Future-Proofing MMC: What the New National Certification Scheme Means for You

The conversation around Modern Methods of Construction (MMC) is gaining real traction in Australia. With a national housing target of 1.2 million new homes in the next five years [1], prefabrication, modular systems, and offsite manufacturing are no longer fringe ideas — they’re being looked to as serious solutions to Australia’s housing and productivity challenges.

The Australian Building Codes Board (ABCB) has released an Issues Paper proposing a National Voluntary Certification Scheme for manufacturers of MMC, covering prefabrication, modular systems, and other offsite approaches. While public submissions closed in August 2025 [2], the final scheme design and rollout roadmap will shape the way MMC is adopted and scaled across the country.

Here’s a breakdown of what’s coming, what to expect, and how to get yourself future-ready.

Why This Matters

The Productivity Commission has been clear: current regulatory barriers are dragging on growth. Certification and inspection regimes designed for traditional on-site builds don’t translate well to MMC, where components are manufactured off-site and installed on-site.

The economic cost is significant. Removing these barriers could lift GDP by $2.9–5.7 billion [3]. To unlock this, the ABCB is therefore focusing on two key reforms:

  • Certification processes: creating clear compliance pathways for prefabricated systems.

  • Inspection regimes: reducing duplication by aligning oversight with offsite production realities.

At the same time, the federal government has announced a pause on new residential changes to the National Construction Code (NCC) until mid-2029, following the release of NCC 2025. Essential safety and quality measures will still go ahead, but no new requirements will be introduced during this period.

For MMC, this pause cuts both ways: it offers stability for planning, design and certification, but may also delay the embedding of new sustainability and innovation standards in the Code.

What To Expect

The proposed National Voluntary Certification Scheme will:

  • Provide nationally consistent definitions for MMC in the National Construction Code (NCC).

  • Create a chain of responsibility that covers off-site and on-site construction.

  • Issue certificates of conformity (like CodeMark) for prefabricated components and modules, streamlining approval.

  • Accredit manufacturers directly, recognising their systems, quality processes, and compliance with the NCC. This means approval doesn’t just apply to one project but can flow through multiple projects once accreditation is secured.

  • Introduce traceability frameworks, supported by digital records and potentially digital twins, to improve quality assurance, accountability, and consumer confidence.

  • Operate on a voluntary, cost-recovery basis, but with strong market incentives for adoption.

Full commencement is scheduled for mid-2028, with definitions and preparatory frameworks ready for adoption from mid-2027.

The Technology Lens: MMC as Digital Manufacturing

What sets MMC apart from traditional construction is that it behaves more like advanced manufacturing than building. Technology is the enabler here:

  • Digitalisation & BIM: seamless planning, coordination, and fabrication specifications reduce errors and improve efficiency.

  • Automation & robotics: new off-site facilities in Australia are already using robotic automation and digital fabrication to produce high-precision components with fewer labour inputs.

  • Traceability & data systems: certification will lean heavily on digital records to track and trace elements from design through to installation, enabling accountability and boosting trust.

  • Adaptability to new tech: the scheme acknowledges MMC definitions must keep pace with emerging innovations like 3D printing, hybrid systems, and new engineered materials such as CLT and composites.

In short, MMC is not just “construction done differently” — it is technology-enabled manufacturing applied to buildings. The certification scheme will accelerate this shift.

Future Readiness: What This Means For Industry

The scheme opens different opportunities depending on where you sit in the value chain.

  • For manufacturers, this is a chance to align early, shaping certification pathways and strengthening market position.

  • For builders and developers, it means rethinking procurement, risk allocation, and how to leverage certified systems for speed and cost certainty.

  • For governments and investors, it offers a clearer framework to scale MMC in social housing and beyond.

The NCC pause provides breathing space. Use this window to align your systems with certification requirements, strengthen digital quality assurance and traceability, and embed DfMA principles. That way, when Code updates resume in 2029, you’ll already be ahead of the curve.

What This Scheme Won’t Solve

While the National Voluntary Certification Scheme is a big step forward, it’s not a silver bullet. Certification alone won’t unlock the full potential of MMC unless other systemic barriers are addressed:

  • Financing and insurance: banks and insurers still view MMC as unfamiliar territory. Accreditation can help build trust, but new financial models will need to evolve alongside regulation.

  • Consumer perceptions: the stigma of “cheap prefab” still lingers. It will take visible success stories, not just certificates, to shift mindsets.

  • Planning and zoning: local government rules and approval delays remain bottlenecks. Certification can’t override fragmented planning systems.

  • Demand volatility: MMC factories thrive on consistent pipelines. Certification won’t guarantee steady demand if procurement cycles stall.

  • Rapid tech evolution: the scheme risks being outpaced by emerging technologies like 3D printing, hybrid systems, and new engineered materials.

  • Broader housing pressures: land supply, affordability challenges, and certain onsite labour needs remain outside the scheme’s scope.

  • The NCC pause: stability is useful, but delayed updates risk slowing the regulatory embedding of new sustainability and innovation standards.

Exelsiv Insight

Technology is no longer optional: those who integrate digital tools, traceability, and automated systems will be best placed to thrive under this new scheme.

If you’re in the sector, the time to prepare is now: map your processes against likely certification requirements, explore traceability options, and start conversations with partners about how MMC can be integrated into your delivery strategies.

At Exelsiv, we help organisations cut through the noise of regulatory change and build future-ready systems for modern construction. If you want to understand how this scheme will affect your projects and how to position yourself ahead of 2028, let’s talk.


Resources:

[1] Australian Government, Treasury. Delivering the National Housing Accord.

[2] Australian Building Codes Board (ABCB) (2025). Issues Paper: Manufacturer Certification Scheme for Modern Methods of Construction, May 2025.

[3] Productivity Commission (2024). National Competition Policy: Modelling Proposed Reforms. Study report, November 2024.

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