Currently, the licensing threshold is 200 square metres and, prior to issuing an asbestos licence, WorkCover requires evidence that a Public Liability insurance policy has been purchased and endorsed for asbestos removal.

Under the amendments to the Occupational Health and Safety Regulation 2001, from 1 January 2007, builders removing bonded asbestos (fibro) involving 50 square metres or more will be required to obtain an asbestos licence.

The threshold will be reduced further to 10 square metres from 1 July 2007.

Quotes obtained by the MBA indicate that the premium for a policy with a limit of liability of $10million is $9000.00 plus GST and Stamp Duty

MBA's Executive Director, Brian Seidler said, "the cost of obtaining a licence under the amendments will simply encourage illegal removal of asbestos and illegal dumping". "Builders will have to pass the cost on to their clients, which will result in either projects not going ahead; or clients making their own arrangements for the removal of the material", Mr Seidler said.

"The majority of professional builders are very aware of the hazards in removing asbestos materials.

"Many builders have colleagues who are ill or have died from asbestos-related diseases, so the awareness level is high.

"However, on any given weekend, owner-builders and the DIY brigade are undertaking their own building projects involving fibro and other asbestos related materials. In doing so, they are putting themselves and immediate neighbours at risk.

"The owner-builder sector is completely ignored by authorities because they are not under commercial contracts", Mr Seidler said.

The Regulatory Impact Statement (RIS) accompanying the draft regulation failed to identify the cost of insurance. "This was a major omission in the RIS", Mr Seidler said.

The MBA wants to see all building sites requiring council approval, and under an owner –builder permit, to be deemed a 'construction site', under the OH&S Act, to bring such sites under the authority of WorkCover. The insurance issue must also be addressed.

The focus should be on continuing training within the industry. Such training must be accredited and nationally recognised.

The current training to underpin asbestos licensing in NSW is not nationally accredited and therefore may not be acceptable for builders working in other jurisdictions.