A toxic mix of greed, fear, liability protection, zealotry, secrecy, technical errors, and complexity has led to an earthquake prone building policy that will cost $10-billion to save seven lives over 75 years, according to a report released this week.
Economist Ian Harrison, who wrote “Error-Prone Bureaucracy”, has a Master of Public Policy from Johns Hopkins University and has become an expert on policy formulated without regard to evidence, logic, or common sense.
Draft legislation was introduced into Parliament last December to amend the way the Building Act deals with seismic risk to buildings. The key element in the legislation is the “earthquake prone” building definition which intends to apply the existing calibration of 34 percent of the new building standard.
Harrison points out that the policy would cost building owners over $10-billion, would disadvantage tens of thousands of people, it would have a potentially devastating impact on heritage buildings, while the benefits will be less than $100-million, and could be expected to save just seven lives over the next 75 years.
By contrast, Harrison writes, if $10-billion were spent improving road safety and health, thousands of lives could be saved.