Repercussions from the fabrication of quake-resistance data by structural engineer Mr. Hidetsugu Aneha and other engineers continue two years after the scandal first surfaced. In the wake of the scandal, the Building Standards Law has been revised to make buildings safer. Since the revision took effect last June, though, housing starts have plummeted. Construction of condominium buildings has stalled, many construction firms have gone bankrupt, and people who want to build or reform houses have been unable to start construction work.
In November, the nation saw 84,252 housing starts, a 27 percent drop from a year before and the fifth consecutive monthly drop. For all of 2007, the total number of housing starts is expected to be below 1.1 million for the first time in 40 years.
The preconstruction procedure to confirm legal compliance with building designs has become especially severe for condominium buildings. Construction starts in November registered a staggering 63.9 percent fall from a year before. Construction starts for ordinary houses suffered a 7.6 percent fall.
The crisis in housing starts is one factor contributing to a downward revision of the government's economic growth forecast for fiscal 2007. The biggest responsibility for the crisis lies with the land ministry. It failed to inform construction and building design certification firms of the changes in the preconstruction procedure before the law was revised. The ministry knew about the changes well in advance.
Only in December did it work out a set of measures to speed up housing starts, including setting up centers in each prefecture to assist construction firms with building designs, compiling examples of mistakes in the preconstruction procedure, and cutting the number of examiners from two to one for simple building designs. Construction and building design certification firms also should have made efforts to learn what was necessary without waiting for instructions from the ministry.