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Building cover scheme set to proceed

Northern Territory’s Residential Building Cover Scheme will proceed in 2013 under the Country Liberals government.

Business Minister Peter Chandler has responded to concerns raised by the Master Builders Association about the commencement of building cover in the Territory, which is set to provide a safety net for investors wanting to build a home.

“The package earmarked to commence on January 1, 2013 includes the establishment of a fidelity fund to provide residential building cover in the event of the death, disappearance or bankruptcy of a builder, regulated progress payments; establishment of a Commissioner of Residential Building disputes and maintenance of $50,000 of net tangible assets by builders,” Mr Chandler said.

“Upon winning Government, the Country Liberals became aware of issues relating to the drafting of regulations to support the proposed package.

"Territorians undertaking the considerable investment associated with building a home deserve to be protected from unforeseen circumstances,” he said.

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