’ Forum, Building Ministers including the WA Minister for Commerce are working cooperatively to address safety issues associated with non-conforming and non-complying building products. 

A Senior Officers’ Group (SOG) consisting of representatives from all jurisdictions has been established to report on ways to minimise the risks to consumers, businesses and the community. 

Read more about the Building Ministers' Forum, including communiques from the meetings, on the Department of Industry, Innovation and Science web page.

What resources are available?

Below is a list of resources about ensuring building product compliance. The list will be developed as additional resources become available.

Resource Description
Asbestos in imported building products Communication sent to all registered builders and building surveyors in August 2015
Procurement of Construction Products  Australasian Procurement and Construction Council guide to achieving compliance
Safety alert 04-2016 Asbestos in imported building products WorkSafe safety alert issued in August 2016
Product compliance industry guide released A Housing Industry Association information sheet
Client supplied products – What should a builder check? A Housing Industry Association information sheet
Building products – Are you getting what you paid for? A Housing Industry Association information sheet



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