Satisfied on reasonable grounds

Posted: 31 July 2024

Person in hi-vis vest reading documents
MBIE has developed guidance for building consent authorities (BCA) applying the 'satisfied on reasonable grounds' test when determining whether building work meets the requirements of the Building Code.

In 2022 the Commerce Commission published a market study into residential building supplies which recommended clear guidance on applying the 'reasonable grounds' test for granting building consents.

When assessing building consent applications, or processing code compliance certificates, building consent authorities must be 'satisfied on reasonable grounds' that the provisions of the Building Code will be met if the building work is completed in accordance with the plans and specifications. There has historically been no set definition of what 'satisfied on reasonable grounds' means, leading to different outcomes across the country. 

This guidance aims to provide a consistent approach for BCAs to apply the 'reasonable grounds' test. It also aims to improve the understanding of what it means to be 'satisfied on reasonable grounds' for everyone involved in the building consent process. The guidance may also be useful for designers, builders and homeowners.

The guidance may help increase nationwide consistency and predictability for the process and outcomes of the ‘reasonable grounds’ test. It may also create clearer obligations and expectations, reduce processing delays and deliver a more seamless experience for those involved in the building consent system.

Read the guidance for being satisfied on reasonable grounds

This information is published by the Ministry of Business, Innovation and Employment’s Chief Executive. It is a general guide only and, if used, does not relieve any person of the obligation to consider any matter to which the information relates according to the circumstances of the particular case. Expert advice may be required in specific circumstances. Where this information relates to assisting people: