The Victorian Government will abolish several of the state's building industry regulators and replace them with a new body.
The Victorian Building Authority will replace the Building Commission, the Plumbing Industry Commission and the Architects Registration board.
A scathing report from the auditor-general last year found that minimum building and safety standards were not being properly enforced by the Building Commission.
Planning Minister Matthew Guy says the organisation will be completely restructured.
"It will soon be run by an independent board with a chief executive officer.
It makes it vastly more accountable," he told ABC local radio.
"So what you will have is a vastly more transparent regulator that is going back to basics and is focusing on being a regulator first and regulating a multi-billion dollar industry." Mr Guy says there will also be some changes to the way that the appeal mechanisms are dealt with.