The Queensland Building and Construction Commission (QBCC) plays a pivotal role in regulating Queensland’s construction industry. A QBCC licence is essential for individuals and companies undertaking building work, ensuring compliance with legal, financial, and operational standards. For companies, appointing a qualified nominee under their QBCC licence is equally critical. This article explores the significance of a QBCC licence, the responsibilities of nominees, and how both contribute to maintaining high standards in Queensland's construction sector.
What is a QBCC Licence?
A QBCC licence is a legal requirement for individuals and companies operating in Queensland’s building and construction industry. It ensures contractors, builders, and other professionals meet stringent qualifications and financial criteria before offering services. The licensing system protects consumers while promoting accountability and professionalism.
When Do You Need a QBCC Licence?
You need a QBCC licence if you are:
Performing building work valued over $3,300 (including materials and labour).
Advertising or contracting to undertake building work.
Supervising or managing construction projects as a nominee or site supervisor.
Engaging in specialised trades such as plumbing, gas fitting, or electrical work.
Certain activities—like fire protection or hydraulic services—may require licensing regardless of project value. Always confirm your requirements before commencing work.
Types of QBCC Licences
The QBCC offers several licence categories tailored to different roles:
Contractor Licence: For individuals or businesses contracting directly with clients.
Site Supervisor Licence: For professionals overseeing construction sites without client contracts.
Nominee Supervisor Licence: For individuals nominated by companies to manage their building work.
Occupational Licences: For trades like plumbing, gas fitting, or pest control.
Choosing the correct licence depends on your role. Companies must also ensure their nominee holds an identical class of licence.
The Role of a Nominee Under a QBCC Licence
When applying for a QBCC licence, companies must nominate an individual to act as their representative or "nominee." This person ensures compliance with obligations under the Queensland Building and Construction Commission Act 1991 (Qld)(QBCC Act).
Who Can Be a Nominee?
To qualify as a nominee for a company’s QBCC licence, an individual must:
Be an employee, director, or secretary of the company.
Hold an identical class QBCC licence to that of the company.
Meet the "fit and proper person" criteria set by the QBCC (e.g., no criminal convictions or unresolved defective work).
Responsibilities of a Nominee
Nominees play an essential role in ensuring compliance with legal and contractual obligations. Their key responsibilities include:
Supervising Work: Implementing systems to oversee employees and contractors effectively.
Conducting Inspections: Regularly inspecting worksites to ensure quality standards are met.
Rectifying Defects: Identifying issues in construction work and arranging prompt repairs.
Maintaining Licensing Compliance: Ensuring their personal QBCC licence remains active throughout their tenure.
Strong organisational skills are crucial for nominees managing multiple projects or worksites.
What Happens If There Is No Nominee?
If a nominee resigns or loses their personal QBCC licence, the company must appoint a replacement within 14 days. Failure to do so can lead to severe consequences such as suspension or cancellation of the company’s QBCC licence.
Risks Associated with Being a Nominee
While being a nominee can advance your career, it also comes with risks:
Licence Suspension: Non-compliance or defective work under your supervision could result in suspension of both your personal and the company’s licences.
Legal Liabilities: Penalties may apply if defects are not rectified promptly or if directions from the QBCC are ignored.
Future Disqualification: Failure to meet obligations could disqualify you from acting as a nominee in future roles.
To mitigate risks, nominees should establish robust supervision systems and maintain meticulous records.
How Do You Apply for a QBCC Licence?
Applying for a QBCC licence involves these steps:
Identify the appropriate licence type based on your role (e.g., contractor or nominee supervisor).
Complete an application form available on the QBCC website.
Provide supporting documents like proof of qualifications, experience, and financial details.
Pay applicable fees.
For companies nominating an individual as their nominee supervisor, additional documentation confirming employment status may be required.
Why Is Supervision Important Under a QBCC Licence?
Supervision is vital for ensuring compliance with safety regulations and maintaining quality standards in construction projects. Proper supervision helps:
Minimise defects in completed work.
Protect consumers from substandard practices.
Reduce legal disputes between contractors and clients.
What Happens If You Operate Without a QBCC Licence?
Operating without a valid QBCC licence can result in:
Fines up to $27,570 for individuals or $137,850 for companies (as of 2025).
Inability to enforce contracts legally.
Disqualification from obtaining future licences.
Unlicensed operators also face reputational damage within Queensland's regulated construction industry.
Can One Person Be a Nominee for Multiple Companies?
Yes, an individual can act as a nominee for multiple companies if they can adequately manage supervisory duties across all entities. However, this requires careful planning to avoid liabilities due to inadequate oversight.
Why Maintaining Your Personal Licence Matters
A personal QBCC licence is crucial for nominees—not just for compliance but also for safeguarding professional opportunities. Lapses in licensing can lead to:
Disqualification from acting as a nominee.
Loss of employment opportunities within licensed companies.
Legal liabilities stemming from unlicensed work.
Nominees should regularly review their licensing status and address any issues promptly.
Final Thoughts
Holding a valid QBCC licence is fundamental for anyone involved in Queensland’s construction industry—whether as an individual contractor or part of a larger company. For businesses, appointing an experienced nominee ensures compliance with regulatory requirements while maintaining high standards on-site. However, both companies and nominees must fully understand their responsibilities under Queensland law to avoid penalties or reputational harm.
If you need assistance navigating your obligations under the Queensland Building and Construction Commission Act 1991 (Qld), Merlo Law’s experienced construction lawyers are here to help. Whether you’re applying for your first QBCC licence or dealing with disputes related to defective work or licensing compliance, we provide tailored advice every step of the way.
This publication considers legal and technical issues in a general way. It is not intended to be legal advice. Any legal advice is qualified on the basis that the reader should immediately confirm the information relied upon with Merlo Law. We look forward to being of assistance.
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