A “Building Commissioner” will have responsibility for auditing people who work in the industry, the NSW government says in its long-awaited response to a major review of regulation of the building and construction sector.

The government will also tighten protections for homeowners and owners’ corporations, to help ensure they receive compensation if builders or engineers have been negligent.

In the wake of the Opal Tower debacle, in which design and construction failures contributed to faults in the 36-storey building, NSW Fair Trading Minister Matt Kean on Sunday released the government’s response to a national report into compliance and enforcement in the building industry.

Tradesmen working on the Opal Tower at Sydney Olympic Park Credit:Dominic Lorrimer

Mr Kean described the response as the “biggest shake-up in building and construction laws in our state's history.”